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Category: Economy

  • MIL-OSI Global: People around the world are using courts to question whether climate policies are fair – new study

    Source: The Conversation – UK – By Annalisa Savaresi, Senior Lecturer, Environmental Law, University of Stirling

    Coal workers suing their government over job losses. Indigenous people using the courts to block wind farms or anti-deforestation policies that violate their cultural rights. What these cases have in common is they challenge the fairness of climate policies and projects themselves.

    Our new study, carried out with researchers from 16 universities and published in Nature Sustainability, finds that cases like these are increasingly being filed all over the world.

    We coined the term “just transition litigation” to describe these cases. This term captures a focus on ensuring that climate action balances the transition to a low-carbon economy with social justice and the protection of vulnerable communities.

    This phenomenon must be kept distinct from that of climate litigation, which tends to focus on holding governments and companies accountable for failing to reduce emissions or adapt to climate change.

    Our research began in 2020, when we started noticing a growing number of cases that didn’t fit the conventional model of climate litigation. For example, in Chile, union workers sued the government, arguing that they had been excluded from discussions regarding the phase-out of coal plants. The Chilean Supreme Court ruled in favour of the workers, emphasising that a just transition strategy — one that includes consultation with affected communities — is essential for achieving carbon neutrality.

    Similarly, in Norway, the Sami Indigenous people successfully challenged wind farm licenses, which the country’s Supreme Court found to have violated their cultural rights to herd reindeer. In Colombia, Indigenous people argued that projects aimed at reducing deforestation on their land violated their rights to self-determination and cultural integrity.



    Read more:
    Reindeer: ancient migration routes disrupted by roads, dams – and now wind farms

    In pursuit of justice

    Just transition litigation seeks to ensure that the shift toward a greener economy is fair and inclusive, particularly for those who may be disadvantaged by the rapid changes it brings. The applicants in these cases often include regular workers, Indigenous people, women, children, minorities and other groups who are typically underrepresented in legislative and decision-making processes. (Our concept of just transition litigation excludes lawsuits brought by corporations seeking to protect their own interests at the expense of broader societal fairness.)

    At the core of this litigation is the pursuit of justice. As countries shift to low-carbon economies, these policies inevitably produce both winners and losers. Oil and gas workers lose their jobs. Indigenous people are displaced or see the world around them changed by new wind or solar farms. All these people lament being treated unjustly.

    To ensure widespread support for climate policies, their grievances should not be dismissed as mere nimbyism. Rather, they should be recognised as carrying precious insights into the fairness, equity, and social impacts of climate policies and projects.

    The litigation we looked at calls upon courts to assess climate action against various different legal frameworks, ranging from constitutional and human rights law to corporate accountability standards. Some lawsuits use arguments of distributive justice, which focus on the allocation of resources and burdens. Some look at procedural justice, such as inclusive decision-making. Others want what is termed recognition justice, which focuses on respect for marginalised groups.

    Why this matters

    All this reflects a growing recognition that climate action may come at a cost to certain groups, especially those already on the margins of society. It also underscores the need to address the social justice of climate action and ensure it does not make the world even less equal.

    The core issue is that, while much attention is given to reducing greenhouse gas emissions, less emphasis has been placed on ensuring we do so equitably. This is especially the case at a time when governments in the EU , the UK and the US are announcing plans to cut the red tape and expedite the transition.

    As more communities turn to courts to seek justice, our study highlights an urgent need for policymakers to embrace inclusive, transparent and equitable processes. Decisions over who owns land, or what jobs people can do, should involve those most affected. Ensuring that climate policies are fair and just will not only protect vulnerable groups but also foster broader public support.


    Don’t have time to read about climate change as much as you’d like?

    Get our award-winning weekly roundup in your inbox instead. Every Wednesday, The Conversation’s environment editor writes Imagine, a short email that goes a little deeper into just one climate issue. Join the 40,000+ readers who’ve subscribed so far.

    Joana Setzer receives funding from the Economic and Social Research Council (ESRC), the Foundation for International Law for the Environment, and the Grantham Foundation for the Protection of the Environment

    Annalisa Savaresi 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. People around the world are using courts to question whether climate policies are fair – new study – https://theconversation.com/people-around-the-world-are-using-courts-to-question-whether-climate-policies-are-fair-new-study-241093

    MIL OSI – Global Reports –

  • MIL-OSI Global: Donald Trump is planning more trade barriers if he becomes president – but they didn’t work last time

    Source: The Conversation – UK – By Mark Johnson, Professor of Operations Management, Warwick Business School, University of Warwick

    Trump campaigning in Pennsylvania in October 2024. Connor Brady Photography/Shutterstock

    Donald Trump loves tariffs. Making things more expensive if they come from foreign countries is at the heart of his bid for a second term in the White House.

    “Tariffs are the greatest thing ever invented,” he said in September 2024 at a town hall event in Michigan. And he has promised that if he becomes US president again, he will impose an across-the-board tariff of up to 20% on imports – and even 200% on cars from Mexico – in a bid to encourage American manufacturing.

    This is familiar ground for Trump, who showed he was fond of tariffs during his 2017-2021 presidency. Back then, he claimed his policy would address the trade imbalance with China, bring manufacturing jobs back to the US and raise revenues.

    Tariffs were then imposed on a wide range of goods, from imported steel and aluminium, to solar panels and washing machines.

    But did they work? Our research suggests not.

    In fact, we found that imposing tariffs actually made the US even more reliant on foreign suppliers – and failed to stimulate the domestic job market. They also raised costs for US consumers and provoked retaliatory tariffs from trading partners including China, the EU, Canada, Mexico, India and Turkey.

    China for example, responded by trebling tariffs on American cars. The EU filed a dispute with the World Trade Organisation and substantially raised tariffs on US exports including Harley Davidson motorcycles, jeans and bourbon whiskey.

    And Trump’s tariffs did not lead to a boost for US manufacturing either. After tariffs were imposed, our research shows US manufacturing supply chains evolved to have fewer suppliers – but it was often US firms that got forced out of those supply chains, not their competitors from overseas.

    We found that US manufacturers appeared to reduce their global reach, while actually increasing their dependence on a select few foreign companies – further evidence that Trump’s tariffs failed to produce the intended outcome.

    Our research also suggests that “reshoring” – bringing production and manufacturing back to a company’s home country – is not feasible without an established ecosystem of suppliers, intermediaries and customers. So introducing trade barriers without adequate support for the development of regional supply chains is unlikely to result in stronger local economies or more jobs.

    Essentially, for reshoring to work, the domestic economy needs to have the capacity to match demand. But the US (like the UK) has lost manufacturing capability in many areas, and rebuilding it is not going to happen overnight.

    Establishing a new industry requires buildings, skilled staff and supply chains – and a very specific approach is required for each industry. Getting the right skills and labour is often the trickiest part and may require immigration.

    However, even this may not work in the most complex industries. In the case of computer chips, for example, there are generous incentives in the US under the Biden administration to encourage chip manufacturing. Yet Taiwan still massively dominates the market, raising questions over whether the US could ever really compete.

    Bourbon whiskey exports, on the rocks?
    Smit/Shutterstock

    Other industries that can use automation and robotics in manufacturing (such as chemicals and transportation equipment) might be easier to reboot, but they may not generate the expected number and range of jobs. And often reshoring strategies involve higher investment in automation, machinery and robotics, rather than jobs. Trump’s focus may have been bringing back manufacturing jobs back to the US, but the truth is that many of these jobs may be gone forever.

    Trading places

    Overall then, imposing tariffs without adequate domestic support mechanisms in place has led to US manufacturers increasing their dependence on foreign suppliers and reducing their dependence on local ones.

    Yet tariffs are not exclusively favoured by Trump – or even right-wing politics. And there seems to be a fairly common view among politicians in the west that some tariffs can be an effective economic tool.

    Trade barriers against China for instance, have continued under Joe Biden’s administration (although he has somewhat relaxed tariffs for imports from the EU, Canada and Mexico). And recently, Canada imposed 100% tariffs on Chinese cars and 25% on Chinese steel and aluminium, while the EU has also imposed tariffs on Chinese goods.

    One of the few voices speaking out against tariffs belongs to former US vice-president Mike Pence. He recently proposed scrapping tariffs, saying they just made products more expensive for consumers – and failed to improve prosperity.

    His old boss clearly disagrees. And if Trump does win a second term in office, it seems certain that imposing international tariffs will be high up on his “to do” list. But if their impact is anything like the last time, they will be of little benefit to the US economy or the voters who depend upon it.

    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. Donald Trump is planning more trade barriers if he becomes president – but they didn’t work last time – https://theconversation.com/donald-trump-is-planning-more-trade-barriers-if-he-becomes-president-but-they-didnt-work-last-time-240964

    MIL OSI – Global Reports –

  • MIL-OSI Global: The gas crisis is not over yet

    Source: The Conversation – UK – By Michael Bradshaw, Professor of Global Energy, Warwick Business School, University of Warwick

    Oleksandr Filatov/Shutterstock

    Policy and luck have bought Europe a reprieve from the heights gas prices reached between the winters of 2022 and 2023, but prices are climbing again and the global gas market remains precariously balanced.

    Rising tensions in the Middle East could upend it. If conflict spills into the Persian Gulf, it could disrupt shipments of liquefied natural gas (LNG) from Qatar that equal 20% of global exports.

    We believe this winter will be the final act of the gas crisis. Here’s what we should expect.

    Dangerously underprepared

    The case for Britain to rapidly phase out natural gas in heating and power generation is overwhelming. It would unburden household bills of expensive gas imports and leave the country less vulnerable to energy supply crunches, while also cutting carbon emissions. Doing so will take time: as of today, the UK relies on gas for 37% of all energy consumption.

    British households in particular are perilously exposed to gas prices. Directly, because four-fifths of households use gas for space heating. Indirectly, because in the UK, electricity prices are set by the price of gas-fired generation. After a decade of failed home insulation and energy-efficiency policies, the UK still has some of the draughtiest homes in Europe. It simply takes more energy to heat British homes, which lose heat three times faster than European neighbours.

    Since the beginning of the recent crisis, the UK government has done little to change these facts. The end of the winter fuel payment to pensioners adds fresh concern. The Energy Crisis Commission recently found that the UK remains “dangerously underprepared” for a repeat of the gas price explosion of 2022-23.

    All told, the UK cannot be oblivious to developments in the global gas market.

    A crisis in the making

    Resurgent gas demand after the lifting of COVID restrictions led to a quadrupling of UK gas prices in 2021. Following Russia’s invasion of Ukraine in February 2022, Vladimir Putin throttled pipeline gas exports to Europe.

    Europe turned to its greatest source of flexible gas supply: seaborne LNG. A price war for cargoes followed. The spending power of European economies pulled shipments away from low-income countries in Asia, such as Pakistan and Bangladesh, which caused crippling blackouts and a pivot to coal-fired generation.

    Energy bills for an average household in the UK hit £4,279 in January 2023. The government protected consumers from the very worst at a cost of £51 billion in 2022-23, but the average household lost 8% of its budget to energy costs in 2022, rising to 18% for the poorest tenth of households. Roughly 2 million households on pre-payment meters were being cut off from their energy supply at least once a month at the height of the crisis.

    Clement winters, moderate gas demand in Asia and successful measures to curb European gas demand saw UK gas prices fall from mid-2023. But they are still relatively high – at 48% above the average in the three years before Russia’s invasion of Ukraine.

    One more winter

    Could things get worse? Back in 2022, experts spoke of a “three-winter crisis” because significant new LNG export capacity (primarily in the US and Qatar) wasn’t expected until 2025. That has held true, and supply and demand in the global LNG market remains taut.

    Several disturbances could destabilise this balance. The International Energy Agency expects that over 2024, global growth in gas demand will exceed the rate of growth in new LNG supply. Attacks on commercial vessels in the Red Sea by the Houthi militia in Yemen, in response to Israel’s invasion of Gaza, have rerouted LNG shipping routes. Cargoes that would have passed through the Suez Canal must now take the longer route around the Cape of Good Hope.

    At the end of 2024, a major five-year agreement governing the transit of Russian gas through Ukraine will expire, and there is no prospect of renewal. Russian gas supplies to Europe will fall by around 5% of the EU’s total gas imports, or 65% of all gas imports into Austria, Hungary and Slovakia.

    While Europe has been saved by mild winters over the last two years, this luck could break in 2024-25 according to some forecasts. Temperature – and the demand it creates for heating – will probably decide winter gas prices in Europe.

    Geopolitical blowback

    How might the worst-case scenario of conflict in the Persian Gulf happen?

    LNG is shipped by sea on large tankers.
    Wojciech Wrzesien/Shutterstock

    Israel’s escalating military assaults on Hezbollah since September 17 have coincided with a 17% rise in UK gas prices. After Iran’s missile and drone strikes against Israel on October 1, European gas prices hit a new high for the year. This saw three LNG tankers destined for Asia change course mid-journey and head for Europe.

    Israel has vowed retribution for the Iranian strike. Having obliterated Gaza and decapitated Hezbollah’s leadership, and with resolute material support from the US, Israel may now see Iran as vulnerable.

    A severe response by Israel, targeting Iran’s nuclear facilities or oil infrastructure, would further up the ante. Wishing to avoid direct conflict, Iran could decide to target not Israel, but the flow of oil and gas through the Strait of Hormuz on which its western backers depend. Qatari LNG shipments through the strait account for 20% of global supply on their own.

    Any interruption would also block Iran’s oil exports, afflict Iran’s friends as much as its foes, and kill Iran’s current reconciliation with the Gulf states. It is unlikely, but one would hope that the warning signs in the global gas market would remind western decision-makers that the conflict in the Middle East can continue to blow back on them.


    Don’t have time to read about climate change as much as you’d like?

    Get our award-winning weekly roundup in your inbox instead. Every Wednesday, The Conversation’s environment editor writes Imagine, a short email that goes a little deeper into just one climate issue. Join the 40,000+ readers who’ve subscribed so far.

    Michael Bradshaw receives funding from the UK Energy Research Centre (UKERC) that is funded by the Engineering and Physical Sciences Research Council (EPSRC) and the Economic and Social Research Council (ESRC), part of UK Research and Innovation (UKRI). He also advises the government, thinktanks and companies on energy matters.

    Louis Fletcher receives funding from the UK Energy Research Centre (UKERC), which is funded by the Engineering and Physical Sciences Research Council (EPSRC) and the Economic and Social Research Council (ESRC), part of UK Research and Innovation (UKRI).

    – ref. The gas crisis is not over yet – https://theconversation.com/the-gas-crisis-is-not-over-yet-241538

    MIL OSI – Global Reports –

  • MIL-OSI USA: Governor Lamont Announces ‘Time to Own’ First-Time Homebuyer Assistance Program Reopens With the Support of $40 Million in Newly Released State Funding

    Source: US State of Connecticut

    (HARTFORD, CT) – Governor Ned Lamont, who serves as chairman of the State Bond Commission, today announced that the commission voted at its meeting this morning to approve an allocation of $40 million in state funding that will be used to reopen Connecticut’s popular Time To Own program to a new round of applicants.

    Established by Governor Lamont with the support of the state legislature, Time To Own provides down payment assistance to low and moderate-income, first-time homebuyers in Connecticut. Administered by the Connecticut Housing Finance Authority (CHFA) on behalf of the Connecticut Department of Housing, this program has already helped thousands of people in the state buy their first homes since launching in 2022.

    “Owning a home is a cornerstone of the American Dream, and programs like Time To Own are making it possible for more Connecticut residents to turn that dream into reality,” Governor Lamont said. “This new round of funding ensures that we can continue to provide the resources needed to help first-time homebuyers access affordable homeownership, build wealth, and invest in our state’s future.”

    Time To Own has been a critical tool in supporting first-time homebuyers as they navigate the challenges of purchasing a home. By providing forgivable loans for down payments and closing costs, the program has enabled individuals and families to achieve the dream of homeownership, fostering long-term financial stability and contributing to stronger communities.

    “The success of the Time To Own program speaks to its necessity in our current housing market,” Housing Commissioner Seila Mosquera-Bruno said. “By making homeownership more attainable, we are not only helping individuals and families achieve stability but also creating more inclusive and vibrant communities across Connecticut.”

    With the new funding, Time To Own is expected to support an even greater number of first-time homebuyers in the coming months. To date, the program has helped more than 4,800 homebuyers in 149 towns buy their first homes, more than half of whom are people of color. With the new funding allocation, Connecticut has invested $195 million in the program.

    “Time To Own has already changed the lives of thousands of homebuyers, and we are thrilled to be reopening the program with this additional funding,” CHFA Executive Director Nandini Natarajan said. “This is a crucial step in expanding access to homeownership, particularly for low- and moderate-income residents and people of color. We remain committed to ensuring that as many Connecticut residents as possible can take advantage of this opportunity to secure their futures through homeownership.”

    For more information on eligibility and how to apply for Time To Own, visit chfa.org/TimeToOwn.

     

    MIL OSI USA News –

  • MIL-OSI USA: Warren, Casey, Wyden Slam McDonald’s for Squeezing Customers with Excessive Price Increases

    US Senate News:

    Source: United States Senator for Massachusetts – Elizabeth Warren

    October 22, 2024

    “Corporate profits must not come at the expense of people’s ability to put food on the table.”

    Text of Letter (PDF) 

    Washington, D.C. – Today, U.S. Senators Elizabeth Warren (D-Mass.), Bob Casey (D-Pa.), and Ron Wyden (D-Ore.), wrote to President and Chief Executive Officer of McDonald’s, Chris Kempczinski, pushing for more information on McDonald’s pricing decisions as fast food prices continue to increase, outpacing inflation and squeezing customers. 

    “While McDonald’s is not the only fast food restaurant that has increased prices significantly in recent years, its dominant market position as the largest fast food chain in the United States has an outsize impact on American consumers. While working families are trying to make ends meet, McDonald’s and its corporate counterparts have continued to grow their profits,” wrote the senators.

    Earlier this year, McDonald’s USA President Joe Erlinger attempted to blame the company’s menu price increases on inflationary pressures and input costs, but the data tells another story. Since the COVID-19 pandemic, fast food prices have consistently outpaced inflation, and since 2020, overall inflation has increased by 20 percent, while McDonald’s has increased its menu prices for several items substantially more. McDonalds net annual income rose by over 79 percent – nearly $8.5 billion, from 2020 to 2023.

    While McDonald’s was raising prices, the company also spent nearly $4 billion on stock buybacks in 2022 and $3 billion in 2023. The company also benefits from a tax loophole that favors buybacks. This prioritizes Wall Street shareholders over investments in McDonald’s own business and workers. 

    As American consumers have begun taking their business elsewhere, the company has promised to take a “forensic approach” to evaluating high prices.

    “Corporate profits must not come at the expense of people’s ability to put food on the table,” concluded the senators. “As we seek to investigate and understand the increased consumer costs in the economy, we hope McDonald’s will help us to understand why its prices have risen so high.”

    As a champion for American consumers and a secure and healthy economy, Senator Warren has engaged in oversight of corporations that unfairly exploit consumers. She has also been calling for more competition and stronger enforcement of antitrust laws to bring down prices for families: 

    • In October 2024, United States Senator Elizabeth Warren (D-Mass.), along with Senator Bernie Sanders (I-Vt.) and Representatives Jan Schakowsky (D-Ill.), Hank Johnson (D-Ga.), Matt Cartwright (D-Pa.), Sheila Cherfilus-McCormick (D-Fla.), Rosa DeLauro (D-Conn.), Maxwell Frost (D-Fla.), Pramila Jayapal (D-Wash.), Darren Soto (D-Fla.), Mark Takano (D-Calif.), Paul Tonko (D-N.Y.), and Frederica Wilson (D-Fla.) wrote to Chair of the Federal Trade Commission, Lina Khan, on reports of widespread price gouging in states impacted by Hurricanes Helene and Milton and on the need for a federal price gouging ban to complement state-level efforts.
    • In October 2024, Senator Elizabeth Warren (D-Mass.) and Representative Madeleine Dean (D-Pa.) wrote to the CEOs of Coca-Cola, PepsiCo, and General Mills, pressing their executives on the companies’ pattern of profiteering off consumers, both through “shrinkflation” and dodging taxes on the profits they made from that price gouging.
    • In September 2024, U.S. Senators Elizabeth Warren (D-Mass.) and Ed Markey (D-Mass.), and Representative Seth Moulton (D-Mass.) demanded answers from 13 corporate landlords operating in Massachusetts as to whether they are using RealPage’s algorithm to raise rents for families.
    • In August 2024, Senators Elizabeth Warren (D-Mass.) and Bob Casey (D-Pa.) sent a letter to Rodney McMullen, chairman and CEO of Kroger, raising concerns about Kroger’s use of Electronic Shelving Labels (ESLs) to potentially surge grocery prices and exploit consumers.
    • In May 2024, while chairing a Senate Banking Subcommittee on Economic Policy hearing, Senator Warren (D-Mass.) called out giant corporations for hiking up food prices while raking in record profits, and urged action to promote competition and bring down costs.
    • In May 2024, Senator Warren and Rep. Jim McGovern led a group of lawmakers in a letter to President Joe Biden, urging the Biden administration to use its executive authority to take action to lower food prices. 
    • In May 2024, during a hearing of the U.S. Senate Committee on Banking, Housing, & Urban Affairs, Senator Warren called out food industry price gouging and urged action to combat unfair pricing practices.
    • In April 2024, Senator Warren (D-Mass.), Bob Casey (D-Penn.), and Ben Ray Luján (D-N.M.) wrote to DoorDash and UberEats, the two largest delivery platforms, calling out their use of hidden junk fees.
    • In March 2024, Senator Elizabeth Warren (D-Mass.) and Representative Mary Gay Scanlon (D-Penn.) led a group of 14 lawmakers in a letter to FTC Chair Lina Khan urging the agency to revive enforcement of the Robinson-Patman Act (RPA), a critical tool to promote fair competition in the food industry. 
    • In February 2024, Senator Warren joined Senator Bob Casey (D-Pa.) in introducing the Shrinkflation Prevention Act to crack down on corporations that deceive consumers by selling smaller sizes of their products without lowering prices.
    • In February 2024, Senators Warren, Baldwin, Casey, and U.S. Representative Jan Schakowsky (D-Ill.) reintroduced the Price Gouging Prevention Act of 2024, which would protect consumers and prohibit corporate price gouging by authorizing the FTC and state attorneys general to enforce a federal ban against grossly excessive price increases.
    • In February 2022, at a hearing, Senator Warren called out corporations for abusing their market power to raise consumer prices and boost profits.
    • At a January 2022 hearing, Senator Warren pressed Fed Chair Jerome Powell on the role of corporate concentration in driving up prices for consumers during his renomination hearing to be Chair of the Board of Governors of the Federal Reserve System.
    • In a New York Times op-ed published in April 2020, Senator Warren urged Congress to focus on cracking down on price gouging in its ongoing effort to address the impact of the coronavirus pandemic.

    MIL OSI USA News –

  • MIL-OSI USA: Warren, Wyden, Blumenthal, Porter Call on DOJ to Prosecute Tax Prep Companies for Illegally Sharing Sensitive Personal and Financial Taxpayer Data

    US Senate News:

    Source: United States Senator for Massachusetts – Elizabeth Warren

    October 22, 2024

    Treasury, IRS assessment confirm 2023 Congressional investigation finding that companies broke the law by sharing sensitive data with Big Tech firms. 

    Tax prep companies potentially face billions of dollars in criminal liability. 

    “DOJ has the sole authority to enforce the criminal statute on behalf of the millions of taxpayers harmed by this unauthorized disclosure of their sensitive personal and financial data.”

    Text of Letter (PDF)

    Washington, D.C. – U.S. Senators Elizabeth Warren (D-Mass.), Ron Wyden (D-Ore.), Chair of the Senate Committee on Finance, and Richard Blumenthal (D-Conn.), along with Representative Katie Porter (D-Calif.) wrote to the Department of Justice (DOJ) urging the investigation and prosecution of major tax preparation companies for illegally sharing protected and sensitive taxpayer information with Big Tech firms. 

    Last month, the Treasury Inspector General for Tax Administration (TIGTA) released an audit report confirming that four online tax preparation companies broke the law by sharing legally protected and sensitive taxpayer information with Big Tech firms without taxpayer consent.  Specifically, the report found that consent statements being used by the tax prep companies did not clearly identify the intended use of taxpayer data, a violation of Treasury regulations. The IRS agreed with TIGTA’s assessment. The report confirms November 2022 investigative reporting by the Markup and the results of a July 2023 Congressional investigation, led by Senator Warren, which found that the improper sharing of sensitive taxpayer personal and financial information by TaxSlayer, H&R Block, TaxAct, and Ramsey Solutions with Meta and Google appeared to be illegal. 

    Tax prep companies used pixels, computer code that tracks a user’s website activity, to obtain sensitive personal and financial information, including approximate income and refund amounts, for millions of taxpayers who filed their taxes online with these companies. Meta then used that information for advertising and to train its AI algorithm. 

    TIGTA conducted a detailed review of four tax preparation companies, and found that the companies did not obtain proper taxpayer consent for the release of their information. 

    “We write to urge you to investigate and prosecute the criminal behavior of major tax preparation companies identified in our investigation and confirmed by the Treasury Inspector General for Tax Administration and the Internal Revenue Service,” wrote the lawmakers. The penalties for these violations can include $1,000 per violation and up to 1 year in prison. TIGTA itself notes that it “reports potential criminal violations directly to the Department of Justice when TIGTA deems that it is appropriate to do so.” 

    The IRS recently announced the expansion of the highly successful Direct File program to 24 total states, making 30 million taxpayers eligible to file for free, securely, and directly with the IRS. However, many taxpayers still rely on private tax prep companies. 

    “Accountability for these tax preparation companies – who disclosed millions of taxpayers’ tax return data…is essential for protecting the rule of law and the privacy of taxpayers,” concluded the lawmakers. 

    Senator Warren has been at the forefront of holding tax prep firms and Big Tech accountable for their behavior, and pushed for an easy and free IRS Drect File program:

    • In May 2024, Senators Elizabeth Warren and Tom Carper (D-Del.), along with Representatives Don Beyer (D-Va.), Katie Porter (D-Calif.), and Brad Sherman (D-Calif.) led over 130 lawmakers in sending a letter to the Secretary of the Treasury Janet Yellen and IRS Commissioner Daniel Werfel, applauding the successful pilot of the Direct File program, and urging them to make it permanent and expand its functionality and scope.
    • In June 2023, Senators Elizabeth Warren and Tom Carper (D-Del.), along with Representatives Brad Sherman (D-Calif.), Katie Porter (D-Calif.), and Don Beyer (D-Va.) led a coalition of 99 Democratic lawmakers in sending a letter to IRS Commissioner Daniel Werfel and Deputy Treasury Secretary Adewale Adeyemo, applauding the IRS’ announcement of a pilot  of a free tax filing tool next year. 
    • In April 2023, Senators Elizabeth Warren and Tom Carper (D-Del.) led their colleagues in sending a letter to IRS Commissioner Daniel Werfel urging the agency to simplify the tax process and broaden access to free e-filing options.
    • In April 2023, at a hearing of the Senate Finance Committee, Senator Elizabeth Warren questioned IRS Commissioner Daniel Werfel about the IRS’s failed Free-File partnership with private tax preparation software companies and called on the agency to implement a direct E-File program that will be truly free and easy for millions of Americans. 
      • Commission Werfel agreed with Senator Warren that the gap between the 70% of taxpayers that Free File is supposed to serve and the 2% it actually does is “massive.”  When Senator Warren pointed out that tax prep companies are instead pushing alternative services that should be free, are marketed as free, but are not, Commissioner Werfel also agreed that “the whole process needs to be improved,” that taxpayer rights have been violated, and the IRS has an obligation to make “the tax system easier for taxpayers to navigate.”
    • In March 2023, Senators Warren and Angus King (I-Maine) wrote a letter with 19 other senators to the Internal Revenue Service and Secretary Yellen expressing strong support for Secretary Yellen’s directive for the IRS not to raise audit rates for small businesses or households making under $400,000 annually. 
    • In December 2022, Senators Warren and Ron Wyden (D-Ore.), along with Representatives Katie Porter (D-Calif.) and Brad Sherman (D-Calif.) sent letters to tax preparation companies H&R Block, TaxAct, and TaxSlayer, plus big tech firms Meta, and Google, amid reports that the tax preparation companies have been secretly transmitting individual taxpayers’ sensitive financial information to Meta and Google.
    • In July 2022, Senator Elizabeth Warren led 22 of her colleagues in introducing the Tax Filing Simplification Act of 2022 to simplify the tax filing process for millions of Americans by lowering costs, eliminating red tape for all taxpayers, and saving them hours and hundreds of dollars. 
    • During an exchange of the United States Senate Finance Committee in June 2022, U.S. Treasury Secretary Janet Yellen agreed with Senator Elizabeth Warren on the need to create a free tax filing system that actually works for Americans.

    MIL OSI USA News –

  • MIL-OSI Africa: Afreximbank enters deal for EUR 245 million facility with New World Television (NWTV) for African sports broadcast rights acquisition

    Source: Africa Press Organisation – English (2) – Report:

    ALGIERS, Algeria, October 22, 2024/APO Group/ —

    African Export-Import Bank (Afreximbank) (www.Afreximbank.com) has announced the signing of a EUR 245-million global facility with the New World Television (NWTV) network. The funding will part finance the network’s acquisition of media licensing rights for selected broadcasting sport copyrights from global media rights holders to permit broadcast across Africa.

    The facility agreement, signed on October 17, 2024, on the sidelines of the just concluded CANEX WKND 2024, covers broadcasting sport copyrights from the International Federation of Football Association (FIFA), Union of European Football Associations (UEFA), Confederation Africaine de Football (CAF), French Ligue and Spanish LaLiga.

    Granted within Afreximbank’s CANEX Financing Programme, under the Sports Development Framework of its Creative Economy Strategy which seeks to mitigate constraints to creative enterprise development and to stimulate intra- and extra-African export of creative products, the facility is expected to support the development of Africa’s sports value chain by placing the ownership of African sports content firmly in African hands.

    The deal signing was overseen by Mrs. Kanayo Awani, Executive Vice President, Intra-African Trade and Export Development, Afreximbank and Mr. Louis Biyao, representative of the Chairman and Chief Executive Officer of NWTV.

    Speaking on the facility, Mrs. Awani said: “The import of this facility lies in the significant impact it will make in empowering African enterprises, particularly in the creative sector, to assume control of African sports. By taking control of these broadcasting rights, we will see the fostering of local content production, creation of job opportunities and strengthening of the continent’s competitive edge in the global market while promoting cultural identity and economic growth. Afreximbank is strongly committed to supporting African enterprises driving progress in the creative sector and this transaction is a testament to that commitment.” 

    On his part, Mr. Biyao commented: “It is a great honour for NWTV to benefit from such support, which allows it to streamline its transactions without the constraints related to currency exchanges. This agreement opens new opportunities for NWTV, guided by the motto ‘produced by Africans, for Africans in Africa,’ to offer premium content to a larger number of Africans. This is content that is accessible and closely aligned with their reality, at a very affordable cost.”

    He added: “NWTV aims to provide an innovative and accessible alternative in the African audiovisual landscape, broadcasting high-quality content in local languages, tailored to the expectations of African populations. This approach is fully in line with NWTV’s commitment to bringing audiovisual content closer to every African household.”

    The facility is expected to address the challenge of African sports being largely controlled by non-African networks and broadcasting houses, marking a strategic shift towards empowering African entities to take control of the broadcasts, celebrate local sports talent and showcase the richness of the continent’s sporting culture.

    It will also boost the development of the African television industry ecosystem by growing revenue opportunities for television stations that would now be able to add more content into their rotations and that would be able to sell more advertisement spaces, in addition to enabling NWTV to promote the diffusion of sports content in local languages. NWTV, which is currently able to develop broadcast content in seven local languages in 24 countries, is working on three additional languages to be deployed in 2024.

    The four-day CANEX WKND 2024, organised by Afreximbank was held from 16 – 19 October, under the theme “One People, United in Culture, Creating for the World” and was attended by almost 4,000 delegates representing a diversity of creative sectors from across Africa and the diaspora.

    CANEX WKND 2024 featured live performances, speeches by industry leaders and experts, masterclass sessions, sporting events, fashion shows, high energy music concerts and gastronomical showcases alongside a vibrant market and exhibition all aimed at advancing and expanding Africa’s unrivalled creative and cultural industries, with the aim of implementing pan-African measures that support the continent’s cultural sectors.

    MIL OSI Africa –

  • MIL-OSI: Banzai Regains Compliance with NASDAQ Minimum Bid Price Rule

    Source: GlobeNewswire (MIL-OSI)

    SEATTLE, Oct. 22, 2024 (GLOBE NEWSWIRE) —  Banzai International, Inc. (NASDAQ: BNZI) (“Banzai” or the “Company”), a leading marketing technology company that provides essential marketing and sales solutions, today announced that it has received notice from The Nasdaq Stock Market LLC (“Nasdaq”) informing the Company that it has regained compliance with the minimum bid price requirement under Nasdaq Listing Rule 5450(a)(1) (the “Rule”) for continued listing.

    To regain compliance with the Rule, the Company’s Class A common stock was required to maintain a minimum closing bid price of $1.00 or more for at least 10 consecutive business days; on October 18, 2024, Nasdaq informed the Company it achieved compliance with such Rule. Therefore, the Nasdaq Listing Qualifications Staff considers the prior bid price deficiency matter now closed.

    About Banzai

    Banzai is a marketing technology company that provides essential marketing and sales solutions for businesses of all sizes. On a mission to help their customers achieve their mission, Banzai enables companies of all sizes to target, engage, and measure both new and existing customers more effectively. Banzai customers include Square, Hewlett Packard Enterprise, Thermo Fisher Scientific, Thinkific, Doodle and ActiveCampaign, among thousands of others. Learn more at http://www.banzai.io. For investors, please visit https://ir.banzai.io/.

    Forward-Looking Statements

    This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements often use words such as “believe,” “may,” “will,” “estimate,” “target,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “propose,” “plan,” “project,” “forecast,” “predict,” “potential,” “seek,” “future,” “outlook,” and similar variations and expressions. Forward-looking statements are those that do not relate strictly to historical or current facts. Examples of forward-looking statements may include, among others, statements regarding Banzai International, Inc.’s (the “Company’s”): future financial, business and operating performance and goals; annualized recurring revenue and customer retention; ongoing, future or ability to maintain or improve its financial position, cash flows, and liquidity and its expected financial needs; potential financing and ability to obtain financing; acquisition strategy and proposed acquisitions and, if completed, their potential success and financial contributions; strategy and strategic goals, including being able to capitalize on opportunities; expectations relating to the Company’s industry, outlook and market trends; total addressable market and serviceable addressable market and related projections; plans, strategies and expectations for retaining existing or acquiring new customers, increasing revenue and executing growth initiatives; and product areas of focus and additional products that may be sold in the future. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Forward-looking statements are not guarantees of future performance, and our actual results of operations, financial condition and liquidity and development of the industry in which the Company operates may differ materially from those made in or suggested by the forward-looking statements. Therefore, investors should not rely on any of these forward-looking statements. Factors that may cause actual results to differ materially include changes in the markets in which the Company operates, customer demand, the financial markets, economic, business and regulatory and other factors, such as the Company’s ability to execute on its strategy. More detailed information about risk factors can be found in the Company’s Annual Report on Form 10-K and the Company’s Quarterly Reports on Form 10-Q under the heading “Risk Factors,” and in other reports filed by the Company, including reports on Form 8-K. The Company does not undertake any duty to update forward-looking statements after the date of this press release.

    Investor Relations
    Chris Tyson
    Executive Vice President
    MZ Group – MZ North America
    949-491-8235
    BNZI@mzgroup.us
    http://www.mzgroup.us

    Media
    Rachel Meyrowitz
    Director, Demand Generation, Banzai
    media@banzai.io

    The MIL Network –

  • MIL-OSI: Thnks Honored as 2024 Inc. Power Partner Award Winner

    Source: GlobeNewswire (MIL-OSI)

    NASHVILLE, Tenn., Oct. 22, 2024 (GLOBE NEWSWIRE) —  Thnks, the first on-demand gratitude expression platform for enterprises, SMBs, and individual contributors, today announced it has been named a 2024 Inc. Power Partner Award winner. The prestigious list honors B2B organizations across the country that have proven track records supporting entrepreneurs and helping startups grow. Thnks is featured alongside other renowned business leaders, including Slack, Intuit QuickBooks, Oracle NetSuite, Virtru, and HubSpot, among many others.

    “Gratitude is powerful—it not only strengthens relationships but also drives measurable business outcomes,” said Brendan Kamm, Thnks Co-Founder and CEO. “Incorporating gratitude into the business world has the potential to transform how companies scale and grow. Our clients understand this, and this recognition reaffirms our commitment to helping our partners deepen connections and redefine how businesses build trust and achieve success.”

    Thnks offers an easy-to-use digital platform, available and relevant to both enterprises and SMBs, focused on supporting and growing business relationships through gratitude. With Thnks, users can send personalized gestures of appreciation to colleagues, clients, or partners to strengthen business relationships that drive loyalty and revenue. Small acts of gratitude will always have an outsized business impact.

    This year’s list recognizes Thnks in the Customer Relationship Management (CRM) category among other leading companies in marketing and advertising, health and wellness, financial services, legal, logistics, public relations, and productivity. Every company on the Inc. Power Partner award list received top marks from clients for being instrumental in helping leadership navigate the dynamic world of startups. The B2B partners in CRM enhance the sales enablement process by supporting entrepreneurs across various facets of the business, including hiring, compliance, infrastructure development, cloud migration, fundraising, etc., allowing founders to focus on their core missions.

    “This is our definitive listing of vendors and suppliers who have demonstrated excellence in serving small- and midsize customers,” says Inc. editor in chief Mike Hofman. “As part of the vetting process, our team of editors, researchers and reporters gathered information on companies’ products and services, assessed their reputation as captured in online comments and forums, and collected customer testimonials to ensure that the sales pitch matches the actual client experience. In every case, we spoke to founders like you who were happy to attest to a vendor’s genuine commitment to a mutually beneficial business partnership. We’re happy to be the conduit for that positive word of mouth.”
    ​​
    To view the complete list, go to: Power Partner Awards 2024: Inc.’s Directory of B2B Excellence

    The November 2024 Issue of Inc. magazine is available online now at https://www.inc.com/magazine and will be on newsstands beginning October 29, 2024.

    ABOUT THNKS
    Established in 2016, Thnks believes making people feel appreciated – not just part of a transaction – is a business-building strategy. Utilized by over 10,000 teams and 120 Fortune 500 companies, Thnks is an on-demand gratitude expression platform for enterprises, SMBs, and individual contributors that converts small acts of gratitude into lasting business relationships that drive loyalty and revenue. The Thnks platform incorporates technology, program analytics and compliance/budget adherence to empower customers with a more economical, intentional, and authentic way to make people feel appreciated. To date, millions of Thnks have been sent – proving small acts of gratitude generate outsized business impact.

    ABOUT INC.
    Inc. is the leading media brand and playbook for the entrepreneurs and business leaders shaping our future. Through its journalism, Inc. aims to inform, educate, and elevate the profile of our community: the risk-takers, the innovators, and the ultra-driven go-getters who are creating our future. Inc.’s award-winning work achieves a monthly brand footprint of more than 40 million across a variety of channels, including events, digital, print, video, podcasts, newsletters, and social media. Its proprietary Inc. 5000 list, produced every year since its launch as the Inc. 100 in 1982, analyzes company data to rank the fastest-growing privately held businesses in the United States. The recognition that comes with inclusion on this and other prestigious Inc. lists, such as Female Founders and Power Partners, gives the founders of top businesses the opportunity to engage with an exclusive community of their peers, and credibility that helps them drive sales and recruit talent. For more information, visit http://www.inc.com.

    FOR MORE INFORMATION, PRESS ONLY:
    Kaileigh Higgins
    thnks@inkhouse.com

    The MIL Network –

  • MIL-OSI New Zealand: Retirement Commission – NEW FINANCIAL EDUCATION PARTNERSHIP HELPS RANGATAHI LEARN ABOUT MONEY

    Source: Retirement Commission

    Te whai hua – kia ora, Sorted in Schools, Inland Revenue and School Kit have joined forces to bring more innovative new learning resources to teach high school students about money.

    Newly designed interactive resource packs on tax and compound interest will be sent to around 13,000 year 9 and 10 students throughout New Zealand over the next 12 months.

    Te Ara Ahunga Ora Retirement Commission Learning Lead, Yasmin Frazer says this partnership extends the reach of Te whai hua – kia ora, Sorted in Schools, the Retirement Commission’s free financial education programme.

    “It’s critical the next generation of New Zealanders can access financial knowledge through the education system, and this provides teachers further resources to engage their students with money,” she says.

    “We have been providing resources and upskilling teachers and Kaiako through our Te whai hua – kia ora, Sorted in Schools programme since 2019, with 89% of New Zealand schools and kura now using it.

    “Partnering with School Kit has meant we can offer more ways to teach kids about money as well as supporting us to support more teachers to learn more about financial education themselves.”

    The kits can be incorporated into a variety of subjects, comprising English, Math, Business or Social Studies and combine a mix of digital and physical resources including encouraging use of the practical tools available on the Sorted website.

    The tax focused kit teaches students about tax in a way that is compelling and meaningful so they can hit the ground running when they start working, it also delves into how it contributes to areas like health and education.

    Inland Revenue Te Tari Taake Community Compliance Leader, Cy Lochead says, “We want everyone in New Zealand Aotearoa to understand how tax works and what it’s used for, as it’s an important part of our working lives.”

    “Partnering with Te Ara Ahunga Ora to develop financial literacy through the education system has created an opportunity to develop that understanding right from the start.

    “We’re excited to see the School Kit released, creating new opportunities to engage with the taxation module content.”

    Notes:

    About Te whai hua – kia ora, Sorted in Schools

    Te Ara Ahunga Ora Retirement Commission launched Te whai hua – kia ora, Sorted in Schools in 2019, which now has 78% New Zealand secondary schools and 81% of kura taking part.

    It is the first government-backed financial education programme fully aligned with the curriculum, so can be taught as part of day-to-day classes in subjects as diverse as maths, social sciences, technology, English and even health. The resources cover topics ranging from debt and money management to KiwiSaver and insurance and include learning and assessment materials for NCEA unit and achievement standards.

    More than 300 resources, designed by teachers for teachers, are already available through the website sortedinschools.org.nz, and we deliver free professional development workshops and webinars to help teachers feel confident to teach the subject. Ask your secondary school if you haven’t seen them using it.

    In 2022/23 68% of schools and kura have used Te whai hua – kia ora and 97% of teachers value Te whai hua – kia ora as a financial capability programme they like to use. And it’s all free.

    MIL OSI New Zealand News –

  • MIL-OSI Canada: Federal government launches programs to help small and medium-sized enterprises adopt and adapt artificial intelligence solutions

    Source: Government of Canada News (2)

    News release

    October 22, 2024 – Ottawa, Ontario

    Canada is a world leader in artificial intelligence (AI). Our vast AI ecosystem includes researchers, academics, entrepreneurs and more than 1,500 innovative companies, many of which are small or medium-sized enterprises (SME), serving a wide variety of economic sectors that include health, financial services and agriculture.

    Today, the Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance, on behalf of the Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry, announced the launch of two programs to grow Canada’s AI ecosystem by supporting the development of new generative AI applications and enabling AI adoption among SMEs to increase productivity. These programs are part of a $2.4 billion package of AI-focused initiatives announced in Budget 2024 to accelerate job growth, boost productivity and ensure AI is used responsibly.

    First, the Regional Artificial Intelligence Initiative (RAII) will invest $200 million to help bring new AI technologies to market and help accelerate AI adoption by SMEs and sectors across the country.

    Second, the AI Assist Program is investing $100 million to help innovative Canadian SMEs that are building or actively incorporating generative AI and deep learning solutions into their core products and services.

    On behalf of Minister Champagne, Deputy Prime Minister Freeland also thanked all the businesses, researchers and AI innovators who responded to the public consultation on artificial intelligence computing infrastructure, which closed in September. The consultations engaged more than 1,000 Canadians and Canadian businesses both online and in person through surveys, roundtables and meetings. This feedback is informing the design and implementation of two initiatives: the new AI Compute Access Fund and the Canadian AI Sovereign Compute Strategy.

    Quotes

    “Small and medium-sized businesses are the backbone of Canada’s AI ecosystem. The investments announced today are designed to serve as a catalyst for quicker AI adoption by this vital section of the economy, be a source of significant Canadian innovation, and enhance productivity and exports. The government will build on this with Canada’s first sovereign compute strategy that will reflect the voices of Canadians from coast to coast to coast.”
    – The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry

    “AI is not science fiction; it helps businesses get more done—like software that scans a piece of lumber to help a mill increase its yield. It will empower businesses across our region and help grow our economy.”
    – The Honourable Gudie Hutchings, Minister of Rural Economic Development and Minister responsible for the Atlantic Canada Opportunities Agency

    “Artificial intelligence is changing our world, and Quebec is on the cutting edge. With over 750 businesses specializing in AI, our province is among the top ten places in the world for AI investment and innovation. Today’s announcement builds on this success, helping small businesses across Quebec seize the opportunities presented by AI while creating good jobs in our communities.”
    – The Honourable Soraya Martinez Ferrada, Minister of Tourism and Minister responsible for Canada Economic Development for Quebec Regions

    “Small and medium-sized businesses are the backbone of the prairie and northern economies. With the launch of the Regional Artificial Intelligence Initiative, delivered by PrairiesCan and CanNor, we’re helping businesses achieve their innovative goals and create well-paying jobs Canadians can rely on.”
    – The Honourable Dan Vandal, Minister of Northern Affairs and Minister responsible for Prairies Economic Development Canada and the Canadian Northern Economic Development Agency

    “Supporting innovation in Northern Ontario is critical to the long-term prosperity and growth of the region. The Regional AI Initiative, which will be delivered by FedNor in Northern Ontario, will support the development of this important sector; create good, stable jobs for years to come; and help grow an economy that works for everyone.”
    – The Honourable Patty Hajdu, Minister of Indigenous Services and Minister Responsible for the Economic Development Agency for Northern Ontario

    “Southern Ontario is home to future leaders in the AI sector. Our government is supporting them as they grow their businesses and develop new technologies that will lead to advancements in many industries. Together, we are keeping our place at the forefront of the world’s advanced economies, taking the necessary steps to enhance our digital solutions and creating skilled jobs for Canadians.”
    – The Honourable Filomena Tassi, Minister responsible for the Federal Economic Development Agency for Southern Ontario

    “Cutting-edge companies across Canada are developing and adopting AI technologies to increase productivity, drive innovation and attract investment. AI has the potential to transform industries in all regions and sectors of our country. The Government of Canada is committed to leadership in AI to ensure Canadian businesses have the resources they need to integrate this transformative technology and harness its benefits right now and for the future.”
    – The Honourable Harjit S. Sajjan, President of the King’s Privy Council for Canada, Minister of Emergency Preparedness and Minister responsible for the Pacific Economic Development Agency of Canada

    Quick facts

    • Budget 2024’s $2.4 billion investments in artificial intelligence (AI) include funding for sovereign compute (data centres) capacity, the creation of an AI safety institute, skills training and programs to encourage AI adoption across the Canadian economy.

    • Canada’s seven regional development agencies (RDA) will be delivering the $200 million Regional Artificial Intelligence Initiative (RAII) over the next five years. This funding will help bring new AI technologies to market and drive AI adoption by small and medium-sized enterprises (SME) and sectors across the country. For more information, including on how to apply, visit the RDAs’ websites.

    • Delivered by the National Research Council of Canada Industrial Research Assistance Program, the AI Assist Program is designed to help innovative Canadian SMEs navigate the challenges of developing and adapting generative AI and deep learning solutions and assist SMEs with awareness, planning and execution to develop these technologies safely and ethically.

    • It will do this by supporting scientific research, product development, testing and validation, building the next generation of AI technologies and applications for Canada and beyond.

    • The compute initiatives will enable Canada to secure its globally competitive position by ensuring that industry and researchers have access to affordable and cutting-edge infrastructure to support the growing AI ecosystem. 

    Associated links

    Contacts

    Audrey Milette
    Press Secretary
    Office of the Minister of Innovation, Science and Industry
    audrey.milette@ised-isde.gc.ca

    Media Relations
    Innovation, Science and Economic Development Canada
    media@ised-isde.gc.ca

    Media Relations
    National Research Council of Canada
    Toll free: 1-855-282-1637
    media@nrc-cnrc.gc.ca

    Stay connected

    Find more services and information on the Innovation, Science and Economic Development Canada website.

    Follow Canadian Science on social media.
    X (Twitter): @CDNScience | Facebook: Canadian Science | Instagram: @cdnscience

    Follow the department on social media.
    X (Twitter): @ISED_CA | LinkedIn: Innovation, Science and Economic Development Canada

    MIL OSI Canada News –

  • MIL-OSI: NNIT A/S: NNIT adjusts 2024 financial outlook

    Source: GlobeNewswire (MIL-OSI)

    NNIT adjusts the 2024 financial outlook and now expects organic revenue growth to be around 6-7% (previously around 10%) and the Group operating profit margin to reach 6-7% before special items (previously 8-9%) on the back of unsatisfactory performance in Q3. An uplift in Q4 is expected based on improved transparency and a solid backlog for the remainder of the year following recent important contract wins.

    Based on preliminary and unaudited financial figures, NNIT generated Q3 2024 Group revenue of DKK 445 million (2023: DKK 453 million) and Group operating profit of DKK 17 million before special items (2023: DKK 26 million) corresponding to organic growth of -1.6% (2023: 11.1%) and a Group operating profit margin of 3.9% before special items (2023: 5.8%) in the quarter. For the first nine months of 2024, Group revenue was DKK 1,382 million (2023: DKK 1,290 million) with Group operating profit of DKK 73 million before special items (2023: DKK 72 million) for organic growth of 5.6% (2023: 11.3%) and a Group operating profit margin of 5.3% before special items (2023: 5.6%).

    The outlook adjustment follows an unexpected revenue decline in Region Europe and Region US in Q3, which was impacted by a moderate market slowdown resulting in projects being postponed or put on hold, combined with prolonged challenges in the data migration business. As one of several levers to accelerate profitability in the second half of 2024, NNIT recalibrated capacity in both Europe and the US in Q3, and additional adjustments are made to align internal capacity with market demand. NNIT is executing as planned on the remaining initiatives already taken to accelerate profitability, which include securing important wins in the US and Europe, leveraging the full effect of the turnaround in Asia, completing crucial internal projects and benefiting from a lower cost run-rate after relocation of offices. These key levers are contributing positively to profitability in 2024 and beyond.

    NNIT will publish the Q3 2024 trading statement on November 5, 2024 as planned.

    Contact for further information
    Carsten Ringius
    EVP & CFO
    Tel: +45 3077 8888
    carr@nnit.com

    Media relations
    Tina Joanne Hindsbo
    Media Relations Manager
    Tel: +45 3077 9578
    tnjh@nnit.com

    NNIT is a leading provider of IT solutions to life sciences internationally, and to the public and enterprise sectors in Denmark

    We focus on high complexity industries and thrive in environments where regulatory demands and complexity are high.

    We advise and build sustainable digital solutions that work for the patients, citizens, employees, end users or customers.

    We strive to build unmatched excellence in the industries we serve, and we use our domain expertise to represent a business first approach – strongly supported by a selection of partner technologies, but always driven by business needs rather than technology.

    NNIT consists of group company NNIT A/S and subsidiaries SCALES, Excellis Health Solutions and SL Controls. Together, these companies employ more than 1,700 people in Europe, Asia and USA.

    Read more at http://www.nnit.com

    Attachment

    The MIL Network –

  • MIL-OSI Security: Former CEO of Abercrombie & Fitch and Two Other Individuals Charged with Sex Trafficking and Interstate Prostitution

    Source: United States Department of Justice (Human Trafficking)

    Defendants Allegedly Arranged for Dozens of Men to Travel to New York and Hotels Around the World for Sex Events

    A 16-count indictment was unsealed today in federal court in Central Islip charging former Abercrombie & Fitch Co. (Abercrombie) Chief Executive Officer Michael Jeffries, along with Matthew Smith and James Jacobson, with sex trafficking and engaging in interstate prostitution.  The indictment alleges that between December 2008 and March 2015, Jeffries, Smith and Jacobson used a combination of force, fraud and coercion to traffic men while operating a prostitution enterprise.  All three defendants were arrested this morning. Jeffries and Smith are scheduled to make their initial appearances this afternoon in federal court in the Southern District of Florida, and Jacobson is scheduled to make his initial appearance this afternoon in federal court in St. Paul, Minnesota. They will be arraigned in the Eastern District of New York at a later date.

    Breon Peace, United States Attorney for the Eastern District of New York, James E. Dennehy, Assistant Director in Charge, New York Field Office (FBI) and Thomas G. Donlon, Interim Commissioner, New York City Police Department (NYPD), announced the arrests and charges.

    “As alleged in the indictment, former CEO of Abercrombie Michael Jeffries, his partner Matthew Smith and their recruiter James Jacobson used their money and influence to prey on vulnerable men for their own sexual gratification,” stated United States Attorney Peace.  “Today’s arrests show that my Office and our law enforcement partners will not rest until anyone who engages in sex trafficking or interstate prostitution, regardless of their wealth or power, is brought to justice.”

    Mr. Peace expressed his thanks to the FBI Miami Field Office, West Palm Beach Resident Agency; the FBI Milwaukee Field Office, Eau Clair Resident Agency; the Barron County, Wisconsin, Sheriff’s Office; and the United States Attorney’s Offices for the Southern District of Florida and the District of Minnesota, for their assistance with the case.

    “Today’s indictment highlights the alleged abhorrent behavior of Michael Jeffries, Matthew Smith, and James Jacobson.  The defendants allegedly preyed on the hopes and dreams of their victims by exploiting, abusing, and silencing them to fulfill their own desires, with insidious secret intentions.  This case is yet another example of individuals using their wealth, power, or reputation to manipulate and control others for their personal gratification.   The FBI and our partners won’t allow these criminal acts to go unchecked, we remain committed to investigating and bringing these cases forward to prosecution,” stated FBI Assistant Director in Charge Dennehy.

    “Sex trafficking remains a pressing issue nationwide and New York City is no exception,” stated NYPD Interim Commissioner Donlon. “Through our continued partnership with the FBI and the U.S. Attorney for the Eastern District of New York, the NYPD is able to enhance our investigations and secure convictions. Importantly, our close collaboration also allows us to connect survivors of this abhorrent crime with the necessary support and services they deserve.”

    From approximately 1992 to 2014, Jeffries was the CEO of Abercrombie, a fashion clothing retailer that owned and operated retail stores around the world.  Smith was Jeffries’ life partner.  The indictment alleges that Jacobson was employed by Jeffries and Smith to recruit, interview and hire men to perform commercial sex acts for Jeffries and Smith.

    As set forth in the indictment, from approximately 2008 to 2015, Jeffries, Smith and Jacobson, together with others, operated an international sex trafficking and prostitution enterprise.  Jeffries and Smith not only relied on their financial resources and Jeffries’ power as the CEO of Abercrombie, but also on numerous others, including Jacobson and a network of employees, contractors and security professionals, to operate this venture, which was dedicated to fulfilling their sexual desires.

    As further alleged in the indictment, Jeffries and Smith paid for dozens of men to travel within the United States and internationally to various locations, including the Hamptons on Long Island, New York City and hotels in England, France, Italy, Morocco and Saint Barthélémy, for the purpose of engaging in commercial sex acts with Jeffries, Smith and others (the “Sex Events”). Jacobson allegedly traveled throughout the United States and internationally to recruit and interview men for the Sex Events.  During “tryouts” of potential candidates, Jacobson typically required that the candidates first engage in commercial sex acts with him.

    The indictment alleges that Jeffries, Smith and Jacobson used coercive, fraudulent and deceptive tactics in connection with their sex trafficking and prostitution venture. For example, among other things, Jeffries, Smith, Jacobson and others acting at their direction:

    • Employed a referral system and interview process that did not inform men of the details of the Sex Events before they attended, including the full extent and nature of the sexual activity that would be required of the men at the Sex Events;
    • Caused men to believe that attending the Sex Events could yield modeling opportunities with Abercrombie or otherwise benefit their careers;
    • Caused men to believe that not complying with requests for certain acts during the Sex Events could harm their careers;
    • Required men to relinquish their personal items, including clothing, wallets and cellular phones, and store them in an inaccessible location during the Sex Events;
    • Required men to sign non-disclosure agreements;
    • On more than one occasion when men did not or could not consent, Jeffries and Smith violated the bodily integrity of the men by subjecting them, or continuing to subject them, to invasive sexual and violent contact by body parts and other objects;
    • On more than one occasion, Jeffries and Smith directed others to inject, or personally injected, men with an erection-inducing substance for the purpose of causing the men to engage in sex acts the men were incapable or unwilling to engage in.

    Many of the victims, at least one of whom was as young as 19 years old, were financially vulnerable and aspired to become models in the fashion industry.  Some victims recruited by the defendants had previously worked at Abercrombie stores or had modeled for Abercrombie.

    If convicted of the sex trafficking charge, the defendants each face a maximum sentence of life imprisonment and a mandatory minimum sentence of 15 years’ imprisonment.  If convicted of the interstate prostitution charges, the defendants face a maximum sentence of 20 years’ imprisonment.

    The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.

    If you believe you are victim of a crime perpetrated by Michael Jeffries, Matthew Smith or James Jacobson, please contact the FBI at 1-800-CALL-FBI.

    The government’s case is being handled by the Office’s Civil Rights Section and the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorneys Megan Farrell, Erin Reid and Philip Pilmar are in charge of the prosecution with the assistance of Bilingual Victim Witness Specialist Stephanie Marroquin and Fact Witness Services Unit Supervisor/Victim Witness Coordinator Huda Abouchaer.

    The Defendants:

    MICHAEL JEFFRIES
    Age: 80
    West Palm Beach, FL

    MATTHEW SMITH
    Age: 61
    West Palm Beach, FL

    JAMES JACOBSON
    Age:  71
    Rice Lake, WI

    E.D.N.Y. Docket No. 24-CR-423 (NJC)

    MIL Security OSI –

  • MIL-OSI Canada: Supporting Alberta’s growing communities

    Source: Government of Canada regional news

    [embedded content]

    Many of Alberta’s cities and towns are experiencing population growth that increases the demand on public infrastructure needs such as roads, bridges and water treatment systems. To help municipalities experiencing population growth-related pressures on public infrastructure, Alberta’s government has introduced the Local Growth and Sustainability Grant (LGSG), providing $60 million over three years to help meet this challenge.

    “We have heard clearly from our municipal partners that population growth and expanding industrial and commercial activity, though good for local economies, are also putting significant pressure on public infrastructure in some Alberta communities. The LGSG is designed to bring some relief to recent growth pressures while attracting new investment that provides jobs for Albertans and helps to keep our provincial economy thriving.”

    Ric McIver, Minister of Municipal Affairs

    As a complement to Alberta’s other existing infrastructure programs, such as the Local Government Fiscal Framework, the LGSG is an application-based program that will be open to municipalities experiencing significant growth and related infrastructure pressures. The program will also support municipalities seeking to capitalize on specific economic development opportunities.

    The LGSG has two components. The growth component (approximately $15 million in 2024-25) is meant to help mid-sized communities with populations between 10,000 and 200,000 meet growth-related infrastructure needs such as vital roadways. The sustainability component (approximately $5 million in 2024-25) is meant to help smaller communities with populations fewer than 10,000 address pressing health or safety issues, such as water treatment.

    “Our province is growing, and I am proud to see Alberta’s government make yet another investment to create jobs, improve our communities and grow our local economy. I’m excited to see the opportunities ahead for growing municipalities like our city.”

    Nathan Neudorf, MLA for Lethbridge-East

    “Like many Alberta municipalities, Lethbridge is experiencing growth pressures. The Local Growth and Sustainability Grant offers essential funding opportunities for our priority projects, such as expanding the Wastewater Treatment Plant and enhancing efforts to recruit more healthcare workers. We are grateful to the province for introducing this new funding stream, and we look forward to submitting competitive proposals that ensure a sustainable and healthy community for our residents.”

    Blaine Hyggen, mayor of Lethbridge

    Applications for the LGSG are now open and close on Nov. 29.

    Quick facts

    • Projects funded under the growth component will be cost-shared with the applicant municipal government.  Growth component funding will provide up to 50 per cent of project costs.
    • In the 2025-26 fiscal year, municipalities will receive more than $820 million, an increase of over 13 per cent from Budget 2024.

    Related information

    For more, visit http://www.Alberta.ca/local-growth-and-sustainability-grant

    Multimedia

    • Watch the news conference

    MIL OSI Canada News –

  • MIL-OSI: MX Chief Advocacy Officer Jane Barratt Named Financial Data Exchange (FDX) Co-Chair

    Source: GlobeNewswire (MIL-OSI)

    SALT LAKE CITY, Oct. 22, 2024 (GLOBE NEWSWIRE) — The Financial Data Exchange (FDX) – an industry standards body focused on Open Banking – today announced MX Chief Advocacy Officer Jane Barratt as its new Board Co-Chair alongside Franklin Garrigues from TD Bank. She replaces Steve Smith who has served as Co-Chair since 2018 and is retiring from MasterCard. 

    “Jane has been instrumental in FDX’s work building consensus standards and has worked with regulatory groups for years, perfectly positioning her to take on this role without missing a beat,” shared Steve Smith. “She has passionately advocated for the financial services industry to give consumers full control over their financial data and will be able to make an even greater impact serving as FDX Co-Chair.”

    As MX’s Chief Advocacy Officer and Global Head of Public Policy, Barratt has served as a member of the FDX Board of Directors since 2021. She collaborates across consumer advocacy groups, financial institutions, fintechs, regulatory bodies, and industry groups advocating to empower consumers to achieve better financial outcomes via secure access to their financial data. 

    “As I’ve spoken and written about for years, consumers should be in control and reap the full benefits of their financial data. FDX’s work is critical in promoting secure consumer data sharing within the U.S. and unifying the industry around a common standard,” said Jane Barratt. “I couldn’t be more excited to step into this new role with FDX.”

    About FDX 
    Financial Data Exchange (FDX) is a non-profit organization operating in the US and Canada that is dedicated to unifying the financial industry around a common, interoperable, royalty-free standard for secure and convenient consumer and business access to their financial data. FDX empowers users through its commitment to the development, growth, and industry-wide adoption of the FDX API, according to the principles of control, access, transparency, traceability, and security. Membership is open to financial institutions, fintech companies, financial data aggregators, consumer advocacy groups, payment networks and other industry stakeholders. For more information and to join, visit http://www.financialdataexchange.org.

    Contact:
    Porche Matthews, Marketing Manager
    pmatthews@financialdataexchange.org

    The MIL Network –

  • MIL-OSI USA: Durbin Leads Senators In Demanding Answers From Pfizer, Eli Lilly On New Telehealth Platforms Amid Concerns Of Inappropriate Prescribing

    US Senate News:

    Source: United States Senator for Illinois Dick Durbin
    10.22.24
    In Letters to Pfizer and Eli Lilly, Durbin, Sanders, Welch, and Warren request details about whether the companies’ new advertising & telehealth schemes create conflicts of interest that steer patients toward particular medications
    CHICAGO – U.S. Senate Majority Whip Dick Durbin (D-IL) sent a letter to the CEOs of Pfizer Inc. and Eli Lilly demanding answers about the pharmaceutical companies’ recent move to establish new direct-to-consumer (DTC) telehealth platforms.  These new arrangements steer patients toward particular medications and create the potential for inappropriate prescribing that can increase spending for federal health care programs. 
    As Durbin notes in his letters, federal law, specifically the Anti-Kickback Statute, prohibits the willful payment of remuneration to induce patient referrals for Medicare or Medicaid-covered services or goods.  Durbin requested additional information about the nature of Pfizer and Eli Lilly’s contracts with their chosen telehealth platforms, including the characteristics of the medical evaluation and whether the telehealth providers are pressured to prescribe Pfizer or Eli Lilly medications.
    Along with Durbin, the letters were also signed by U.S. Senators Bernie Sanders (I-VT), Peter Welch (D-VT), and Elizabeth Warren (D-MA) .
    “Pfizer recently launched a new telehealth platform, PfizerForAll, that links patients interested in receiving specific medications with a health care provider who can virtually prescribe that medication…  We write to learn more about the financial relationship between Pfizer and its chosen telehealth prescribers, given the potential implications for the federal Anti-Kickback Statute (AKS),” the Senators began their letter to Pfizer.
    The United States is one of only two countries in the world that permit DTC advertising of prescription drugs, in part because this practice has been shown to increase patient demand for advertised drugs and the likelihood of a patient receiving a prescription for that drug.  Pharmaceutical companies, including Pfizer, spend an estimated $6 billion annually on DTC advertising to boost patient demand for medications.  As a result, a small number of prescription drugs advertised on television accounted for 58 percent of Medicare’s overall spending on prescription drugs between 2016 and 2018. 
    The Senators continued their letter, expressing his concern that Pfizer and Eli Lilly’s new telehealth platforms may be pressuring health care providers into prescribing their medications, which could violate federal law. 
    “The launch of Pfizer’s new telehealth platform, similar to an existing platform for the virtual prescribing of Nurtec, raises questions about the nature of Pfizer’s relationship with its hired telehealth prescribers and the potential for inducement of prescriptions payable by federal health care programs,” the Senators wrote in their letter to Pfizer.
    “After describing Pfizer’s medications and the benefit they can have for patients, Pfizer’s telehealth platform provides a link for patients to ‘talk to a doctor now’ and fill prescriptions via an online pharmacy.  This creates the impression that any patient interested in a particular medication can indeed receive it with just a few clicks, and the appearance of Pfizer’s approval that these chosen telehealth providers can ensure a patient receives the given medication,” the Senators wrote.
    The U.S. Department of Health and Human Services’ Office of the Inspector General (HHS OIG) has been wary of telehealth platforms, issuing a Special Fraud Alert in 2022 to warn health care practitioners of specific risks of schemes involving telehealth platforms that “intentionally paid physicians … kickbacks to generate … prescriptions for medically unnecessary … medications, resulting in submission of fraudulent claims to Medicare [and] Medicaid.”  HHS OIG listed limited interaction with the purported patient, limited opportunity to review the patient’s medical records, and/or a directive to prescribe a preselected item, regardless of clinical appropriateness as potential fraudulent aspects of telehealth platforms’ arrangements with prescribers.
    In their letter to Pfizer, the Senators points to a specific example of PfizerForAll engaging in behavior that HHS OIG warned about.
    “The nature of the PfizerForAll platform appears to reflect many aspects of the HHS OIG warning for potential fraud.  Unsurprisingly, a patient coming straight from Pfizer’s website to a telehealth appointment with a prescriber chosen by Pfizer is overwhelmingly more likely to ask for Pfizer’s medication.  Further, that prescriber may have an incentive to prescribe such medication, whether or not it is medically necessary or clinically appropriate.  Payments by Pfizer hold the potential to induce specific actions of the prescribing pen,” the Senators wrote.
    The Senators continued, “These concerns are underscored by statements by Pfizer’s chosen prescribing contractor—Populus—for its Nurtec migraine medication.  Populus’ co-founder claimed in reporting by STAT News that more than 90 percent of eligible patients receive a prescription for the brand of drug whose marketing they clicked on, further adding, ‘We’re driving prescriptions.’  Similarly, UpScriptHealth has advertised job openings to prescribers with the statement, ‘on average, providers can complete 6-10 visits an hour’ and by defining ‘a completed visit is either an approval or denial of prescription request,’ which raises concerns about the adequacy of the provider’s patient engagement, quality of medical review, and expected outcomes.”
    The Senators concluded their letters to both Pfizer and Eli Lilly by requesting details about how the companies run their telehealth platforms and if patients are receiving adequate care rather than a hastily written prescription to a heavily-advertised medication produced by the pharmaceutical company.
    Today’s letters are Durbin’s latest action in cracking down on excessive prescription drug advertising that can harm patients and increase prescription drug costs.  Last November, Durbin took to the Senate floor to request unanimous consent for his bipartisan Drug-price Transparency for Consumers (DTC) Act, a bill that would require price disclosures on advertisements for prescription drugs in order to empower patients and reduce excessive spending on medications.  Durbin also introduced the Protecting Patients from Deceptive Drug Ads Online Act, bipartisan legislation that would protect public health and close regulatory loopholes by having the Food and Drug Administration (FDA) address false and misleading prescription drug promotions by social media influencers and telehealth companies. 
    In May, Durbin chaired a Senate Judiciary Committee hearing entitled “Ensuring Affordable & Accessible Medications: Examining Competition in the Prescription Drug Market.”  The hearing examined prescription drug prices, competition, and innovation, and how to ensure medications are accessible and affordable for American families.
    In his role as Chair of the Judiciary Committee, Durbin also supported the advancement of a package of bills, which were reported unanimously out of Committee in February 2023, to lower prescription drug prices.  The package included Durbin’s Interagency Patent Coordination and Improvement Act, which establishes an interagency task force between the United States Patent and Trademark Office and FDA for purposes of sharing information and providing technical assistance with respect to patents.
    A copy of the letter to Eli Lilly is available here.
    A copy of the letter to Pfizer is available here and below:
    October 21, 2024
    Dear Mr. Bourla:
                Pfizer recently launched a new telehealth platform, PfizerForAll, that links patients interested in receiving specific medications with a health care provider who can virtually prescribe that medication.  This manufacturer-sponsored arrangement appears intended to steer patients toward particular medications and creates the potential for inappropriate prescribing that can increase spending for federal health care programs.  We write to learn more about the financial relationship between Pfizer and its chosen telehealth prescribers, given the potential implications for the federal Anti-Kickback Statute (AKS). 
                Direct-to-consumer (DTC) advertising of prescription drugs has been shown to increase both patient demand for specific medications and the likelihood of a patient receiving a prescription for that drug.  Pharmaceutical manufacturers like Pfizer spend an estimated $6 billion annually in DTC advertising to boost patient awareness and demand for advertised medications.  The U.S. is one of only two developed countries in the world that permits such health claims.  The American Medical Association has stated, “direct-to-consumer advertising inflates demand for new and expensive drugs, even when these drugs may not be appropriate.”
                A recent study found that more than two-thirds of drugs advertised on television were considered “low added value.”  This creates concern for taxpayers, as a review by the Government Accountability Office (GAO) found that the small number of prescription drugs advertised on television accounted for 58 percent of Medicare’s overall spending on prescription drugs between 2016-2018.  For example, these DTC advertisements helped to balloon Medicare spending on Pfizer’s Xeljanz to more than $886 million in 2022.
                Telehealth can help to address barriers to care, including by expanding access for patients facing transportation barriers, helping to overcome stigma, and identifying providers when there may be workforce shortages.  But those important aspects of care can be undermined without comprehensive services that ensure a thorough patient evaluation and follow-up, especially if there is any appearance of a conflict of interest for the treatment provider.
    The launch of Pfizer’s telehealth platform, similar to an existing one for the virtual prescribing of Nurtec, raises questions about the nature of Pfizer’s relationship with its contracted telehealth prescribers and the potential for inducement of prescriptions payable by federal health programs.  The Department of Health and Human Services’ Office of the Inspector General (HHS OIG) warns, “as a physician, you are an attractive target for kickback schemes because you can be a source of referrals for … health care … suppliers.”  OIG adds, “many … companies want your patients’ business and would pay you to send that business their way.”
                After describing Pfizer’s medications and the benefit they can have for patients, Pfizer’s telehealth platform provides a link for patients to “talk to a doctor now” and fill prescriptions via an online pharmacy.  This creates the impression that any patient interested in a particular medication can indeed receive it with just a few clicks, and the appearance of Pfizer’s approval that these chosen telehealth providers can ensure a patient receives the given medication. 
    In 2022, the HHS OIG issued a Special Fraud Alert to notify health care practitioners of the specific risks of schemes involving telehealth platforms that “intentionally paid physicians … kickbacks to generate … prescriptions for medically unnecessary … medications, resulting in submission of fraudulent claims to Medicare [and] Medicaid.”  According to the HHS OIG, fraudulent aspects of these arrangements for prescribers may include: limited interaction with the purported patient, limited opportunity to review the patient’s medical records, and/or a directive to prescribe a preselected item, regardless of clinical appropriateness.
    The nature of the PfizerForAll platform appears to reflect many aspects of the HHS OIG warning for potential fraud.  Unsurprisingly, a patient coming straight from Pfizer’s website to a telehealth appointment with a prescriber chosen by Pfizer is overwhelmingly more likely to ask for Pfizer’s medication.  Further, that prescriber may have an incentive to prescribe such medication, whether or not it is medically necessary or clinically appropriate.  Payments by Pfizer hold the potential to induce specific actions of the prescribing pen. 
    These concerns are underscored by statements from Pfizer’s chosen prescribing contractor—Populus—for its Nurtec migraine medication.  Populus’ co-founder claimed in reporting by STAT News that more than 90 percent of eligible patients receive a prescription for the brand of drug whose marketing they clicked on, further adding, “We’re driving prescriptions.”  Similarly, UpScriptHealth has advertised job openings to prescribers with the statement, “on average, providers can complete 6-10 visits an hour” and by defining “a completed visit is either an approval or denial of prescription request,” which raises concerns about the adequacy of the provider’s patient engagement, quality of medical review, and expected outcomes.
    To better understand the nature of Pfizer’s relationship with contracted telehealth prescribers, we request written responses to the following questions by November 25, 2024:
    1.       Do Pfizer’s DTC advertisements for certain medications, including commercials on television or promotions on social media, direct consumers to PfizerForAll or the Nurtec/Populus page?
    1.       How much has Pfizer spent on such advertisements in the most recent six-month period for which data is available?
    2.       How much has Pfizer spent on disease awareness, continuing medical education activities, medical publications, patient advocacy/engagement, or other health promotion directed at prescribers or consumers for diseases related to medications listed on PfizerForAll or the Nurtec/Populus page in the most recent six-month period for which data is available?
    2.       Are any forms of insurance excluded from eligibility or participation with PfizerForAll or the Nurtec/Populus page?  Please list which types of insurance are not eligible to participate.
    3.       Does Pfizer direct, encourage, or educate UpScriptHealth- or Populus-affiliated health care providers to prescribe Pfizer’s medications?
    4.       Did Pfizer share, consult, or communicate with UpScriptHealth or Populus in creating the “discussion guide” for patients to speak with their Pfizer-linked telehealth provider?
    5.       What is the average duration of the virtual health care visit between an UpScriptHealth- or Populus-affiliated health care provider and a patient who is connected to them via Pfizer’s website? 
    1.       After initially filling out information, are such visits always conducted via a video platform, or are there other options available?
    6.       Do UpScriptHealth- or Populus-affiliated health care providers always review the medical history and records of a patient who is connected to them via Pfizer’s website?  If so, please describe in detail how those records are accessed.
    7.       How does Pfizer set the compensation paid to its telehealth partners?  Please provide a copy of the terms of agreement between Pfizer and UpScriptHealth, and between Pfizer and Populus.
    1.       Is Pfizer paying fair market value for the services of UpScriptHealth or Populus?
    2.       Does Pfizer make a bonus payment to UpScriptHealth or Populus based on the number of prescriptions written, including refills?
    3.       Does Pfizer contract with UpScriptHealth or Populus to furnish a certain number of prescriptions for certain medications?
    4.       Would the UpScriptHealth- or Populus-affiliated health care provider have actual or constructive knowledge that a patient was referred to them via Pfizer’s telehealth platform?
    5.       What metrics does Pfizer use to evaluate the performance of its contracts with UpScriptHealth and Populus and affiliated health care providers?
    8.       What data is being provided by UpScriptHealth or Populus to Pfizer as part of these agreements?  Please list all fields or categories of data being provided to Pfizer, including patient information, consumer behavior information, and marketing outcomes information.
    9.       What role, if any, does Pfizer play in collecting, defraying, or otherwise interacting with the co-pay that is associated with the provider consultation on Pfizer’s telehealth platforms?
    10.   Based upon prescribing or claims data that Pfizer has access to, how many prescriptions for a Pfizer medication have UpScriptHealth- or Populus-affiliated health care providers written in the most recent 30-day period for which Pfizer has available information?
    11.   What percentage of consumers who meet virtually with an UpScriptHealth- or Populus-affiliated health care provider receive a prescription for a Pfizer medication?
    1.       What percentage of such consumers receive a prescription for a medication manufactured by another brand-name company?
    2.       What percentage of such consumers receive a prescription for a generic medication?
    3.       What percentage of such consumers receive no prescription?
    12.   How much revenue has Pfizer generated from these telehealth platforms in the most recent 30-day period for which Pfizer has available information?
    13.   Outside of the contract terms with UpScriptHealth or Populus, please provide a list of all payments by Pfizer to each health care provider that is linked to via PfizerForAll over the past 12-month period, including for “speaking,” “consulting,” or other goods, fees, or services.
    Thank you for your attention to this matter.  We look forward to your response. 
    -30-

    MIL OSI USA News –

  • MIL-OSI Economics: Microsoft healthcare ransomware report highlights need for industry action

    Source: Microsoft

    Headline: Microsoft healthcare ransomware report highlights need for industry action

    Healthcare organizations are an increasingly attractive target for threat actors. In a new Microsoft Threat Intelligence report, US healthcare at risk: strengthening resiliency against ransomware attacks, our researchers identified that ransomware continues to be among the most common and impactful cyberthreats targeting organizations. The report offers a holistic view of the healthcare threat landscape with a particular focus on ransomware attacks observed in recent years. By reading the report, healthcare organizations will gain insights that will help navigate these cyberthreats and understand how collective defense strategies can help improve protection and increase access to relevant threat intelligence.

    Read Microsoft’s new report on healthcare security trends

    Prior to 2020, there was an unspoken rule of threat actors to not launch attacks against schools and children, infrastructure, and healthcare organizations.1 However, that “rule” no longer applies, and in the past four years the healthcare threat landscape has seen tremendous shifts for the worse.

    To put this shift into context, consider these trends from the Microsoft Threat Intelligence report showing healthcare cybersecurity challenges:

    • Healthcare is one of the top 10 most targeted industries in the second quarter of 20242—and has been for the past four quarters.
    • Ransomware attacks are costly, with healthcare organizations losing an average of $900,000 per day on downtime alone.3
    • In a recent study, out of the 99 healthcare organizations that admitted to paying a ransom and disclosed the ransom paid, the average payment was $4.4 million.4

    The serious impact of ransomware on healthcare

    While the potential financial risk for healthcare organizations is high, lives are at stake because ransomware attacks impact patient outcomes. If healthcare providers are not able to use diagnostic equipment or access patient medical records because it’s under ransom, care will be disrupted.

    Healthcare facilities located near hospitals that are impacted by ransomware are also affected because they experience a surge of patients needing care and are unable to support them in an urgent manner. As a result, patients can experience longer wait times, which studies show could lead to more severe stroke cases and heart attack cases.5

    These attacks don’t just impact facilities in large cities; in fact, rural health clinics are also a target for cyberattacks. They are particularly vulnerable to ransomware incidents because they often have limited means to prevent and remediate security risks. This can be devastating for a community as these hospitals are often the only healthcare option for many miles in the communities they serve.  

    Why healthcare is an appealing target for threat actors

    Healthcare organizations collect and store extremely sensitive data, which likely contributes to threat actors targeting them in ransomware attacks. However, a more significant reason these facilities are at risk is the potential for huge financial payouts. As referenced earlier, lives are at stake and healthcare facilities committed to patient care can’t risk poor patient outcomes if their systems are taken down. They also can’t risk their patients’ data being exposed if they don’t pay the ransom. That reputation for paying ransoms—for understandable reasons—makes them a target.

    Healthcare facilities are also targeted because of their limited security resources and cybersecurity investments to defend against these threats compared to other sectors. Facilities often lack staff dedicated to cybersecurity and in fact, some facilities don’t have a chief information security officer (CISO) or dedicated security operations center at all. Instead, their IT department may be tasked with managing cybersecurity. Doctors, nurses, and healthcare staff may not have received any cybersecurity training or know the signs to look for to identify a phishing email.

    Explore healthcare security trends in new Microsoft report

    How cyber criminals target healthcare organizations

    Financially motivated cyber criminals are using an evolving set of ransomware tactics on healthcare organizations. One common approach involves two steps. First, they gain access to an organization’s network, often using social engineering tactics through a phishing email or text. Then, they use that access to deploy ransomware to encrypt and lock healthcare systems and data so they can seek a ransom for their release.

    “Once ransomware is deployed, attackers typically move quickly to encrypt critical systems and data, often within a matter of hours,” said Jack Mott of Microsoft Threat Intelligence in the Microsoft ransomware report. “They target essential infrastructure, such as patient records, diagnostic systems, and even billing operations, to maximize the impact and pressure on healthcare organizations to pay the ransom.”

    Social engineering tactics often involve convincing the email recipient to act in ways they normally wouldn’t, such as clicking on an unknown link, and using the tactics of urgency, emotion, and habit. Social engineering fraud is a serious problem. In just this fiscal year, a staggering 389 healthcare institutions across the United States fell victim to ransomware attacks, according to the 2024 Microsoft Digital Defense Report.6 The aftermath was severe, resulting in network closures, offline systems, delays in critical medical operations, and rescheduled appointments.

    Another common approach is ransomware as a service (RaaS), a cybercrime business model growing in popularity. The RaaS model is an agreement between an operator, who develops extortion tools, and an affiliate, who deploys the ransomware. Both parties benefit from a successful ransomware and extortion attack, and it’s “democratized access to sophisticated ransomware tools,” Mott said. This model enables cyber criminals without the means of developing their own tools to launch their nefarious activities. Sometimes, they may simply purchase network access from a cybercrime group that has already breached a network. RaaS severely widens the risk to healthcare organizations, making ransomware more accessible and frequent.

    Cybercrime tactics continue to grow in sophistication. Microsoft is continually tracking the latest cybercrime threats to support our customers and increase the knowledge of the entire global community. These threats include actions by threat actor groups Vanilla Tempest and Sangria Tempest, which are known for their financially motivated criminal activities.

    US healthcare at risk: Read the report

    Take a collective defense approach to boost your cyber resilience and visibility

    We recognize that not all organizations have a robust cybersecurity team or even the resources to enable a cybersecurity resilience strategy. This is why it is important for us as a community to come together and share best practices, tools, and guidance. We encourage your organization to collaborate with regional, national, and global healthcare organizations such as Health-ISAC (Information Sharing and Analysis Centers). The Health-ISAC provides healthcare organizations with platforms to exchange threat intelligence. Health-ISAC Chief Security Officer Errol Weiss says these organizations are like “virtual neighborhood watch programs,” sharing threat experiences and defense strategies. 

    It’s also important to foster a security-first mindset among healthcare staff. Dr. Christian Dameff and Dr. Jeff Tully, Co-directors of the University of California San Diego Center for Healthcare Cybersecurity, emphasize that breaking down silos between IT security teams, emergency managers, and clinical staff to develop cohesive incident response plans is key. They also recommend running high-fidelity clinical simulations that expose doctors and nurses to real-world cyberattack scenarios.

    For rural hospitals that provide critical services to the communities they serve across the US, Microsoft created the Microsoft Cybersecurity Program for Rural Hospitals, which provides affordable access to Microsoft security solutions, builds cybersecurity capacity, and helps solve root challenges through innovation.

    For healthcare organizations that have the resources, as part of this report we provide guidance on how to:

    • Establish a robust governance framework.
    • Create an incident response and detection plan. Then be prepared to execute it efficiently during an actual attack to minimize damage and ensure a quick recovery.
    • Implement continuous monitoring and real-time detection capabilities.
    • Educate your organization using our cybersecurity awareness and education #BeCyberSmart Kit.
    • Harness more resilience strategies found in the report.

    Given the serious cyberthreats against healthcare organizations, it’s critical to protect your assets by understanding the situation and taking steps to prevent it. For more details on the current healthcare cyberthreat landscape and ransomware threats, and for more in-depth guidance on boosting resilience, read the “US healthcare at risk: Strengthening resiliency against ransomware attacks” report and watch our healthcare threat intelligence briefing video, which is included in the report. To stay up-to-date on the latest threat intelligence insights and get actionable guidance for your security efforts, bookmark Microsoft Security Insider.

    Learn more

    To learn more about Microsoft Security solutions, visit our website. Bookmark the Security blog to keep up with our expert coverage on security matters. Also, follow us on LinkedIn (Microsoft Security) and X (@MSFTSecurity) for the latest news and updates on cybersecurity.

    1How to protect your networks from ransomware, justice.gov.

    2Threat Landscape: Healthcare and Public Health Sector, April 2024. Microsoft Threat Intelligence.

    3On average, healthcare organizations lose $900,000 per day to downtime from ransomware attacks, Comparitech. March 6, 2024.

    4Healthcare Ransomware Attacks Continue to Increase in Number and Severity, The HIPAA Journal. September 2024.

    5Ransomware Attack Associated With Disruptions at Adjacent Emergency Departments in the US, JAMA Network. May 8, 2023.

    6Microsoft Digital Defense Report 2024.

    MIL OSI Economics –

  • MIL-OSI Economics: Intergovernmental Group of Twenty-Four on International Monetary Affairs and Development

    Source: International Monetary Fund

    October 22, 2024

    1. The G-24 expresses its deep concern over the humanitarian crises and conflicts afflicting numerous regions across the globe, resulting in loss of lives, immense suffering, forced displacement and migration for countless individuals. We call for a strong, united, multilateral approach to restore peace, stability, and livelihoods. To this end, we urge all parties to prioritize diplomacy, de-escalation, and cooperation. Furthermore, we call for robust multilateral support for recovery, reconstruction, and long-term development efforts in affected areas.

    2. Global economic growth is forecast to remain relatively stable in the coming year, but risks and uncertainties persist, especially for some Emerging Markets and Developing Economies (EMDEs). Despite a projected stabilization of global growth in 2024 and 2025, the relatively optimistic forecast masks the tepid economicprospects in the most vulnerable countries. Furthermore, geopolitical tensions, trade fragmentation, increasingly frequent extreme weather conditions, and a more pronounced slowdown could pose significant headwinds to global growth and worsen some EMDEs’ prospects of as they deal with the spillover effect of Advanced Economies’ policies.

    3. Although inflationary pressures are gradually easing, the outlook remains uncertain due to elevated risks. Food price inflation is declining or stabilizing, and energy prices have remained low, in part reflecting the role of the OPEC Declaration of Cooperation in safeguarding oil market stability. Though many advanced economies have successfully brought inflation back to target levels, some EMDEs are still grappling with high inflation rates. Looking ahead, trade tensions and increased policy uncertainty would contribute to heightened upside risks to inflation. Furthermore, escalating geopolitical tensions could lead to heightened volatility in food and energy prices. Given the uncertainty, central banks may likely maintain a cautious approach to monetary easing, potentially keeping interest rates high for an extended period.

    4. Against this background, some EMDEs are confronted with significant challenges, as a prolonged period of elevated or slower reduction of policy rates increases external, fiscal, and financial risks. Furthermore, depreciation of some EMDE’s currencies, together with high debt and rising debt-servicing costs, is constraining fiscal space, impacting capital flows and growth, while straining financial stability. As EMDE policymakers struggle to balance sizable investment needs with fiscal sustainability, real growth could suffer.

    5. Given the uncertain economic environment, the International Monetary Fund (IMF) should stand ready to fulfill its role as the center of the Global Financial Safety Net. Strengthening the international monetary system by enhancing crisis prevention and adjustment mechanisms; coordinating global stability; and providing timely, predictable, and adequate liquidity support to members facing balance of payments difficulties will contribute to a more resilient and interconnected global economy.

    6. We welcome the ongoing reviews and updates of IMF procedures and policies, as this will support members. The incorporation of emerging challenges such as climate-related risks, domestic public debt, and complex debt restructuring scenarios in the review of the Low-Income Countries Debt Sustainability Framework (LIC-DSF) is welcome. However, we look forward to the comprehensive review which we hope will address the fundamental concerns about the methodology. Furthermore, the recent approval of the use of Special Drawing Rights (SDRs) for the acquisition of hybrid capital instruments by prescribed holders is a significant step forward. The approved limit of SDR15 billion could increase lending by four-fold, including through supporting the goals of G20 Global Alliance against Hunger and Poverty, the sustainable development and climate goals. We call on countries with strong external positions to voluntarily explore rechanneling SDRs, including through Multilateral Development Banks (MDBs), where legally possible, while respecting the reserve asset quality of the SDR and ensuring their liquidity. 

    7. Ongoing refinements to the IMF’s lending toolkit provide another opportunity to address the challenges confronting members while strengthening IMF’s financial resilience. We welcome the refinements to the Resilience and Sustainability Trust (RST), including adjustments to its design to facilitate early disbursements, eliminate dual-purpose reforms, and ensure program continuity. We look forward to further work to operationalize the RST mandate on pandemic preparedness. We also call for the comprehensive review planned for 2026 to address the remaining issues, especially with respect to the requirement of an upper credit tranche program and expansion of focus into other medium-term challenges facing EMDEs. Additionally, we welcome the completion of the review of charges and surcharges that resulted in a reduction of the cost of borrowing from the General Resource Account. The approved changes are in the right direction, but we call on the IMF to consider initiating, as soon as possible, further reforms to provide more significant reduction of surcharges, and additional cut in the margin for the rate of charge. Furthermore, we welcome the Poverty Reduction and Growth Trust (PRGT) reforms, including the increase in resources for concessional financing, and the additional boost to the subsidy resources.

    8. The approval of a Third chair for Sub-Saharan Africa at the IMF Executive Board would strengthen the region’s voice, improve its representation, and simultaneously, reduce the workload of the region’s officials. Additionally, we recommend further pursuit of governance reforms in MDBs and International Financial Institutions, (IFIs), to correct the regional and gender underrepresentation in their top management and senior staff positions. We call upon all countries to complete the internal approval procedures for the 16th General Review as soon as possible. We await the result of the ongoing efforts to develop possible approaches for a new quota formula and we hope that it will serve as a guide for quota realignment that reflects members’ relative economic weight and strengthen the voice of EMDEs under the 17th General Review of Quotas. As the review is crucial for the legitimacy of the IMF, we emphasize the importance of adhering to the June 2025 deadline.

    9. We welcome the progress in the implementation of the World Bank Group (WBG) Evolution Roadmap. The launch of the PortfolioGuarantee Platform, and stronger private capital mobilization efforts have the potential to help bring additional resources to support client countries in meeting their development needs. We hope that more contributions to the Livable Planet Fund would incentivize global challenge related projects across borders, and that the launch of the Grant Facility for Project Preparation Trust Fund would enhance clients’ institutional capacity in project preparations. Not only is it paramount to increase investment, but such investment must be at an affordable cost in order to ensure the debt sustainability of EMDEs as they pursue new growth strategies aligned with the Sustainable Development Goals (SDGs) and the Paris Agreement. Therefore, we look forward to a timely and successful conclusion of the 2-stage International Bank for Reconstruction and Development (IBRD) loan pricing adjustments to enhance affordability of IBRD loan.

    10. International Development Association, (IDA21), replenishment will be crucial for supporting vulnerable populations, breaking the cycle of poverty, and promoting global stability. We welcome the focus on key areas of People, Planet, Prosperity, Digitalization, and Infrastructure, which are at the core of the development challenges of the Global South. Given rising external financing needs amidst declining Overseas Development Assistance and Foreign Direct Investments, we hope that the ongoing IDA21 replenishment discussions will result in a robust and impactful outcome, increasing support for LICs in real terms, supported by an expanded donor base. We call on donors to be ambitious, and to align their contributions with the scale of the challenges. It is also important to thoroughly consider the different levels of fragility before applying any adjustment to loan terms that may impact debt sustainability. While we welcome the proposed Global and Regional Opportunities Window (GROW), which aims to address regional and global challenges, such as adaptation, we call for an expanded focus on other issues that impact the Global South such as biodiversity, desertification, carbon and methane gas emissions from agricultural production, and rising sea level.

    11. Considering the need for significant resources, and the misalignment of shareholding structure, the upcoming 2025 Shareholding Review for IBRD and the International Finance Corporation, (IFC), is crucial. We call on shareholders to build consensus for a speedy and successful review in line with the Lima Shareholding Principles, resulting in the increase of the voice and representation of EMDEs and ensuring a more equitable balance of voting power to improve legitimacy and effectiveness. In addition, the review should propose specific options to address misalignment.

    12. We look forward to the implementation of the G20 Brazil Presidency MDB Roadmap Towards Bigger, Better, and more Effective MDBs, building on the mandate from G20 New Delhi Leaders Declaration, and based on the recommendations of the G20 Independent Experts Group. To further increase scale and impact, we call for deepening of engagement and cooperation between WBG and the MDBs with a view to operating as a system to address countries’ development priorities and needs, as well as global and regional challenges. We call for regular reviews of the alignment of MDBs resources and strategies. These reviews would lay a solid basis for MDB Boards’ consideration on if and when additional capital may be needed. In addition, to enhance private capital mobilization, we advocate for providing support aimed at removing regulatory bottlenecks to private investment, developing innovative risk-sharing and hedging instruments, including through local currency lending and domestic capital market reforms. To further maximize the impact of public investment, and its ability to boost growth, improve productivity, and reduce poverty, EMDEs should be supported with comprehensive policy reform programs to improve public investment efficiency, governance and fiscal administration, subject to the country’s specific circumstance.

    13. We commend the recent progress under the G20 Common Framework and the Global Sovereign Debt Roundtable (GSDR), including establishing a common understanding of processes and practices. We call for a step up of the implementation of the G20 Common Framework in a predictable, timely, orderly, and coordinated manner and more meaningful debt relief. Additionally, we welcome the joint efforts of all stakeholders to enhance debt management and transparency and encourage private creditors to follow suit. We draw attention to the need for further reforms, especially with respect to early engagement with creditors and interaction with credit rating agencies. Ultimately, we urge for a comprehensive reform of the sovereign debt framework that addresses debt vulnerabilities in low and middle-income countries in an effective, comprehensive and systematic manner. We call for consideration of options – including the support of the IMF and the World Bank – to help countries facing short-term liquidity challenges whose debt is sustainable.

    14. The global community is falling short of attaining climate and development goals, and in providing the commensurate financial support to developing countries towards achieving them. The frequency, intensity, and scale of extreme weather events, particularly in developing countries, are increasing, necessitating urgent action. Recognizing the varying national circumstances, we call for accelerating climate action based on equity and the principle of common but differentiated responsibilities and respective capabilities. Therefore, climate change strategies must incorporate the needs of EMDEs, and mitigation and adaptation actions should aim at ensuring accessibility to all types of energy, and energy security, bearing in mind sustainable development and efforts to eradicate poverty. Furthermore, MDBs and IFIs should support investment in the research and development of green technologies that reduce greenhouse gas emissions. We acknowledge the need to significantly scale up finance, and hence call for a concrete goal that is commensurate with the pressing challenges, and that is therefore greater than the $100 billion per year planned during the upcoming CoP29. We look forward to faster progress on the operationalization and capitalization of the Loss and Damage Fund. We reiterate our call for new and additional grant-based, highly concessional finance and non-debt instruments to support both middle- and low-income countries, especially as they transition in a just and equitable manner.

    15. Domestic Resource Mobilization is essential for sustainable development. We strongly support national efforts to prevent and combat illicit financial flows, corruption, money-laundering and tax evasion, as such efforts would increase domestic resources. We call for increased capacity building to support members, to improve their expertise in domestic resource mobilization. We acknowledge the work of the Organization of Economic Co-operation and Development on tax base erosion and profit shifting, and welcome the progress made on the Two-Pillar Solution under the OECD Inclusive Framework. Additionally, we look forward to the forthcoming negotiation of the United Nations Framework Convention on International Tax Cooperation and its two early protocols. We call for a constructive engagement as well as multilateral consensus to achieve lasting progress on this initiative. Finally, we commend the work of the Brazil G20 Presidency on taxation and inequality.

    16. Challenges to multilateralism are not abating. It is concerning that policymakers in some of the world’s largest economies continue to pursue protectionist or nationalist policies that are not in line with global integration on trade and development. We reaffirm our support for a rules-based, non-discriminatory, fair, open, inclusive, equitable, sustainable, and transparent, multilateral trading system with the World Trade Organization at its We encourage countries to contribute to the strengthening of multilateralism through ongoing initiatives. These include the Bretton Woods Initiative, which seeks to develop a long-term perspective on the global economy and the roles of the IMF and World Bank, and the Fourth Conference on Financing for Development, a forum aimed at identifying obstacles and constraints to the achievement of the SDGs and supporting the reform of the international financial architecture. We call for enhanced collaboration and cooperation among multilateral institutions to ensure a coherent and collaborative approach towards multilateralism.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER:

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

    @IMFSpokesperson

    MIL OSI Economics –

  • MIL-OSI: Federal Home Loan Bank of San Francisco Expands Support to Community Development Financial Institutions and State Housing Finance Agencies

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, Oct. 22, 2024 (GLOBE NEWSWIRE) — The Federal Home Loan Bank of San Francisco (FHLBank San Francisco) released enhancements to its credit and collateral risk policy that will enable greater lending by non-depository Community Development Financial Institutions (CDFIs) and state-charted Housing Finance Agencies (HFAs) to better support the low-income communities they serve. The enhancements align with the Bank’s mission to support affordable housing and economic development and are designed to provide increased liquidity to support community development for communities in need.

    “We have spent significant time listening to our CDFI members and analyzing ways we can expand our relationships with CDFIs and HFAs, working together toward a shared mission of advancing economic opportunity and affordable housing. Our new underwriting enhancements are a first step toward increasing access and liquidity,” said Alanna McCargo, president and chief executive officer of FHLBank San Francisco. “By improving our terms and funding access for our non-depository CDFI members and increasing financing availability for housing associates like HFAs, we will be able to increase the availability of funds to benefit the communities that we collectively serve. Furthermore, we will continue to partner with our CDFI members and housing associates to innovate new programs that support their efforts, as there is a lot of untapped opportunity to expand in this space.”

    The main borrowing enhancements include:

    • Increased credit terms from 5 years to up to 20 years on collateral, including Low Income Housing Tax Credit (LIHTC) properties, for non-depository CDFIs that can offer financing for the life of large affordable housing projects
    • Increased borrowing availability on posted collateral to support affordable housing and community development projects
    • Housing associate program limits increased from $250 to $500 million to continue to support state housing finance agency programs

    FHLBank San Francisco will discuss the impact of these enhancements with CDFIs this week at the annual Opportunity Finance Network Conference in Los Angeles, the largest annual gathering of CDFIs. The Bank looks forward to engaging, collaborating and celebrating the work CDFIs and HFAs do to expand economic opportunity in the communities they serve.

    CDFIs and HFAs are on the front lines of providing capital to low-income communities. The FHLBank San Francisco supports the missions of our non-depository CDFIs members and housing associates by providing access to low-cost capital and grants for affordable housing and economic development. With non-depository CDFIs traditionally finding it challenging to obtain long-term, affordable financing, FHLBank San Francisco has worked to partner with them to enhance their ability to serve their customers and communities. This important partnership increases the supply of affordable housing and facilitates homeownership and economic development initiatives in underserved communities.

    To further their own community impact goals, CDFI members also benefit from FHLBank San Francisco’s discounted Advances for Community Enterprise (ACE) and Community Investment Program (CIP) credit products, the Affordable Housing Program (AHP) and the Access to Housing and Economic Assistance for Development (AHEAD) Program that provides micro grants for economic development.

    For over a decade, FHLBank San Francisco has partnered with its non-depository CDFIs to generate positive community impact, including:

    • Funding $686 million in competitively priced advances since 2011, and an additional $36 million in discounted advances for community development.
    • Awarding $79.9 million in AHP grants to construct or preserve 6,885 affordable housing units.
    • Awarding $1.6 million in AHEAD grants to our non-depository CDFI members for 45 economic development and recovery initiatives.
    • Supporting programs aimed at supporting Latina entrepreneurs, providing vital housing and other services to Native American communities, facilitating career development for people of color, and other programs and projects that benefit underserved communities.

    About the Federal Home Loan Bank of San Francisco

    The Federal Home Loan Bank of San Francisco is a member-owned cooperative supporting local lenders in Arizona, California, and Nevada to build strong communities, create opportunity, and change lives for the better. The tools and resources we provide to our member financial institutions — commercial banks, credit unions, industrial loan companies, savings institutions, insurance companies, and community development financial institutions — propel homeownership, finance quality affordable housing, drive economic vitality, and revitalize neighborhoods. Together with our members and other partners, we are making the communities we serve more vibrant, equitable, and resilient.

    The MIL Network –

  • MIL-OSI: Hata, a dual-licensed digital asset exchange in Asia raises $4.2 million to make digital assets more accessible

    Source: GlobeNewswire (MIL-OSI)

    KUALA LUMPUR, Malaysia, Oct. 22, 2024 (GLOBE NEWSWIRE) — Hata.io, one of the trailblazing digital asset brokerage and exchange in Asia Pacific, has announced $4.2 million in seed fundraise. The company will use the capital to expand into new products and acquire users in the Asia region.

    Hata is regulated by both the Securities Commission Malaysia and the Labuan Financial Services Authority, making it the only dual-licensed digital asset exchange in Malaysia that serves both Malaysians and global digital asset investors. Malaysia is reported to have more than 840,000 digital asset investors with more than RM21 billion of trading volume traded annually on local exchanges.

    Hata is founded by an experienced team of exchange operators and compliance experts, including David Low as CEO (a qualified lawyer and formerly the General Manager of Luno’s Asia Pacific businesses), KK Chong as CTO (a former university lecturer and cofounder of a blockchain solutions company) and Darien Ng as CRO (cofounder of a blockchain solutions company with 15 years of experience in the tech industry). Hata aims to serve the retail and institutional users in Asia who prefer to trade in fiat currencies such as the MYR and USD.

    The seed fundraise is led by prominent US-based institutional investors. Castle Island Ventures and Cadenza Ventures led the fundraise as lead investors, alongside other participating investors such as Bybit, AP Capital, Plug and Play Tech Centre, and Alliance.xyz

    “We are thrilled to have the backing of such esteemed institutional investors,” said David Low, CEO of Hata. “With their support and our innovative offerings, we are committed to creating a robust platform that empowers users in Malaysia and in the Asia region to navigate the digital asset market with confidence.”

    Both lead investors Castle Island Ventures and Cadenza Ventures bring a wealth of expertise to the table and will join Hata’s Board as Directors.

    Castle Island Ventures is a digital asset firm that was founded by Fidelity alums Nic Carter and Matt Walsh. Castle Island Ventures primarily invests in startups in the monetary network, financial services and internet architecture spaces including Web 3. The firm’s portfolio includes a number of infrastructure businesses, including Yellowcard, BlockFi, Matrixport, River Financial, Talos, Bitwise and Casa. Notably, Castle Island Ventures is also an early investor in Pintu, Indonesia’s third largest digital asset exchange.

    Nic Carter, Founding Partner of Castle Island Ventures, expressed enthusiasm about the investment. Nick Carter said: “Malaysia and the broader SE Asia region is the global epicenter of blockchain adoption and we are excited to support the talented team at Hata in their support of this market. We believe Hata is well-positioned to win due to their differentiated product focus and regulatory approach.”

    Meanwhile, Cadenza Ventures is led by managing partners Kumar Dandapani, who was formerly the data science head at Norwest Venture Partners, and Max Shapiro, a veteran of Blue Line Advisors. With a focus on transformative and decentralised technologies, Cadenza has raised a $50 million blockchain and fintech focused venture fund to invest in early-stage digital finance and blockchain technology companies. Van Eck Associates anchored the fund with participation from Solana, Dapper Labs and WorldQuant Ventures, among others. Cadenza has recently launched its third early stage blockchain fund where it has a focus on emerging markets.

    Cadenza has previously invested in seed and Series A funding rounds of fintech companies including CoinDCX (India’s largest digital asset exchange), VALR (South Africa’s leading digital asset exchange), Rain (leading exchange in Middle East), FalconX, and Lemon (leading exchange in Latin America).

    Max Shapiro, Managing Partner at Cadenza Ventures, added, “We believe that Hata’s innovative approach and commitment to user engagement will drive the next wave of growth in Malaysia’s digital asset market. We are looking forward to working closely with the team as they navigate this evolving landscape.”

    Hata previously secured MYR 3 million in pre-seed funding from a group of reputable angel investors in the fintech community, including 1337 Ventures and Raja Hamzah.

    About Hata

    Hata seamlessly connects the traditional financial system with the evolving world of digital assets, enabling anyone to easily buy, sell, and access digital assets using fiat currencies like the US Dollar and Malaysian Ringgit.

    Hata is regulated by both the Securities Commission Malaysia and the Labuan Financial Services Authority, making it the only dual-licensed exchange in Malaysia which ensures the highest standards of safety and oversight. As the exchange with the lowest trading fees and most number of digital assets offerings in Malaysia, Hata aims to make digital assets trading accessible and cost-effective for all users.

    In a move to further enhance user engagement, Hata has introduced a unique affiliate program that rewards users with a 30% share of the trading fees generated from their referrals. This initiative not only incentivizes community participation but also fosters a collaborative trading environment.

    For press inquiries, contact Hata at press@hata.io

    Contact:
    David Low,
    press@hata.io

    Disclaimer: This content is provided by Hata. The statements, views and opinions expressed in this column are solely those of the content provider. The information provided in this press release is not a solicitation for investment, nor is it intended as investment advice, financial advice, or trading advice. It is strongly recommended you practice due diligence, including consultation with a professional financial advisor, before investing in or trading cryptocurrency and securities. Please conduct your own research and invest at your own risk.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/9f67c33a-db10-4a02-ad77-ebb86f421bba

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/7503c9fc-47d6-4d8b-bb4a-b62ade32aa53

    The MIL Network –

  • MIL-OSI USA: Salinas, Wyden, Merkley Announce Nearly $1 Million to Support Affordable Housing for Oregon Farmworkers

    Source: United States House of Representatives – Representative Andrea Salinas (OR-06)

    Washington, DC — Today, U.S. Congresswoman Andrea Salinas (OR-06), along with Oregon’s U.S. Senators Jeff Merkley and Ron Wyden, announced that the U.S. Department of Agriculture (USDA) awarded $956,333 for a project to rehabilitate Villa Del Sol, a multifamily affordable housing complex in McMinnville that serves farmworkers and their families.

    “Despite being the backbone of our agricultural economy, many farmworkers still can’t afford to feed their families or put a roof over their heads. As the daughter of a former farmworker, I’m committed to changing that reality – which is why I am so proud to announce this federal funding for Community Home Builders in Yamhill County,” said Rep. Salinas. “These dollars will be used to deliver safe, affordable housing for farmworkers and their families here in the mid-Valley. It’s a critical step in the right direction, and I’ll keep fighting for investments just like this one that will help us make housing more accessible and affordable for Oregonians.”

    “Housing is a human right, and farmworkers in Oregon deserve affordable and secure living options,” said Sen. Wyden. “I’m gratified this McMinnville housing complex has earned nearly $1 million in federal funds to provide that housing for farmworkers and their families. And I’ll continue pressing for similar investments in housing for agricultural workers and every person statewide.”

    “Making sure families have access to safe and affordable housing in the communities where they work is essential,” said Sen. Merkley. “This federal investment will help ensure safer, more modern housing for the farmworkers in Yamhill County who work every day to help feed families across Oregon and America. I will keep fighting to deliver necessary housing resources like this so everyone in our state can thrive and live healthy lives.”

    “Under the Biden-Harris Administration, USDA Rural Development has invested over $1 billion in creating safe, affordable housing options for rural Oregonians,” said USDA Rural Housing Administrator Joaquin Altoro. “We are proud of our partnership with Community Home Builders and it is an honor to see these investments increase the health and wellbeing of Oregon’s farm workers.”

    The funding comes from USDA Rural Development’s Off-Farm Labor Housing Program, which helps property owners make health and safety repairs, accessibility improvements, energy efficiency upgrades, and more to benefit their tenants. Across five states, the Off-Farm Labor Housing Program is awarding a total of $18 million in grants and loans to improve approximately 500 homes, including Villa Del Sol in Oregon.

    Community Home Builders in Yamhill County will use the $956,333 federal award to significantly rehabilitate eight two-bedroom, 12 three-bedroom, and four four-bedroom units at Villa Del Sol. The improvements will not only enhance living conditions for the 24 tenants who are expected to benefit from the project, but all future farmworkers and their families who will call the housing complex home. 

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    MIL OSI USA News –

  • MIL-OSI: Buenos Aires Sets Global Precedent by Empowering 3.6 Million Citizens with Blockchain-based Digital Identity on miBA platform

    Source: GlobeNewswire (MIL-OSI)

    BUENOS AIRES, Argentina, Oct. 22, 2024 (GLOBE NEWSWIRE) —

    • QuarkID, powered by ZKsync, marks world’s first government-enabled decentralized digital identity
    • ZKsync-powered QuarkID becomes first decentralized ID enabled by a government entity

    Today, the Government of the City of Buenos Aires announces the integration of QuarkID, a ZKsync-powered decentralized identity solution, into its miBA platform. This groundbreaking initiative makes Buenos Aires the first city worldwide to implement blockchain and zero-knowledge cryptography for creating self-sovereign digital identities. By empowering 3.6 million residents with enhanced control over their personal data, the city sets a new standard in privacy and security for digital identity management.

    Starting October 1, 2024, all active users of miBA, the city’s digital platform for accessing government services and documents, received their own decentralized digital identity (DID). These DIDs are secured by QuarkID’s wallet and settled on Era, a Layer 2 blockchain powered by ZKsync. This initiative positions Buenos Aires as a pioneer in transforming government services through blockchain technology, setting a new global standard for privacy-focused digital identity.

    Empowering Citizens with Ownership and Control

    In a world where governments and institutions traditionally own and manage citizens’ data, Buenos Aires is turning the model upside down by giving citizens direct ownership of their personal information. Through QuarkID, individuals can now access, store, and share their verified credentials — like birth certificates or tax documents — securely and independently.

    This self-sovereign identity approach gives citizens control over their personal data. Rather than relying on physical documents that expose unnecessary information, such as a full name or address when proving one’s age, residents can now verify their credentials peer-to-peer through their mobile devices. This guarantees that no third party, including the government, can track when, how, or why a credential is being used.

    Jorge Macri, Chief of Government of the City of Buenos Aires, commented on the news: “The incorporation of zero-knowledge blockchain technology into the City’s digital identity system is an unprecedented milestone that positions us globally and once again demonstrates that the City of Buenos Aires is at the forefront of innovation. Adopting new technologies that simplify citizens’ processes and grant them full control over their information is a fundamental step to continue offering more secure and transparent digital solutions.”

    The Benefits of Decentralized Identity

    At the core of this initiative are QuarkID’s open-source digital trust framework powered by ZKsync’s zero-knowledge proof blockchain technology, which brings a new level of security, privacy, and transparency to how personal data is managed:

    • Privacy and Zero-Knowledge Proofs: With QuarkID powered by ZKsync Era, citizens can verify the accuracy of their credentials without ever exposing their personal data. Through zero-knowledge proofs, only the necessary information is revealed — for instance, confirming an individual’s age without disclosing their full birthdate, address, or document number. This ensures maximum privacy while maintaining verifiable accuracy.
    • Ownership and Control: Citizens now have full custody over their digital credentials, stored securely on their mobile devices and protected by biometric encryption. They are no longer reliant on centralized systems that retain and manage their data on their behalf, significantly reducing the risks of data breaches and identity theft.
    • Security and Immutability: ZKsync’s decentralized architecture adds an additional layer of security. Proof of citizen’s personal credentials are settled on chain , making them far less vulnerable to cyberattacks.The verification of these credentials occurs through a secure peer-to-peer system, with zero-knowledge proofs ensuring that no personally identifiable information (PII) is ever exposed.
    • Open Source and Scalable: QuarkID’s architecture is open-source and has been recognized as a Digital Public Good (DPG) working towards achieving the SDGs set by the United Nations. By making it accessible to cities, governments, and private enterprises across Latin America and beyond. This framework is designed to scale, encouraging banks, sports teams, artists, and businesses to adopt QuarkID and offer secure login solutions for citizens with endless possibilities such as providing exclusive benefits, including loyalty programs or discounts for verified users.

    “We’ve seen a lot of blockchain-based innovation in financial services, but this initiative demonstrates the power of blockchain to revolutionize other uses cases such as government services by empowering citizens to safely and securely own their data,” said Diego Fernandez, Secretary of Innovation and Digital Transformation of the City of Buenos Aires. “By giving residents control over their identities, we’re not only improving privacy and security, but we’re also setting the foundation for a future where personal data ownership is a basic right, protected by advanced zero-knowledge-based cryptographic proofs.”

    QuarkID: Present and Future

    Since the initial announcement of QuarkID in September 2023, Buenos Aires has worked closely with partners such as Extrimian to transition miBA’s centralized system to a decentralized one. QuarkID allows residents to view, download, and share documents while also serving as the login portal for all government systems to schedule appointments, carry out procedures, or submit requests. Citizens can now access any of the City’s systems (previously miBA login) by simply scanning a QR code—no password required.

    With the integration of QuarkID, miBA users will have access to over 60 digital documents and certificates, including but not limited to:

    • Birth, marriage, and death certificates
    • Student certificates
    • Vaccination certificates
    • Gross income tax certificates
    • Citizen credentials

    In the coming months, additional documents, such as driver’s licenses, public space permits, and high school diplomas, will be added. This innovation will also allow users to add credentials from other organizations that adopt the QuarkID protocol, enhancing the platform’s versatility and usability.

    In addition to its use in Buenos Aires, QuarkID has successfully conducted pilot programs in Mexico, Colombia, and Peru, and is slated for future adoption in other Argentine provinces, including Salta.

    Diego Fernández, Secretary of Innovation and Digital Transformation from the Buenos Aires City Government commented: “When we developed the open-source protocol QuarkID, one of our main goals was for the Government of the City of Buenos Aires to be not its owner but another user, allowing over 3 million citizens to have their official documents in their miBA wallet, secured by the ZKsync Era blockchain. Today, this is a reality, and we are very proud that this development positions us as pioneers in the region and the world”.

    QuarkID: Open-Source Collaboration for Secure Digital Identity

    As an open-source Digital Public Good, QuarkID invites developers, enterprises, and institutions to contribute to its continued growth. The framework offers a secure, decentralized infrastructure that can be adapted for secure logins, identity verification, and even loyalty programs across various industries.

    • Developers: Contribute to QuarkID’s core protocol to help expand secure login capabilities for citizens. Learn more and get involved through the open-source codebase at [GitHub link].
    • Private Enterprises: Banks, sports teams, and businesses are encouraged to enable secure logins and offer exclusive benefits to verified citizens, helping build a more secure and engaging ecosystem for everyone.

    About miBA

    miBA is the digital platform for accessing services and documents issued by the Government of Buenos Aires. Used by more than 3.6 million residents, miBA offers secure access to government services, document viewing, and management, all from a mobile app. Now, with the integration of QuarkID technology, miBA is taking a major step toward self-sovereign digital identity, giving citizens more control and security over their personal data.

    About QuarkID

    QuarkID is a digital protocol that implements a new trust framework for creating and managing digital identities and all their credentials in a decentralized manner, using asymmetric cryptography and the immutability of the blockchain to establish trust in a digital world. It is open-source and based on international standards such as those from W3C, Trust Over IP, and Decentralized Identity Foundation. It is designed to be interoperable with other protocols created around the world.

    About Extrimian

    Extrimian is a leading company in Latin America specializing in digital identity solutions on the blockchain. Its mission is to empower individuals and organizations through decentralized technologies that allow full control over digital identity and personal data.

    About ZKsync

    ZKsync leverages cutting-edge zero-knowledge (ZK) technology to create secure, scalable, and interoperable blockchain solutions. Through its ZK Stack framework, ZKsync enables developers, enterprises, and financial institutions to deploy customizable ZK Chains, forming the Elastic Chain ecosystem. This innovative network offers native, trustless interoperability, enhanced privacy, and unparalleled scalability while maintaining Ethereum’s security. ZKsync’s mission is to bring crypto to the mainstream, empowering millions of developers and billions of users with digital self-ownership and personal freedom. To learn more, users can visit zksync.io.

    Contact

    Henri Vies

    mgroup@matterlabs.dev

    The MIL Network –

  • MIL-OSI USA: ICYMI: Subcommittee Chair Bean, Committee Chair Foxx Work to Protect Career and Technical Education Programs

    Source: United States House of Representatives – Representative Aaron Bean Florida (4th District)

    WASHINGTON—In case you missed it, last week Early Childhood, Elementary, and Secondary Education Subcommittee Chairman Aaron Bean (FL-04) and Education and the Workforce Committee Chairwoman Virginia Foxx (NC-05) questioned the Department of Education’s (ED) attempt to circumvent Congress and mire key career and technical education (CTE) programs in red tape. The two called on ED to withdraw its ill-advised changes to the State Plan Guide and Consolidated Annual Report for the Carl D. Perkins Career and Technical Education Act of 2006 (Perkins V).

    Upon questioning the ED, Congressman Bean said, “The most valuable part of America’s job market is its skilled workforce. That’s why the Department of Education should empower local and state CTE programs, not drown them in paperwork. In Northeast Florida, we’ve consistently underscored the value of career and technical education and continue to prove how to do CTE right as we actively prepare young students for success in the modern economy. Now more than ever, we must work to strengthen the public education system and help employers access a pipeline of talented workers.”

    In the letter, the lawmakers write: “The proposed revisions to the Department of Education’s (Department) State Plan Guide and Consolidated Annual Report for the Carl D. Perkins Career and Technical Education Act of 2006 (Perkins V) are problematic and we write to express our significant concerns with the Department’s action. These proposed revisions make substantive policy changes that exceed the Department’s authority under the law and will pose a significant and unjustified burden on state career and technical education (CTE) agencies, institutions of higher education, school districts, and CTE programs.”

    Read the full letter here.
     

    BACKGROUND: 

    In January 2024, Chairman Bean held a subcommittee hearing titled, “Preparing Students for Success in the Skills-Based Economy,” to highlight the role career and technical education (CTE) plays in filling America’s 8.8 million open jobs. Expert witnesses joined the subcommittee to affirm the successes of CTE, including the Fourth District’s own, Kelly Mosley, Career and Technical Education Supervisor of Clay County District Schools. 

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    MIL OSI USA News –

  • MIL-OSI Global: What are you really eating? 1 in 5 seafood products in our study were mislabelled

    Source: The Conversation – Canada – By Matthew R. J. Morris, Associate Professor of Biology, Ambrose University

    If you eat seafood, you could be unknowingly consuming an endangered species without realizing it due to fish mislabelling. Mislabelling is a worldwide issue, and it occurs when the species of fish you think you’re buying is not the one you actually receive.

    Tracing fish from capture to table is logistically complex, as fish products often pass through multiple countries. Along the way, products can be misidentified as another species or intentionally renamed to make more profit.

    For instance, a cheap fish like tilapia may be given the name of a more expensive fish, like red snapper, or an endangered species might be passed off as a better-faring alternative.

    Seafood mislabelling not only threatens vulnerable marine populations, but makes it harder for people to make informed, ethical choices about the food they eat.

    Searching for mislabelling in Calgary

    To investigate this issue in Canada, our recent research paper examined mislabelling and ambiguous market names in invertebrate and finfish products — fish with fins, like cod, salmon and tuna — in Calgary between 2014 and 2020. This was the first study of its kind in Canada to compare shellfish to finfish.

    University students sampled 347 finfish product and 109 shellfish — including shrimp, octopus and oysters — from Calgary restaurants and grocery stores. These samples were then genetically tested using a species-specific marker called a DNA barcode.

    In Canada, the Canadian Food Inspection Agency maintains a Fish List that provides the acceptable common names for the labelling of fish in Canada.

    A seafood product was considered mislabelled if it was sold using a name not found on the Fish List for the DNA-identified species. For instance, there is only one species that can be sold under the name salmon: Atlantic salmon. If sockeye salmon was sold as salmon without any other qualifier, it was considered mislabelled.

    Seafood mislabelling not only threatens vulnerable marine populations, but makes it harder for people to make informed, ethical choices about the food they eat.
    (Shutterstock)

    1 in 5 seafood products were mislabelled

    We discovered that mislabelling is running rampant in Calgary, and that certain product names are more likely to hide species of conservation concern. The result: one in five finfish, and one in five shellfish, were not as advertised. These results fell within the predicted global rates of seafood mislabelling.

    It was not difficult for students to stumble upon examples of mislabelling. Notable findings include:

    • 100 per cent of snapper and red snapper products were mislabelled. They were either tilapia (79 per cent) or a species of rockfish or snapper that cannot be sold under those names (21 per cent).
    • Nine salmon products were determined to be rainbow trout, which are cheaper.
    • Three Pacific cod were determined to be Atlantic cod, which are listed as vulnerable by the International Union for Conservation of Nature.
    • Two eel products were determined to be the critically endangered European eel.
    • Cuttlefish, squid and octopus were often mislabelled as one another.

    Some products, however, fared better than others. All Atlantic salmon, basa, halibut, mackerel, sockeye salmon and Pacific white shrimp were as advertised.

    Mislabelling hurts

    Calgary’s mislabelled seafoods has far-reaching and well-documented implications for public health, conservation and the economy.

    For instance, one student purchased “white tuna” at an all-you-can-eat sushi buffet that turned out to be escolar. Escolar is sometimes called the “laxative of the sea” for the effects its fatty acids can have on digestion. People have landed in the hospital because of this fish.

    Several examples of mislabelling involved substituting an expensive product for a cheaper species: tilapia for snapper, rainbow trout for Atlantic salmon. While companies in places like Miami and Mississippi have faced fines for such fraudulent practices, the global nature of fisheries makes legal action difficult.



    Read more:
    Confusion at the fish counter: How to eat fish responsibly

    European eel are critically endangered, yet students found this species twice in the Calgary market. There is a global black market for European eel and a Canadian company was fined in 2021 for illegally importing them.

    Although red snapper is faring poorly in the wild, replacing it with tilapia is not helping snapper conservation. Instead it provides an illusion of snapper abundance.

    The situation is even murkier when it comes to invertebrates like shrimp, squid and octopus. Unfortunately, so little is known about their conservation status that we couldn’t assess their risks.

    The study found that 100 per cent of snapper and red snapper products were mislabelled.
    (Shutterstock)

    What you can do

    If you eat seafood, there is a chance you could be misled as a consumer and end up eating threatened species. You can reduce these possibilities by doing the following:

    1. Purchase whole, head-on finfish whenever possible, as they are harder to mislabel.

    2. Purchase seafood products that are certified sustainable, as these have been shown to have lower rates of mislabelling.

    3. Purchase products that clearly name the exact species being purchased.

    4. Write to your MPs in support for laws seeking to trace fish from boat to table — Canada has improved its regulations, but it can do better.

    This will require that you brush up on your fish identification skills, but it’s a small price to pay for protecting our fish, saving on groceries and limiting unexpected and urgent trips to the restroom.

    Ambiguous names hide protected species

    To help vendors, the Fish List permits the use of ambiguous names, meaning the same name can be applied to multiple species. Snapper could refer to 96 different species, tuna to 14, cod to two. This helps vendors when related species are difficult to tell apart and is expected to reduce mislabelling.

    We noticed that seafood products with ambiguous names were just as likely to be mislabelled as those with precise names. We wondered: which is worse for conservation, mislabelling or ambiguous names? After all, tuna could legally include yellowfin tuna (least concern) or southern bluefin tuna (endangered).

    A statistical test found that ambiguous names were more important than mislabelling in hiding threatened species. This is a good thing, because it suggests there is a way consumers can help.

    Just as you wouldn’t go to a restaurant and order a “mammal sandwich,” why settle for “fish and chips?” If we as consumers can vote with our wallets by buying Pacific cod instead of cod, or yellowfin tuna instead of tuna, we can be more confident that we aren’t eating the ocean’s equivalent of the giant panda.

    Matthew R. J. Morris received funding from Internationalization at Home in Science Education (i@Home) for this research.

    – ref. What are you really eating? 1 in 5 seafood products in our study were mislabelled – https://theconversation.com/what-are-you-really-eating-1-in-5-seafood-products-in-our-study-were-mislabelled-240891

    MIL OSI – Global Reports –

  • MIL-OSI Banking: Grandoreiro, the global trojan with grandiose ambitions

    Source: Securelist – Kaspersky

    Headline: Grandoreiro, the global trojan with grandiose ambitions

    Grandoreiro is a well-known Brazilian banking trojan — part of the Tetrade umbrella — that enables threat actors to perform fraudulent banking operations by using the victim’s computer to bypass the security measures of banking institutions. It’s been active since at least 2016 and is now one of the most widespread banking trojans globally.

    INTERPOL and law enforcement agencies across the globe are fighting against Grandoreiro, and Kaspersky is cooperating with them, sharing TTPs and IoCs. However, despite the disruption of some local operators of this trojan in 2021 and 2024, and the arrest of gang members in Spain, Brazil, and Argentina, they’re still active. We now know for sure that only part of this gang was arrested: the remaining operators behind Grandoreiro continue attacking users all over the world, further developing new malware and establishing new infrastructure.

    Every year we observe new Grandoreiro campaigns targeting financial entities, using new tricks in samples with low detection rates by security solutions. The group has evolved over the years, expanding the number of targets in every new campaign we tracked. In 2023, the banking trojan targeted 900 banks in 40 countries — in 2024, the newest versions of the trojan targeted 1,700 banks and 276 crypto wallets in 45 countries and territories, located on all continents of the world. Asia and Africa have finally joined the list of its targets, making it a truly global financial threat. In Spain alone, Grandoreiro has been responsible for fraudulent activities amounting to 3.5 million euros in profits, according to conservative estimates — several failed attempts could have yielded beyond 110 million euros for the criminal organization.

    In this article, we will detail how Grandoreiro operates, its evolution over time, and the new tricks adopted by the malware, such as the usage of 3 DGAs (domain generation algorithm) in its C2 communications, the adoption of ciphertext stealing encryption (CTS), and mouse behavior tracking, aiming to bypass anti-fraud solutions. This evolution culminates with the appearance of lighter, local versions, now focused on Mexico, positioning the group as a challenge for the financial sector, law enforcement agencies and security solutions worldwide.

    Grandoreiro: One malware, many operators, fragmented versions

    Grandoreiro is a banking trojan of Brazilian origin that has been active since at least 2016. Grandoreiro is written in the Delphi programming language, and there are many versions, indicating that different operators are involved in developing the malware.

    Since 2016, we have seen the threat actors behind Grandoreiro operations regularly improving their techniques to stay unmonitored and active for a longer time. In 2020, Grandoreiro started to expand its attacks in Latin America and later in Europe with great success, focusing its efforts on evading detection using modular installers.

    Grandoreiro generally operates as Malware-as-a-Service, although it’s slightly different from other banking trojan families. You won’t find an announcement on underground forums selling the Grandoreiro package — it seems that access to the source-code or builders of the trojan is very limited, only for trusted partners.

    After the arrests of some operators, Grandoreiro split its codebase into lighter versions, with fewer targets. These fragmented versions of the trojan are a reaction to the recent law enforcement operations. This discovery is supported by the existence of two distinct codebases in simultaneous campaigns: newer samples featuring updated code, and older samples which rely on the legacy codebase, now targeting only users in Mexico — customers of around 30 banks.

    2022 and 2023 campaigns

    Grandoreiro campaigns commonly start with a phishing email written in the target country language. For example, the emails distributed in most of Latin America are in Spanish. However, we also saw the use of Google Ads (malvertising) in some Grandoreiro campaigns to drive users to download the initial stage of infection.

    Phishing emails use different lures to make the victim interact with the message and download the malware. Some messages refer to a pending phone bill, others mimic a tax notification, and son. In early 2022 campaigns, the malicious email included an attached PDF. As soon as the PDF is opened, the victim is prompted with a blurred image except for a part containing “Visualizar Documento” (“View Document” in Spanish). When the victim clicks the button, they are redirected to a malicious web page which prompts them to download a ZIP file. Since May 2022, Grandoreiro campaigns include a malicious link inside the email body that redirects the victim to a website that then downloads a malicious ZIP archive on the victim’s machine. These ZIP archives commonly contain two files: a legitimate file and a Grandoreiro loader, which is responsible for downloading, extracting and executing the final Grandoreiro payload.

    The Grandoreiro loader is delivered in the form of a Windows Installer (MSI) file that extracts a dynamic link library (DLL) file and executes a function embedded in the DLL. The function will do nothing if the system language is English, but otherwise the final payload is downloaded. Most likely, this means that the analyzed versions didn’t target English-speaking countries. There have also been other cases where a VBS file is used instead of the DLL to execute the final payload.

    Grandoreiro recent infection flow

    As for the malware itself, in August 2022 campaigns, the final payload was an incredibly big 414 MB portable executable file disguised with a PNG extension (which is later renamed to EXE dynamically by the loader). It masked itself as an ASUS driver using the ASUS icon and was signed with an “ASUSTEK DRIVER ASSISTANTE” digital certificate.

    In 2023 campaigns, Grandoreiro used samples with rather low detection rates. Initially, we identified three samples related to these campaigns, compiled in June 2023. All of them were portable executables, 390 MB big, with the original name “ATISSDDRIVER.EXE” and internal name “ATIECLXX.EXE”. The main purpose of these samples is to monitor the victims’ visits to financial institution websites and steal their credentials. The malware also allows threat actors to remotely control the victim machines and perform fraudulent transactions within them.

    In the campaign involving the discussed samples, the malware tries to impersonate an AMD External Data SSD driver and is signed with an “Advice informations” digital certificate in order to appear legitimate and evade detection.

    Implant impersonating AMD driver

    Digital certificate used by Grandoreiro malware

    In both cases, the malware is an executable that registers itself to be launched with Windows. However, it is worth noting that in the majority of Grandoreiro attacks, a DLL sideloading technique is employed, using legitimate binaries that are digitally signed to run the malware.

    The considerable size of the executables can be explained by the fact that Grandoreiro utilizes a binary padding technique to inflate the size of the malicious files as a way to evade sandboxes. To achieve this, the attackers add multiple BMP images to the resource section of the binary. In the example below, the sample included several big images. The sizes of the highlighted images are around 83.1 MB, 78.8 MB, 75.7 and 37.6 MB. However, there are more of them in the binary, and together all the images add ~376 MB to the file.

    Binary padding used by Grandoreiro

    In both 2022 and 2023 campaigns, Grandoreiro used a well-known XOR-based string encryption algorithm that is shared with other Brazilian malware families. The difference is the encryption key. For Grandoreiro, some magic values were the following:

    Date Encryption key
    March 2022 F5454DNBVXCCEFD3EFMNBVDCMNXCEVXD3CMBKJHGFM
    March 2022 XD3CMBKJCEFD3EFMF5454NBVDNBVXCCMNXCEVDHGFM
    August 2022 BVCKLMBNUIOJKDOSOKOMOI5M4OKYMKLFODIO
    June 2023 B00X02039AVBJICXNBJOIKCVXMKOMASUJIERNJIQWNLKFMDOPVXCMUIJBNOXCKMVIOKXCJ
    UIHNSDIUJNRHUQWEBGYTVasuydhosgkjopdf

    The various checks and validations aimed at avoiding detection and complicating malware analysis were also changed in the 2022 and 2023 versions. In contrast with the older Grandoreiro campaigns, we found that some of the tasks that were previously executed by the final payload are now implemented in the first stage loader. These tasks include security checks, anti-debugging techniques, and more. This represents a significant change from previous campaigns.

    One of these tasks is the use of the geolocation service http://ip-api.com/json to gather the target’s IP address location data. In a campaign reported in May 2023 by Trustwave, this task is performed by a JScript code embedded in an MSI installer before the delivery of the final payload.

    There are numerous other checks that have been transferred into the loader, although some of them are still present in the banking trojan itself. Grandoreiro gathers host information such as operating system version, hostname, display monitor information, keyboard layout, current time and date, time zone, default language and mouse type. Then the malware retrieves the computer name and compares it against the following strings that correspond to known sandboxes:

    • WIN-VUA6POUV5UP;
    • Win-StephyPC3;
    • difusor;
    • DESTOP2457;
    • JOHN-PC.

    Computer name validation

    It also collects the username and verifies if it matches with the “John” or “WORK” strings. If any of these validations match, the malware stops its execution.

    Grandoreiro includes detection of tools commonly used by security analysts, such as regmon.exe, procmon.exe, Wireshark, and so on. The process list varies across the malware versions, and it was significantly expanded in 2024, so we’ll share the full list later in this post. The malware takes a snapshot of currently executing processes in the system using the CreateToolhelp32Snapshot() Windows API and goes through the process list using Process32FirstW() and Process32NextW(). If any of the analysis tools exists in the system, the malware execution is terminated.

    Grandoreiro also checks the directory in which it is being executed. If the execution paths are D:programming or D:script, it terminates itself.

    Another anti-debugging technique implemented in the trojan involves checking for the presence of a virtual environment by reading data from the I/O Port “0x5658h” (VX) and looking for the VMWare magic number 0x564D5868. The malware also uses the IsDebuggerPresent() function to determine whether the current process is being executed in the context of a debugger.

    Last but not least, Grandoreiro searches for anti-malware solutions such as AVAST, Bitdefender, Nod32, Kaspersky, McAfee, Windows Defender, Sophos, Virus Free, Adaware, Symantec, Tencent, Avira, ActiveScan and CrowdStrike. It also looks for banking security software, such as Topaz OFD and Trusteer.

    In terms of the core functionality, some Grandoreiro samples check whether the following programs are installed:

    • CHROME.EXE;
    • MSEDGE.EXE;
    • FIREFOX.EXE;
    • IEXPLORE.EXE;
    • OUTLOOK.EXE;
    • OPERA.EXE;
    • BRAVE.EXE;
    • CHROMIUM.EXE;
    • AVASTBROWSER.EXE;
    • VeraCrypt;
    • Nortonvpn;
    • Adobe;
    • OneDrive;
    • Dropbox.

    If any of these is present on the system, the malware stores their names to further monitor user activity in them.

    Grandoreiro also checks for crypto wallets installed on the infected machine. The malware includes a clipboard replacer for crypto wallets, monitoring the user’s clipboard activity and replacing the clipboard data with the threat actor keys.

    Clipboard replacer

    2024 campaigns

    During a certain period of time in February 2024, a few days after the announcement of the arrest of some of the gang’s operators in Brazil, we observed a significant increase in emails detected by spam traps. There was a notable prevalence of Grandoreiro-themed messages masquerading as Mexican CFDI communications. Mexican CFDI, short for “Comprobante Fiscal Digital por Internet” is an electronic invoicing system administered by the Mexican Tax Authority (SAT — Servicio de Administración Tributaria). It facilitates the creation, transmission, and storage of digital tax documents, mandatory for businesses in Mexico to record transactions for tax purposes.

    In our investigation, we have acquired 48 samples associated not only with this instance but also with various other campaigns.

    Notably, this new campaign added a new sandbox detection mechanism, namely a CAPTCHA before the execution of the main payload, as a way to avoid the automatic analysis used by some companies:

    Grandoreiro anti-sandbox CAPTCHA

    It is worth noting that in the 2024 Grandoreiro campaigns, the new sandbox evasion code has been implemented in the downloader. Although the main sample still has anti-sandbox functionality too, if a sandbox is detected, it is simply not downloaded. Besides that, the new version also added detection of many tools to its arsenal, aiming to avoid analysis. Here is whole list of analysis tools detected by the newest versions:

    regmon.exe hopper.exe nessusd.exe OmniPeek.exe
    procmon.exe jd-gui.exe PacketSled.exe netmon.exe
    filemon.exe canvas.exe prtg.exe colasoft.exe
    Wireshark.exe pebrowsepro.exe cain.exe netwitness.exe
    ProcessHacker.exe gdb.exe NetworkAnalyzerPro.exe netscanpro.exe
    PCHunter64.exe scylla.exe OmniPeek.exe packetanalyzer.exe
    PCHunter32.exe volatility.exe netmon.exe packettotal.exe
    JoeTrace.exe cffexplorer.exe colasoft.exe tshark.exe
    ollydbg.exe angr.exe netwitness.exe windump.exe
    ida.exe pestudio.exe netscanpro.exe PRTG Probe.exe
    x64dbg.exe die.exe packetanalyzer.exe NetFlowAnalyzer.exe
    cheatengine.exe ethereal.exe packettotal.exe SWJobEngineWorker2x64.exe
    ollyice.exe Capsa.exe tshark.exe NetPerfMonService.exe
    fiddler.exe tcpdump.exe windump.exe SolarWinds.DataProcessor.exe
    devenv.exe NetworkMiner.exe PRTG Probe.exe ettercap.exe
    radare2.exe smartsniff.exe NetFlowAnalyzer.exe apimonitor.exe
    ghidra.exe snort.exe SWJobEngineWorker2x64.exe apimonitor-x64.exe
    frida.exe pcap.exe NetPerfMonService.exe apimonitor-x32.exe
    binaryninja.exe SolarWinds.NetPerfMon.exe SolarWinds.DataProcessor.exe x32dbg.exe
    cutter.exe nmap.exe ettercap.exe x64dbg.exe
    scylla.exe apimonitor.exe PCHunter64.exe x96dbg.exe
    volatility.exe apimonitor-x64.exe PCHunter32.exe fakenet.exe
    cffexplorer.exe apimonitor-x32.exe JoeTrace.exe hexworkshop.exe
    angr.exe x32dbg.exe ollydbg.exe Dbgview.exe
    pestudio.exe x64dbg.exe ida.exe sysexp.exe
    die.exe x96dbg.exe x64dbg.exe vmtoolsd.exe
    ethereal.exe fakenet.exe cheatengine.exe dotPeek.exe
    Capsa.exe hexworkshop.exe ollyice.exe procexp64.exe
    tcpdump.exe Dbgview.exe fiddler.exe procexp64a.exe
    NetworkMiner.exe sysexp.exe devenv.exe procexp.exe
    smartsniff.exe vmtoolsd.exe radare2.exe cheatengine.exe
    snort.exe dotPeek.exe ghidra.exe ollyice.exe
    pcap.exe procexp64.exe frida.exe pebrowsepro.exe
    cain.exe procexp64a.exe binaryninja.exe gdb.exe
    nmap.exe procexp.exe cutter.exe Wireshark.exe
    nessusd.exe regmon.exe hopper.exe ProcessHacker.exe
    PacketSled.exe procmon.exe jd-gui.exe SolarWinds.NetPerfMon.exe
    prtg.exe filemon.exe canvas.exe NetworkAnalyzerPro.exe

    These are some RAT features that we found in this version:

    • Auto-update feature allows newer versions of the malware to be deployed to the victim’s machine;
    • Sandbox/AV detection, still present in the main module, which includes more tools than previous versions;
    • Keylogger feature;
    • Ability to select country for listing victims;
    • Banking security solutions detection;
    • Checking geolocation information to ensure it runs in the target country;
    • Monitoring Outlook emails for specific keywords;
    • Ability to use Outlook to send spam emails.

    In terms of static analysis protection, in 2024 versions, Grandoreiro has implemented enhanced encryption measures. Departing from its previous reliance on commonly shared encryption algorithms found in other malware, Grandoreiro has now adopted a multi-layered encryption approach. The decryption process in the newer versions is the following. Initially, the string undergoes deobfuscation through a simple replacement algorithm. Following this, Grandoreiro employs the encryption algorithm based on XOR and conditional subtraction typically utilized by Brazilian malware; however, it differs from them by incorporating a lengthy, 140759-byte string instead of smaller magic strings we saw in 2022 and 2023 samples. Subsequently, the decrypted string undergoes base64 decoding before being subjected to decryption via the AES-256 algorithm. Notably, the AES key and IV are encrypted within Grandoreiro’s code. Upon completion of all these steps, the decrypted string is successfully recovered.

    Grandoreiro AES key and IV

    In newer samples, Grandoreiro upgraded yet again the encryption algorithm using AES with CTS, or Ciphertext Stealing, a specialized encryption mode used when the plaintext is not a multiple of the block size, which in this case is the 128-bit (16-byte) block size used by AES. Unlike more common padding schemes, such as PKCS#7, where the final block is padded with extra bytes to ensure it fits a full block, CTS operates without padding. Instead, it manipulates the final partial block of data by encrypting the last full block and XORing its output with the partial block. This allows encryption of any arbitrary-length input without adding extra padding bytes, preserving the original size of the data.

    ECB Encryption Steps for CTS

    In the case of Grandoreiro, the malware’s encryption routine does not add standard padding to incomplete blocks of data. Their main goal is to complicate analysis: it takes time to figure out that CTS was used, and then more time to implement decryption in this mode, which makes the extraction and obfuscation of strings more complicated. This marks the first time this particular method has been observed in a malware sample.

    As the threat actors continue to evolve their techniques, changing the encryption in every iteration of the malware, the use of CTS in malware may signal a shift toward more advanced encryption practices.

    Local versions: old meets new

    In a recent campaign, our analysis has revealed the existence of an older variant of the malware that utilizes legacy encryption keys, outdated algorithms, and a simplified structure, but which runs in parallel to the campaign using the new code. This variant targets fewer banks — about 30 financial institutions, mainly from Mexico. This analysis clearly indicates that another developer, likely with access to older source code, is conducting new campaigns using the legacy version of the malware.

    How they steal your money

    Operators behind Grandoreiro are equipped with a wide variety of remote commands, including an option to lock the user screen and present a custom image (overlay) to ask the victim for extra information. These are usually OTPs (one-time passwords), transaction passwords or tokens received by SMS, sent by financial institutions.

    A new tactic that we have discovered in the most recent versions found in July 2024 and later suggests that the malware is capturing user input patterns, particularly mouse movements, to bypass machine learning-based security systems. Two specific strings found in the malware — “GRAVAR_POR_5S_VELOCIDADE_MOUSE_CLIENTE_MEDIA” (“Record for 5 seconds the client’s average mouse speed”) and “Medição iniciada, aguarde 5 segundos!” (“Measurement started, please wait 5 seconds!”) — indicate that Grandoreiro is monitoring and recording the user’s mouse activity over a short period. This behavior appears to be an attempt to mimic legitimate user interactions in order to evade detection by anti-fraud systems and security solutions that rely on behavioral analytics. Modern cybersecurity tools, especially those powered by machine learning algorithms, analyze user’s behavior to distinguish between human users and bots or automated malware scripts. By capturing and possibly replaying these natural mouse movement patterns, Grandoreiro could trick these systems into identifying the activity as legitimate, thus bypassing certain security controls.

    This discovery highlights the continuous evolution of malware like Grandoreiro, where attackers are increasingly incorporating tactics designed to counter modern security solutions that rely on behavioral biometrics and machine learning.

    To perform the cash-out in the victim’s account, Grandoreiro operators’ options are to transfer money to the account of local money mules, using transfer apps, buy cryptocurrency or gift cards, or even going to an ATM. Usually, they search for money mules in Telegram channels, paying $200 to $500 USD per day:

    Grandoreiro operator looking for money mules

    Infrastructure

    The newest Grandoreiro version uses 3 Domain Generation Algorithms (DGAs), generating valid domains for command and control (C2) communications. The algorithm uses the current daytime to select strings of predefined lists and concatenates them with a magic key to create the final domain.

    By dynamically generating unique domain names based on various input data, the algorithm complicates traditional domain-based blocking strategies. This adaptability allows the malicious actors to maintain persistent command-and-control communications, even when specific domains are identified and blacklisted, requiring security solutions to base their protection not on a fixed list of domains, but on an algorithm for generating them.

    Since early 2022, Grandoreiro leverages a known Delphi component shared among different malware families named RealThinClient SDK to remotely access victim machines and perform fraudulent actions. This SDK is a flexible and modular framework for building reliable and scalable Windows HTTP/HTTPS applications with Delphi. By using RealThinClient SDK, the program can handle thousands of active connections in an efficient multithreaded manner.

    Grandoreiro C2 Communication

    Operator tool

    Grandoreiro’s Operator is the tool that allows the cybercriminal to remotely access and control the victim’s machine. It’s a Delphi-based software that lists its victims whenever they start browsing a targeted financial institution website.

    Grandoreiro’s Operator tool

    Once the cybercriminal chooses a victim to operate on, they will be presented with the following screen, seen in the image below, which allows many commands to be executed and visualizes the victim’s desktop.

    Grandoreiro’s Operator commands

    Cloud VPS

    One overlooked feature of the Grandoreiro malware is what is called “Cloud VPS” by the attackers — it allows cybercriminals to set up a gateway computer between the victim’s machine and the malware operator, thus hiding the cybercriminal’s real IP address.

    This is also used by them to make investigation harder, as the first thing noted is the gateway’s IP address. When requesting a seizure, an investigator just finds the gateway module. Meanwhile, the criminal has already set up a new gateway somewhere else and new victims connect to the new one through its DGA.

    Grandoreiro Cloud VPS

    Victims and targets

    The Grandoreiro banking trojan is primed to steal the credentials accounts for 1,700 financial institutions, located in 45 countries and territories. After decrypting the strings of the malware, we can see the targeted banks listed separated by countries/territories. This doesn’t mean that Grandoreiro will target a specific bank from the list; it means it is ready to steal credentials and act, if there is a local partner or money mule who can operationalize and complete the action. The banks targeted by Grandoreiro are located in Algeria, Angola, Antigua and Barbuda, Argentina, Australia, Bahamas, Barbados, Belgium, Belize, Brazil, Canada, Cayman Islands, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, Ethiopia, France, Ghana, Haiti, Honduras, India, Ivory Coast, Kenya, Malta, Mexico, Mozambique, New Zealand, Nigeria, Panama, Paraguay, Peru, Philippines, Poland, Portugal, South Africa, Spain, Switzerland, Tanzania, Uganda, United Kingdom, Uruguay, USA, and Venezuela. It’s important to note that the list of targeted banks and institutions tend to slightly change from one version to another.

    From January to October 2024, our solutions blocked more than 150,000 infections impacting more than 30,000 users worldwide, a clear sign the group is still very active. According to our telemetry, the countries most affected by Grandoreiro infections are Mexico, Brazil, Spain, and Argentina, among many others.

    Conclusion

    We understand how difficult it is to eradicate a malware family, but it is possible to impede their operation with the cooperation of law enforcement agencies and the private sector — modern financial cybercrime can and must be fought.

    Brazilian banking trojans are already an international threat; they’re filling the gaps left by Eastern European gangs who have migrated into ransomware. We know that in some countries, internet banking is declining on desktops, forcing Grandoreiro to target companies and government entities who are still using operating in that way.

    The threat actors behind the Grandoreiro banking malware are continuously evolving their tactics and malware to successfully carry out attacks against their targets and evade security solutions. Kaspersky continues to cooperate with INTERPOL and other agencies around the world to fight the Grandoreiro threat among internet banking users.

    This threat is detected by Kaspersky products as HEUR:Trojan-Banker.Win32.Grandoreiro, Trojan-Downloader.OLE2.Grandoreiro, Trojan.PDF.Grandoreiro and Trojan-Downloader.Win32.Grandoreiro.

    For more information, please contact: crimewareintel@kaspersky.com

    Indicators of Compromise

    Host based
    f0243296c6988a3bce24f95035ab4885
    dd2ea25752751c8fb44da2b23daf24a4
    555856076fad10b2c0c155161fb9384b
    49355fd0d152862e9c8e3ca3bbc55eb0
    43eec7f0fecf58c71a9446f56def0240
    150de04cb34fdc5fd131e342fe4df638
    b979d79be32d99824ee31a43deccdb18

    MIL OSI Global Banks –

  • MIL-OSI Russia: Financial News: Interview with Philip Gabunia for Interfax

    Translation. Region: Russian Federation –

    Source: Central Bank of Russia –

    There should be no tolerance for someone in the market having access to information before others.

    The problem of insider trading and manipulation on the Russian market is not only not losing its relevance, but on the contrary, is even getting worse against the backdrop of the players becoming more active and anti-sanction relaxations in terms of information disclosure. Deputy Chairman of the Bank of Russia Filipp Gabunia spoke to Interfax about the steps the regulator has planned to counteract these and other negative practices, as well as proposals to increase the capitalization of the Russian stock market, discussions between the exchange and professional participants, and closing “loopholes” for unfriendly non-residents.

    — The Russian stock market has lost a lot in recent years and has changed significantly in general. In these conditions, the task of doubling its capitalization in relation to GDP sounded quite unexpected. Is it already clear what needs to be done in the current reality to solve this problem? Is it really possible in principle?

    — The task is certainly very ambitious. If we talk about what needs to be done, then, of course, there is no universal remedy. A set of actions is needed. Some measures have already been implemented, and we are waiting for their effect. For example, this is the reform of the IIS, the launch of a long-term savings program.

    Now we are also suggesting that the government consider changing the incentive system for companies that receive state support when implementing various projects. Today, loans as a form of raising funds dominate our economy as a whole. This is the bridge that brings together the lender and the borrower. The state usually directs funds to subsidize interest rates, there are benefits for investment projects, but they are all tied to raising funds in the form of loans.

    One measure we have proposed for discussion is subsidized equity financing, i.e. a spread-out payment to companies entering the capital market, as an alternative to subsidies under bank lending programs. In addition, tax incentives, such as income tax breaks for issuers, may also be justified if certain conditions are met.

    — Won’t companies find themselves in unequal conditions? If someone’s strategy doesn’t include publicity at all…

    — No, this does not mean that all support will be transferred exclusively in the form of equity capital. We expect that companies will have a choice — if a project is eligible for state support, it can be received either through preferential lending or in the form of benefits when entering the stock market. Companies themselves will make decisions based on the specifics of the project’s economy and the cost of various sources of financing. At the same time, it is important that state support is not an incentive for only one form of raising money.

    By the way, the use of equity financing will help reduce the debt burden of businesses and will not lead to an additional burden on the budget. There will simply be a redistribution of expenses between forms of support. Here, of course, the position of the government, which, in fact, provides this support, is important.

    — What else is on the “doubling agenda”?

    — The cornerstone, of course, is trust in the stock market, including the attitude towards minority shareholders. If the interests of investors are trampled, they will not come to the market, no matter what incentives we offer. And here it is important that the interests of minority shareholders are not neglected, but on the contrary, protected. This affects, among other things, issues of maximum possible disclosure of information about issuers in the current conditions, availability of price information, increasing the transparency of dividend policy, the quality of corporate culture and much more.

    — This taboo has become less unquestionable in the last couple of years. Some relaxations have already been lifted, but it is hardly possible to say that we have returned to the level that was, say, in 2021. Do you think that all the necessary conditions are now in place to raise the issue of a complete return of all rules, both in terms of disclosure and in terms of corporate governance, to the previous level?

    — Currently, companies have reasons to close some information about themselves, taking into account the sanctions risks. But the fact is that many companies use external circumstances to justify their “secrecy”. Our position is that investors need information to make informed decisions. We will need to come up with some more subtle mechanisms for investors to obtain information about companies.

    — And what can the expansion of trading hours on the stock market give in terms of doubling capitalization? The return of the morning session, trading on weekends?

    — Weekend trading is definitely not the main recipe. But we analyze this topic comprehensively. It sounds convincing and beautiful: if stores work around the clock, why not apply this principle to the stock market? But there are still some specifics here. It is connected primarily with changes in liquidity in different time periods: very early or very late. We used to record quite significant volatility in the morning hours. And this can have serious consequences for investors, if, for example, someone had a margin position. Suddenly they will take and close, although there were no fundamental reasons for this.

    Now we are trying to assess these risks and think about how to mitigate them so as not to create threats to investors. We conducted a survey among investors, asking whether they need trading on weekends. Well, the lion’s share of respondents were against it.

    At the same time, the idea of expanding trading hours is not the worst: our country is large, with different time zones. Therefore, there are indeed arguments in favor of such a decision.

    We have received proposals from both Moscow Exchange and St. Petersburg Exchange on how they see trading on weekends. It is important to make a balanced decision now.

    — The role of the domestic investor has grown significantly now, but it is unlikely that the market can be doubled solely by relying on one’s own efforts. But if you put yourself in the shoes of a foreign investor, even from a currently friendly jurisdiction: he should probably also be concerned about the “risks of foreign infrastructure” in relation to Russia, which the Central Bank has so often spoken about in relation to foreign markets. Perhaps there are some steps that can be taken, so to speak, to accommodate foreign investors? Some restrictions can be softened, removed, to show that the risks of foreign infrastructure in Russia are no greater than the risks of a Russian investor in a foreign jurisdiction?

    — It is clear that we cannot guess what concerns a foreign investor who wants to come to our market has. My opinion is that today we have no restrictions in relation to friendly jurisdictions. We have not taken a single unfriendly step, all our measures were a response to the actions of foreign institutions. Moreover, we are systematically moving towards easing regulations, for example, we have direct access for their brokers to currency trading on our exchange. In the future, we will develop depository bridges to synchronize asset accounting.

    We are not closing our market and are ready for constructive cooperation.

    — The head of the Bank of Russia said in May that we need to think about establishing a minimum free float level for admission to trading. Have you discussed this with the market?

    — Moreover, we have a regulatory act at the output. We propose to increase the minimum share of shares in free circulation for the second level of listing — to 5%. We analyzed the volume of securities issued by issuers that are actually available for exchange transactions. In general, our estimates coincided with the exchange’s estimates. It is planned that the new requirements will come into force on April 1, 2025.

    Requirements for first-tier issuers remain in place. To be included in the first quotation list, a company must direct 10% of the issue into free circulation. Then maintain a free float of 7.5%.

    With regard to securities that are not included in the quotation lists (and this echelon is precisely where securities that have historically had a low free float are concentrated), measures to counter volatility are taken by the organizers of trades based on their own methods, taking into account the recommendations of the Bank of Russia.

    — Recently, the topic of the risk of large companies leaving the stock exchange has been raised in the public arena. Does the regulator see such risks? Are you planning to do anything?

    — For now, it seems to us that this is somewhat exaggerated. We do not see any prerequisites for delisting the largest issuers of securities. At the same time, the current regulation allows the exchange to make a decision in certain situations to lower the level of the quotation list and even delist. But in each case, it is necessary to assess the consequences of such a decision for retail and institutional investors.

    — You have already outlined the problem of stock acceleration, especially low-liquidity stocks. How are things now? Are any additional steps needed?

    — Indeed, it was a serious problem. In just 3 quarters of last year, the number of shares subject to destabilization reached 63. For comparison, about 12 such cases were recorded for the whole of 2022. At the same time, price fluctuations could exceed 50%. And the most interesting thing is that this was not even direct manipulation in the legal sense of the word, but you know, a kind of lottery – who will jump first. The purpose of such actions is the artificial and planned formation of a trend on the paper. And when the market is already entering the expected state or is approaching it, the manipulator exits the position, as a rule, in advance.

    But the stock exchange is not gambling. Organized trading should determine adequate and transparent pricing. We, together with the Moscow Exchange, have taken measures to limit aggressive bids in the third tier. Because such swings, as I have already said, can only be arranged when the market is thin and the free float is low. New (rigid) price limits were set, the price step for the most volatile securities was increased, the possibility of submitting aggressive bids beyond a 5% deviation from the best price was limited, and the response time of the discrete auction was reduced.

    In fact, this has yielded results, the number of such practices has decreased many times – to isolated cases, and this trend has remained to this day. We do not see any more bright bursts of volatility. In general, the measures have worked, so we do not see any point in making any additional decisions yet.

    — Do you follow the price fluctuations of securities, including those of large issuers, at the St. Petersburg Exchange?

    – Of course, right now we are discussing that they introduce the necessary levels of control to avoid volatility.

    — There was an idea to increase fines for manipulation, what stage is it at now?

    — We are currently discussing with law enforcement agencies the possibility of toughening the punishment. In our opinion, it should be proportional to the scale of the damage caused. Today, the minimum fine for individuals is often insignificant compared to the “earnings” received — 3,000 rubles. Articles of the Criminal Code begin to be applied when damage is caused in the amount of 3.75 million rubles. That is, the fines are small, but criminal liability occurs very quickly. We believe that it is necessary, first of all, to toughen administrative punishment.

    In particular, we propose to provide for a fine that is a multiple of the amount of illegally obtained income in the process of manipulation – from 3 to 5 times. At the same time, we advocate increasing the minimum fine – up to 10 thousand for individuals, up to 100 thousand for officials and up to 1 million rubles for companies.

    In addition, we believe it is necessary to increase the limitation period for bringing to administrative responsibility, as well as to introduce the concept of a lower threshold of turnover for transactions, up to which administrative punishment is not applied. Now we must bring to responsibility for any identified fact. However, according to our estimates, transactions of up to 1 million rubles are not capable of significantly affecting fair pricing on the market. And such violations do not need to be brought to “administrative” responsibility; it is quite sufficient for the broker to warn his client that this should not be done. The introduction of such a threshold will allow us to focus our attention on more serious cases that cause more significant harm to the interests of investors on the exchange.

    As for criminal liability, in our opinion, it is necessary to increase the minimum threshold of damage for its occurrence. But at the same time, provide for confiscation of property as an additional measure of influence. At the same time, we believe that it is possible to exempt from criminal liability those who committed a crime for the first time and compensated for the damage.

    It must be said that we want to transfer many procedures for minor violations to the broker’s side.

    We have already greatly simplified the operational procedures for exchanging information with the exchange and professional participants when they inform us of any abnormal things. Traditionally, the model for combating insider trading and manipulation was, as we say, “central bank-centric”, that is, the Bank of Russia was the main link in collecting information from exchanges, issuers, and professional participants. We considered complaints and appeals from financial market participants, qualified violations, punished, and so on. Now we have managed to simplify interaction with other market participants and standardize our actions.

    We assume that each participant in the system – trade organizers, brokers, issuers – can share this responsibility.

    — You recently published information about a deal between an individual and a regulator. What was the agreement?

    — This is the first case since such a rule has been in force in the law. For ethical reasons, we do not disclose information about the person who has agreed to an agreement with us. But how does this work in principle?

    The essence of the deal is that the culprit repents of his actions and agrees to assist in the investigation of the manipulation case. In return, the charges against him are dropped, he retains his business reputation and can continue to work in the financial market.

    It should be noted that this is not possible in all cases. The Bank of Russia, before entering into a deal, must take into account the severity of the committed act, its social danger.

    Then we assess how the conditions that the person who has embarked on the path of correction is willing to accept in order to remove the charges against themselves are proportionate to the damage caused. This may be an agreement to undergo additional training on the topic of counteracting insider trading and manipulation, restrictions on trading with certain instruments or for a certain period of time. Providing information about other facts of manipulation may also be a condition of the deal.

    The agreement is considered fulfilled if the individual has documented compliance with the terms within 6 months. Otherwise, the procedure for bringing him to administrative responsibility will continue.

    — Has the insider problem gotten worse?

    — Yes, this problem has become more acute than before. Firstly, because the market has become more active, more players have appeared on it, and secondly, issuers have the right not to disclose some information. And here information asymmetry appears, when a limited group of people gets access to information that will never become public. And they can use this information to make a profit on the stock market. We must not allow tolerance to develop for the fact that someone has access to information earlier than others.

    We distinguish two types of insider information: trading, when an investor has learned information directly about the nature of planned trading operations on the stock exchange. And corporate, when an insider makes illegal transactions based on information from the issuer, such as the size of dividends.

    Both of these need to be addressed. We have analyzed a number of cases and have come to the following conclusion. It is necessary to introduce prohibitive periods when insiders are prohibited from making transactions with securities, and it is also necessary to expand the list of insider positions and require issuers to work with them more.

    Issuers need to gradually but actively form a culture: train insider employees, conduct checks on the facts of publication of insider information, including in messengers, before its official disclosure.

    Everyone should understand that insider trading is not allowed and will not go unpunished. We have now begun to actively conduct checks on the largest issuers for compliance with the legislation on combating insider trading. This is, of course, a more complex story in terms of proof.

    Therefore, we hope for a certain synergy due to the fact that the interests of the regulator, issuers, and professional market participants coincide here. Many companies are already turning to us for help, asking us to explain how to work with inside information.

    — There were plans to launch an insider index. How is this work progressing? How much will it help?

    — Yes, we worked with the Moscow Exchange on the possibility of introducing an aggregated indicator for transactions made by insiders. Obviously, without specifying the personalities and details of the transactions. The exchange is currently preparing a methodology for calculating the index. In our opinion, the introduction of such a tool will certainly provide additional transparency to the market. But unfortunately, I am not sure that this will be a panacea.

    — Does everything you listed eliminate the need to think about some kind of regulation of the “Telegram” environment? If conditions are created that prevent manipulation, including from Telegram channels, let them do what they think is necessary, or is some kind of approach to them still necessary?

    — Any source of information, from an insider point of view, is an object of attention for us, Telegram in this sense is just one of them. Recently, more attention has been paid to it, and we monitor this environment in the same way as other sources of information. Another issue is that Telegram channels and financial bloggers are really turning into an independent way of promoting products, in fact, they are engaged in hidden advertising. We see that bloggers often advise their subscribers to buy this or that financial product or use the services of a certain company. And people do not know whether this advice is the blogger’s personal opinion or “custom” information.

    We have a letter ready for professional participants who attract bloggers (financial influencers) to promote their services, where we recommend that they disclose information about such advertising on their websites and mobile applications. Also, the performer, that is, the blogger, in turn, must mark the material – indicate who is its customer. It is important for us that the information is presented correctly and does not create false investment expectations.

    — In July, NAUFOR proposed discussing the rejection of the central depository institution as a counter-sanction measure. What does the Central Bank think about this? Is there any life in this idea?

    — I consider this idea to be extremely harmful. Its authors argue that abandoning the central depository will protect against sanctions. But as practice shows, it is impossible to predict where the restrictions will come from next time. From our point of view, this infrastructure solution has proven its usefulness. Centralization of accounting ensured a “single chain” of interaction between registrars and depositories and simplified the payment of dividends from public companies.

    Now the issuer transfers funds to the central depository, which in turn transfers them to its clients – depositories, and thus the funds cascade to the end investor. And with decentralized accounting, the issuer is forced to interact with each nominal holder in the register.

    The centralized model of the accounting system allows market participants to work in uniform formats and minimize their operational risks. The National Settlement Depository has also become the central source of information on securities and corporate actions. And it is this institution that largely helps restore the rights of Russian investors after the introduction of restrictions by unfriendly states.

    In addition, it was precisely due to the centralization of securities accounting that it became possible to develop a technology that would simplify the client’s path when moving from one broker to another.

    To abandon such a system, from my point of view, is in a sense to shoot yourself in the foot.

    — In the spring, a discussion was launched on disintermediation, the Bank of Russia even issued a consultative report on this topic. Now the idea of a world without brokers, that is, with one super-broker in the form of the Moscow Exchange, is it closed or not yet? On the other hand, will the Central Bank think in the direction of limiting internalization, so as not to deprive the exchanges of part of their business? Where is the balance here?

    — We are close to completing this discussion. We are inclined to believe that disintermediation in the form in which it may now take shape will cause quite serious damage to the market as a whole, leading to its certain fragmentation. And ultimately, the processes that connect investors and issuers, on the contrary, will be complicated, will become more expensive and less accessible. Therefore, at the moment, we are inclined to believe that we should not go this way.

    At the same time, we have once again carefully assessed the practice of internalization and see that there are a number of significant negative factors here too. As a rule, the investor does not understand that he is making a deal not at an organized trade. And this affects the status of the deal itself, which may not be in favor of the broker in the event of litigation. The investor, at a minimum, should be informed that he is making an over-the-counter transaction and have the opportunity to choose where he wants to make it in order to avoid unnecessary risks.

    The second is the volume of transactions. In the practices that we see, the rule of best execution is observed, the price, albeit very slightly, is better than the quotes on the exchange. But then the question arises, where is the correct price. Because if the volume of transactions taking place within the broker is several times greater than that by which the price is formed, it can be very conditionally said that the price that was formed on the exchange is really adequate. Therefore, the volume of transactions within brokers should be limited. We are currently thinking through the parameters.

    — Another question for the doubling of our stock market. Now the rates are high, and the stock market, probably, is not so easy to withstand the competition for money. This year, what dynamics do you see with dividend payments that come to investors — are they reinvested for the most part or are they still withdrawn from the market and go to the banking system?

    — RUB 3.2 trillion in dividends have already been paid. We have not recorded a significant flow into the banking sector. In retail, we see that this money was overwhelmingly reinvested, just not always in shares. According to the Bank of Russia, part of the funds were directed by investors into stock market instruments: as a rule, these are money market funds, which is associated with higher expected returns against the backdrop of tightening monetary policy and low market risks. In addition, according to our estimates, no more than 10% of private investors’ funds in the second quarter of 2024 “flowed” from shares to OFZs, corporate bonds and mutual funds. The sources of net purchases of bonds and mutual funds by private investors were mainly “new” money – potentially, this could be “flows” from deposits and current accounts of individuals, as well as reinvestment of funds received from the redemption of bonds and dividend payments.

    — Is the launch of new instruments for retail investors being discussed — linked to cryptocurrencies, some kind of settlement futures?

    — No, our attitude towards cryptocurrency has not changed from an investment point of view.

    — We have not had exchange trading in dollars and euros for more than four months. For other jurisdictions, this is generally a familiar picture, but for us, it is new. Over the past time, have you seen any risks of non-market nature of exchange rate formation? Can we say that from the point of view of transparency of this process, its quality, the market has not lost anything, or does something still need to be fine-tuned?

    — Just so that everyone understands how the dollar and euro rates are set after the end of exchange trading, we have published the methodology for calculating these rates on our website. That is, we have made this process transparent, and it is absolutely not arbitrary. We use an approach similar to that used when calculating rates based on exchange trading, that is, we determine the average weighted rate by volume.

    In order to bring the calculation conditions closer to the stock market and exclude various anomalies, we have incorporated algorithms for cutting off atypical values into the methodology. We take the data for the calculation from bank statements.

    The ability to set a rate at will that differs from the conditions prevailing on the over-the-counter market is excluded.

    — This year, the threshold for mandatory sale of foreign currency earnings by exporters was lowered twice, and for a short period of time. Is it possible to move further in this direction or has the minimum required for financial stability already been reached?

    — We support the decisions taken to lower the threshold and increase the terms for crediting revenue. This facilitates cross-border payments and reduces the burden on exporters. We will continue to observe. But we do not make such decisions. This is the government’s competence.

    — How do you see the development of the digital financial assets market? In what prospects is the emergence of a secondary market possible, and is it needed at all?

    — DFA is a young instrument. It was formed in a certain arbitration environment — in DFA it was possible to do things that were not possible in classical instruments, and vice versa, DFA has some of its own limitations. Now we are talking about how we can evaluate the results of such a spontaneous experiment in terms of arbitrations, and perhaps soften something in the classical market, perhaps tighten it in the digital asset market. For now, we are discussing the problems and looking towards eliminating the current unequal conditions.

    As for the development prospects. In my understanding, it is not so much the “a la glass” treatment itself with some gigantic trading volumes that is important, but the fact that today we have each platform locked in itself, and investors have no opportunity to go beyond it. Therefore, we need to look for a solution to make these transitions possible. What it will be in the end, I cannot say yet, but by the end of the year we plan to decide on the concept.

    One of the options for the development of the secondary market could be digital certificates, which will allow the organization of the circulation of digital financial assets on the stock exchange.

    — Recently, a presidential decree was issued on the accounting of shares on type “C” accounts and a decision of the board of directors of the Central Bank in its development. Why was this necessary?

    — We are introducing additional protection of the market from attempts to circumvent anti-sanction regulation. I am talking about practices when citizens or companies buy Russian assets from “enemies” very cheaply abroad, and then sell them here at auctions. In simple terms, they create an overhang. So, the decree makes it possible to separate this overhang from the auctions.

    – But now it’s also impossible to transfer from accounts “C” without permission…

    — Yes, there is a regime for separating Russian securities in the accounting chains of which there is a hostile investor. At the same time, conditions were created for bona fide purchasers so that they could exit the assets. But all our concessions were the subject of creative ideas in order to obtain a higher marginality from transactions with Russian assets. Why is this bad? Firstly, this is a certain reduction in the “C-mass”, that is, this is a weakening of the countermeasure. And secondly, this hits honest investors who came, believed in our market, invest something, try to earn.

    Therefore, it was decided that now shares of Russian issuers, including international companies, can be transferred to a trading account from personal account “C” only by decision of the government commission.

    — Was the scale of the problem significant enough to require a presidential decree?

    — No. We responded in a timely manner (to attempts to circumvent restrictions — IF). But this game of “cat and mouse” simply shows that the demand is high, and drastic measures need to be taken to free us from constantly catching someone red-handed. And we need to protect our investors, because they are promised that everything will work out, and then it doesn’t work out, and they end up with losses. Now, from our point of view, a barrier has appeared that cannot be overcome. At least, I have not yet been able to come up with options and schemes. But I will emphasize once again that we have not recorded significant volumes that would somehow “spill” through circumventing restrictions. What we have found are isolated cases or even attempts.

    — Why is this measure being introduced temporarily, only until the end of 2025?

    — During this time, we want to provide additional protection mechanisms. They just require painstaking development.

    — At a recent discussion of the draft of the main directions of development of the financial market, the reform of microfinance organizations was almost the hottest topic. If we listen to representatives of the industry, your proposals will put an end to it. Do you counter?

    — Now the MFI market is a cauldron in which many different things are brewed, but everything that is there is considered a microfinance organization. And it is often said: “Let’s ban all this.” In fact, the market is diverse, it consists of three parts.

    The first are companies that focus on financing small businesses and have nothing to do with the practices that are troubling everyone.

    The second group are companies that provide installment services. Their rates are actually comparable to bank consumer loans. Also a normal product, has a right to exist.

    And the third piece, which worries everyone the most, is “payday loans”. Regulation here has been tightened many times. For example, loans secured by property were banned, so that there would be no stories of people being forced into bondage, or having their apartment taken away. Maximum overpayments and interest rates were systematically reduced. But there are practices that allow one to bypass restrictions on overpayments through hidden refinancing, when a new loan is issued to a client and previously accrued interest is included in its body. A chain of loans is formed, a kind of rolling, the debt grows. There are about a third of such loans on the market.

    We conducted research and found out where people spend the money they borrow “until payday.” There are categories that spend it on betting, sports games – this is a rather alarming story for us. Up to 20% of the amount of loans issued is spent on these purposes. That is, the problem is acquiring a social character.

    We plan to introduce regulations that will stop such rolling. This is the restriction of “one loan per hand until repayment” for the most expensive loans. The second regulation is the introduction of a cooling-off period between repayment of one loan and receipt of another.

    We have completed the discussion of the report, met with the market, State Duma deputies, received more than 100 questions and proposals. Some points are debatable, they may still move. But as far as fundamental things are concerned, we remain on our positions and intend to implement measures to protect borrowers as quickly as possible.

    Interfax

    Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

    Please note; This information is raw content directly from the information source. It is accurate to what the source is stating and does not reflect the position of MIL-OSI or its clients.

    http://vvv.kbr.ru/press/event/?id=21108

    MIL OSI Russia News –

  • MIL-OSI USA: Rep. Cammack Announces Plans For Legislation To Create Tax-Free Savings Accounts For First-Time Homebuyers

    Source: United States House of Representatives – Congresswoman Kat Cammack (R-FL-03)

    WASHINGTON, D.C. — Today, Congresswoman Kat Cammack announced plans to introduce legislation to create tax-free savings accounts for individuals and families purchasing their first homes.  

    The NEST (Next-Generation Equity Savings Tool) Act would assist first-time homebuyers in overcoming financial barriers, especially the challenges related to down payments and closing costs. Individuals and families could save money on a pre-tax basis, with no tax upon withdrawal, if the funds are used to purchase a first home.  

    High home prices in many markets have created barriers for first-time buyers, which is why dedicated savings vehicles for home purchases can assist and encourage those seeking to enter the market and stimulate the economy.  

    More information, including bill text, is expected in the coming days. Please visit cammack.house.gov for more details.  

    ###

    MIL OSI USA News –

  • MIL-OSI USA: Hickenlooper Hires Patrick Ortiz as San Luis Valley Regional Representative

    US Senate News:

    Source: United States Senator John Hickenlooper – Colorado
    WASHINGTON – Today, U.S. Senator John Hickenlooper announced Patrick Ortiz, formerly the Operations Director for San Luis Valley Great Outdoors, as his Regional Representative for the San Luis Valley.
    “Patrick knows how to bring people together and make sure everyone’s voice is truly heard. His deep understanding of Southern Colorado’s history, culture, and people will make him a strong advocate for San Luis Valley families,” said Hickenlooper. “We couldn’t be more excited to have him on board!”
    “I’ve always admired how Senator Hickenlooper sets politics aside and tackles our state’s problems. He listens to the people, especially in the most rural areas of the state, to make sure our priorities are his priorities. I’m excited to join this great team and represent the residents and communities of the San Luis Valley,” said Ortiz.
    Prior to joining Hickenlooper’s team, Ortiz served as the Operations Director for San Luis Valley Great Outdoors (SLV GO!), a non-profit organization that works to create inclusive outdoor recreation opportunities in the San Luis Valley to connect communities and strengthen the local economy. He is an Adams State University alum.

    MIL OSI USA News –

  • MIL-OSI USA: Casey, Fetterman, Deluzio Secure $87 Million to Build New Manufacturing Facility in Southwestern Pennsylvania, Create Almost 900 Jobs

    US Senate News:

    Source: United States Senator for Pennsylvania Bob Casey
    Mainspring Energy manufactures linear generators that power hospitals, supermarkets, data centers, and more across the Nation
    New plant will expand generator production, enhance American global competitiveness, create 891 jobs in Coraopolis
    Casey, Fetterman, and Deluzio pushed for the Accelerating Linear Generator Production for Mainspring Energy project
    Washington, D.C. – Today, U.S. Senators Bob Casey (D-PA) and John Fetterman (D-PA) and U.S. Congressman Chris Deluzio (D-PA-17) delivered $87,070,493 in federal funding for Mainspring Energy (MSE), a manufacturer of linear generators, to build a new, state-of-the art manufacturing facility that will support new 891 jobs in Coraopolis. Funding comes from the Advanced Energy Manufacturing and Recycling Grants Program, made possible by the Infrastructure Investment and Jobs Act (IIJA).
    “This is a game-changing investment for Coraopolis and Southwestern Pennsylvania. With this funding, Mainstream Energy will create good-paying and high-skilled manufacturing jobs and continue Southwestern Pennsylvania’s legacy as an energy leader on the forefront of cutting-edge technology. Pennsylvania workers are the best in the world and I will keep fighting for good paying manufacturing and construction jobs across our Commonwealth,” said Senator Casey.
    “Western Pennsylvania has always been America’s industrial backbone and the Department of Energy’s investment in Mainspring Energy carries that legacy forward. This move propels us toward a carbon-pollution-free future while keeping our economy strong, competitive, and union-built,” said Senator Fetterman. “As lifelong Pennsylvanians, Senator Casey, Congressman Deluzio, and I understand and honor our state’s proud history of hard work and innovation. We pushed for this investment because it puts Western Pennsylvania back on the map as a leader in cutting-edge manufacturing.”
    “I am thrilled to announce that Coraopolis’ own Mainspring Energy Inc. is receiving more than $87 million in federal dollars to boost its manufacturing of low-carbon generators and create hundreds of full-time and construction jobs in the process,” said Congressman Deluzio. “This is a powerful example of how when we make more stuff here, we can create manufacturing and construction jobs and onshore our supply chains, all while reducing greenhouse gas emissions to help us meet our climate goals. I am proud to support this project and look forward to monitoring its progress and impact on the people and economy in Pennsylvania’s 17th Congressional District.”  
    The funding comes from the U.S. Department of Energy (DOE)’s Advanced Energy Manufacturing and Recycling Grants program, which enables manufacturers build new or retrofit existing manufacturing and industrial facilities in communities where coal mines or coal power plants have closed. Senators Casey and Fetterman and Congressman Deluzio urged DOE secretary Jennifer Granholm to support MSE’s project in June 2024. In their letter, the Members highlighted how the new facility would increase domestic manufacturing, boost American competitiveness in the clean energy sector, generate hundreds of good-paying jobs for Pennsylvanians, and carry on the Commonwealth’s proud legacy as an energy state. 
    Mainspring Energy (MSE), in partnership with construction firm Al. Neyer, will establish a state-of-the-art manufacturing facility in Coraopolis to produce 1,000 linear generators annually that will provide clean and reliable power to critical institutions across the Nation including hospitals, businesses, and data centers. The plant will localize the manufacturing supply chain and enhance American global competitiveness in the clean energy sector. Additionally, the project will create 291 construction-related jobs and 600 operations jobs. 

    MIL OSI USA News –

  • MIL-OSI Economics: How higher education is reimagining student experiences with Azure OpenAI Service

    Source: Microsoft

    Headline: How higher education is reimagining student experiences with Azure OpenAI Service

    Learn how using Azure OpenAI Service in higher education can help leaders reimagine learning models and reduce administrative burdens.

    Imagine a future where every student has a personalized learning path, where faculty can focus on teaching instead of administrative tasks, and where academic research accelerates breakthrough discoveries. This is not a distant vision—generative AI is making it possible today. AI-driven innovations empower higher education leaders to reimagine learning models, reduce administrative burdens, and advance academic research, positioning institutions to not only enhance student success but also lead in educational innovation, securing a competitive edge in an evolving landscape.

    A July 2024 Forrester report commissioned by Microsoft found that education institutions using Azure OpenAI Service saw improved student outcomes, streamlined operations, and increased access to technology. By Year 3, they are expected to boost content generation efficiency by 30% to 60% and improve chatbot resolution rates by 20% to 50%, driving positive impacts on graduation and employment rates.

    As AI adoption accelerates, institutions must also prioritize trust by focusing on scalable security, data privacy, and governance measures. Microsoft supports this transition with AI solutions that integrate built-in protections, addressing risks such as prompt injections and bias, while maintaining data privacy and compliance to safeguard institutions.

    Join us as we explore five key use cases of generative AI in higher education, along with examples of institutions that have successfully implemented AI to deliver more equitable and personalized student experiences.

    1. Around-the-clock real-time campus support

    As student expectations evolve, meeting their demand for around-the-clock support has become a critical factor in student satisfaction and institutional efficiency. For example, Tecnológico de Monterrey’s TECgpt is an AI platform that offers quick access to information like tuition, scholarships, and campus services, allowing users to retrieve personal details, such as scholarship status, within minutes.

    Similarly, the University of South Florida improved response times and reduced staff workloads by automating IT ticketing with Azure OpenAI, launching an AI-powered Help Desk in just one week. The University of Hong Kong has also deployed several Azure OpenAI-powered chatbots to handle IT queries, administrative tasks, and course selection, freeing staff to focus on more complex issues. Education leaders are automating routine tasks and delivering personalized academic assistance at scale, boosting retention and accelerating graduation rates while streamlining operations.

    I can invest more time in people now that I don’t have to worry about those recurring repetitive tasks because people are what it’s all about. It is revolutionizing all our workflows, our teaching, and our learning spaces quite rapidly. With Copilot, we’re able to do things bigger, better, but also equitably across the university space. It’s changing the way we do everything, and that is a big deal.

    Tim Henkel, Assistant Vice Provost for Teaching and Learning, University of South Florida (USF)

    AI innovations are reshaping how institutions engage with students by offering around-the-clock support for inquiries about housing, student life, and campus services, significantly enhancing the overall student experience. These AI tools also provide personalized academic and career guidance, helping students select courses, optimize degree plans, and receive tailored advising.

    Additionally, AI-powered virtual assistants streamline the financial aid process, guiding students through eligibility requirements, deadlines, and submissions, ensuring timely completion. Through AI integration, institutions can deliver responsive, student-centered services while improving operational efficiency, ultimately enriching the campus experience.

    With Azure OpenAI, USF can rapidly classify and summarize IT tickets, eliminating that first level of eyes on an issue.

    2. Personalize learning experiences at scale

    In an environment where institutional success depends on student engagement and outcomes, personalized learning is becoming a strategic priority. With Data Science in Microsoft Fabric and Azure AI Services, institutions can integrate real-time data analysis from their LMS, leveraging AI to customize lessons, content, and pacing based on student performance.  AI tutors provide personalized, instant feedback, helping students make continuous progress and tackle challenging tasks with confidence. These tools empower institutions to deliver adaptive learning tailored to each student’s needs.

    The Azure OpenAI Service provided remarkably high-quality hints generated by GPT-4 from a robust and scalable API that reliably handled heavy loads from hundreds of students working simultaneously near homework deadlines.

    John DeNero, Faculty Director and Associate Teaching Professor, UC Berkeley

    Universities around the world are leveraging AI to improve student outcomes and streamline administrative tasks. At the University of Sydney, the Cogniti platform utilizes AI teaching assistants to tailor feedback and adjust learning paths, boosting student engagement and academic success. IU International University of Applied Sciences in Germany offers an AI study buddy, Syntea, with always-available multilingual support and enhanced student engagement through personalized feedback. It also reduces course completion times by 27%, all while seamlessly integrating across platforms like myCampus and Microsoft Teams.

    Similarly, UC Berkeley’s 61A-Bot, a specialized AI assistant powered by Azure OpenAI Service, has significantly enhanced student learning by providing real-time support and reducing homework completion times in their computer science courses. As institutions worldwide adopt AI-driven solutions, education leaders are transforming both learning personalization and operational efficiency, driving significant improvements in student success.

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    3. Accelerate learning for all with multi-language support

    AI improves educational access by offering multi-language support through real-time translation, note-taking, and content delivery, enabling all students to engage fully in their preferred language. Flexible learning options allow students to review materials at their own pace, while chatbots offer seamless language transitions and targeted support to enhance comprehension and engagement.

    By utilizing the advanced language models in Azure OpenAI Service, Cool English is taking an innovative step for English education in Taiwan, helping students reach their learning goals and overcome the challenges of limited opportunities for real-life conversational and writing practice.

    Dr. Hao-Jan Howard Chen, Professor, Department of English at National Taiwan Normal University

    This potential is already being realized through initiatives like National Taiwan Normal University’s “Cool English” platform, powered by Azure OpenAI, which has helped over 1.4 million students enhance their English skills through adaptive, conversational practice. Similarly, the Korea Advanced Institute of Science and Technology (KAIST) developed a multilingual chatbot to help EFL students write essays in English, offering seamless language switching and personalized guidance outside class hours. Powered by Azure OpenAI’s advanced models, the chatbot provides feedback and answers questions to help students improve their writing without generating essays for them. AI-powered language tools help create inclusive learning environments, enhance student outcomes, and attract a diverse international student body.

    AI can help higher education institutions provide multi-language support to students.

    4. Accelerate academic research

    AI is transforming academic research by accelerating discovery and innovation, and automating tasks like literature reviews, data analysis, and report generation. In April 2023, Microsoft Research launched the Accelerating Foundation Models Research (AFMR) initiative to accelerate the use of large-scale AI models in academia. Through Azure AI Services, AFMR provides universities with access to powerful foundation models, supporting research in fields such as healthcare, scientific discovery, and multicultural empowerment. With over 200 projects in 15 countries, AFMR is building a global AI research community.

    If you have a really good idea, it’s very hard to just search the literature and try to find everything. This is sort of like having a super adviser, a brilliant astronomer with an encyclopedic memory who can say, ‘Well, that could be a very good idea and here’s why,’ or ‘That’s likely a bad idea and here’s why.’

    Alyssa Goodman, Robert Wheeler Wilson Professor of Applied Astronomy, Harvard University

    Universities are harnessing foundation models to accelerate scientific discovery and hypothesis generation. A collaboration between astronomers at Harvard University and The Australian National University has led to the development of an astronomy-focused chat application that utilizes GPT-4. This tool draws from over 300,000 astronomy papers, helping researchers extract key information and analyze data to develop new theories.

    At Georgia Tech, researchers are utilizing Microsoft’s Azure OpenAI Service to analyze global EV charging data, uncovering insights for policy development and improving infrastructure reliability to support sustainable and equitable EV adoption. With AI solutions like Azure OpenAI Service, higher education institutions can automate repetitive tasks, improve collaboration, and scale research efforts, all while ensuring data security and focusing on high-impact academic work.

    5. Trustworthy AI for education

    There is a critical need for organizations to deploy AI responsibly. As AI transforms education, decision makers must ensure these systems are secure, private, and fair. A key strategy is to choose AI platforms with built-in safeguards, like content filtering and bias detection. For example, South Australia’s Department for Education successfully piloted EdChat, an AI chatbot powered by Azure AI, which protects 1,500 students across eight schools from harmful content while empower educators to focus on the benefits.

    Equally important is the protection of sensitive student information. With built-in features to safeguard text content, including moderation and groundedness detection, institutions can ensure responsible AI deployment while protecting student data with enterprise-grade security and robust privacy measures to prevent breaches.

    South Australia’s Department for Education successfully piloted EdChat, an AI chatbot using Azure AI.

    Key principles of trustworthy AI:

    • Security: AI systems must be resilient against threats.
    • Safety: AI must operate reliably in sensitive environments like classrooms.
    • Privacy: Protecting personal data is essential to maintain trust.

    AI is not just a tool—it’s the catalyst for a new era in education. By enhancing student support, personalizing learning, and accelerating academic research, AI empowers institutions to break down barriers, expand access, and create more inclusive and innovative learning environments. Those who embrace AI today will lead the future of education, building adaptable, forward-thinking institutions focused on student success.

    The question is no longer if AI should be integrated, but how quickly it can be implemented to unlock its full potential. The future of education is here—is your institution ready to lead it?

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