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Category: Taxation

  • MIL-OSI Security: Jury convicts 2 defendants who were charged with 23 other Ohioans in narcotics distribution ring

    Source: United States Department of Justice (Human Trafficking)

    One defendant also convicted of sex-trafficking victims through use of drug withdrawals, violence

    COLUMBUS, Ohio – A federal jury has convicted two local men for their roles in a narcotics distribution ring involving bulk amounts of fentanyl, crack cocaine, cocaine, methamphetamine & other narcotics. As part of this case, the government has seized more than $1.7 million, 50 firearms, and nine vehicles, including a motorcycle. One of the defendants convicted at trial also sex-trafficked at least three adult victims.

    The jury found David Price, 56, of Columbus, guilty on all counts, and Tavaryyuan Johnson, 25, of Columbus, guilty on drug trafficking counts.

    The verdict was announced on Feb. 5 following a trial that began on January 13, 2025 before U.S. District Judge Edmund A. Sargus, Jr.

    A multi-agency law enforcement task force initially announced the case in July 2022 after a federal grand jury initially indicted 11 defendants for distributing bulk amounts of fentanyl, cocaine, and crack cocaine in central Ohio within 1,000 feet of a Columbus elementary school.

    A superseding indictment returned in October 2022 charged additional co-conspirators with distributing those same drugs in addition to methamphetamine, heroin, marijuana, Xanax and Oxycodone.

    Price, who is also known as “DP,” was charged in a third superseding indictment in December 2024 with 11 drug, firearm and sex trafficking crimes. He faces a minimum of 25 years and up to life in prison.

    Johnson is also known as “Gucci” and “TJ,” and was also charged in a third superseding indictment in December 2024. He was convicted of four drug offenses, including using a family residence in Columbus as his stash house for bulk amounts of narcotics. Johnson faces a minimum of 10 years and up to life in prison.

    According to court documents and trial testimony, the two men were part of a conspiracy to distribute and possess to distribute 400 grams or more of fentanyl, five kilograms or more of cocaine, 280 grams or more of “crack” cocaine and 100 grams or more of heroin, as well as marijuana, oxycodone and alprazolam. The drug trafficking organization operated from January 2008 until it was dismantled by law enforcement in 2022.

    Drug offenses took place at residences on Burgess and Harris avenues, which are within 1,000 feet of Burroughs Elementary School.

    In July 2021, Price distributed fentanyl, methamphetamine and cocaine that resulted in the overdose death of an adult female.  The testimony at trial indicated he purposefully killed her to get rid of her as she was talking to the police about his drug business.

    The government also proved beyond a reasonable doubt at trial that Price conspired to commit sex trafficking. From 2016 until 2022, Price and other members of the conspiracy would force and/or coerce adult female drug addicts into performing commercial sex acts by providing, withholding, or threatening to withhold controlled substances and lodging. Law enforcement’s investigation showed that various women engaged in a “rinse and repeat” cycle where they would be allowed to stay at a drug residence associated with Price, receive a front of drugs so they were not in active drug withdrawal, go to Sullivant Avenue, have sex for money, pay the debt from the front drugs, and then be allowed to remain at the house.

    Price was also found guilty of three counts of sex trafficking related to his violence and coercion towards three adult females.  The testimony at trial indicated that he would lock the females inside his residence for days or weeks at a time and refuse to let them leave, forcing them to engage in sex acts.  One victim was locked in a dog cage, shot and stabbed by Price. Another was restrained.  A third was beaten and choked and left with a black eye. Price would refuse to provide them drugs unless or until they engaged in the sex acts, forcing them into withdrawal if they did not comply.

    U.S. Attorney Kenneth L. Parker commended the investigation coordinated by Ohio Attorney General Dave Yost’s Ohio Organized Crime Investigations Commission task force, which includes Columbus Division of Police Chief Elaine Bryant; Angie M. Salazar, Special Agent in Charge, Homeland Security Investigations (HSI) Detroit; and Andrew Lawton, Acting Special Agent in Charge, U.S. Drug Enforcement Administration (DEA). Other agencies that have assisted the task force with the investigation include the Franklin County Sheriff’s Office, HIDTA Task Force, IRS-Criminal Investigation, FBI, Ohio Bureau of Criminal Investigations (BCI), Ohio National Guard Counter Drug Task Force, Pickerington Police Department, New Albany Police Department, and the Fairfield County Sheriff’s Office SWAT Team.

    Assistant United States Attorneys Timothy Prichard and Emily Czerniejewski are representing the United States in this case.

    This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about OCDETF can be found at https://www.justice.gov/OCDETF.

    # # #

    MIL Security OSI –

    February 11, 2025
  • MIL-OSI USA: Monthly Budget Review: January 2025

    Source: US Congressional Budget Office

    The federal budget deficit totaled $838 billion in the first four months of fiscal year 2025, the Congressional Budget Office estimates. That amount is $306 billion more than the deficit recorded during the same period last fiscal year. Revenues were $11 billion (or 1 percent) higher, and outlays were $317 billion (or 15 percent) higher.

    The change in the deficit was influenced by the timing of outlays and revenues, which decreased the deficit during the first four months of fiscal year 2024 but increased it during the same period this fiscal year. Outlays in October 2023 were reduced by shifts in the timing of payments that were due on October 1, 2023, a Sunday. (The payments were made that September.) Outlays in the first four months of 2025 rose, on net, because payments due on February 1, 2025, a Saturday, were made in January. If not for those shifts, the deficit so far this fiscal year would have been $750 billion, or $146 billion more than the shortfall at this point last year. Part of the deficit increase in 2025 also arises from the postponement of some tax deadlines from 2023 to 2024 (described below), which boosted receipts in 2024.

    In January 2025, CBO projected a deficit of $1.9 trillion for fiscal year 2025, the same as the actual deficit for fiscal year 2024.

    The statutory debt limit was reinstated on January 2, 2025, and set at $36.1 trillion, matching the amount of total debt that was outstanding on the prior day. On January 21, 2025, the Department of the Treasury announced a “debt issuance suspension period” and began taking “extraordinary measures” to continue financing government operations without breaching the debt limit. In the future, CBO will publish its estimate of how long the government could continue to finance its operations under those measures.

    MIL OSI USA News –

    February 11, 2025
  • MIL-OSI USA: New Jersey CPA Sentenced in Syndicated Conservation Easement Tax Scheme

    Source: US State of California

    A New Jersey accountant was sentenced today to 24 months in prison for his role in the promotion and sale of abusive syndicated conservation easement tax shelters.

    According to court documents and statements made in court, Ralph Anderson was a CPA and return preparer working for accounting firms in New Jersey and New York. From approximately 2013 to 2019, Anderson promoted and sold tax deductions to his high-income clients in the form of units in illegal syndicated conservation easement tax shelters created by convicted co-conspirators Jack Fisher and James Sinnott.

    Anderson knew that, contrary to law, the transactions related to these illegal tax shelters lacked economic substance and that his high-income clients purchased units at his recommendation only to obtain a tax deduction on their tax returns. The charitable deductions purchased by clients were derived from the donation of land with a conservation easement or the land itself to a charity, and the deductions were based on fraudulently inflated appraisals for the donated land. Anderson and the promoters promised the clients a so-called ratio of “4.5 to 1” in charitable deductions for every dollar paid into the tax shelter.

    In some instances, to make it appear that his clients had joined the partnerships before the date of the conservation easement donation — which was necessary to claim the tax benefits — Anderson and his co-conspirators also instructed and caused clients to falsely backdate documents, including subscription agreements and checks related to the partnerships. Each year from 2013 to 2019, Anderson and his co-conspirators assisted clients with claiming these false deductions on their tax returns.

    In total, Anderson assisted in preparing tax returns for clients that claimed over $9.3 million in false charitable deductions based on backdated documents, which caused a tax loss to the United States of nearly $3 million.

    Between approximately 2016 and 2019, Anderson earned over $300,000 in commissions for promoting and selling the illegal tax shelters to his clients. Anderson also claimed false tax deductions for charitable contributions generated from the syndicated conservation easement tax shelters he received as “free units” on his own returns and fraudulently reduced his own taxes on the income he earned from the scheme.

    In addition to his prison sentence, U.S. District Court Judge Michael A. Shipp for the District of New Jersey ordered Anderson to serve three years of supervised release and to pay $3,543,005.53 in total restitution to the IRS and Small Business Administration.

    After being convicted on all counts after a trial in U.S. District Court for the Northern District of Georgia, Anderson’s co-conspirators, Jack Fisher and James Sinnott, were sentenced to 25 and 23 years in prison, respectively. Nine additional defendants pleaded guilty to criminal conduct related to the syndicated conservation easement tax shelter scheme. These other defendants include appraiser Walter Douglas “Terry” Roberts and Certified Public Accountants Stein Agee, Corey Agee, James Benkoil, Victor Smith, Herbert Lewis and William Tomasello. In addition, attorneys Randall Lenz and Vi Bui pleaded guilty to their roles in this scheme. The fraudulent syndicated conservation easement tax shelter scheme created and promoted by Fisher and Sinnott resulted in over $1.3 billion in fraudulent tax deductions and caused over $400 million in total tax loss to the IRS.

    Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and Chief Guy Ficco of IRS Criminal Investigation (IRS-CI) made the announcement.

    IRS-CI and the U.S. Postal Inspection Service investigated the case.

    Senior Litigation Counsel Richard M. Rolwing and Trial Attorneys Parker Tobin and Jessica Kraft of the Tax Division prosecuted the case with assistance from former Tax Division Trial Attorney Nicholas Schilling and support from the U.S. Attorney’s Office for the Northern District of Georgia.

    MIL OSI USA News –

    February 11, 2025
  • MIL-OSI Security: New Jersey CPA Sentenced in Syndicated Conservation Easement Tax Scheme

    Source: United States Attorneys General

    A New Jersey accountant was sentenced today to 24 months in prison for his role in the promotion and sale of abusive syndicated conservation easement tax shelters.

    According to court documents and statements made in court, Ralph Anderson was a CPA and return preparer working for accounting firms in New Jersey and New York. From approximately 2013 to 2019, Anderson promoted and sold tax deductions to his high-income clients in the form of units in illegal syndicated conservation easement tax shelters created by convicted co-conspirators Jack Fisher and James Sinnott.

    Anderson knew that, contrary to law, the transactions related to these illegal tax shelters lacked economic substance and that his high-income clients purchased units at his recommendation only to obtain a tax deduction on their tax returns. The charitable deductions purchased by clients were derived from the donation of land with a conservation easement or the land itself to a charity, and the deductions were based on fraudulently inflated appraisals for the donated land. Anderson and the promoters promised the clients a so-called ratio of “4.5 to 1” in charitable deductions for every dollar paid into the tax shelter.

    In some instances, to make it appear that his clients had joined the partnerships before the date of the conservation easement donation — which was necessary to claim the tax benefits — Anderson and his co-conspirators also instructed and caused clients to falsely backdate documents, including subscription agreements and checks related to the partnerships. Each year from 2013 to 2019, Anderson and his co-conspirators assisted clients with claiming these false deductions on their tax returns.

    In total, Anderson assisted in preparing tax returns for clients that claimed over $9.3 million in false charitable deductions based on backdated documents, which caused a tax loss to the United States of nearly $3 million.

    Between approximately 2016 and 2019, Anderson earned over $300,000 in commissions for promoting and selling the illegal tax shelters to his clients. Anderson also claimed false tax deductions for charitable contributions generated from the syndicated conservation easement tax shelters he received as “free units” on his own returns and fraudulently reduced his own taxes on the income he earned from the scheme.

    In addition to his prison sentence, U.S. District Court Judge Michael A. Shipp for the District of New Jersey ordered Anderson to serve three years of supervised release and to pay $3,543,005.53 in total restitution to the IRS and Small Business Administration.

    After being convicted on all counts after a trial in U.S. District Court for the Northern District of Georgia, Anderson’s co-conspirators, Jack Fisher and James Sinnott, were sentenced to 25 and 23 years in prison, respectively. Nine additional defendants pleaded guilty to criminal conduct related to the syndicated conservation easement tax shelter scheme. These other defendants include appraiser Walter Douglas “Terry” Roberts and Certified Public Accountants Stein Agee, Corey Agee, James Benkoil, Victor Smith, Herbert Lewis and William Tomasello. In addition, attorneys Randall Lenz and Vi Bui pleaded guilty to their roles in this scheme. The fraudulent syndicated conservation easement tax shelter scheme created and promoted by Fisher and Sinnott resulted in over $1.3 billion in fraudulent tax deductions and caused over $400 million in total tax loss to the IRS.

    Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and Chief Guy Ficco of IRS Criminal Investigation (IRS-CI) made the announcement.

    IRS-CI and the U.S. Postal Inspection Service investigated the case.

    Senior Litigation Counsel Richard M. Rolwing and Trial Attorneys Parker Tobin and Jessica Kraft of the Tax Division prosecuted the case with assistance from former Tax Division Trial Attorney Nicholas Schilling and support from the U.S. Attorney’s Office for the Northern District of Georgia.

    MIL Security OSI –

    February 11, 2025
  • MIL-OSI USA: Sen. Scott Pushes to Redirect Funds to Safeguard Sovereign Borders

    US Senate News:

    Source: United States Senator for South Carolina Tim Scott

    WASHINGTON — U.S. Senator Tim Scott (R-S.C.) reintroduced his Securing Our Border Act. This legislation would redirect all unobligated Democrat-allocated funding from the Internal Revenue Service (IRS) enforcement account to bolster the integrity of our southern border. The funding initially sought to hire 87,000 additional IRS enforcement agents.

    “Without borders, a nation is not a nation. President Biden’s ill-advised decision to supercharge the IRS while we had a crisis on our southern border couldn’t have been more out-of-touch or unnecessary,” said Senator Scott. “In just two weeks back in office, President Trump has signaled to the world that he is serious about securing our border and restoring peace and order in our communities. By redirecting these funds, we are taking steps to protect our national sovereignty and keep Americans safe.”

    The Securing Our Border Act:

    • Funds nonintrusive border inspections to better equip our law enforcement’s capability to track drugs and other illicit contraband before it enters the United States;
    • Funds border wall construction and other technologies to bolster tracking and enforcement efforts along the southwestern border;
    • Provides recruitment, retention, and relocation bonuses for Border Patrol agents to help mitigate morale issues; and
    • Prohibits Border Patrol agents and other security personnel from releasing apprehended illegal immigrants back into the US.

    Background

    Senator Scott initially introduced this legislation in the 118th Congress following the Biden administration announcing it planned to hire 87,000 additional IRS agents while the southern border was overwhelmed by illegal border crossings.

    Full text of the legislation can be found here. 

    MIL OSI USA News –

    February 11, 2025
  • MIL-OSI Russia: IMF Staff Completes 2025 Article IV Consultation with Morocco

    Source: IMF – News in Russian

    February 10, 2025

    End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF’s Executive Board for discussion and decision.

    • Economic growth is accelerating thanks to strong domestic demand, amid a new investment cycle in many sectors.
    • Tax reforms have allowed the fiscal deficit in 2024 to be lower than expected while also funding spending measures. Going forward, saving part of the revenue windfall would help strengthen the fiscal buffers. The current monetary policy stance is appropriate and should remain data dependent.
    • Structural reforms should focus on strengthening job creation, including by better targeting active labor market polices, consolidating programs to support small and medium firms, and removing regulatory distortions that hinder firms’ growth.

    Rabat, Morocco: An International Monetary Fund (IMF) staff team led by Roberto Cardarelli conducted discussions with the Moroccan authorities in Rabat on the 2025 Article IV Consultation from January 27 to February 7. At the conclusion of the visit, Mr. Cardarelli issued the following statement:

    “Economic activity is expected to have grown by 3.2 percent in 2024 and to accelerate to 3.9 percent in 2025, as agricultural output rebounds after the recent droughts and the nonagricultural sector continues to expand at a robust pace amid strong domestic demand. Higher growth is expected to increase the current account deficit towards its estimated medium-term norm of around 3 percent, while inflation is expected to stabilize at around 2 percent. The risks to the outlook are broadly balanced, with significant uncertainty regarding the economic impact of geopolitical tensions and changing climate conditions.

    “With inflation expectations anchored around 2 percent and little signs of demand pressures, the current broadly neutral monetary policy stance is appropriate, and staff agrees with Bank Al-Maghrib that future changes of policy rates should remain data dependent. With inflation back to around 2 percent, Bank Al-Maghrib should continue its preparation to adopt an inflation-targeting framework.”

    “Recent reforms to the tax system and tax administration have helped expand the tax base while lowering the tax burden. As a result, tax revenues in 2024 have been greater than expected. With only a small part of the additional tax revenues being saved, the central government’s deficit for the year was 4.1 percent of GDP compared to the 4.3 announced in the 2024 Budget. While the 2025 Budget confirms the gradual pace of fiscal adjustment projected last year, higher-than-expected revenues should be used to accelerate the pace of debt reduction to levels closer to pre-pandemic. In addition, continuing to finance structural reforms may require further efforts to expand the tax base and rationalize spending, including by reducing transfers to state-owned enterprises as part of the ongoing reform of the sector and expanding the use of the Unified Social Registry to all social programs.

    “Staff welcomes the ongoing reform of the Organic Budget Law that should introduce a new fiscal rule based on a medium-term debt anchor. Good progress has been made in the Medium-Term fiscal framework to include an assessment of the risk from climate change. Staff encourages the authorities to build on this progress by adding more information on the impact of new policy measures and a quantification of the risks from the increased reliance on public-private partnership (PPP) projects.

     “Stronger job creation requires a novel approach to active labor market policies, focusing on labor displaced from the agricultural sector due to the sequence of droughts. A special focus should be placed on encouraging the growth of small and medium size enterprises (SME)  and favoring their integration into sectoral value chains. Staff welcomes the progress in the operationalization of the Mohammed VI Investment Fund that should help SMEs access equity financing. Measures that may encourage the development of a more buoyant private sector include strengthening the support for SMEs under the new Charter of Investment, strengthening regional investment centers so they can better help SMEs access the financial and technical resources needed for their growth, and reviewing the labor code, tax system, and regulatory and governance frameworks so as remove the distortion that incentivize firms to remain small or informal. It will also be necessary that the ongoing SOE reform effectively pursues market neutrality between public and private sector firms.

    “The IMF team held discussions with senior officials of the government of Morocco, Bank Al-Maghrib, and representatives of the public and private sectors. The team thanks the Moroccan authorities and other stakeholders for their hospitality and candid and productive discussions.”

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Angham Al Shami

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

    @IMFSpokesperson

    https://www.imf.org/en/News/Articles/2025/02/10/pr-2533-morocco-imf-staff-completes-2025-article-iv-consultation

    MIL OSI

    MIL OSI Russia News –

    February 11, 2025
  • MIL-OSI USA: January Tax Revenues Up 0.1%; Adjusted YTD Down 0.9%

    Source: US State of Georgia

    ATLANTA – The State of Georgia’s net tax collections in the month of January totaled slightly more than $3.05 billion, for an increase of roughly $2 million, or 0.1%, compared to January 2024, when net tax collections totaled just shy of $3.05 billion for the month. Year-to-date, net tax revenue collections totaled nearly $19.41 billion, for an increase of $285.1 million that was driven chiefly by the collection of the state’s motor fuel excise tax, which was suspended by Executive Order for a two and a half month period of FY 2024. Adjusting for the motor fuel tax changes, year-to-date net tax revenue collections for the period-ending January 31 were down $173.1 million or 0.9%.

    The changes within the following tax categories account for January’s overall net tax revenue increase:
     
    Individual Income Tax:  Individual Income Tax collections in January totaled roughly $1.59 billion, down from a total of nearly $1.67 billion in fiscal year 2024, for a decrease of $71.1 million or 4.3%.

    The following notable components within Individual Income Tax combine for the net decrease:

    • Individual Income Tax refunds issued (net of voided checks) decreased by $90.6 million or 61.5%
    • Income Tax Withholding payments decreased by $92.6 million or 6.5% from January 2024
    • Individual Income Tax Estimated payments decreased by $41.9 million or 16.9% from FY 2024
    • All other Individual Tax categories, including Tax Return payments, were down a combined $27.2 million

    Sales and Use Tax:  Gross Sales and Use Tax collections in January totaled nearly $1.85 billion, for an increase of $108.6 million, or 6.2%, over FY 2024.  Net Sales and Use Tax increased by $39.6 million or 4.5% compared to last year, when net Sales Tax totaled $870.9 million. The adjusted Sales Tax distribution to local governments totaled $930.4 million for an increase of $70.8 million, while Sales Tax refunds declined by $1.7 million.  

    Corporate Income Tax:  Corporate Income Tax collections for the month increased by $16.7 million or 11.6% compared to last year, when net Corporate Tax revenues totaled $144.2 million in January.

    The following notable components within Corporate Income Tax make up the net increase:

    Motor Fuel Taxes:  Motor Fuel Tax collections during the month increased by $13.9 million or 7.7% from last year when motor fuel tax collections totaled $179.7 million in January of FY 2024.

    Motor Vehicle – Tag, Title & Fees:  Motor Vehicle Tag & Title Fee collections for the month decreased by $3.9 million or 10.1%, while Title ad Valorem Tax (TAVT) collections increased by $6.3 million or 9.5%.

    MIL OSI USA News –

    February 11, 2025
  • MIL-OSI Economics: IMF Staff Completes 2025 Article IV Consultation with Morocco

    Source: International Monetary Fund

    February 10, 2025

    End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF’s Executive Board for discussion and decision.

    • Economic growth is accelerating thanks to strong domestic demand, amid a new investment cycle in many sectors.
    • Tax reforms have allowed the fiscal deficit in 2024 to be lower than expected while also funding spending measures. Going forward, saving part of the revenue windfall would help strengthen the fiscal buffers. The current monetary policy stance is appropriate and should remain data dependent.
    • Structural reforms should focus on strengthening job creation, including by better targeting active labor market polices, consolidating programs to support small and medium firms, and removing regulatory distortions that hinder firms’ growth.

    Rabat, Morocco: An International Monetary Fund (IMF) staff team led by Roberto Cardarelli conducted discussions with the Moroccan authorities in Rabat on the 2025 Article IV Consultation from January 27 to February 7. At the conclusion of the visit, Mr. Cardarelli issued the following statement:

    “Economic activity is expected to have grown by 3.2 percent in 2024 and to accelerate to 3.9 percent in 2025, as agricultural output rebounds after the recent droughts and the nonagricultural sector continues to expand at a robust pace amid strong domestic demand. Higher growth is expected to increase the current account deficit towards its estimated medium-term norm of around 3 percent, while inflation is expected to stabilize at around 2 percent. The risks to the outlook are broadly balanced, with significant uncertainty regarding the economic impact of geopolitical tensions and changing climate conditions.

    “With inflation expectations anchored around 2 percent and little signs of demand pressures, the current broadly neutral monetary policy stance is appropriate, and staff agrees with Bank Al-Maghrib that future changes of policy rates should remain data dependent. With inflation back to around 2 percent, Bank Al-Maghrib should continue its preparation to adopt an inflation-targeting framework.”

    “Recent reforms to the tax system and tax administration have helped expand the tax base while lowering the tax burden. As a result, tax revenues in 2024 have been greater than expected. With only a small part of the additional tax revenues being saved, the central government’s deficit for the year was 4.1 percent of GDP compared to the 4.3 announced in the 2024 Budget. While the 2025 Budget confirms the gradual pace of fiscal adjustment projected last year, higher-than-expected revenues should be used to accelerate the pace of debt reduction to levels closer to pre-pandemic. In addition, continuing to finance structural reforms may require further efforts to expand the tax base and rationalize spending, including by reducing transfers to state-owned enterprises as part of the ongoing reform of the sector and expanding the use of the Unified Social Registry to all social programs.

    “Staff welcomes the ongoing reform of the Organic Budget Law that should introduce a new fiscal rule based on a medium-term debt anchor. Good progress has been made in the Medium-Term fiscal framework to include an assessment of the risk from climate change. Staff encourages the authorities to build on this progress by adding more information on the impact of new policy measures and a quantification of the risks from the increased reliance on public-private partnership (PPP) projects.

     “Stronger job creation requires a novel approach to active labor market policies, focusing on labor displaced from the agricultural sector due to the sequence of droughts. A special focus should be placed on encouraging the growth of small and medium size enterprises (SME)  and favoring their integration into sectoral value chains. Staff welcomes the progress in the operationalization of the Mohammed VI Investment Fund that should help SMEs access equity financing. Measures that may encourage the development of a more buoyant private sector include strengthening the support for SMEs under the new Charter of Investment, strengthening regional investment centers so they can better help SMEs access the financial and technical resources needed for their growth, and reviewing the labor code, tax system, and regulatory and governance frameworks so as remove the distortion that incentivize firms to remain small or informal. It will also be necessary that the ongoing SOE reform effectively pursues market neutrality between public and private sector firms.

    “The IMF team held discussions with senior officials of the government of Morocco, Bank Al-Maghrib, and representatives of the public and private sectors. The team thanks the Moroccan authorities and other stakeholders for their hospitality and candid and productive discussions.”

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Angham Al Shami

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

    @IMFSpokesperson

    MIL OSI Economics –

    February 11, 2025
  • MIL-OSI: Ataccama Appoints Scott Lewis as Chief Customer Officer and Matthew Lane as Chief Revenue Officer to Drive Data Trust and Accelerate Global Expansion

    Source: GlobeNewswire (MIL-OSI)

    BOSTON, Feb. 10, 2025 (GLOBE NEWSWIRE) — Ataccama, the data trust company, today announced the appointments of Scott Lewis as Chief Customer Officer (CCO) and Matthew Lane as Chief Revenue Officer (CRO). The leadership team expansion reinforces Ataccama’s commitment to data trust, customer success, and strategic growth as the company continues to empower enterprises to navigate complex data challenges and unlock the value of their data.

    Scott Lewis, a proven leader with more than 20 years of global experience in sales, pre-sales, and post-sales functions, assumes the new role of CCO. Previously SVP Customers at Ataccama, Scott brings a relentless focus on customer-centricity, with a mission to strengthen long-term partnerships, deliver faster time-to-value, and foster a data-driven culture among customers. His expertise in scaling global teams and developing innovative go-to-market strategies will help Ataccama customers unlock the full potential of their data.

    “As I step into this new role, I’m ambitious to continue evolving the overall experience of our customers and the value we deliver to them. This includes augmenting our offerings with skills that will enable us to better partner with our customers and help solve more of the challenges they face every day,” said Scott Lewis, CCO of Ataccama. “This starts with our team, and I’m excited to work closely with them to ensure that every decision they make prioritizes activities and best practices that drive the best outcomes for our customers. I encourage my teams to adopt a customer-centric mindset that focuses on understanding as much about the customer and what they are trying to achieve as possible. Fostering this deep understanding will set our customers up for success.”

    Having successfully served as SVP Global Sales for the past 18 months at Ataccama, Matthew Lane brings extensive expertise in scaling revenue operations and leading high-performing teams to his new role as CRO. Matthew will focus on expanding Ataccama’s partner ecosystem, driving growth in emerging industries, and aligning revenue strategies with the rising demand for trusted data management solutions. His leadership will further solidify Ataccama’s position as a trusted partner for organizations navigating the complexities of modern data governance.

    “We have already started building a culture and GTM foundation that I am incredibly proud of and, in this new position, I’m grateful to have been given the opportunity to build on Ataccama’s solid foundations to ensure we are driving world class engagement with our partners and customers,” said Matthew Lane, CRO of Ataccama. “As we continue along our exciting growth trajectory, it’s imperative that we stay customer-obsessed and deepen our reputation as a trustworthy vendor and a true partner. To achieve this, it’s important that our ‘Ataccamas’ feel seen, heard, valued and empowered every single day as I believe that our commitment to them bleeds into everything we touch – especially our customers.”

    These appointments reflect Ataccama’s dedication to delivering innovative solutions that empower enterprises to confidently address complex data challenges. With a continued focus on data trust and a growing global customer base, Ataccama is well-positioned to scale its impact and deliver tailored solutions across diverse industries.

    As part of its broader strategy, Ataccama is advancing its partner ecosystem and customer-focused offerings to drive value across industries. By providing vertical-specific expertise and sharing best practices developed through decades of experience, Ataccama enables customers to accelerate their journey toward trusted, business-ready data.

    About Ataccama
    Ataccama is the data trust company. Organizations worldwide rely on Ataccama ONE, the unified data trust platform, to ensure data is accurate, accessible, and actionable. By integrating data quality, lineage, observability, governance, and master data management into a single solution, Ataccama enables businesses to unlock value from their data for AI, analytics, and operations. Trusted by hundreds of global enterprises, Ataccama helps organizations drive innovation, reduce costs, and mitigate risk. Recognized as a Leader in the 2024 Gartner Magic Quadrant for Augmented Data Quality and the 2025 Magic Quadrant for Data and Analytics Governance, Ataccama continues to set the standard for trusted data at scale. Learn more at www.ataccama.com.

    The MIL Network –

    February 11, 2025
  • MIL-OSI Global: 5 premium online research tools all Philly students can use for free

    Source: The Conversation – USA – By Joyce Valenza, Associate Teaching Professor of Library and Information Science, Rutgers University

    The School District of Philadelphia has 250 district and alternative schools – but only a few have libraries with certified librarians. Lisa5201/E+ Collection via Getty Images

    Years ago, as a high school librarian in suburban Philadelphia, I hosted a group of honors students from a high school just across the nearby city border. With the support of their alumni association, the city students planned to build a library at their school.

    While our 30,000-volume physical collection impressed them, it was our virtual library, websites designed to support student projects, and subscription-based digital collections and databases that evoked the most profound reaction.

    When I asked the students what they were researching, in unison, they responded “Hamlet criticism.” When I showed them results from an e-book database from the POWER Library web portal, I heard gasps.

    One young man pulled a dog-eared book out from his backpack. “Wait a minute,” he said. “Do you mean that we’ve been passing this single book around when all of those e-books are available to us free?”

    His parting words haunted me: “We will never be able to compete with those students when we go to college.”

    As a library and information science professor, and a librarian for 40 years, I have researched information equity disparities among high school students and witnessed them firsthand.

    Consider, for example, this startling figure: The School District of Philadelphia has just four certified librarians for its nearly 118,000 students across 250 schools. The district confirmed this number in an email to The Conversation U.S.

    Many of the nearby suburban districts that border Philadelphia, such as Lower Merion, Abington, Upper Darby, Haverford Township and Springfield Township, where I worked, have at least one librarian per school.

    Philadelphia’s school district is making efforts to address the librarian shortage. In late 2024, it hired a director of library science, Jean Darnell, who plans to add more libraries and librarians to district schools. But she cautions that it will require financial resources to do so.

    Information privilege

    The gap discovered by the students I hosted that day wasn’t just about one book versus many. It was about not having the same high-quality, paywalled tools for research, and the guidance of trained librarians to help them navigate the research process.

    Information science researchers refer to this gap as information privilege.

    Inspired by education activist and researcher Peggy McIntosh’s 1989 essay “White Privilege: Unpacking the Invisible Knapsack,” Duke University librarian Hannah Rozear designed a graphic to illustrate what information privilege looks like for high school and college students.

    Duke University librarian Hannah Rozear offers examples of what information privilege looks like for high school and college students.
    Hannah Rozear, CC BY-NC-SA

    As part of my work on an information equity initiative for the International Society for Technology in Education, I enhanced the diagram. I wanted to expand the notion of equity of information access and equity of information experiences in K-12 education.

    The author expanded the Information Privilege backpack concept to apply to K-12 students.
    Joyce Valenza, CC BY-NC-SA

    In addition to simply having access to a variety of high-quality resources, students with information privilege learn to critically and ethically use information to create and share meaningful research projects with the knowledge they build.

    That student’s realization of what he didn’t know he didn’t have sparked my development of a three-year research project with colleagues across six New Jersey colleges. Our team of academic librarians, library and information science educators, and high school librarians followed students who had certified high school librarians into their first college year.

    We found dramatic differences in college preparedness based on high school library experiences.

    The students who had certified high school librarians consistently reported feeling fully prepared for college-level research. They were confident in navigating academic databases. They arrived at college able to identify information needs, understand information genres, search effectively, and craft thoughtful arguments from their research. They were also better able to meet the standards for information literacy at the college level.

    Students who had librarians in high school felt better prepared for college-level research, the author’s study found.
    Visual Vic/Moment Collection via Getty Images

    Access to POWER library

    Due in part to the lack of school librarians, many Philadelphia parents and students haven’t yet been introduced to the freely available resources of the POWER Library.

    Sponsored by the Office of Commonwealth Libraries and the Pennsylvania Department of Education, the POWER Library portal offers audio books and e-books, movies, reference materials, magazines, journals, newspapers and other digital resources for users of all ages.

    Annual subscriptions to these resources would cost US$56,515 for schools and $73,366 for public libraries.

    In Pennsylvania, if your school has a library, the librarian will have ensured that students can easily log in to the POWER Library during school hours.

    Pennsylvania students in schools without a library or a librarian can independently access the POWER library at any hour of the day using the barcode on their public library card, or by signing up for a POWER Library eCard.

    The POWER Library page highlights Power Teens and Power Kids resources.

    Here are five of my favorite tools from the collection that support students’ academic research:

    1. EBSCO eBooks – This collection of more than 16,000 e-books includes nonfiction, textbooks, specialized subject area encyclopedias, literary criticism, and college prep and other study guides.

    2. AP Newsroom – With more than 3,000 media items added daily, AP Newsroom allows students to visually explore 185 years of world history and breaking news through on-the-scene, high-quality photography, sound, video and graphics. Topics cover major events as well as sports, culture and entertainment. Students will find primary source content to track developing stories and support research and analysis of historic events. Over 20 million royalty-free stock images are included.

    3. Gale eBooks – Gale, a well-respected publisher, offers students a complete library reference section available from anywhere. The high-quality encyclopedias and multivolume reference sets span literature, American and global history, social issues, science, biography, business and much more.

    4. Gale OneFile: High School Edition – This research portal connects students to magazines, journals, newspapers, reference books and engaging multimedia that cover the wide range of subjects they might encounter in a high school curriculum. It also prepares them for the academic databases they’ll encounter at college. Gale In Context: Elementary, meanwhile, offers a similar range of kid-friendly content for younger researchers.

    5. SIRS Discoverer – For upper-elementary and middle schoolers, SIRS Discoverer engages students’ curiosity and critical thinking in such areas as animals, countries, states and biographies. Don’t miss the “Issues” section, which covers topical issues like global warming, artificial intelligence and cellphones in schools with contextual information, vocabulary and organized viewpoints.

    Libraries offer democratic access to critical information by providing free entry to digital resources that would otherwise be too costly for most people. This is true whether you’re a student or not.

    In addition to the POWER Library, anyone who lives, works, pays taxes or attends school in Philadelphia can use the extensive digital resources offered by the Free Library of Philadelphia.

    Residents outside Pennsylvania can use this map to identify similar resources in their state, or they can explore the databases provided by public libraries around the country.

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

    – ref. 5 premium online research tools all Philly students can use for free – https://theconversation.com/5-premium-online-research-tools-all-philly-students-can-use-for-free-237930

    MIL OSI – Global Reports –

    February 11, 2025
  • MIL-OSI Global: Russia’s shrinking world: The war in Ukraine and Moscow’s global reach

    Source: The Conversation – USA – By Ronald H. Linden, Professor Emeritus of Political Science, University of Pittsburgh

    Russia President Vladimir Putin sent a guarded message of congratulations to Donald Trump on inauguration day, but then held a long direct call with his “dear friend,” Chinese leader Xi Jinping.

    From Putin’s perspective, this makes sense. Russia gets billions of dollars from energy sales to China and technology from Beijing, but from Washington, until recently, mostly sanctions and suspicion.

    Moscow is hoping for a more positive relationship with the current White House occupant, who has made his desire for a “deal” to end the Ukraine war well known.

    But talk of exit scenarios from this 3-year-old conflict should not mask the fact that since the invasion began, Putin has overseen one of the worst periods in Russian foreign policy since the end of the Cold War.

    Transatlantic unity

    The war in Ukraine has foreclosed on options and blunted Russian action around the world.

    Unlike the annexation of Crimea in 2014, the 2022 invasion produced an unprecedented level of transatlantic unity, including the expansion of NATO and sanctions on Russian trade and finance. In the past year, both the U.S. and the European Union expanded their sanction packages.

    And for the first time, the EU banned the re-export of Russian liquefied natural gas and ended support for a Russian LNG project in the Arctic.

    EU-Russian trade, including European imports of energy, has dropped to a fraction of what it was before the war.

    The two Nordstrom pipelines, designed to bring Russian gas to Germany without transiting East Europe, lie crippled and unused. Revenues from energy sales are roughly one-half of what they were two years ago.

    At the same time, the West has sent billions in military and humanitarian aid to Ukraine, enabling a level of resilience for which Russia was unprepared. Meanwhile, global companies and technical experts and intellectuals have fled Russia in droves.

    While Russia has evaded some restrictions with its “shadow fleet” – an aging group of tankers sailing under various administrative and technical evasions – the country’s main savior is now China. Trade between China and Russia has grown by nearly two-thirds since the end of 2021, and the U.S. cites Beijing as the main source of Russia’s “dual use” and other technologies needed to pursue its war.

    Since the start of the war in Ukraine, Russia has moved from an energy-for-manufactured-goods trade relationship with the West to one of vassalage with China, as one Russia analyst termed it.

    Hosting an October meeting of the BRICS countries – now counting 11 members, including the five original members: Brazil, Russia, India, China and South America – is unlikely to compensate for geopolitical losses elsewhere.

    Russian President Vladimir Putin and China President Xi Jinping toast their friendship in March 2023.
    Pavel Byrkin/AFP via Getty Images

    Problems at home …

    The Russian economy is deeply distorted by increased military spending, which represents 40% of the budget and 25% of all spending. The government now needs the equivalent of US$20 billion annually in order to pay for new recruits.

    Russian leaders must find a way to keep at least some of the population satisfied, but persistent inflation and reserve currency shortages flowing directly from the war have made this task more difficult.

    On the battlefield, the war itself has killed or wounded more than 600,000 Russian soldiers. Operations during 2024 were particularly deadly, producing more than 1,500 Russian casualties a day.

    The leader who expected Kyiv’s capitulation in days now finds Russian territory around Kursk occupied, its naval forces in the Black Sea destroyed and withdrawn, and its own generals assassinated in Moscow.

    But probably the greatest humiliation is that this putative great power with a population of 144 million must resort to importing North Korean troops to help liberate its own land.

    … and in its backyard

    Moscow’s dedication to the war has affected its ability to influence events elsewhere, even in its own neighborhood.

    In the Caucasus, for example, Russia had long sided with Armenia in its running battle with Azerbaijan over boundaries and population after the collapse of the Soviet Union.

    Moscow has brokered ceasefires at various points. But intermittent attacks and territorial gains for Azerbaijan continued despite the presence of some 2,000 Russian peacekeepers sent to protect the remaining Armenian population in parts of the disputed territory of Nagorno-Karabakh.

    In September 2023, Azerbaijan’s forces abruptly took control of the rest of Nagorno-Karabakh. More than 100,000 Armenians fled in the largest ethnic cleansing episode since the end of the Balkan Wars. The peacekeepers did not intervene and later withdrew. The Russian military, absorbed in the bloody campaigns in Ukraine, could not back up or reinforce them.

    The Azeris’ diplomatic and economic position has gained in recent years, aided by demand for its gas as a substitute for Russia’s and support from NATO member Turkey.

    Feeling betrayed by Russia, the Armenian government has for the first time extended feelers toward the West — which is happy to entertain such overtures.

    Losing influence and friends

    Russia’s loss in the Caucasus has been dwarfed by the damage to its military position and influence in the Middle East. Russia supported the Syrian regime of Bashar al-Assad against the uprisings of the Arab Spring in 2011 and saved it with direct military intervention beginning in 2015.

    Yet in December 2024, Assad was unexpectedly swept away by a mélange of rebel groups. The refuge extended to Assad by Moscow was the most it could provide with the war in Ukraine having drained Russia’s capacity to do more.

    Russia’s possible withdrawal from the Syrian naval base at Tartus and the airbase at Khmeimim would remove assets that allowed it to cooperate with Iran, its key strategic partner in the region.

    More recently, Russia’s reliability as an ally and reputation as an armory has been damaged by Israeli attacks not only on Hezbollah and other Iranian-backed forces in Lebanon and Syria, but on Iran itself.

    Russia’s position in Africa would also be damaged by the loss of the Syrian bases, which are key launch points for extending Russian power, and by Moscow’s evident inability to make a difference on the ground across the Sahel region in north-central Africa.

    Dirty tricks, diminishing returns

    Stalemate in Ukraine and Russian strategic losses in Syria and elsewhere have prompted Moscow to rely increasingly on a variety of other means to try to gain influence.

    Disinformation, election meddling and varied threats are not new and are part of Russia’s actions in Ukraine. But recent efforts in East Europe have not been very productive. Massive Russian funding and propaganda in Romania, for example, helped produce a narrow victory for an anti-NATO presidential candidate in December 2024, but the Romanian government moved quickly to expose these actions and the election was annulled.

    Nearby Moldova has long been subject to Russian propaganda and threats, especially during recent presidential elections and a referendum on stipulating a “European course” in the constitution. The tiny country moved to reduce its dependency on Russian gas but remains territorially fragmented by the breakaway region of Transnistria that, until recently, provided most of the country’s electricity.

    Despite these factors, the results were not what Moscow wanted. In both votes, a European direction was favored by the electorate. When the Transnistrian legislature in February 2024 appealed to Moscow for protection, none was forthcoming.

    When Moldova thumbs its nose at you, it’s fair to say your power ranking has fallen.

    Wounded but still dangerous

    Not all recent developments have been negative for Moscow. State control of the economy has allowed for rapid rebuilding of a depleted military and support for its technology industry in the short term. With Chinese help and evasion of sanctions, sufficient machinery and energy allow the war in Ukraine to continue.

    And the inauguration of Donald Trump is likely to favor Putin, despite some mixed signals. The U.S. president has threatened tariffs and more sanctions but also disbanded a Biden-era task force aimed a punishing Russian oligarchs who help Russia evade sanctions. In the White House now is someone who has openly admired Putin, expressed skepticism over U.S. support for Ukraine and rushed to bully America’s closest allies in Latin America, Canada and Europe.

    Most importantly, Trump’s eagerness to make good on his pledge to end the war may provide the Russian leader with a deal he can call a “victory.”

    The shrinking of Russia’s world has not necessarily made Russia less dangerous; it could be quite the opposite. Some Kremlin watchers argue that a more economically isolated Russia is less vulnerable to American economic pressure. A retreating Russia and an embattled Putin could also opt for even more reckless threats and actions – for example, on nuclear weapons – especially if reversing course in Ukraine would jeopardize his position. It is, after all, Putin’s war.

    All observers would be wise to note that the famous dictum “Russia is never as strong as she looks … nor as weak as she looks” has been ominously rephrased by Putin himself: “Russia was never so strong as it wants to be and never so weak as it is thought to be.”

    Ronald H. Linden has in the past received funding from Fulbright, DAAD, German Marshall Fund, National Council for Eurasian and East European Research, Woodrow Wilson Center, US Institute of Peace.

    – ref. Russia’s shrinking world: The war in Ukraine and Moscow’s global reach – https://theconversation.com/russias-shrinking-world-the-war-in-ukraine-and-moscows-global-reach-247754

    MIL OSI – Global Reports –

    February 11, 2025
  • MIL-OSI: Paradigm Oil and Gas Partners with Hallmark Venture Group to Drive Scalable Revenue Growth

    Source: GlobeNewswire (MIL-OSI)

    Key Highlights:

    • Strategic Partnership Announcement: Paradigm Oil and Gas, Inc. (OTC: PDGO) has engaged Hallmark Venture Group, Inc. (OTC: HLLK) to develop scalable revenue strategies and enhance digital operations.
    • Revenue Growth & Digital Expansion: The collaboration aims to optimize lead generation, implement revenue-driving strategies, and develop new digital infrastructure for sustained business growth.
    • Operational Management & Market Positioning: Hallmark Venture Group will oversee website development, traffic acquisition, lead generation, public relations, and administrative management to enhance monetization efforts.
    • AI-Driven Business Solutions: The partnership leverages Hallmark’s AI-driven marketing and consulting expertise to create innovative business models that increase profitability.
    • Scalable & Sustainable Business Model: Paradigm Oil and Gas expands beyond traditional operations by exploring digital and third-party service integrations to maximize shareholder value.
    • Investor & Market Outlook: The initiative aligns with evolving market demands, ensuring long-term financial stability and operational efficiency.

    NEW YORK, Feb. 10, 2025 (GLOBE NEWSWIRE) — Paradigm Oil and Gas, Inc. (OTC: PDGO) expands its revenue potential by engaging Hallmark Venture Group, Inc. (OTC: HLLK) to enhance digital operations and implement scalable revenue strategies. This strategic partnership is designed to optimize lead generation, strengthen market positioning, and maximize profitability through AI-driven solutions and digital infrastructure.

    Accelerating Digital Growth and Revenue Optimization

    Paradigm Oil and Gas is committed to diversifying revenue streams beyond traditional operations. By leveraging Hallmark Venture Group’s expertise, the Company will implement advanced digital strategies, optimize monetization efforts, and develop high-quality traffic acquisition models.

    Hallmark Venture Group will oversee key operational areas, including:

    • Website Development & Digital Infrastructure – Enhancing user experience and optimizing engagement.
    • Traffic Acquisition & Lead Generation – Deploying AI-driven marketing strategies for high-quality conversions.
    • Public Relations & Market Outreach – Strengthening brand visibility and investor relations.
    • Administrative & Operational Management – Streamlining business processes for improved efficiency.

    AI-Powered Solutions for Market Expansion

    Hallmark Venture Group specializes in AI-driven consulting and revenue growth solutions. Through this collaboration, Paradigm Oil and Gas will integrate data-driven marketing techniques, predictive analytics, and automated lead generation tools to drive long-term financial sustainability.

    Strategic Growth & Shareholder Value Enhancement

    This initiative aligns with Paradigm Oil and Gas’s mission to explore innovative business models that create sustainable growth. By embracing digital transformation and AI-powered strategies, the Company aims to increase shareholder value and remain competitive in evolving market conditions.

    About Paradigm Oil and Gas, Inc.

    Paradigm Oil and Gas, Inc. (OTC: PDGO) is a publicly traded company focused on optimizing revenue generation and expanding its market opportunities. The Company actively pursues strategic partnerships and digital initiatives to drive profitability and long-term business growth.

    About Hallmark Venture Group, Inc.

    Hallmark Venture Group, Inc. (OTC: HLLK) is a digital marketing and consulting firm specializing in AI-driven strategies, lead generation, and scalable revenue solutions. The Company’s proprietary platforms help businesses enhance digital growth, optimize customer acquisition, and improve market positioning.

    Safe Harbor Statement

    Safe Harbor This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words ”may”,”would”, ”will”, ”estimate”, ”can”, ”believe”, ”potential” and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company’s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in the Company’s filings with the Securities and Exchange Commission and/or OTC Markets.

    For Media & Investor Inquiries:

    Website: https://pdgoinc.net/
    Email: info@pdgoinc.net
    X (formerly Twitter): @PDGOinc

    The MIL Network –

    February 11, 2025
  • MIL-OSI: Oracle Red Bull Racing and Gate.io Expand Blockchain’s Global Reach with Announcement of Multi-Year Partnership

    Source: GlobeNewswire (MIL-OSI)

    PANAMA CITY, Feb. 10, 2025 (GLOBE NEWSWIRE) — Gate.io—a leading global cryptocurrency exchange—choose Oracle Red Bull Racing for debut partnership in Formula One.

    “Oracle Red Bull Racing”, the Formula One Racing team (the “Team”) and an eight-time World Drivers’ Championship-winning team, is proud to announce Gate.io, one of the world’s leading cryptocurrency exchanges, as its exclusive Crypto Exchange Partner in a multi-year deal. This collaboration marks a major milestone in uniting two industry leaders, both recognised for their relentless pursuit of performance, innovation, and cutting-edge technology—on the racetrack and in the digital economy.

    Starting from the 2025 season, Gate.io branding will feature prominently on key Team assets, including the rear wing, nose, headrest, wheel covers and chassis of the Oracle Red Bull Racing car, Team race suits, Team kit and on the helmet of four-time World Champion, Max Verstappen.

    Founded in 2013, Gate.io is one of the world’s earliest and most established cryptocurrency exchanges, with a user base exceeding 20 million worldwide. Over the past 12 years, Gate.io has expanded beyond trading to become a comprehensive blockchain ecosystem, driving innovation in secure digital asset trading, decentralized finance (DeFi), blockchain infrastructure, venture capital investment, and Web3 technologies.

    Oracle Red Bull Racing has set new standards in Formula 1, winning back-to-back championships since 2021 through engineering excellence, data-driven precision, and a relentless drive for victory. Similarly, Gate.io continues to define the future of blockchain technology, pioneering user-verifiable exchange reserves to enhance trust, transparency, and financial security in the crypto space.

    This partnership is built on a shared vision for innovation and leadership. Just as Oracle Red Bull Racing relentlessly competes on the track with precision and agility, Gate.io continues to push the boundaries of blockchain infrastructure, optimizing speed, security, and scalability to support the next generation of digital finance.

    Christian Horner, CEO and Team Principal of Oracle Red Bull Racing, said: “We are very excited to welcome Gate.io to the Team. Gate.io are a brand that very much share Oracle Red Bull Racing’s passion to exist at the forefront of technological innovation. Together, we look forward to building a more immersive and unique connection with the Team for fans around the world and to working with a likeminded partner that isn’t afraid to disrupt the status quo.”

    Dr. Lin Han, the founder and CEO of Gate.io, said: “At Gate.io, we believe that innovation and performance go hand in hand—whether in blockchain or on the racetrack. Just as Oracle Red Bull Racing pushes the limits of engineering, we are continuously advancing blockchain technology to bring greater transparency, speed, and efficiency to digital finance. This partnership comes at a time when blockchain is moving beyond finance, and we’re excited to explore new ways it can intersect with global industries like motorsport.”

    Through this collaboration, Gate.io aims to accelerate global blockchain adoption, leveraging Oracle Red Bull Racing’s global reach and fan base to introduce digital finance, Web3, and blockchain solutions to an even broader audience.

    About Gate.io
    Gate.io is one of the world’s earliest and most secure cryptocurrency exchanges, leading in compliant digital asset trading since 2013. Serving over 20 million users worldwide, it is consistently ranked among the top exchanges by liquidity and trading volume. Beyond trading, Gate.io provides a full suite of financial and blockchain services, including decentralized finance (DeFi), Web3 solutions, research and analytics, venture capital investing, and startup incubation. A pioneer in user-verifiable exchange reserves, Gate.io remains committed to security, transparency, and shaping the future of digital finance.

    Media Contact:
    Elaine Wang at elaine.w@gate.io

    Disclaimer
    The content herein does not constitute any offer, solicitation, or recommendation. Please note that Gate.io may restrict or prohibit the use of all or a portion of the Services from Restricted Locations. For more information, please read the User Agreement via https://www.gate.io/zh/user-agreement.

    Additional content can also be viewed on our social media channels:
    X: @gate_io
    Instagram: @gateioglobal
    YouTube: www.youtube.com/c/GateioCrypto
    LinkedIn: https://www.linkedin.com/company/gateio

    Oracle Red Bull Racing
    Madeleine Coe
    Senior Communications manager
    Madeleine.coe@redbullracing.com

    Disclaimer: This content is provided by Gate.io . 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/4449d9f8-fc9d-45c4-810f-092f8507a398

    The MIL Network –

    February 11, 2025
  • MIL-OSI: Music Licensing, Inc. Receives Official Federal Recognition of Its Wholly Owned Subsidiary, Pro Music Rights, as a Performing Rights Organization in the United States Federal Register

    Source: GlobeNewswire (MIL-OSI)

    Naples, FL, Feb. 10, 2025 (GLOBE NEWSWIRE) — Music Licensing, Inc. (OTC: SONG) (OTC: SONGD), a leader in the music rights and intellectual property sector, is pleased to announce that its wholly owned subsidiary, Pro Music Rights (PMR), has been officially recognized in the Federal Register of the United States of America as a Performing Rights Organization (PRO). This landmark recognition reinforces Pro Music Rights’ position as a key player in the U.S. music licensing ecosystem, joining the ranks of other established PROs responsible for ensuring that music creators receive fair compensation for the public performance of their works.

    This official acknowledgment represents a pivotal achievement for Music Licensing, Inc. (OTC: SONG) (OTC: SONGD) and its shareholders, as it validates Pro Music Rights’ authority in managing performance rights and licensing agreements on behalf of its extensive repertoire of musical works. Pro Music Rights already represents an estimated 7.4% market share in the U.S., covering over 2.5 million works from renowned artists.

    A Milestone for the Future of Music Licensing

    The inclusion of Pro Music Rights in the Federal Register signifies more than just formal recognition—it cements the company’s status as a regulatory-compliant, trusted, and transparent music rights administrator. This milestone provides greater legitimacy, stability, and enhanced leverage in negotiations with major technology and media companies that rely on legally licensed music for their platforms.

    Jake P. Noch, CEO of Music Licensing, Inc. (OTC: SONG) (OTC: SONGD), commented on this development:
    “This recognition in the Federal Register underscores our commitment to protecting artists’ rights and ensuring fair compensation for their creative works. It strengthens our ability to negotiate with industry giants such as Apple Inc., Amazon, Google, and Spotify, enabling us to secure more favorable licensing terms that benefit both rights holders and shareholders.”

    Strategic Advantages and Business Growth

    This recognition presents multiple strategic benefits for Pro Music Rights and Music Licensing, Inc. (OTC: SONG) (OTC: SONGD), including:

        •    Strengthened Licensing Authority – As an officially recognized PRO, PMR can enhance its negotiating power with major music streaming platforms, broadcasters, and digital service providers.
        •    Greater Transparency & Industry Confidence – Federal recognition increases trust and credibility among rights holders, licensees, and regulatory bodies.
        •    Expansion Opportunities – PMR is now better positioned to expand its reach, enter into new licensing agreements, and provide competitive solutions in the evolving digital music landscape.
        •    Enhanced Revenue Potential – With this recognition, PMR anticipates a significant increase in licensing revenue as it actively enforces its rights with major industry players.

    Looking Ahead: Licensing Deals with Global Corporations

    With this newfound recognition, Music Licensing, Inc. (OTC: SONG) (OTC: SONGD) will actively seek to leverage this status in future licensing discussions with some of the world’s largest technology and entertainment companies. The company aims to establish long-term agreements with Apple Music, Amazon Music, Google’s YouTube, Spotify, and other streaming services, ensuring that PMR’s extensive music catalog is fairly monetized.

    “As we move forward, we are excited about the immense opportunities this recognition brings,” added Jake P. Noch. “We are committed to delivering value to our rights holders, shareholders, and the broader music industry by ensuring that music creators receive their rightful earnings in an efficient, transparent, and legally sound manner.”

    About Music Licensing, Inc. (OTC: SONG) (OTC: SONGD) (ProMusicRights.com)

    Music Licensing, Inc. (OTC: SONG), also known as Pro Music Rights, is a diversified holding company and the fifth public performance rights organization (PRO) established in the United States. It is recognized under the federal registry of the United States government. The company licenses music to some of the most prominent platforms and businesses, including TikTok, iHeartMedia, Triller, Napster, 7Digital, Vevo, and many others.

    Pro Music Rights holds an estimated 7.4% market share in the United States, representing a catalog of more than 2.5 million works by notable artists such as A$AP Rocky, Wiz Khalifa, Pharrell, Young Jeezy, Juelz Santana, Lil Yachty, MoneyBagg Yo, Larry June, Trae Pound, Sauce Walka, Trae Tha Truth, Sosamann, Soulja Boy, Lex Luger, Trauma Tone, Lud Foe, SlowBucks, Gunplay, OG Maco, Rich The Kid, Fat Trel, Young Scooter, Nipsey Hussle, Famous Dex, Boosie Badazz, Shy Glizzy, 2 Chainz, Migos, Gucci Mane, Young Dolph, Trinidad James, Chingy, Lil Gnar, 3OhBlack, Curren$y, Fall Out Boy, Money Man, Dej Loaf, Lil Uzi Vert, and many others, including works generated by artificial intelligence (AI).

    Additionally, Music Licensing, Inc. (OTC: SONG) holds royalty interests in Listerine “Mouthwash” Antiseptic and a vast portfolio of musical works by globally renowned artists, including The Weeknd, Justin Bieber, Kanye West, Elton John, Mike Posner, blackbear, Lil Nas X, Lil Yachty, DaBaby, Stunna 4 Vegas, Miley Cyrus, Lil Wayne, XXXTentacion, BlueFace, The Game, Jeremih, Ty Dolla $ign, Eric Bellinger, Ne-Yo, MoneyBagg Yo, Halsey, Desiigner, DaniLeigh, Rihanna, and many others.

    Forward-Looking Statements:

    This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that, all forward-looking statements involve risks and uncertainties, including without limitation, the ability of Music Licensing, Inc. & Pro Music Rights, Inc. to accomplish its stated plan of business. Music Licensing, Inc. & Pro Music Rights, Inc. believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by Pro Music Rights, Inc., Music Licensing, Inc., or any other person.

    Non-Legal Advice Disclosure:

    This press release does not constitute legal advice, and readers are advised to seek legal counsel for any legal matters or questions related to the content herein.

    Non-Investment Advice Disclosure:

    This communication is intended solely for informational purposes and does not in any way imply or constitute a recommendation or solicitation for the purchase or sale of any securities, commodities, bonds, options, derivatives, or any other investment products. Any decisions related to investments should be made after thorough research and consultation with a qualified financial advisor or professional. We assume no liability for any actions taken or not taken based on the information provided in this communication

    Contact: investors@ProMusicRights.com

    SOURCE: Music Licensing, Inc.

    The MIL Network –

    February 11, 2025
  • MIL-OSI: Churchill Resources Confirms Ni-Co Potential of Large Tonnage Seahorse Lake Intrusive at Florence Lake

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Feb. 10, 2025 (GLOBE NEWSWIRE) — Churchill Resources Inc. (“Churchill” or the “Company”) (TSXV: CRI) is pleased to provide an update on its 2024 fieldwork results at the Florence Lake nickel project located in Labrador. Highlights include:

    Seahorse Lake Intrusive

    • CRI 2024 sampling confirms Ni-Co potential and ~7.5km strike length to the variably exposed Seahorse Intrusion with consistent historical surface grab samples grading 0.2-0.4% nickel and Company 2024 results confirm historical and new exposures with grades or 0.2-0.32% Ni and 100-756ppm Cobalt. The high cobalt value is much improved over the best historical result of 361ppm Co.
    • 13 of 27 CRI samples at Seahorse returned high-interest aluminum undepleted komatiite geochemical signatures, suggesting more primitive, potentially Ni-enriched units may also be present in the volcanic assemblage. This is a very encouraging early sign for Seahorse.
    • The lone short historical drillhole, TSH96-04, into the eastern margin of the intrusive, also returned nickel values in the 0.2-0.3% range with 0.01%Co from selected short samples between 30-100m downhole. The entire core is available for sampling to the end of hole at 102m.

    Baikie Belt

    • The northern licenses’ Baikie Sub-belt high-grade targets have been sampled with prioritization based on prospective komatiite geochemistry/VTEM conductors/high nickel-in-soil sampling highlighting numerous areas for detailed follow-up.

    Paul Sobie, CEO, commented:

    “Our 2024 fieldwork has confirmed that the Seahorse Lake Ultramafic Intrusive spans some 7.5km x 1km as suggested by its magnetic signature, and found it to outcrop over several impressively large areas. Historical grab sampling by Falconbridge returned pervasive surface nickel assays in the 0.2 to 0.4%Ni range, consistent with similar ultramafic intrusions being evaluated in Ontario, Quebec, BC, and Alaska.  

    Our 2024 sampling confirmed Seahorse’s Ni-Co potential per Table 1 and Figure 1, including a grab sample grading 756ppm Co (0.076%). We plan to cut long channel samples through these large outcrop exposures during fieldwork in 2025 to define nickel content over significant strike lengths and widths, as an important part of our first full “boots on the ground” season based out of the Florence Lake camp.

    On our northern licenses covering the high-grade target Baikie Sub-belt ~5km northwest of Seahorse, we’ve now sampled most of the 43 priority targets identified from VTEM survey and follow-up soil sampling, allowing for prioritization for detailed prospecting, geology and geophysical surveys this summer.

    Florence Lake lies ~70km west of the deep-water port of Postville, an all-weather road proposed along the Labrador coast would pass within 15km, and nearby waterfalls offer hydro-electric power potential, all greatly enhancing project economics.”

    Figure 1 – Seahorse Lake Total Magnetic Intensity with 2024 and Falconbridge Surface Sampling

    Figure 2 – Outcropping serpentinized peridotite southern Seahorse Lake Intrusion (note helicopter in distance for scale)

    Figure 3 – Outcropping serpentinized peridotite central Seahorse Lake Intrusion

    Table 1 – 2024 Lithogeochemical Sample Selected Analytical Results

    Baikie Belt High-Grade Targets

    The Baikie-Sub-belt volcanic package is highly encouraging for nickel discoveries throughout the volcanic stratigraphy, rather than just the Baikie Showing horizon, the primary target of Falconbridge, where a small deposit was delineated. CRI is continuing to sample the ultramafic lavas in the area of priority targets, following the recognition of numerous Al2O3-undepleted ultramafic volcanic areas (i.e., more primitive lavas, associated with nickel mineralization), as stacked targets located throughout the upper Eastern Volcanic areas of the greenstone belt, and importantly also within the more basal Western Volcanics. Kambalda-style nickel sulphide deposits occur primarily in the basal portions of ultramafic volcanic sequences.

    Figure 4 following shows the location of 2024 lithogeochemical samples detailed in Table 1, as well as the location of all other CRI surface samples collected since 2021. As well Dr. Derek Wilton has sampled numerous historical drill holes, and NL Government Geological Survey geologists have sampled the rest of the historical drillholes, which data will be available in the near-term to further our compilations of geochemical data and follow-up plans. CRI is in close contact with the Geological Survey team, who are actively assessing the Baikie and Seahorse Lake areas through mapping, lithogeochemistry and age-dating of surface and core samples and who completed their first field season in the Florence Lake area in 2024. The Geological Survey is planning to be active again this summer on our property and the collaboration will be extremely helpful to Churchill.

    2024 soil sampling was modest in sample numbers and targeted to assess VTEM conductors lower in the stratigraphy in the Western Volcanics per Figure 5. Moderate nickel anomalies were generated in several areas for follow-up this summer.

    The technical and scientific information in this news release has been reviewed and approved by Dr. Derek H.C Wilton, P.Geo., FGC, who is a “qualified person” as defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). Mr. Wilton is an honourary research professor of Economic Geology at Memorial University and is independent of the Company for the purposes of NI 43-101.

    The lithogeochemical samples reported here were whole rock pieces, collected from outcrop and historical drill core by Dr. Wilton during fieldwork in September/October 2024. These samples were sealed in labelled plastic bags in the field. All sample bags were photographed and transported to Thunder Bay, ON, by secure courier. The samples were analysed by ALS Geochemistry Ltd. in Thunder Bay using ME-ICP06 whole rock and ME-MS61L analytical protocols. Samples with over limit Ni contents were re-assayed using OG-46 Aqua-Regia overlimit method. Quality control results, including the laboratory’s own control samples, were evaluated immediately.1

    The soil samples were placed in labelled, sealed kraft paper bags and delivered to Eastern Analytical of Springdale, NL, an ISO/IEC 17025 certified facility. The samples were analysed using ICP 34 (inductively coupled plasma) analytical protocols. Samples with over limit Ni contents were re-assayed using Eastern’s Ore Grade Assay (multi acid digestion) overlimit method. Quality control results, including the laboratory’s control samples, were evaluated immediately.

    Figure 4 – CRI Lithogeochemical Samples 2021-2024 in Baikie Sub-belt

    Figure 5 – CRI Soil Samples 2022-2024 in Baikie Sub-belt on detailed CRI magnetics

    About Churchill Resources Inc.

    Churchill Resources Inc. is a Canadian exploration company focused on high grade, magmatic nickel sulphides in Canada, principally at its prospective Taylor Brook and Florence Lake properties in Newfoundland & Labrador. The Churchill management team, board and its advisors have decades of combined management experience in mineral exploration and in the establishment of successful publicly listed mining companies, both in Canada and around the world. Churchill’s Taylor Brook and Florence Lake projects have the potential to benefit from the province’s large and diversified minerals industry, which includes world class nickel mines and processing facilities, and a well-developed mineral exploration sector with locally based drilling and geological expertise.

    Further Information

    For further information regarding Churchill, please contact:

    Churchill Resources Inc.
    Paul Sobie, Chief Executive Officer
    Tel.   +1 416.365.0930 (o)
        +1 647.988.0930 (m)
    Email   psobie@churchillresources.com
         
    Alec Rowlands, Corporate Consultant
    Tel.   +1 416.721.4732 (m)
    Email   arowlands@churchillresources.com
         

    Cautionary Note Regarding Forward Looking Information

    This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “proposed”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate to, among other things, the Company’s objectives, goals and exploration activities conducted and proposed to be conducted at the Company’s properties; future growth potential of the Company, including whether any proposed exploration programs at any of the Company’s properties will be successful; exploration results; and future exploration plans and costs and financing availability.

    These forward-looking statements are based on reasonable assumptions and estimates of management of the Company at the time such statements were made. Actual future results may differ materially as forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to materially differ from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors, among other things, include: the expected benefits to the Company relating to the exploration conducted and proposed to be conducted at the Company’s properties; failure to identify any mineral resources or significant mineralization; the preliminary nature of metallurgical test results; uncertainties relating to the availability and costs of financing needed in the future, including to fund any exploration programs on the Company’s properties; fluctuations in general macroeconomic conditions; fluctuations in securities markets; fluctuations in spot and forward prices of gold, silver, base metals or certain other commodities; fluctuations in currency markets (such as the Canadian dollar to United States dollar exchange rate); change in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations pressures, cave-ins and flooding); inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining and mineral exploration; employee relations; relationships with and claims by local communities and indigenous populations; availability of increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); the unlikelihood that properties that are explored are ultimately developed into producing mines; geological factors; actual results of current and future exploration; changes in project parameters as plans continue to be evaluated; soil sampling results being preliminary in nature and are not conclusive evidence of the likelihood of a mineral deposit; title to properties; and those factors described in the most recently filed management’s discussion and analysis of the Company. Although the forward-looking statements contained in this news release are based upon what management of the Company believes, or believed at the time, to be reasonable assumptions, the Company cannot assure shareholders that actual results will be consistent with such forward-looking statements, as there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements and information. There can be no assurance that forward-looking information, or the material factors or assumptions used to develop such forward-looking information, will prove to be accurate. The Company does not undertake to release publicly any revisions for updating any voluntary forward-looking statements, except as required by applicable securities law.

    Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.


    1 The Company reminds investors that surface rock samples are select samples and may not be representative of all mineralization on the Florence Lake property.

    Photos accompanying this announcement are available at: 

    https://www.globenewswire.com/NewsRoom/AttachmentNg/a4a7348e-6b56-4bb1-8fed-cb6009e554be

    https://www.globenewswire.com/NewsRoom/AttachmentNg/63543e74-a8d5-455e-a5b4-539e2bc771fd

    https://www.globenewswire.com/NewsRoom/AttachmentNg/1640a47f-264a-4f11-962f-d3cb179b030c

    https://www.globenewswire.com/NewsRoom/AttachmentNg/584d7791-09ee-45bc-ab69-c6a7e7332132

    https://www.globenewswire.com/NewsRoom/AttachmentNg/d275b392-66dd-4a1a-937a-2488d04f4555

    https://www.globenewswire.com/NewsRoom/AttachmentNg/4ad8cf7b-9b04-44ed-871c-34ec8a2d094b

    The MIL Network –

    February 11, 2025
  • MIL-OSI: Tower Semiconductor Reports 2024 Fourth Quarter and Full Year Financial Results

    Source: GlobeNewswire (MIL-OSI)

    MIGDAL HAEMEK, Israel, Feb. 10, 2025 (GLOBE NEWSWIRE) — Tower Semiconductor (NASDAQ: TSEM & TASE: TSEM) reports today its results for the fourth quarter of 2024 and for the year ended December 31, 2024.

    Fourth Quarter of 2024 Results Overview
    Revenues for the fourth quarter of 2024 were $387 million as compared to $371 million for the third quarter of 2024 and $352 million for the fourth quarter of 2023, representing 5% quarter over quarter growth and 10% year over year growth. The Company met its expressed target of sequential quarter over quarter revenue growth within 2024, resulting in 18% growth fourth quarter over first quarter.

    Gross profit for the fourth quarter of 2024 was $87 million, compared to $84 million for the fourth quarter of 2023. During the fourth quarter of 2024, the Company took on for the first time its portion of incremental costs of the greenfield Agrate facility.

    Operating profit for the fourth quarter of 2024 was $46 million as compared to $45 million for the fourth quarter of 2023.

    Net profit for the fourth quarter of 2024 was $55 million, reflecting $0.49 basic and diluted earnings per share. Net profit for the fourth quarter of 2023 was $54 million, or $0.49 basic and $0.48 diluted earnings per share.

    Cash flow generated from operating activities in the fourth quarter of 2024 was $101 million and investments in property and equipment, net were $93 million.

    Full year 2024 Results Overview
    Revenues for the full year of 2024 were $1.44 billion, gross profit was $339 million, operating profit was $191 million. Net profit for the full year of 2024 was $208 million, or $1.87 basic and $1.85 diluted earnings per share. For the full year of 2023, revenues were $1.42 billion, gross profit was $354 million, operating profit was $547 million and included $314 million, net, from the Intel merger contract termination and $33 million of restructuring income, net, from the previously disclosed reorganization and restructure of our Japan operations during 2022. Net profit for the full year of 2023 was $518 million, or $4.70 basic and $4.66 diluted earnings per share and included $290 million, net, due to the merger contract termination payment by Intel and $11 million restructuring income, net.

    Cash flow generated from operating activities for the year ended December 31, 2024, was $449 million. Investments in property and equipment, net for the year ended December 31, 2024, were $432 million and debt payments, net totaled $32 million.

    6” Fab Consolidation Update
    During the fourth quarter of 2024, the lower margin legacy of 150mm flows were discontinued in Fab1, with last Fab outs occurring in January 2025. The forward-looking strategic flows have been transferred into the Fab2 200mm factory. This strategic integration enables the Company to streamline its production processes, enhancing overall efficiency.

    Business Outlook
    Tower Semiconductor guides revenues for the first quarter of 2025 to be $358 million, with an upward or downward range of 5%. First quarter mid-range guidance reflects about 10% year-over-year growth.

    Russell Ellwanger, Chief Executive Officer of Tower Semiconductor, stated:
    “With the close of 2024, we are pleased with our progress, in having brought to market highly differentiated end application advancing platforms, hence strengthening our position for sustainable growth. Our 2025 revenue target is year-over-year growth, with sequential quarter-over-quarter revenue growth, and an acceleration in the second half of the year. This momentum is fueled by increasing production shipments as our previously announced capacity investments progress through the final stages of customer qualifications.”

    Ellwanger further added: “Our commitment to customer partnered innovation and streamlined execution continues to drive our ability to meet the growing and evolving needs of our customers in a quickly changing business environment, whilst expanding our available market size and share. We look forward to the year ahead with confidence and enthusiasm.”

    Teleconference and Webcast
    Tower Semiconductor will host an investor conference call today, Monday, February 10, 2025, at 10:00 a.m. Eastern time (9:00 a.m. Central time, 8:00 a.m. Mountain time, 7:00 a.m. Pacific time and 5:00 p.m. Israel time) to discuss the Company’s financial results for the fourth quarter and full year of 2024 and its business outlook.

    The call will be webcast and available through the Investor Relations section of Tower Semiconductor’s website at ir.towersemi.com. The pre-registration form required for dial-in participation is accessible here. Upon completing the registration, participants will receive the dial-in details, a unique PIN, and a confirmation email with all necessary information. To access the webcast, click here. The teleconference will be available for replay for 90 days.

    Non-GAAP Financial Measures
    The Company presents its financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”). The financial information included in the tables below includes unaudited condensed financial data. Some of the financial information, which may be used and/or presented in this release and/or prior earnings related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, which we may describe as adjusted financial measures and/or reconciled financial measures, are non-GAAP financial measures as defined in Regulation G and related reporting requirements promulgated by the Securities and Exchange Commission (the “SEC”) as they apply to our Company. These adjusted financial measures are calculated excluding the following: (i) amortization of acquired intangible assets as included in our costs and expenses, (ii) compensation expenses in respect of equity grants to directors, officers, and employees as included in our costs and expenses, (iii) merger contract termination fees received from Intel, net of associated cost and taxes following the previously announced Intel contract termination as included in net profit in 2023 and (iv) restructuring income, net, which includes income, net of cost and taxes associated with the reorganization and restructure of our operations in Japan including the cessation of operations of the Arai facility, which occurred during 2022, as included in net profit. These adjusted financial measures should be evaluated in conjunction with, and are not a substitute for, GAAP financial measures. The tables also present the GAAP financial measures, which are most comparable to the adjusted financial measures used and/or presented in this release, as well as a reconciliation between the adjusted financial measures and the comparable GAAP financial measures. As used and/or presented in this release and/or prior earnings related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, as well as may be included and calculated in the tables herein, the term Earnings Before Interest Taxes, Depreciation and Amortization which we define as EBITDA consists of operating profit in accordance with GAAP, excluding (i) depreciation expenses, which include depreciation recorded in cost of revenues and in operating cost and expenses lines (e.g., research and development related equipment and/or fixed other assets depreciation), (ii) stock-based compensation expense, (iii) amortization of acquired intangible assets, (iv) merger contract termination fees received from Intel, net of associated cost following the previously announced Intel contract termination, as included in operating profit and (v) restructuring income, net in relation to the reorganization and restructure of our operations in Japan including the cessation of operations of the Arai facility, as included in operating profit. EBITDA is reconciled in the tables below and/or prior earnings-related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company from GAAP operating profit. EBITDA and the adjusted financial information presented herein and/or prior earnings-related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, are not a required GAAP financial measure and may not be comparable to a similarly titled measure employed by other companies. EBITDA and the adjusted financial information presented herein and/or prior earnings-related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, should not be considered in isolation or as a substitute for operating profit, net profit or loss, cash flows provided by operating, investing and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP. The term Net Cash, as may be used and/or presented in this release and/or prior earnings-related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, is comprised of cash, cash equivalents, short-term deposits, and marketable securities less debt amounts as presented in the balance sheets included herein. The term Net Cash is not a required GAAP financial measure, may not be comparable to a similarly titled measure employed by other companies and should not be considered in isolation or as a substitute for cash, debt, operating profit, net profit or loss, cash flows provided by operating, investing and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP. The term Free Cash Flow, as used and/or presented in this release and/or prior earnings related filings and/or in related public disclosures or filings with respect to the financial statements and/or results of the Company, is calculated to be net cash provided by operating activities (in the amounts of $101 million, $125 million and $126 million for the three months periods ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively and in the amounts of $449 million and $677 million for the years ended December 31, 2024 and December 31, 2023, respectively (less cash used for investments in property and equipment, net (in the amounts of $93 million, $128 million and $136 million for the three months periods ended December 31, 2024, September 30, 2024 and December 31, 2023, respectively and in the amounts of $432 million and $432 million for the years ended December 31, 2024 and December 31, 2023, respectively). The term Free Cash Flow is not a required GAAP financial measure, may not be comparable to a similarly titled measure employed by other companies and should not be considered in isolation or as a substitute for operating profit, net profit or loss, cash flows provided by operating, investing, and financing activities, per share data or other profit or cash flow statement data prepared in accordance with GAAP.

    About Tower Semiconductor
    Tower Semiconductor Ltd. (NASDAQ/TASE: TSEM), the leading foundry of high-value analog semiconductor solutions, provides technology, development, and process platforms for its customers in growing markets such as consumer, industrial, automotive, mobile, infrastructure, medical and aerospace and defense. Tower Semiconductor focuses on creating a positive and sustainable impact on the world through long-term partnerships and its advanced and innovative analog technology offering, comprised of a broad range of customizable process platforms such as SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, displays, integrated power management (BCD and 700V), photonics, and MEMS. Tower Semiconductor also provides world-class design enablement for a quick and accurate design cycle as well as process transfer services including development, transfer, and optimization, to IDMs and fabless companies. To provide multi-fab sourcing and extended capacity for its customers, Tower Semiconductor owns one operating facility in Israel (200mm), two in the U.S. (200mm), two in Japan (200mm and 300mm) which it owns through its 51% holdings in TPSCo, shares a 300mm facility in Agrate, Italy with STMicroelectronics as well as has access to a 300mm capacity corridor in Intel’s New Mexico factory. For more information, please visit: www.towersemi.com.

    CONTACT:
    Liat Avraham | Investor Relations | +972-4-6506154 | liatavra@towersemi.com

    Forward-Looking Statements
    This release, as well as other statements and reports filed, stated and published in relation to this quarter’s results, includes certain “forward-looking” statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements include, among others, projections and statements with respect to our future business, financial performance and activities. The use of words such as “projects”, “expects”, “may”, “targets”, “plans”, “intends”, “committed to”, “tracking”, or words of similar import, identifies a statement as “forward-looking.” Actual results may vary from those projected or implied by such forward-looking statements and you should not place any undue reliance on such forward-looking statements, which describe information known to us only as of the date of this release. Factors that could cause actual results to differ materially from those projected or implied by such forward-looking statements include, without limitation, risks and uncertainties associated with: (i) demand in our customers’ end markets, (ii) reliance on acquisitions and/or gaining additional capacity for growth, (iii) difficulties in achieving acceptable operational metrics and indices in the future as a result of operational, technological or process-related problems, (iv) identifying and negotiating with third-party buyers for the sale of any excess and/or unused equipment, inventory and/or other assets, (v) maintaining current key customers and attracting new key customers, (vi) over demand for our foundry services resulting in high utilization and its effect on cycle time, yield and on schedule delivery, as well as customers potentially being placed on allocation, which may cause customers to transfer their business to other vendors, (vii) financial results that may fluctuate from quarter to quarter, making it difficult to forecast future performance, (viii) our debt and other liabilities that may impact our financial position and operations, (ix) our ability to successfully execute acquisitions, integrate them into our business, utilize our expanded capacity and find new business, (x) fluctuations in cash flow, (xi) our ability to satisfy the covenants stipulated in our agreements with our debt holders, (xii) pending litigation, (xiii) meeting the conditions set in approval certificates and other regulations under which we received grants and/or royalties and/or any type of funding from the Israeli, US and/or Japan governmental agencies, (xiv) receipt of orders that are lower than the customer purchase commitments and/or failure to receive customer orders currently expected, (xv) possible incurrence of additional indebtedness, (xvi) the effects of global recession, unfavorable economic conditions and/or credit crisis, (xvii) our ability to accurately forecast financial performance, which is affected by limited order backlog and lengthy sales cycles, (xviii) possible situations of obsolete inventory if forecasted demand exceeds actual demand when we create inventory before receipt of customer orders, (xix) the cyclical nature of the semiconductor industry and the resulting periodic overcapacity, fluctuations in operating results and future average selling price erosion, (xx) financing capacity acquisition related transactions, strategic and/or other growth or M&A opportunities, including funding Agrate fab’s significant 300mm capacity investments and acquisition or funding of equipment and other fixed assets associated with the capacity corridor transaction with Intel as announced in September 2023, in addition to other capacity and capability expansion plans, and the possible unavailability of such financing and/or the availability of such financing on unfavorable terms, (xxi) operating our facilities at sufficient utilization rates necessary to generate and maintain positive and sustainable gross, operating and net profit, (xxii) the purchase of equipment and/or raw material (including purchases beyond our needs), the timely completion of the equipment installation, technology transfer and raising the funds therefor, (xxiii) product returns and defective products, (xxiv) our ability to maintain and develop our technology processes and services to keep pace with new technology, including artificial intelligence, evolving standards, changing customer and end-user requirements, new product introductions and short product life cycles, (xxv) competing effectively, (xxvi) the use of outsourced foundry services by both fabless semiconductor companies and integrated device manufacturers, (xxvii) our dependence on intellectual property rights of others, our ability to operate our business without infringing others’ intellectual property rights and our ability to enforce our intellectual property against infringement, (xxviii) the Fab 3 landlord’s alleged claims that the noise abatement efforts made thus far are not adequate under the terms of the amended lease that caused him to request a judicial declaration that there was a material non-curable breach of the lease and that he would be entitled to terminate the lease, as well the ability to extend such lease or acquire the real estate and obtain the required local state and/or approvals required to be able to continue operations beyond the current lease term, (xxix) retention of key employees and recruitment and retention of skilled qualified personnel, (xxx) exposure to inflation, currency rates (mainly the Israeli Shekel, the Japanese Yen and the Euro) and interest rate fluctuations and risks associated with doing business locally and internationally, as well as fluctuations in the market price of our traded securities, (xxxi) meeting regulatory requirements worldwide, including export, environmental and governmental regulations, as well as risks related to international operations, (xxxii) potential engagement for fab establishment, joint venture and/or capital lease transactions for capacity enhancement in advanced technologies, including risks and uncertainties associated with the Agrate fab and the capacity corridor transaction with Intel as announced in September 2023, such as their qualification schedule, technology, equipment and process qualification, facility operational ramp-up, customer engagements, cost structure, required investments and other terms, which may require additional funding to cover their significant capacity investment needs and other payments, the availability of which funding cannot be assured on favorable terms, if at all, (xxxiii) potential liabilities, cost and other impacts that may be incurred or occur due to reorganization and consolidation of fabrication facilities, including the impact of cessation of operations of our facilities, including with regard to our 6 inch facility, (xxxiv) potential security, cyber and privacy breaches, (xxxv) workforce that is not unionized which may become unionized, and/or workforce that is unionized and may take action such as strikes that may create increased cost and operational risks, (xxxvi) the issuance of ordinary shares as a result of exercise and/or vesting of any of our employee equity, as well as any sale of shares by any of our shareholders, or any market expectation thereof, as well as the issuance of additional employee stock options and/or restricted stock units, or any market expectation thereof, which may depress the market value of the Company and the price of the Company’s ordinary shares and in addition may impair our ability to raise future capital, and (xxxvii) climate change, business interruptions due to floods, fires, pandemics, earthquakes and other natural disasters, the security situation in Israel, global trade “war” and the current war in Israel, including the potential inability to continue uninterrupted operations of the Israeli fab, impact on global supply chain to and from the Israeli fab, power interruptions, chemicals or other leaks or damages as a result of the war, absence of workforce due to military service as well as risk that certain countries will restrict doing business with Israeli companies, including imposing restrictions if hostilities in Israel or political instability in the region continue or exacerbate, and other events beyond our control. With respect to the current war in Israel, if instability in neighboring states occurs, Israel could be subject to additional political, economic, and military confines, and our Israeli facility’s operations could be materially adversely affected. Any current or future hostilities involving Israel or the interruption or curtailment of trade between Israel and its present trading partners, or a significant downturn in the economic or financial condition of Israel, could have a material adverse effect on our business, financial condition and results of operations.

    A more complete discussion of risks and uncertainties that may affect the accuracy of forward-looking statements included in this release or which may otherwise affect our business is included under the heading “Risk Factors” in the Company’s most recent filings on Forms 20-F and 6-K, as were filed with the SEC and the Israel Securities Authority. Future results may differ materially from those previously reported. The Company does not intend to update, and expressly disclaims any obligation to update, the information contained in this release.

    TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES  
    CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)  
    (dollars in thousands)  
      December 31,   December 31,  
      2024   2023  
    ASSETS        
    CURRENT ASSETS        
    Cash and cash equivalents $ 271,894   $ 260,664  
    Short-term deposits 946,351   790,823  
    Marketable securities —   184,960  
    Trade accounts receivable 211,932   154,067  
    Inventories 268,295   282,688  
    Other current assets 61,817   35,956  
    Total current assets 1,760,289   1,709,158  
    PROPERTY AND EQUIPMENT, NET 1,286,622   1,155,929  
    GOODWILL AND OTHER INTANGIBLE ASSETS, NET 10,196   12,115  
    OTHER LONG-TERM ASSETS 23,378   41,315  
    TOTAL ASSETS $ 3,080,485   $ 2,918,517  
    LIABILITIES AND SHAREHOLDERS’ EQUITY        
    CURRENT LIABILITIES        
    Short-term debt $ 48,376   $ 58,952  
    Trade accounts payable 130,624   139,128  
    Deferred revenue and customers’ advances 21,655   18,418  
    Other current liabilities 84,409   60,340  
    Total current liabilities 285,064   276,838  
    LONG-TERM DEBT 132,437   172,611  
    LONG-TERM CUSTOMERS’ ADVANCES 7,690   25,710  
    OTHER LONG-TERM LIABILITIES 15,114   16,319  
    TOTAL LIABILITIES 440,305   491,478  
    TOTAL SHAREHOLDERS’ EQUITY 2,640,180   2,427,039  
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 3,080,485   $ 2,918,517  
             
    TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES  
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)  
    (dollars and share count in thousands, except per share data)  
      Three months ended  
      December 31,   September 30,   December 31,  
      2024   2024   2023  
    REVENUES $ 387,191   $ 370,512   $ 351,711  
    COST OF REVENUES 300,338   277,451   267,294  
    GROSS PROFIT 86,853   93,061   84,417  
    OPERATING COSTS AND EXPENSES:            
    Research and development 20,622   19,867   20,849  
    Marketing, general and administrative 19,812   17,432   18,401  
      40,434   37,299   39,250  
                 
    OPERATING PROFIT 46,419   55,762   45,167  
    FINANCING AND OTHER INCOME, NET 8,315   6,104   16,682  
    PROFIT BEFORE INCOME TAX 54,734   61,866   61,849  
    INCOME TAX EXPENSE, NET (2,149)   (7,026)   (10,130)  
    NET PROFIT 52,585   54,840   51,719  
    Net loss (profit) attributable to non-controlling interest 2,553   (193)   2,128  
    NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 55,138   $ 54,647   $ 53,847  
    BASIC EARNINGS PER SHARE $ 0.49   $ 0.49   $ 0.49  
    Weighted average number of shares 111,493   111,237   110,796  
    DILUTED EARNINGS PER SHARE $ 0.49   $ 0.49   $ 0.48  
    Weighted average number of shares 112,967   112,474   111,308  
    RECONCILIATION FROM GAAP NET PROFIT ATTRIBUTABLE TO THE COMPANY TO ADJUSTED NET PROFIT ATTRIBUTABLE TO THE COMPANY:
    GAAP NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 55,138   $ 54,647   $ 53,847  
    Stock based compensation 10,684   8,611   6,662  
    Amortization of acquired intangible assets 574   448   442  
    ADJUSTED NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 66,396   $ 63,706   $ 60,951  
    ADJUSTED EARNINGS PER SHARE:            
    Basic $ 0.60   $ 0.57   $ 0.55  
    Diluted $ 0.59   $ 0.57   $ 0.55  
                 
    TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES  
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)  
    (dollars and share count in thousands, except per share data)  
      Year ended  
      December 31,  
      2024   2023  
    REVENUES $ 1,436,122   $ 1,422,680  
    COST OF REVENUES 1,096,680   1,069,161  
    GROSS PROFIT 339,442   353,519  
    OPERATING COSTS AND EXPENSES:        
    Research and development 79,434   79,808  
    Marketing, general and administrative 74,964   72,454  
    Restructuring income, net * (6,270)   (32,506)  
    Merger-contract termination fee, net ** —   (313,501)  
      148,128   (193,745)  
             
    OPERATING PROFIT 191,314   547,264  
    FINANCING AND OTHER INCOME, NET 26,113   37,578  
    PROFIT BEFORE INCOME TAX 217,427   584,842  
    INCOME TAX EXPENSE, NET (10,205)   (65,312)  
    NET PROFIT 207,222   519,530  
    Net loss (profit) attributable to non-controlling interest 642   (1,036)  
    NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 207,864   $ 518,494  
    BASIC EARNINGS PER SHARE $ 1.87   $ 4.70  
    Weighted average number of shares 111,153   110,289  
    DILUTED EARNINGS PER SHARE $ 1.85   $ 4.66  
    Weighted average number of shares 112,343   111,216  
    * Restructuring income, net resulted from the previously disclosed reorganization and restructure of our Japan operations during 2022.  
    ** Merger-contract termination fee received from Intel during the third quarter of 2023, net of associated cost.  
             
    RECONCILIATION FROM GAAP NET PROFIT ATTRIBUTABLE TO THE COMPANY TO ADJUSTED NET PROFIT ATTRIBUTABLE TO THE COMPANY:
    GAAP NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 207,864   $ 518,494  
    Stock based compensation 33,837   27,931  
    Amortization of acquired intangible assets 1,918   1,923  
    Restructuring income, net *** (2,634)   (11,224)  
    Merger-contract termination fee, net **** —   (289,988)  
    ADJUSTED NET PROFIT ATTRIBUTABLE TO THE COMPANY $ 240,985   $ 247,136  
    ADJUSTED EARNINGS PER SHARE:        
    Basic $ 2.17   $ 2.24  
    Diluted $ 2.15   $ 2.22  
    *** Restructuring income, net resulted from the previously disclosed reorganization and restructure of our Japan operations during 2022, net of tax.
    **** Merger-contract termination fee received from Intel during the third quarter of 2023, net of associated cost and tax.
    TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES  
    CONSOLIDATED SOURCES AND USES REPORT (UNAUDITED)  
    (dollars in thousands)  
      Three months ended  
      December 31,   September 30,   December 31,  
      2024   2024   2023  
    CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD $ 270,979   $ 265,313   $ 314,816  
    Net cash provided by operating activities 100,816   124,743   126,098  
    Investments in property and equipment, net (93,396)   (127,624)   (136,426)  
    Debt received (repaid), net 2,795   (16,402)   (8,950)  
    Effect of Japanese Yen exchange rate change over cash balance (4,972)   5,537   2,101  
    Proceeds from (investment in) deposits, marketable securities and other assets, net (4,328)   19,412   (36,975)  
    CASH AND CASH EQUIVALENTS – END OF PERIOD $ 271,894   $ 270,979   $ 260,664  
      Year ended      
      December 31,   December 31,      
      2024   2023      
    CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD $ 260,664   $ 340,759      
    Net cash provided by operating activities 448,682   676,561 *    
    Investments in property and equipment, net (431,653)   (432,184)      
    Debt repaid, net (32,455)   (32,346)      
    Proceeds from investment in subsidiary —   1,932      
    Effect of Japanese Yen exchange rate change over cash balance (4,758)   (5,395)      
    Proceeds from (investment in) deposits, marketable securities and other assets, net 31,414   (288,663)      
    CASH AND CASH EQUIVALENTS – END OF PERIOD $ 271,894   $ 260,664      
    * Merger-contract termination fee received from Intel during 2023, net of associated cost, in the amount of $313,501  
    was included within the net cash provided by operating activities for the year ended December 31, 2023.  
     TOWER SEMICONDUCTOR LTD. AND SUBSIDIARIES  
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)  
    (dollars in thousands)  
      Year ended  
      December 31,   December 31,  
      2024   2023  
    CASH FLOWS – OPERATING ACTIVITIES        
    Net profit for the period $ 207,222   $ 519,530  
    Adjustments to reconcile net profit for the period        
    to net cash provided by operating activities:        
    Income and expense items not involving cash flows:        
    Depreciation and amortization * 266,279   258,021  
    Effect of exchange rate differences and fair value adjustment 133   (1,632)  
    Other expense (income), net 24,721   (7,047)  
    Changes in assets and liabilities:        
    Trade accounts receivable (60,169)   (3,160)  
    Other current assets (33,992)   (9,541)  
    Inventories 4,778   8,682  
    Trade accounts payable 35,784   (8,254)  
    Deferred revenue and customers’ advances (14,783)   (35,676)  
    Other current liabilities 22,021   (70,163)  
    Other long-term liabilities (3,312)   25,801  
    Net cash provided by operating activities 448,682   676,561 **
    CASH FLOWS – INVESTING ACTIVITIES        
    Investments in property and equipment, net (431,653)   (432,184)  
    Proceeds from (investments in) deposits, marketable securities and other assets, net 31,414   (288,663)  
    Net cash used in investing activities (400,239)   (720,847)  
    CASH FLOWS – FINANCING ACTIVITIES        
    Debt repaid, net (32,455)   (32,346)  
    Proceeds from investment in subsidiary —   1,932  
    Net cash used in financing activities (32,455)   (30,414)  
    EFFECT OF FOREIGN CURRENCY EXCHANGE RATE CHANGE (4,758)   (5,395)  
             
    INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 11,230   (80,095)  
    CASH AND CASH EQUIVALENTS – BEGINNING OF PERIOD 260,664   340,759  
    CASH AND CASH EQUIVALENTS – END OF PERIOD $ 271,894   $ 260,664  
    * Includes amortization of acquired intangible assets and stock based compensation in the amounts of $35,755  
    and $29,854 for the years ended December 31, 2024, and December 31, 2023, respectively.      
    ** Merger-contract termination fee received from Intel during the third quarter of 2023, net of associated cost, in the amount
    of $313,501 was included within the net cash provided by operating activities for the year ended December 31, 2023.
             

    The MIL Network –

    February 11, 2025
  • MIL-OSI United Kingdom: AI and satellites speed up planning approvals by tracking wild habitats across England

    Source: United Kingdom – Executive Government & Departments

    New records reveal the government is utilising AI and technology to enhance public services, including streamlining MOT inspections and speeding up planning with satellite habitat mapping.

    How AI is improving public services and new AI Playbook will drive public sector use.

    • New records reveal how government is using AI and tech to deliver for the public – including by streamlining MOT garage inspections and using satellite habitat mapping to speed up planning
    • Comes alongside practical tips to help public sector build tech to speed up decision making and transform services for working people – delivering the Plan for Change
    • Guidance shares top tips from development of GOV.UK Chat and other advanced tech on using safeguards to ensure the tech works in the public’s interest

    AI and satellite images are being used to predict how natural habitats are changing across the country, so more current data can be used to accelerate planning proposals and stop NIMBYism getting in the way of growth and the Plan for Change. 

    Satellite images and machine learning – a type of AI – are being used by Natural England to build a detailed map of “Living England”, showing the current extent of habitats across the country. Rather than the manual surveys of the past, changes to English habitats will now be tracked more efficiently and across the country – speeding up decisions around planning and land use while better protecting nature. 

    Details of the project are being released today alongside 13 other examples of how AI and algorithmic tools are used to speed up decision making and improve public services – spanning examples including how AI is being used to better predict the weather and keep standards high at MOT testing centres.

    A new AI Playbook, published today, gives public sector technical experts top tips and guiding principles on how to replicate this work and build AI to help their organisations fix services for citizens – ultimately delivering on the government’s ambition to transform public services with AI.

    Civil servants are guided on how to buy and manage the development of AI technology in their departments and encouraged to work with AI companies closely so the technology can be put to work more quickly. 

    Today’s announcement comes as world leaders gather for the AI Action Summit in Paris, and follow’s the publication of the UK’s AI Opportunities Action Plan, which has put the UK on course to revolutionise public services and become an AI superpower – already attracting over £14 billion in investment since launching just last month.  

    Technology Secretary Peter Kyle said: 

    Every corner of the public sector can be using technology to save money, speed things up, and crucially, improve public services for people across the UK, driving our Plan for Change forward. 

    The publication of our AI Playbook today comes with a call to arms for tech specialists across the public sector – use the guidance we are sharing to put AI to work in your organisations at whiplash speed, so we can repair our broken public services together.

    Natural England’s Chief Scientist, Professor Sallie Bailey said:

    Nature restoration, development and economic growth are not opposing forces – they can and must work together to create a sustainable future for both people and wildlife.

    Our Living England project is harnessing the power of AI to inform and support planning decisions far more efficiently. This means we can make the biggest impact for Nature recovery, while helping to deliver the new homes and infrastructure the country needs.

    The AI Playbook, published by the Department for Science, Innovation and Technology, outlines ten principles civil servants building AI should follow, making sure they: 

    • Have meaningful human control at the right stages, so any decisions recommended by technology can be monitored properly, and changed rapidly if needed. 

    • Choose the right tool for the right job and avoid using AI where more basic technology can fulfil the same task. 

    • Work with teams responsible for buying technology right from the start, to make sure agreements struck with private sector companies can be utilised to maximum potential in this rapidly evolving market. 

    The Playbook also insists that public servants working with AI do so openly and collaboratively, making sure the public know how technology is being used and allowing other public sector organisations to benefit from work that has already taken place.  

    Other records being released today detail how the Driver and Vehicle Standards Agency (DVSA) uses AI to prioritise which of the 23,000 active MOT testing garages should receive an inspection next. 

    Producing a traffic light rating for every garage, the AI tool takes in data from MOT tests to spot anomalies and identify which garages should be checked first, so inspectors can confirm they are working to crucial safety standards. Previously, inspections were based only on the amount of time that had passed since the last check. 

    Today’s release follows the Technology Secretary publishing the blueprint for a modern digital government, setting out how his department will use AI and technology to help the public sector improve their services and target £45 billion in potential efficiency savings every year. This is as well as announcing a bundle of tools to be known as “Humphrey” and set to be made available to all civil servants soon.  

    Among other things, the tools will help civil servants assess responses to consultations, take minutes at meetings and analyse decades of debate from the Houses of Parliament. 

    Notes to editors

    Find the AI Playbook here.

    The full list of Algorithmic Transparency Records being published today is as follows. 

    Met Office (DSIT)

    Weather and climate forecasting: A combination of multiple different algorithmic tools used to produce weather forecasts.

    Natural England (Defra)

    Living England map: Habitat mapping for the whole of England using satellite imagery, targeted field survey and machine learning.

    DVSA (DfT)

    MOT Risk Rating: An algorithmic to identify potential non-compliance in MOT testing, and prioritise visits to MOT garages.

    Wilton Park

    Data Cleaning Tool: Enables compliance with The General Data Protection Regulation (GDPR) by identifying and automatically cleaning personal data from the Wilton Park customer database.

    OSCB (DBT)

    Interest Calculator: Assists small business owners to calculate the amount of interest due on an overdue invoice.

    National Highways (DfT)

    Highways webchat: provides customers with an additional communication channel to get immediate answers to their questions using publicly available information (such as traffic information).

    DSIT: GOV.UK site search

    The search engine for GOV.UK. It enables users to search for information and services on GOV.UK by entering a search query to view results that are relevant to their query.

    NHS Business Services Authority (DHSC)

    Residency Checker for EHIC/GHIC/PRC: A process to support confirmation of UK residency for entitlement to healthcare in an European Economic Area (EEA) country or Switzerland.

    Department for Work and Pensions (DWP)

    Employment and Support Allowance Online Medical Matching: A tool which helps Employment and Support Allowance (ESA) officials process claims more quickly.

    Money and Pensions Service (MaPs)

    Budget Planner: A free online tool that helps users track and categorize their spending, provides a detailed breakdown of their finances, and offers personalized tips to improve their money management.

    Money and Pensions Service (MaPs)

    Redundancy Pay Calculator: Online tool designed to help individuals who have been or are at risk of being made redundant understand their legal rights, calculate their potential redundancy pay, assess their financial situation, and explore available benefits and support.

    Ministry of Justice (MoJ)

    The Effective Proposal Framework: Used by Probation Practitioners at pre-sentence stage and as part of pre-release planning to identify requirements, licence conditions and interventions for individuals based on their risk and need profile.

    Health Research Authority (DHSC)

    Proportionate Review Toolkit: A toolkit to help Research Ethics Committee applicants determine whether their project would be eligible for proportionate review.

    His Majesty’s Revenue and Customs (HMRC)

    Logo Detection and Classification Toolkit: A tool to detect unauthorised uses of HMRC’s logo.

    DSIT media enquiries

    Email press@dsit.gov.uk

    Monday to Friday, 8:30am to 6pm 020 7215 300

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    Updates to this page

    Published 10 February 2025

    MIL OSI United Kingdom –

    February 10, 2025
  • MIL-OSI Australia: (WIP) Stamp duty complexities in Sale and Purchase Agreements: insights from Van Dairy

    Source: Allens Insights

    Care required not to trigger duty or double duty 10 min read

    The recent Tasmanian case of Van Dairy1 suggests that an agreement to procure a sale of property might be liable to duty as an agreement for sale, even if the owner of the property is not a party to it. This is significant because, in the context of this case, it meant the Sale and Purchase Agreement (SPA) triggered adverse stamp duty implications. This included that the purchaser became a land-rich entity before completion, so that a double duty liability was triggered by the transfer of its shares before completion of the land purchase.

    To ‘change your mind’ after the contract is signed involves a major risk of incurring double duty under the landholder duty provisions of each Australian jurisdiction.

    The principle in the case is potentially relevant when a corporate or other entity, which wholly controls one or more subsidiaries, undertakes to procure or arrange for those subsidiaries to sell land, shares or other assets held by them to a buyer.2 It could potentially apply to impose duty on other agreements where the owners of the relevant sale property are not parties, such as scheme implementation agreements, or global business sale agreements in which parent companies of global groups undertake to procure their subsidiaries in various countries to buy and sell relevant businesses or companies.

    We understand that the taxpayers have appealed the decision, and it remains to be seen whether the decision is overturned, or whether it will be followed in other Australian jurisdictions.

    The case is also a salutary lesson about the importance of establishing ownership of a special purpose entity before it enters into a contract to acquire land assets, to ensure double duty does not arise under the landholder duty provisions in any Australian jurisdiction.

    Key takeaways

    • A sale and purchase agreement under which a controlling entity agrees to procure the sale of property by an entity which it controls, can potentially be characterised as a binding agreement for the sale of that property, even though the entity that owns the property is not a party to the agreement. Thus, such an agreement can trigger adverse duty consequences.
    • Taxpayers establishing entities to acquire land assets or other property should strive to establish them with the correct or intended ownership prior to signing any contract to purchase the assets. To ‘change your mind’ after the contract is signed involves a major risk of incurring double duty under the landholder duty provisions of each Australian jurisdiction.
    • This is subject to the potential for a taxpayer that is a member of a corporate group being able to rely on corporate reconstruction exemptions and concessions, to obtain an exemption or reduction in duty for a change in ownership within a corporate group of the special purpose entity after it acquires the land assets.

    Who in your organisation needs to know about this?

    Members of the tax and legal teams, and others involved in negotiating SPAs and global sale agreements, and in establishing special purpose entities to acquire land or other assets.

    A summary of the Van Dairy case

    Facts

    In October 2015, certain Tasmanian properties (the Woolnorth properties) were marketed for sale. They were then owned by two companies named Van Diemen’s Land Company (VDL) and Tasman Ferndale Pty Ltd (TFPL), both of which were wholly owned by Tasman Land Company (TLC).

    Mr Lu Xianfeng (Mr Lu) wanted to purchase the Woolnorth properties and related assets that were to be sold by interests controlled by TLC. Mr Lu at all relevant times controlled the corporate appellants in the matter. On 30 October 2015, Moon Lake Investments Pty Ltd (Moon Lake) was incorporated, with Mr Lu as the sole shareholder, holding all five shares in the company.

    On 20 November 2015, Mr Lu, Moon Lake and TLC executed a written agreement referred to as the SPA. Under this agreement, as per clause 3, TLC agreed to ‘procure the sale and transfer to [Moon Lake] of the Assets … with affect from Closing’. The Assets referenced were owned by ‘the group’, which consisted of TFPL and VDL, which—as noted above—were wholly owned subsidiaries of TLC.

    On 12 January 2016, according to the Moon Lake share register held by the Australian Securities and Investments Commission, Mr Lu’s five shares in Moon Lake were transferred to Ningbo Kaixin Investment Co Ltd (Ningbo).

    On 24 March 2016, Ningbo’s shares in Moon Lake were then transferred to Van Dairy (Hong Kong) Group Ltd (VDHK).

    On 31 March 2016, completion of the sale of the land took place. Moon Lake partly funded payment of the purchase price by issuing a large number of shares to VDHK. Moon Lake received the executed land transfers from VDL and TFPL and, on around 4 April 2016, these were lodged to be assessed for stamp duty by the State Revenue Office (SRO), together with payment of estimated duty of over $8 million.

    Subsequently the SRO told Moon Lake’s solicitors it would give further consideration as to whether Ningbo and/or VDHK had any liability to pay land-rich duty, separately from Moon Lake’s liability to pay duty on the acquisition of the Woolnorth properties.

    On 28 January 2021, the corporate appellants received a notice from the SRO that it intended to investigate whether Ningbo and/or VDHK had acquired any relevant interest in a land-rich corporation.

    On 20 April 2021, Moon Lake received further correspondence from the SRO, which included the following statement:

    The acquisition by shares by [Ningbo] on 15 January 2016 and then subsequently by [VDHK] on 24 March each resulted in a separate dutiable transaction under s66 of the Act as at the time of each of those majority acquisitions, Moon Lake was deemed to be a land-rich company.

    On 5 July 2021, the SRO informed Ningbo and VDHK that each were liable to pay duty interest and penalty tax in the sum of approximately $10.5 million.

    On 2 September 2021, Ningbo and VDHK each lodged notices of objection with the Commissioner regarding the 5 July 2021 assessments. The Commissioner disallowed their objections (apart from a reduction in the quantum of each assessment). The assessments, as revised, were the subject of challenge in the case.

    Issues

    The most significant issue from a duty viewpoint was whether the SPA was an uncompleted agreement for the sale of land, despite the fact that the owners of the land were not parties to the agreement. If so, it meant the SPA had the effect of causing Moon Lake to be a land-rich corporation both at the time of the transfer of its shares to Ningbo and then to VDHK, triggering multiple duty.

    The decision on whether the SPA was an uncompleted agreement for the sale of land

    Under section 60(1) of the Duties Act 2001, a private corporation was land rich if:

    • it had land holdings in Tasmania where the unencumbered value is $500,000 or more; and
    • its land holdings in all places, whether within or outside Australia, comprised 60% or more of the unencumbered value of all its property.

    A land holding included any interest in land, with some exceptions that were not relevant to the facts of the case.3

    Under section 61(4), the vendor and the purchaser under an uncompleted agreement for the sale of land were each taken to be separately entitled to the whole of the land. While the land-rich duty provisions in Tasmania were subsequently replaced by landholder duty provisions (removing the 60% requirement), there is an equivalent provision in section 79(1) of the current Act. In addition, all Australian jurisdictions have an equivalent provision in their landholder duty legislation.

    Before the Supreme Court of Tasmania, Ningbo and VDHK argued that s61(4) did not deem Moon Lake to be entitled to the whole of the land the subject of the SPA as it was not a purchaser under an uncompleted agreement for the sale of land. The basis of this argument was that the SPA was a contract between TLC and Moon Lake. The land was not owned by TLC, but by companies controlled by TLC. Ningbo asserted that this is different from TLC itself selling the land to Moon Lake.

    Acting Justice Marshall noted that the proper interpretation of s61 was central to the resolution of this issue. Firstly, his Honour noted that the expression ‘agreement for the sale of land’ was not defined in the Act. In turning to the ordinary natural meaning of the words, his Honour held:

    “The ordinary natural meaning of the words is to provide a description of an agreement which results in the sale of land. The words in the section are not “an agreement for the sale of land by a vendor and its purchase by a buyer”.

    This approach highlights that the words ‘for the sale of land’ are the key element of the description of the agreement and should not be construed narrowly or pedantically. The words indicate binding agreements by which the sale of land is effected. On the facts of the case there was no doubt TLC was able to secure the sale of the land to Moon Lake as required under the SPA. Therefore, Moon Lake was a purchaser under an uncompleted agreement for the sale of land, and was treated as holding an interest in the land for the purposes of s61(1) of the Act.

    The court also referred to the judgment of Justice Fullagar in Hall v Busst, where his Honour said there were ‘three essential elements’ required for a concluded agreement including the parties, the subject matter and the price.4 All three were satisfied in Van Dairy, including the parties.

    Implications

    The decision suggests that an agreement to procure a sale of property might be liable to duty as an agreement for sale, even if the owner of the property is not a party to it.

    We understand an appeal against the decision of the Tasmanian Supreme Court has been lodged in the Tasmanian Court of Appeal by the taxpayers. Pending the outcome of that appeal, the decision remains persuasive in other jurisdictions.

    It remains to be seen whether the decision is ultimately overturned, or is followed in other jurisdictions. It may be that it can be confined to its facts—although the owners of the relevant land were not parties to the SPA, their controlling parent company, TLC, undertook a binding obligation to procure that they sold the land, and there was no other agreement for sale entered into or contemplated. The SPA operated as the agreement that regulated the sale of the land. It might be different if the agreement had been drafted as an obligation of TLC to procure that its subsidiaries entered into a separate agreement for the sale of the land with the purchaser. This is often the case with global sale agreements, where the parent company of a multinational group undertakes to procure that its subsidiaries enter into separate country-specific agreements relating to the sale of downstream assets.

    The result in Van Dairy might also have been different if the question was whether the deeming provision in s61(4) applied to the owners of the land as vendors, since they were not parties. Alternatively, if only TLC and Mr Lu (but not Moon Lake) had entered into the agreement, perhaps s61(4) would not have applied because Moon Lake, as purchaser, would not have been a party to the agreement.

    In the case of a scheme implementation agreement in a takeover context, the target company undertakes to take steps to seek shareholder (and court) approval of a scheme for the sale of its shares by the shareholders to the acquirer. This might potentially trigger a landholder duty liability under the provisions of the duties legislation in Queensland or Western Australia. However, the target company is generally not in a position to definitely procure the sale—there is doubt about the scheme proceeding, because it generally depends on approval by the shareholders (and the court). So, on that basis, the position might be distinguishable from the decision in Van Dairy.

    As indicated in Van Dairy, double duty can be triggered when ownership of a purchaser entity is not established correctly at the outset. There were two transfers of the shares in Moon Lake after the SPA had been signed, triggering two lots of duty on the transfers of shares in Moon Lake, in addition to the duty on the purchase of the land. Therefore, it is important to seek to establish the correct entities as shareholders (or unitholders in the case of a unit trust) prior to the purchaser entity entering into a contract to acquire the land. Any transfer of ownership of the purchaser entity after it becomes a landholder could potentially attract landholder duty. This is subject to whether relief might be available under exemptions or concessions for transfers within a corporate group, as explained below.

    As noted above, the landholder duty legislation of other Australian jurisdictions has similar provisions deeming a company to be a holder of land where it has entered into an uncompleted agreement to purchase the land. For this reason, the Van Dairy decision will be persuasive authority on the interpretation of those provisions.

    For example, under section 160(1) of the Duties Act 1997 (NSW), the transferor and the transferee under an uncompleted agreement for the sale or transfer of land are each taken to be separately entitled to the whole of the land.5

    The use of the terms transferor and transferee correspond to the use of the terms vendor and the purchaser in the Tasmanian Act. If the same facts as in Van Dairy occurred in relation to NSW land, then the case would be persuasive authority for the same interpretation of the NSW legislation.

    Corporate reconstruction exemptions and concessions

    For the purposes of changing the structure of a corporate group or changing the holding of assets within a corporate group, a taxpayer may seek to consider corporate reconstruction exemptions and concessions. A corporate group broadly consists of a parent corporation and its subsidiaries where there is at least 90% ownership.6 Where such an exemption or concession is available, it provides some flexibility to change the ownership of a landowning entity within a corporate group even after it has acquired land or entered into a contract to acquire land.

    By way of example, the Duties Act 1997 (NSW) relevantly provides for a duty concession for corporate reconstruction transactions. For eligible transactions that occur on or after 1 February 2024, the duty is reduced to 10% of the duty that would otherwise be payable.

    Section 273B applies to a transaction if the Chief Commissioner is satisfied, on application by a party to the transaction, that—

    • the transaction is a corporate reconstruction transaction, and
    • the transaction, or the series of transactions of which the transaction is a part, is undertaken for the purpose of either or both of the following—
      • changing the structure of a corporate group,
      • changing the holding of assets within a corporate group, and
    • the transaction, or the series of transactions of which the transaction is a part—
      • is not undertaken for a purpose of avoiding or reducing duty under this Act on another transaction, and
      • is not undertaken for the sole or dominant purpose of avoiding or reducing a liability for tax, other than duty under this Act, under a law of an Australian jurisdiction.

    All Australian jurisdictions have broadly similar exemptions or concessions, including Tasmania. The Tasmanian exemption was presumably not available in Van Dairy for the transfers of shares in Moon Lake. In the case of the first transfer from Mr Lu to Ningbo, Mr Lu, as an individual, could not have been a member of a relevant corporate group. In the case of the second transfer from Ningbo to VDHK, presumably the two companies were not part of the same corporate group as defined under the duties legislation.

    Actions you can take now

    • Exercise caution when establishing the ownership of a purchaser entity and seek to have the correct ultimate shareholders in place prior to the signing of a contract to acquire land or completion of the purchase. Be aware of the double duty risk if you ‘change your mind’ later.
    • Consider the duty implications of entering into sale and purchase agreements, including where the intended seller or purchaser of the property is not a party to the agreement. Seek timely advice.

    MIL OSI News –

    February 10, 2025
  • MIL-OSI United Kingdom: BLOG | Making the most of every pound

    Source: City of Liverpool

    Deputy Council Leader and Cabinet Member for Finance and Resources, Cllr Ruth Bennett, outlines the Council’s priorities in setting this year’s budget…

    In the next few weeks, we’ll be setting our 2025/26 budget at Liverpool City Council. It’s been many months in preparation, with a lot of detailed work and careful planning.

    We are acutely aware that, whether it is a government grant or money raised locally, it is your money we are spending.

    At the heart of every decision we make is a commitment to ensure we make the most of every pound, and that it is invested in delivering good quality services. Our priority has been to make sure that we are continuing to invest in the things we know you care about.

    Over the last year, we have been spending more in our neighbourhoods, joining-up services by bringing our Streetscene service back in-house, and placing staff on the ground to work with local Councillors and community organisations to direct our resources at specific issues in particular wards, such as fly-tipping, waste or match day parking. It’s already delivering success, with a 5.7 per cent reduction in the reports about fly-tipping and a drop of around 25 per cent in both street cleaning and weeding requests. We’ve also halfway through recruiting 40 new parking enforcement officers to tackle inconsiderate drivers.

    At the same time, our drive to make sure we bring in as much of our owed income continues. Our in-year council tax collection rate is currently much improved and better than other big ‘core’ cities, and we’re on with being far more robust with businesses who owe money to us and you – the residents of Liverpool.

    We’ve reviewed our Council Tax Support Scheme for the first time in a decade to make sure it is fit for purpose, and a review of single person Council Tax discount is bringing in hundreds of thousands of pounds extra a year. We’re getting into an annual cycle of reviewing fees and charges so that it becomes business as usual, because these make an essential contribution to our overall budget.

    We’ll also be rolling out improvements in customer services, including the introduction of a new case management platform. In simple terms, it will enable you to access more services online, over the phone, or in-person, and get real-time updates and information, in the same way as you would expect from your internet or energy provider.

    Along with many other councils up and down the country, we face demand pressures in areas such as social care, homelessness and SEND transport, but we have plans in place to deal with this and, where necessary, mitigate the financial impact.

    This year we have received a greater amount of money from the Government as they changed the funding arrangements to target deprived areas. In the longer term, they are carrying out a Comprehensive Spending Review which will give us more certainty over our finances by letting us know how much we will receive in the coming years. This will help us greatly in planning for the future, helping us build on the progress we have made in the last 18 months.

    MIL OSI United Kingdom –

    February 10, 2025
  • MIL-OSI USA: Former Major League Baseball interpreter sentenced to 57 months imprisonment, following HSI Los Angeles, IRS-CI investigation

    Source: US Immigration and Customs Enforcement

    SANTA ANA, Calif. — On Feb. 6, 2025, Ippei Mizuhara, a former Japanese-language interpreter was sentenced to 57 months in federal prison for illegally — and without authorization — transferring nearly $17 million from the bank account of Major League Baseball star Shohei Ohtani to pay off his own substantial gambling debts incurred with an illegal bookmaking operation and for signing a false tax return, following a joint Homeland Security Investigations (HSI), IRS Criminal Investigation probe.

    Mizuahara was sentenced by United States District Judge John W. Holcomb, who also ordered him to pay $16,975,010 in restitution to Ohtani and $1,149,400 in restitution to the Internal Revenue Service (IRS). Mizuhara pleaded guilty in June 2024 to one count of bank fraud and one count of subscribing to a false tax return.

    “Mr. Mizuhara is yet another example of how those in a position of trust can take advantage of a relationship and defraud the government,” said HSI Los Angeles acting Special Agent in Charge John Pasciucco. “The HSI-led El Camino Real Financial Crimes Task Force will leverage all partnerships to locate and bring to justice those who commit financial crimes, especially those who think they can hide in plain sight.”

    Mizuhara was the translator and de facto manager of MLB star Shohei Ohtani. As part of his job duties, Mizuhara regularly interacted with Ohtani’s sports agents and financial advisors — who did not speak Japanese — on behalf of Ohtani, who did not speak English. Although Mizuhara was an employee of the Los Angeles Angels MLB team, for whom Ohtani played from 2018 to 2023, and, later, the Los Angeles Dodgers, for whom Ohtani has played since 2024, Ohtani paid him separately for the additional work of driving him to meetings and interpreting for non-baseball-related activities.

    In March 2018, Mizuhara accompanied Ohtani to a bank in Phoenix to help him open a bank account to deposit his MLB salary. Inside the bank branch, Mizuhara interpreted for Ohtani when the bank employee provided Ohtani the login information for this bank account.

    Beginning in September 2021, Mizuhara began placing sports bets with an illegal bookmaker. Shortly thereafter, Mizuhara began to lose bets and quickly became indebted to the bookmaker. Unable to pay his gambling debts, Mizuhara orchestrated a scheme to deceive and cheat the bank to fraudulently obtain money from the account.

    From no later than November 2021 to March 2024, Mizuhara used Ohtani’s password to successfully sign into the bank account and then changed the account’s security protocols without Ohtani’s knowledge or permission. Specifically, Mizuhara changed the registered email address and telephone number on the account so bank employees would call him — not Ohtani — when attempting to verify wire transfers from the account.

    Mizuhara impersonated Ohtani, using his personal identifying information to deceive the bank’s employees into authorizing wire transfers from the bank account. In total, Mizuhara called the bank and impersonated Ohtani on approximately 24 occasions.

    In addition, in September 2023, Mizuhara needed $60,000 worth of dental work and Ohtani agreed to pay for it via a check drawn on a business account at a different bank. However, Mizuhara provided his dentist Ohtani’s debit card number for the bank account Ohtani had opened in Phoenix, charged $60,000 to that account, then deposited the $60,000 check into Mizuhara’s personal bank account.

    From January 2024 to March 2024, Mizuhara purchased approximately $325,000 worth of baseball cards from online resellers such as eBay from Ohtani’s bank account with the intent to resell them later and for his own personal benefit.

    When Ohtani’s sports agent and financial advisors asked Mizuhara for access to the bank account, Mizuhara lied and said Ohtani did not want them to access the account because it was private. In fact, Mizuhara did not want them to know that he had been stealing from Ohtani and had fraudulently obtained more than $16,975,010 from him.

    In February 2024, he willfully made and subscribed to a false individual federal income tax return for the tax year 2022. On that tax return, Mizuhara falsely claimed that his total taxable income for that year was $136,865 when in fact he knew the amount was substantially higher and he knowingly failed to report additional income of $4.1 million.

    The HSI Los Angeles El Camino Real Financial Crimes Task Force conducted this investigation collaboratively with the IRS Criminal Investigation Division.

    Anyone with information on illegal gambling are encouraged to call the HSI Tip Line at 877-4-HSI-TIP.

    Learn more about HSI’s mission to protect the U.S. economy in your community on X, formerly known as Twitter, at @HSILosAngeles.

    MIL OSI USA News –

    February 9, 2025
  • MIL-OSI Asia-Pac: Presidential Office thanks US and Japan for joint leaders’ statement

    Source: Republic of China Taiwan

    Details
    2025-01-31
    President Lai’s response to Pope Francis’s 2025 World Day of Peace message  
    President Lai Ching-te recently sent a letter to Pope Francis of the Catholic Church in response to his message marking the 58th World Day of Peace. The following is the full text of the president’s letter to the pope: Your Holiness, In your message for the 2025 World Day of Peace entitled Forgive us our trespasses: grant us your peace, you called for a cultural change that would bring an end to the governance of interpersonal and international relations by a logic of exploitation and oppression and herald true and lasting peace. I wholeheartedly admire and identify with your point of view. Since transitioning from a medical career to politics, I have remained true to my original intentions in the sense that, while a doctor can help only one person at a time, a public servant can simultaneously assist many people in resolving the difficulties affecting their lives. In my inaugural address in May 2024, I pledged that every day of my term, I would strive to act justly, show mercy, and be humble, which accord with the teachings of the Bible. I promised to treat the Taiwanese people as family and prove myself worthy of their trust and expectations. With an unwavering heart, I have accepted the people’s trust and taken on the solemn responsibility of leading the nation forward and building a democratic, peaceful, and prosperous new Taiwan. In this new year, the changing international landscape continues to present many grave challenges to democratic nations around the world. As the Russia-Ukraine war persists, the steady convergence of authoritarian regimes, including China, Russia, North Korea, and Iran, threatens the rules-based international order and severely impacts peace and stability in the Indo-Pacific and the world at large. Your Holiness has stated that war is a defeat for everyone. I, too, firmly believe that peace is priceless and that war has no winners. A high level of consensus has formed in the international community on upholding peace and stability across the Taiwan Strait. The Taiwanese people also maintain an unyielding commitment to safeguarding a way of life that encompasses freedom, equality, democracy, and human rights. Taiwan will continue to spare no effort in preserving regional peace and stability and serving as a pilot for global peace. In your World Day of Peace message, you urged prosperous countries to assist poorer ones. This compassion is truly touching. Taiwan is proactively implementing values-based diplomacy and, under the Diplomatic Allies Prosperity Project, enhancing allies’ development through a range of initiatives. Over many years, Taiwan has accumulated abundant and unique experience of providing foreign assistance. Seeking to foster self-reliance among disadvantaged countries, we have extended genuine support to help alleviate poverty through such avenues as strengthening basic infrastructure, transferring technology, and cultivating talent. In your message, you reminded countries worldwide that assistance should not be merely an isolated act of charity and pointed to the need to devise a new global financial framework so that food crises, climate change, and other challenges could be jointly addressed. I hold this view in high regard. I therefore earnestly hope that international organizations will stop excluding Taiwan for political reasons. Taiwan is willing to shoulder its international responsibilities so that it can contribute and share its valuable experience through many global platforms.  On behalf of the government and people of the Republic of China (Taiwan), I again express our interest in collaborating with the Holy See to advance world peace through concrete action. We also aspire to demonstrate Taiwanese values and the Taiwanese spirit and work together with the Holy See to uphold the core values of justice, democracy, freedom, and peace.  Please accept, Your Holiness, the renewed assurances of my highest consideration, as well as my best wishes for your good health and the continued growth of the Catholic Church.

    Details
    2025-01-31
    President Lai meets former US Vice President Mike Pence
    On the afternoon of January 17, President Lai Ching-te met with former Vice President of the United States Mike Pence. In remarks, President Lai thanked former Vice President Pence for his contributions to the deepening of Taiwan-US relations, noting that he actively helped to strengthen Taiwan-US cooperation and facilitate the normalization of military sales to Taiwan, and did his utmost to deepen the Taiwan-US economic partnership. The president indicated that former Vice President Pence also spoke up for Taiwan on numerous occasions at international venues, backing Taiwan’s international participation. President Lai expressed hope for a stronger Taiwan-US partnership to maintain peace and stability throughout the world, and that the two sides can advance bilateral exchanges in such areas as the economy, trade, and industry. A translation of President Lai’s remarks follows: I am delighted to welcome former Vice President Pence and Mrs. Karen Pence to the Presidential Office. Former Vice President Pence is not only an outstanding political leader in the US, but also a staunch supporter of Taiwan on the international stage. On behalf of the people of Taiwan, I would like to take this opportunity to extend our deepest gratitude to former Vice President Pence for his contributions to the deepening of Taiwan-US relations. Thanks to former Vice President Pence’s strong backing, ties between Taiwan and the US rose to unprecedented heights during President Donald Trump’s first administration. Former Vice President Pence actively helped to strengthen Taiwan-US security cooperation and facilitate the normalization of military sales to Taiwan, helping Taiwan reinforce its self-defense capabilities. He also did his utmost to deepen the Taiwan-US economic partnership. Former Vice President Pence also paid close attention to the military threats and diplomatic isolation faced by Taiwan. He spoke up for Taiwan on numerous occasions at international venues, taking concrete action to back Taiwan’s international participation. We were truly grateful for this. As we speak, China’s political and military intimidation against Taiwan persist. China and other authoritarian regimes, such as Russia, North Korea, and Iran, are continuing to converge and present serious challenges to democracies around the globe. At this moment, free and democratic nations must come together to bolster cooperation. I believe that a stronger Taiwan-US partnership can be an even more powerful force in maintaining peace and stability throughout the world. Former Vice President Pence has previously supported the signing of a trade agreement between Taiwan and the US. Taiwan looks forward to continuing to work with the new US administration and Congress to advance bilateral exchanges in such areas as the economy, trade, and industry. This is the first time that former Vice President Pence and Mrs. Pence are visiting Taiwan, and their visit is significantly meaningful for Taiwan-US exchanges. On behalf of the people of Taiwan, I want to extend a warm welcome. Moving forward, I hope we will jointly realize even more fruitful achievements through Taiwan-US cooperation. Former Vice President Pence then delivered remarks, thanking President Lai for his hospitality on his and his wife’s first visit to Taiwan, saying that it is an honor to be here to reaffirm the bonds of friendship between the people of America and the people of Taiwan, which are strong and longstanding. The former vice president indicated that the American people admire the people of Taiwan and all that has been accomplished in a few short decades for Taiwan to rise to one of the world’s preeminent economic powers and free societies. He said that he is grateful for President Lai’s courageous and bold leadership of Taiwan, and grateful to be able to express the support of the overwhelming majority of the American people for this alliance. Former Vice President Pence indicated that the values shared by Taiwan and the US, including freedom, the rule of law, and respect for human rights, bind us together in a partnership that transcends geographic boundaries and cultures. He then assured President Lai that China’s increasingly aggressive posture in the Taiwan Strait and across the Indo-Pacific, for the values and interests that both sides share, is deeply concerning to the American people. Former Vice President Pence stated that America is a Pacific nation, and is committed to the status quo, adding that they recognize it is China that wants to change the status quo that America, Taiwan, and other allies in the region want to preserve, which has created an environment of extraordinary growth and prosperity. The former vice president concluded by once again thanking President Lai and his team for their gracious hospitality and conveying best wishes to him and the people of Taiwan. Former Vice President Pence then assured President Lai that just as Taiwan will never surrender its freedom, he will continue to be a voice for a strong US-Taiwan relationship in the defense and the benefit of Taiwan, the US, and the free world. Later that day, Vice President Bi-khim Hsiao hosted a banquet for former Vice President Pence and his delegation at Taipei Guest House to thank him for his longstanding friendship and staunch support for Taiwan-US ties.  

    Details
    2025-01-31
    President Lai meets delegation to 60th Inaugural Ceremonies of US president and vice president
    On the morning of January 16, President Lai Ching-te met with Taiwan’s delegation to the 60th Inaugural Ceremonies of the President and Vice President of the United States. In remarks, President Lai stated that democratic Taiwan stands united, working hard to deepen Taiwan-US ties together. He then entrusted the delegation with three missions: to convey best wishes from the people of Taiwan, convey our firm commitment to democracy, and help Taiwan-US relations reach a new milestone. A translation of President Lai’s remarks follows: The 60th Inaugural Ceremonies of the President and Vice President of the US will be held on January 20. I want to thank Speaker Han Kuo-yu (韓國瑜), president of the Legislative Yuan, for accepting my invitation to lead our nation’s representative delegation to the event. I also thank Legislative Yuan Members Ko Chih-en (柯志恩), Wang Ting-yu (王定宇), Ko Ju-chun (葛如鈞), Lee Yen-hsiu (李彥秀), Chen Kuan-ting (陳冠廷), Kuo Yu-ching (郭昱晴), and Chen Gau-tzu (陳昭姿) for joining this visit to the US to attend the inauguration of President Donald Trump and Vice President J.D. Vance. We have gathered together today despite differences in party affiliation because in democratic Taiwan, while parties may compete domestically, when it comes to engagement externally, they stand united and share responsibility, working hard to deepen Taiwan-US ties and strive for the best interests of the nation. We share the value of defending freedom and democracy, and we share the goal of advancing peace and prosperity. Today, we engage with the world together as those from the same country – the Republic of China (Taiwan). In this complex and volatile new international landscape, and as the nation faces difficulties and challenges, I want to stress that in Formosa, there is no hostility that cannot be let go, and no hardship that cannot be overcome. Unity is the most important, and I hope that Taiwan can stand united, because there is true strength in unity. Democratic Taiwan must stand united in engaging with the world and initiate exchanges with confidence. On that ground, I am entrusting this delegation with three key missions. First, convey best wishes from the people of Taiwan. Just last year, Taiwan and the US celebrated the 45th anniversary of the passage of the Taiwan Relations Act. And on May 20, the US sent a senior bipartisan delegation to congratulate me and Vice President Bi-khim Hsiao on our inauguration. As the leader of this cross-party delegation, Speaker Han must clearly convey the well-wishes of the people of Taiwan, congratulate President Trump and Vice President Vance on their inauguration, and wish success to the new administration and prosperity to the US. Second, clearly convey the firm commitment of the people of Taiwan to democracy. The theme of these inaugural ceremonies is “Our Enduring Democracy: A Constitutional Promise.” Taiwan and the US share the universal value of democracy and are staunch allies. I hope that the delegation can faithfully convey the firm commitment to democracy that the people of Taiwan have, which will not change even in the face of authoritarian threats. Taiwan is willing to stand side by side with the US and other members of the democratic community to defend the sustainable development of global democracy and prevent the expansion of authoritarianism. Third, help Taiwan-US relations reach a new milestone. In recent years, Taiwan-US relations have continued to grow, with the first agreement under the Taiwan-US Initiative on 21st Century Trade having formally taken effect last month. This morning, the House of Representatives also passed the US-Taiwan Expedited Double-Tax Relief Act. I hope that the delegation can help Taiwan-US relations reach a new milestone through these exchanges so that our relations continue to grow, our cooperation expands even more, and so that we can achieve even greater success after the new administration takes office. Four years ago, Taiwan’s representative to the US inaugural ceremonies was Vice President Hsiao, who was then our representative to the US. Everyone has a lot to learn from her. I have specially invited everyone here to converse so that you can draw from Vice President Hsiao’s experience and ensure an even smoother visit. Washington, DC was also hit by a rare blizzard recently, and the weather has been very cold, so make sure to stay warm. I am sending everyone off with hand warmers and thermoses so that you can bring some warmth from Taiwan with you on your journey. And I ask that Speaker Han exercise his wisdom to help generate some warmth between the ruling and opposition parties through cooperation, which they can then bring back to Taiwan. Let us unite to give our all for diplomacy so that we can unite to give our all for Taiwan. I wish the delegation a smooth and safe trip, and hope your missions can be carried out successfully. Speaker Han then delivered remarks, stating that it was an honor to be invited by President Lai to organize a delegation to represent our nation at the 60th Inaugural Ceremonies of the President and Vice President of the US in Washington, DC, and express the Republic of China’s sincere and cordial best wishes. The Legislative Yuan’s president has assumed this important task numerous times in the past, he said, not only to represent the government of the Republic of China, but also to take on the mission of conveying the voices of 23 million people. He went on to say that he is honored to take up the baton, lead eight legislators to the US to attend this celebration that will attract global attention, and express sincere best wishes to newly elected President Trump, Vice President Vance, and the new administration’s team. As enjoined by President Lai, he hopes the delegation’s trip will help open a new chapter in Taiwan-US exchanges. Speaker Han stated that the US is the most free and democratic country in the world. He noted that in 1776 in the US Declaration of Independence, founding father Thomas Jefferson propounded the concept of “unalienable rights,” and emphasized that the people have a right to freedom and the pursuit of happiness, democratic ideas that have long been rooted in the people’s hearts. Today, he said, democracy is also embedded in the DNA of Taiwan’s 23 million people, and this hard-won democratic achievement is a result of the concerted efforts of our pioneering predecessors, thinkers, and activists over the past 100 years. Speaker Han stated that during this visit, the Legislative Yuan delegation hopes to convey the voice of Taiwan as a democratic country. Taiwan’s security, he said, is like the four legs of a table: The first leg is defending the Republic of China, the second is defending freedom and democracy, the third is maintaining Taiwan-US relations, and the fourth is maintaining cross-strait peace. The delegation will travel to the US amidst severe cold weather to show that we value our relationship with the US, and our citizens have great hopes and expectations. Speaker Han stated that this will be a cross-party delegation of eight legislators, all of whom have a strong sense of mission. He hopes that all democratic nations will acknowledge Taiwan’s importance, and pay attention to Taiwan’s 23 million people. The delegation, he said, will do its utmost to convey the goodwill and warmth that the people of Taiwan give to each and every one of our good friends.

    Details
    2025-01-31
    President Lai confers decoration on former Lithuanian Foreign Minister Gabrielius Landsbergis
    On the morning of January 14, President Lai Ching-te conferred the Order of Brilliant Star with Special Grand Cordon upon former Minister of Foreign Affairs Gabrielius Landsbergis of the Republic of Lithuania in recognition of his remarkable contributions to deepening Taiwan-Lithuania relations. In remarks, President Lai thanked former Minister Landsbergis for standing firmly with Taiwan and remaining a staunch defender of democratic values, yielding fruitful cooperative results. The president expressed hope that the two countries will engage in even more cooperation and exchanges in such areas as the economy, trade, technology, and culture, and continue to advocate for the values of freedom and democracy so that together we can contribute even more to our nations’ development and to peace and prosperity throughout the world. A translation of President Lai’s remarks follows: Today, by conferring the Order of Brilliant Star with Special Grand Cordon upon former Minister Landsbergis, we recognize his outstanding contributions during his time as foreign minister of Lithuania. On behalf of the people of Taiwan, I thank him for the key role he has played in deepening Taiwan-Lithuania relations. During the COVID-19 pandemic, thanks to the efforts of former Minister Landsbergis, Lithuania was the first European nation to donate vaccines to Taiwan. On that occasion, he stated that “freedom-loving people should look out for each other.” His statement was very moving and left a deep impression on many Taiwanese people. We will never forget it. Former Minister Landsbergis has continued to express the spirit of those words through his concrete actions. With his staunch support, Taiwan and Lithuania have mutually established representative offices. Moreover, our representative office in Lithuania was the first in Europe to incorporate “Taiwan” in its name. As for bilateral cooperation, Taiwan and Lithuania have seen fruitful results in such fields as semiconductors, laser technology, finance, and medicine. Be it overcoming the challenges posed by the pandemic or resisting expanding authoritarianism, former Minister Landsbergis has stood firmly with Taiwan and remained a staunch defender of democratic values. We greatly admire and appreciate his spirit. Today, authoritarian regimes continue to converge, posing threats and challenges to democracies around the world. Taiwan, Lithuania, and other democratic countries must come closer together, drawing on the strength of unity, so as to jointly safeguard freedom and democracy and uphold the rules-based international order. Looking ahead, we hope that Taiwan and Lithuania will engage in even more cooperation and exchanges in such areas as the economy, trade, technology, and culture. Let us continue to advocate for the values of freedom and democracy. Together, we can contribute even more to our nations’ development and to peace and prosperity throughout the world. In closing, I once again thank you, former Minister Landsbergis, for your support and for all that you have done for Taiwan. We welcome you and your wife to visit often. I wish you both a smooth and successful visit in Taiwan, and hope you leave with lasting memories.    Former Minister Landsbergis then delivered remarks, saying that it is a great honor to receive the decoration today. He noted that only partially can he accept the honor, as there have been many people who worked together with him in the ministry and in the whole country who support the people of Taiwan and see the benefit of supporting democracy in Taiwan. He often says that in Lithuania they remember well the fight for their freedom, and just today, he mentioned, he was shown the permanent exhibition in the Presidential Office, where he saw similar pictures of Taiwanese people fighting for democracy. He emphasized that not even one generation has passed since these events took place here in Taipei or similar events took place in Vilnius. Former Minister Landsbergis said that decision-makers in the Lithuanian government are either people who were themselves fighting for freedom, or, as in his case, those who were sitting on the shoulders of parents who were fighting for freedom. So for them, he underlined, freedom, democracy, liberty, and sovereignty are very real concepts that they cherish, not just things read about in a history book. He said that this is the main connector between Lithuania and Taiwan, a feeling of freedom and support for each other. Former Minister Landsbergis stated that in the face of authoritarians who do not wish us prosperity, who do not wish us freedom and future achievements, what he expects from the future is that the friendship, collaboration, and mutual support between Lithuania and Taiwan will inspire others to join in. This, he said, will make other countries not be afraid to support freedom and democracy, and will allow our group of friends to continue to grow. Lithuanian history, the former minister said, is difficult, and a big part of it was fighting for their freedom. He explained that during the 19th century when Lithuania was part of Russia’s empire, they had several revolutions and uprisings with the aim of becoming free, and that they were fighting for that freedom alongside Poland and Belarus. He then applied a phrase that they used in the revolution of 1864 – “for your freedom and ours,” meaning that they will continue to fight for their freedom while helping Taiwan fight for ours. Also in attendance at the ceremony were former Minister Landsbergis’ wife Dr. Austėja Landsbergienė and Lithuanian Representative to Taiwan Paulius Lukauskas.

    Details
    2025-01-31
    Presidential Office thanks White House for its statement on enduring US commitment to Indo-Pacific region
    On January 10 (US EST), the US White House released a statement on the United States’ Enduring Commitment to the Indo-Pacific Region, in which it reaffirms its position of using a range of methods to help Taiwan maintain a sufficient self-defense capability so as to maintain peace and stability in the Indo-Pacific region and across the Taiwan Strait. Presidential Office Spokesperson Karen Kuo (郭雅慧) on January 11 expressed sincere gratitude to the US government for taking concrete actions to fulfill its security commitments to Taiwan, advancing the close Taiwan-US security partnership, and supporting Taiwan in its efforts to enhance its self-defense capabilities and resilience. Spokesperson Kuo stated that the deepening Taiwan-US security partnership is a critical cornerstone for peace and stability in the Indo-Pacific region. She noted that Taiwan, as a force for good and regional stability, will continue to work alongside like-minded countries to strengthen defense resilience as we jointly defend the values of freedom and democracy and ensure the peace, stability, and prosperity of the Indo-Pacific region.

    Details
    2025-01-01
    President Lai delivers 2025 New Year’s Address
    On the morning of January 1, President Lai Ching-te delivered his 2025 New Year’s Address, titled “Bolstering National Strength through Democracy to Enter a New Global Landscape,” in the Reception Hall of the Presidential Office. President Lai stated that today’s Taiwan is receiving international recognition for its performance in many areas, among them democracy, technology, and economy. In this new year, he said, Taiwan must be united, and we must continue on the right course. The president expressed hope that everyone in the central and local governments, regardless of party, can work hard together, allowing Taiwan sure footing as it strides forward toward ever greater achievements.  President Lai emphasized that in 2025, we must keep firm on the path of democracy, continue to bolster our national strength, make Taiwan more economically resilient, enhance the resilience of supply chains for global democracies, and continue working toward a Balanced Taiwan and generational justice, ensuring that the fruits of our economic growth can be enjoyed by all our people. The president said that Taiwan will keep going strong, and we will keep walking tall as we enter the new global landscape. A translation of President Lai’s address follows: Today is the first day of 2025. With a new year comes new beginnings. I wish that Taiwan enjoys peace, prosperity, and success, and that our people lead happy lives. Taiwan truly finished 2024 strong. Though there were many challenges, there were also many triumphs. We withstood earthquakes and typhoons, and stood firm in the face of constant challenges posed by authoritarianism. We also shared glory as Taiwan won the Premier12 baseball championship, and now Taiwanese people around the world are all familiar with the gesture for Team Taiwan. At the Paris Olympics, Wang Chi-lin (王齊麟) and Lee Yang (李洋) clinched another gold in men’s doubles badminton. Lin Yu-ting (林郁婷) took home Taiwan’s first Olympic gold in boxing. At the International Junior Science Olympiad, every student in our delegation of six won a gold medal. And Yang Shuang-zi’s (楊双子) novel Taiwan Travelogue, translated into English by King Lin (金翎), became a United States National Book Award winner and a tour de force of Taiwan literature on the international level. Our heroes of Taiwan are defined by neither age nor discipline. They have taken home top prizes at international competitions and set new records. They tell Taiwan’s story through their outstanding performances, letting the world see the spirit and culture of Taiwan, and filling all our citizens with pride. My fellow citizens, we have stood together through thick and thin; we have shared our ups and downs. We have wept together, and we have laughed together. We are all one family, all members of Team Taiwan. I want to thank each of our citizens for their dedication, fueling Taiwan’s progress and bringing our nation glory. You have given Taiwan even greater strength to stand out on the global stage. In this new year, we must continue bringing Taiwan’s stories to the world, and make Taiwan’s successes a force for global progress. In 2025, the world will be entering a new landscape. Last year, over 70 countries held elections, and the will of the people has changed with the times. As many countries turn new pages politically, and in the midst of rapid international developments, Taiwan must continue marching forward with steady strides. First, we must keep firm on the path of democracy. Taiwan made it through a dark age of authoritarianism and has since become a glorious beacon of democracy in Asia. This was achieved through the sacrifices of our democratic forebears and the joint efforts of all our citizens. Democracy’s value to Taiwan lies not just in our free way of life, or in the force driving the diverse and vigorous growth of our society. Democracy is the brand that has earned us international trust in terms of diplomacy. No matter the threat or challenge Taiwan may face, democracy is Taiwan’s only path forward. We will not turn back. Domestic competition among political parties is a part of democracy. But domestic political disputes must be resolved democratically, within the constitutional system. This is the only way democracy can continue to grow. The Executive Yuan has the right to request a reconsideration of the controversial bills passed in the Legislative Yuan, giving it room for reexamination. Constitutional institutions can also lodge a petition for a constitutional interpretation, and through Constitutional Court adjudication, ensure a separation of powers, safeguard constitutional order, and gradually consolidate the constitutional system. The people also have the right of election, recall, initiative, and referendum, and can bring together even greater democratic power to show the true meaning of sovereignty in the hands of the people. In this new year, the changing international landscape will present democratic nations around the world with many grave challenges. Russia’s invasion of Ukraine and conflict between Israel and Hamas rage on, and we are seeing the continued convergence of authoritarian regimes including China, Russia, North Korea, and Iran, threatening the rules-based international order and severely affecting peace and stability in the Indo-Pacific region and the world at large. Peace and stability in the Taiwan Strait are essential components for global security and prosperity. Taiwan needs to prepare for danger in times of peace. We must continue increasing our national defense budget, bolster our national defense capabilities, and show our determination to protect our country. Everyone has a responsibility to safeguard Taiwan’s democracy and security. We must gather together every bit of strength we have to enhance whole-of-society defense resilience, and build capabilities to respond to major disasters and deter threats or encroachment. We must also strengthen communication with society to combat information and cognitive warfare, so that the populace rejects threats and enticements and jointly guards against malicious infiltration by external forces. Here at home, we must consolidate democracy with democracy. Internationally, we must make friends worldwide through democracy. This is how we will ensure security and peace. The more secure Taiwan, the more secure the world. The more resilient Taiwan, the sounder the defense of global democracy. The global democratic community should work even closer together to support the democratic umbrella as we seek ways to resolve the war in Ukraine and conflict between Israel and Hamas. Together, we must uphold stability in the Taiwan Strait and security in the Indo-Pacific, and achieve our goal of global peace. Second, we must continue to bolster our national strength, make Taiwan more economically resilient, and enhance the resilience of supply chains for global democracies. In the first half of 2024, growth in the Taiwan Stock Index was the highest in the world. Our economic growth rate for the year as a whole is expected to reach 4.2 percent, leading among the Four Asian Tigers. Domestic investment is soaring, having exceeded NT$5 trillion, and inflation is gradually stabilizing. Export orders from January to November totaled US$536.6 billion, up 3.7 percent from the same period in 2023. And compared over the same period, exports saw a 9.9 percent increase, reaching US$431.5 billion. Recent surveys also show that in 2024, the average increase in salaries at companies was higher than that in 2023. Additionally, over 90 percent of companies plan to raise salaries this year, which is an eight-year high. All signs indicate that Taiwan’s economic climate continues to recover, and that our economy is growing steadily. Our overall economic performance is impressive; still, we must continue to pay attention to the impact on Taiwan’s industries from the changing geopolitical landscape, uncertainties in the global economic environment, and dumping by the “red supply chain.”  For a nation, all sectors and professions are equally important; only when all our industries are strong can Taiwan be strong as a nation. Our micro-, small-, and medium-sized enterprises (MSMEs) are the lifeblood of Taiwan, and the development of our various industrial parks has given Taiwan the impetus for our prosperity. We must carry the spirit of “Made in Taiwan” forward, bringing it to ever greater heights. Thus, beyond just developing our high-tech industry, our Executive Yuan has already proposed a solution that will help traditional industries and MSMEs comprehensively adopt technology applications, engage in the digital and net-zero twin transition, and develop channels, all for better operational structures and higher productivity. Taiwan must continue enhancing its economic resilience. In recent years, Taiwan has significantly increased its investments in the US, Japan, Europe, and the New Southbound countries, and such investment has already surpassed investment in China. This indicates that our efforts in diversifying markets and reducing reliance on any single market are working. Moving forward, we must keep providing assistance so that Taiwan industries can expand their global presence and market internationally from a solid base here in Taiwan. At the same time, Taiwan must use democracy to promote economic growth with the rest of the world. We must leverage our strengths in the semiconductor and AI industries. We must link with democratic countries so that we can together enhance the resilience of supply chains for global democracies. And through international cooperation across many sectors, such as UAVs, low-orbit communications satellites, robots, military, security and surveillance, or biopharmaceuticals, renewable energy technology, new agriculture, and the circular economy, we must keep abreast of the latest cutting-edge technology and promote diverse development. This approach will help Taiwan remain a leader in advancing global democratic supply chains, ensuring their security and stability. Third, we must continue working toward a Balanced Taiwan and generational justice, ensuring that the fruits of our economic growth can be enjoyed by all our people. Democracy means the people have the final say. Our nation belongs to all 23 million of us, without regard for ethnic group, generation, political party, or whether we live in urban or rural areas. In this new year, we must continue to pursue policies that promote the well-being of the nation and the people. But to that end, the central government needs adequate financial resources to ensure that it can enact each of these measures. Therefore, I hope that the ruling and opposition parties can each soberly reconsider the amendments to the Act Governing the Allocation of Government Revenues and Expenditures and find a path forward that ensures the lasting peace and stability of our country. For nine consecutive years, the minimum wage has continued to rise. Effective today, the minimum monthly salary is being raised from NT$27,470 to NT$28,590, and the hourly salary from NT$183 to NT$190. We hope by raising the pay for military personnel, civil servants, and educators for two consecutive years, coupled with benefits through wage increases and tax reductions, that private businesses will also raise wages, allowing all our people to enjoy the fruits of our economic growth. I know that everyone wants to pay lower taxes and rent. This year, we will continue to promote tax reductions. For example, unmarried individuals with an annual income of NT$446,000 or less can be exempt from paying income tax. Dual-income families with an annual income of NT$892,000 or less and dual-income families with two children aged six or younger with an annual income of NT$1,461,000 or less are also exempt from paying income tax. Additionally, the number of rent-subsidized housing units will also be increased, from 500,000 to 750,000 units, helping lighten the load for everyone. This year, the age eligibility for claiming Culture Points has been lowered from 16 to 13 years, so that now young people aged between 13 and 22 can receive government support for experiencing more in the arts. Also, our Taiwan Global Pathfinders Initiative is about to take effect, which will help more young people in Taiwan realize their dreams by taking part in education and exchange activities in many places around the world. We are also in the process of establishing a sports ministry to help young athletes achieve their dreams on the field, court, and beyond. The ministry will also be active in developing various sports industries and bringing sports and athletics more into the lives of the people, making our people healthier as a result. This year, as Taiwan becomes a “super-aged society,” we will launch our Long-term Care 3.0 Plan to provide better all-around care for our seniors. And we will expand the scope of cancer screening eligibility and services, all aimed at creating a Healthy Taiwan. In addition, Taiwan will officially begin collecting fees for its carbon fee system today. This brings us closer in line with global practices and helps us along the path to our goal of net-zero emissions by 2050. We will also continue on the path to achieving a Balanced Taiwan. Last month, the Executive Yuan launched the Trillion NT Dollar Investment National Development Plan and its six major regional flagship projects. Both of these initiatives will continue to expand the investment in our public infrastructure and the development of local specialty industries, narrowing urban-rural and wealth gaps so that all our people can live and work in peace and happiness. My fellow citizens, today’s Taiwan is receiving international recognition for its performance in many areas, among them democracy, technology, and economy. This tells us that national development is moving in the right direction. In this new year, Taiwan must be united, and we must continue on the right course. We hope that everyone in the central and local governments, regardless of party, can work hard together to ensure that national policies are successfully implemented, with the people’s well-being as our top priority. This will allow Taiwan sure footing as it strides forward toward ever greater achievements. In this new year, we have many more brilliant stories of Taiwan to share with the world, inspiring all Taiwanese, both here and around the world, to cheer time and again for the glory of Taiwan. Taiwan will keep going strong. And we will keep walking tall as we enter the new global landscape. Thank you.

    MIL OSI Asia Pacific News –

    February 8, 2025
  • MIL-OSI China: Multiple sectors report robust holiday growth

    Source: China State Council Information Office

    Customers apply for subsidies under the trade-in program for consumer goods in Hangzhou City, east China’s Zhejiang Province, Oct. 31, 2024. [Photo/Xinhua]

    China’s consumption market gained momentum during the Spring Festival holiday spanning from Jan 28 through Tuesday, showing robust growth across multiple sectors including retail, tourism and cultural services, according to the latest data from the State Taxation Administration.

    By analyzing sales data from value-added tax invoices, the administration found that overall sales revenue in consumer-related industries surged by 10.8 percent compared to the same period last year. This uptick was driven by strong demand in commodity consumption, up 9.9 percent year-on-year, and an even more impressive 12.3 percent increase in services consumption.

    During the holiday, China’s efforts in promoting large-scale equipment upgrades and old-for-new trade of consumer goods have acted as a rocket booster for sales, especially for household goods and appliances.

    Consumers flocked to upgrade their homes, with sales of household appliances and audio-visual equipment soaring by 166.4 percent year-on-year. Household goods like televisions saw a staggering 226.8 percent year-on-year jump during the Spring Festival holiday, STA data showed.

    The surge was further propelled by subsidies on smartphones, smartwatches and digital products, which helped consumers enjoy significant savings. The telecommunications sector also soared, with sales of devices like mobile phones and smart tech climbing by 181.9 percent year-on-year, it added.

    Liu Dian, associate researcher at Fudan University’s China Institute, said that Spring Festival is a significant traditional holiday in China and an important window to observe the trends of the Chinese consumer market.

    “With consumption upgrading, Spring Festival spending is no longer limited to traditional needs, but is increasingly moving toward more experiential, personalized and high-quality choices,” Liu said.

    During this year’s holiday, the country’s tourism services were another bright spot, with revenues from the sector growing 37.5 percent compared to last year.

    With traditional cultural activities making a comeback, and new leisure trends gaining traction, the Spring Festival holiday became a record-setting season for tourism. Sightseeing, park-related services and amusement parks saw year-on-year growth of 81.9 percent, 59.5 percent and 14.1 percent, respectively. The booming homestay industry also capitalized on the trend, with revenue from local accommodation rising by 12.6 percent year-on-year.

    With the government prioritizing domestic consumption as a key economic driver, Liu predicted that China’s consumer market is expected to continue its strong momentum through the year.

    “China has placed expanding domestic demand as a top priority, providing strong policy support for the development of the consumer market in the coming months to come,” Liu added.

    MIL OSI China News –

    February 8, 2025
  • MIL-OSI USA: Warner, Daines Introduce Legislation to Boost Job Growth, Support Virginia Communities

    US Senate News:

    Source: United States Senator for Commonwealth of Virginia Mark R Warner

    WASHINGTON —U.S. Sens. Mark R. Warner (D-VA) and Steve Daines (R-MT), both members of the Senate Finance Committee, introduced legislation that will permanently extend the New Markets Tax Credit (NMTC) in order to encourage redevelopment and new construction in communities across the country, including Virginia. The New Markets Tax Credit Extension Act will permanently extend the NMTC, which attracts capital to low-income communities by providing private investors a 39 percent federal tax credit for investments made in businesses or economic development projects, including housing.

    “The New Markets Tax Credit is a vital tool in the fight to build more housing and encourage investment in communities that need it most. By leveraging this program, we can encourage economic development, expand opportunity and make housing more affordable for families across the country,” said Sen. Warner.

    “The New Markets Tax Credit spurs growth and creates jobs in our communities across Montana. Making this program permanent will encourage the opportunities and economic stability our country needs to continue thriving,” said Sen. Daines.

    NMTC investments take place in all 50 states. In the last 20 years, $81 billion in NMTC allocations has financed more than 8,500 businesses and projects with total project costs of over $130 billion. The NMTC Program created or retained more than 894,000 jobs and supported the construction of over 56.7 million square feet of manufacturing space, 94.5 million square feet of office space, and 67.2 million square feet of retail space across the country.

    The New Markets Tax Credit Extension Act is one of several bills Warner has introduced or plans to introduce in the 119th Congress to expand access to housing and make housing more affordable for Virginians.

    Joining Sens. Warner and Daines in introducing this legislation are Sens. John Boozman (R-AK.), Peter Welch (D-VT), Bill Cassidy (R-LA), Chuck Schumer (D-NY), Cindy Hyde-Smith (R-MS), Jeanne Shaheen (D-NH), Pete Ricketts (R-NE), Amy Klobuchar (D-MN), Jerry Moran (R-KS), Maria Cantwell (D-WA), Roger Wicker (R-MS), John Hickenlooper (D-CO(), Marsha Blackburn (R-TN) and Corey Booker (D-NJ).

    “The New Markets Tax Credit has been an essential tool for LISC to finance community revitalization work in Virginia and throughout the country. NMTCs have enabled LISC to finance a wide array of projects in disadvantaged communities, including the Petersburg Public Library, the Anna Julia Cooper School and The Market at 25th project in Richmond’s east end.  These projects provide important educational resources, community facilities, healthy food options and affordable housing for local residents.  LISC strongly supports the New Markets Tax Credit Extension Act and thanks Senator Warner for his leadership in making this vital tax credit permanent,” said Jane Ferrara, Executive Director, LISC Virginia.

    “Our New Markets Tax Credit allocation will allow Locus to fill project financing gaps by providing both equity and affordable debt to projects that may not move forward otherwise.  This financing tool will allow Locus to deepen its outreach efforts and drive more capital into projects that create jobs and drive economic development in areas that need it most,” said Clyde Cornett, CFO and Interim CEO, Locus.

    “New Markets Tax Credits (NMTC) have proven to be vital tools in attracting billions in private investment into local communities. Every $1 of federal funding attracts $8 in private investment, which in turn creates jobs, enlivens communities, and spurs growth. We support a permanent NMTC program that can extend and amplify this efficient, market-driven solution in urban and rural areas across the country,” said Ellis Carr, President & CEO, Capital Impact Partners & CDC Small Business Finance.

    “New Markets Tax Credits have been a game-changer in Appalachia and have helped us create and retain over 8,170 jobs across the region, supporting economic development in underserved communities. We appreciate Senator Warner’s continued leadership and efforts to strengthen the program and to make the New Markets Tax Credits permanent,” said Bryan Phipps, President and CEO, People Incorporated.

    Full text of the bill is available here.

     

    MIL OSI USA News –

    February 8, 2025
  • MIL-OSI Security: Corona Customs Broker Pleads Guilty to Defrauding Clients Out of More Than $5 Million and Evading More Than $1 Million in Taxes

    Source: Office of United States Attorneys

    LOS ANGELES – A customs broker pleaded guilty today to defrauding his clients – businesses who ship goods into the United States from foreign countries – out of more than $5 million, including after he had been indicted on fraud charges, and to committing more than $1 million in tax evasion.

    Frank Seung Noah, 64, of Corona, pleaded guilty to one count of tax evasion and two counts of wire fraud.

    According to his plea agreement, Noah owned and operated Comis International Inc., a Cerritos-based logistics and supply-chain company, which offered customs import brokerage services on behalf of businesses. From 2007 to 2019, Comis was a customs import broker for Daiso, a Japan-based variety and value store with stores in the United States, including Southern California.

    During that time, Noah provided Daiso with false customs duty forms and invoices in support of fraudulent requests for reimbursement for duty fees. These forms differed materially from those Noah submitted to U.S. Customs and Border Protection (CBP) and inflated the total amounts, resulting in Daiso overpaying Noah nearly $3.4 million.

    After Noah was indicted for defrauding Daiso in 2022, he continued to defraud his other clients out of more than $2 million using a different fraud scheme. Noah defrauded two other client companies by invoicing and receiving funds from the two victim companies, and then simply pocketing the funds instead of paying the customs duties to CBP. After CBP notified the victim clients of their unpaid customs duties, they asked Noah about the unpaid fees, and he sent the victim clients altered bank statements falsely reflecting that he had paid the customs duties. 

    Noah also willfully evaded payment of federal taxes resulting in a loss to the IRS of approximately $2.4 million, with penalties and interest continuing to accrue. After agreeing with the IRS that he owed more than $1 million in taxes in 2014, Noah actively avoided IRS attempts to collect the amount owed. This included paying for two homes in his former girlfriend’s name, using check cashing businesses to avoid IRS levies of his bank accounts, lying to IRS collection agents, and spending thousands of dollars on country club memberships, travel, and golf purchases.

    United States District Judge Josephine L. Staton scheduled a May 8 sentencing hearing at which time he will face a maximum sentence of 20 years in federal prison for each wire fraud count and up to five years in federal prison for the tax evasion count.

    IRS Criminal Investigation and Homeland Security Investigations investigated this matter with the assistance of United States Customs and Border Protection.

    Assistant United States Attorneys Nandor F.R. Kiss and Robert J. Keenan of the Orange County Office are prosecuting this case. 

    MIL Security OSI –

    February 8, 2025
  • MIL-OSI Security: Man Sentenced for Sweepstakes Scam Targeting Elderly

    Source: Office of United States Attorneys

    SAN DIEGO – Fabrisio Arias was sentenced in federal court today to 41 months in prison for his part in an international scam that tricked seniors into believing they’d won a sweepstakes prize, but first they had to pay a fee or tax to release their winnings.

    At today’s hearing, U.S. District Judge Jinsook Ohta also ordered Arias to pay $395,536.05 in restitution to 22 victims.

    According to his plea agreement, between November 2020 and September 2022, Arias was a member of an international conspiracy that defrauded victims in the United States and laundered large amounts of money.

    The conspiracy involved scammers who contacted victims by phone and convinced them to send thousands of dollars to Arias’ home in Fontana, California; and Arias, who laundered the proceeds through his U.S.-based bank accounts. Arias received and transferred most of the ill-gotten gains to coconspirators in Costa Rica, and in the process concealed the nature, source, location, ownership and control of the proceeds.

    The phone scammers in Costa Rica made unsolicited calls to elderly victims in the United States using spoofed numbers. This allowed callers to conceal their identity and make it appear as if the calls originated from locations in the United States.

    During calls with victims, the scammers purported to be with the Internal Revenue Service or the  Federal Trade Commission, and made victims believe they’d won a sweepstakes award or prize and had to pay a fee or tax to release the winnings. The scammers instructed victims to send cashier’s checks, blank money orders or cash to Arias, who scammers falsely identified as a government CPA.

    In reality, there was no sweepstakes prize or award. Arias simply received the fraud proceeds, deposited them into his U.S.-based bank accounts, and notified his co-conspirators in Costa Rica when he received the proceeds. Co-conspirators then contacted the victims again, attempting to convince and pressure them to send more money to release the purported winnings.

    According to the government’s sentencing memorandum, Arias received 200 cashier’s checks and blank money orders from at least 22 victims throughout the U.S. Arias concealed the proceeds and made them appear legitimate by writing false payor names, signatures, and memo line entries on money orders and by commingling the proceeds with funds from his nightclub and used-car businesses. Arias also concealed the proceeds he sent to his co-conspirators in Costa Rica and made them appear legitimate by placing false information on at least 30 wire transfers, claiming the payments were for used cars, a house, or family support.

    The victims – many of whom were in their seventies, eighties, or nineties – suffered financial hardship as a result of the scheme. To make ends meet, one victim had to obtain a reverse mortgage on his home; another had to take money from a family member’s college fund; and another had to return to work after retirement. Several victims lost their life savings, including a victim whose entire 401(k) retirement account was drained.

    Arias received and laundered more than $395,000 in fraud proceeds over the course of nearly two years and sent more than $237,000 of proceeds to his co-conspirators in Costa Rica. Arias kept a substantial portion of the remaining $157,000 as profit.

    “If it seems too good to be true, it probably is,” said U.S. Attorney Tara McGrath. “These schemes can be difficult to identify and very appealing – when in doubt, hang up the phone and report suspicious callers to law enforcement.”

    “Victimizing taxpayers by impersonating IRS employees is a serious crime,” said Acting Special Agent in Charge Brandon Knarr. “TIGTA and our law enforcement partners will do everything within our power to ensure that those involved in the impersonation of IRS employees are prosecuted to the fullest extent of the law.” 

    “The consequences of this type of fraud scheme are far reaching, affecting not only people in the United States, but also across the world,” said Los Angeles Division U.S. Postal Inspector in Charge Matt Shields. “This investigation is just another example of how effective law enforcement agencies can be when they join forces. By working together, we can keep our communities and our vulnerable populations safe from financial exploitation. The U.S. Postal Inspection Service is proud to be at the forefront of the fight against fraud and Postal Inspectors will continue to adapt to the ever changing landscape to stop the scammers and protect our customers.”

    This case was prosecuted by Assistant U.S. Attorney Patrick C. Swan.

    If you think you’ve been contacted by a scammer, report it quickly to the FBI at IC3.gov. There is a team standing by. The faster the report comes in, the more likely we are to stop the transaction and recover your money.

    For other non-life-threatening emergencies, call the National Elder Fraud Hotline at 1-833-FRAUD-11, or go to the Department of Justice’s Elder Justice Initiative website for more information: www.justice.gov/elderjustice.

    DEFENDANT                                   Case Number 22-cr-2745-JO           

    Fabrisio Arias                                     Age: 46                                   Fontana, CA

    SUMMARY OF CHARGES

    Conspiracy – Title 18, U.S.C., Section 371

    Maximum penalty: Five years in prison; a maximum $250,000 fine or twice the gross gain or loss resulting from the offense, whichever is greatest; and a term of supervised release up to 3 years

    Concealment Money Laundering – Title 18, U.S.C., Section 1956(a)(1)(B)(i)

    Maximum penalty: Twenty years in prison; a maximum $500,000 fine or twice the value of the property involved in the transaction, whichever is greatest

    INVESTIGATING AGENCIES

    U.S. Treasury Inspector General for Tax Administration (TIGTA)

    U.S. Postal Inspection Service, Los Angeles Division

    MIL Security OSI –

    February 8, 2025
  • MIL-OSI Security: Dumfries man pleads guilty to nearly $150,000 fraud of COVID relief program

    Source: United States Department of Justice (National Center for Disaster Fraud)

    ALEXANDRIA, Va. – A Dumfries man pled guilty today to wire fraud in connection with his fraudulent application for and receipt of funds through a COVID-19 relief program.

    According to court documents, in 2021, Kingsley Apenteng, 40, was the registered owner of Pioneers Real Estate LLC (Pioneers). From at least 2017 through 2021, Pioneers had no employees, transacted no business, and was completely inactive.

    In March 2021, Apenteng completed and signed a loan application seeking $149,740.00 for Pioneers through the Paycheck Protection Program (PPP), a COVID-19 relief program intended to provide loans to certain businesses to help them retain their employees or stay afloat during the pandemic. Apenteng falsely claimed on the application that, during all of 2019 and the first quarter of 2020, Pioneers had nine employees and paid them, on average, a combined payroll of $59,896 per month. Apenteng falsely certified on the application that the PPP loan funds he was requesting would be used to pay the wages of those employees.

    Apenteng prepared fraudulent tax return forms to support the PPP application. Apenteng filled out five IRS Forms 941 for Pioneers, one for each quarter of 2019 and the first quarter of 2020. To make these forms appear legitimate, Apenteng falsely claimed that they had been prepared by a professional tax preparer. Apenteng wrote the name of a real tax preparer, forged that person’s digital signature, and entered that person’s business information.

    Apenteng also fraudulently altered a bank account statement. After downloading a PDF of a monthly statement for Pioneers’ bank account, Apenteng used a computer program to alter the date and transaction information on the statement to make it appear that Pioneers paid payroll to employees during the first quarter of 2020.

    On or around March 10, 2021, Apenteng caused the fraudulent PPP loan application, tax forms, and bank statement to be electronically submitted to a lender and to the Small Business Administration (SBA). Based on the false claims in those fraudulent documents, Apenteng’s PPP loan application was approved and Apenteng received PPP loan funds in the amount of $149,740.00 on April 28, 2021.

    On Nov. 2, 2021, Apenteng submitted a loan forgiveness application to the SBA for the Pioneers PPP loan. Apenteng again falsely claimed that Pioneers had nine employees and claimed that he spent all the PPP loan funds on their wages. On Nov. 9, 2021, the SBA approved Apenteng’s loan forgiveness application and reimbursed the lender for the full amount of the loan. Apenteng never repaid any portion of the PPP loan.

    Apenteng is scheduled to be sentenced on May 6 and faces up to 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

    Erik S. Siebert, U.S. Attorney for the Eastern District of Virginia, and Sean Ryan, Special Agent in Charge of the FBI Washington Field Office’s Criminal and Cyber Division, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.

    Assistant U.S. Attorney Jordan Harvey is prosecuting the case.

    A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:25-cr-21.

    MIL Security OSI –

    February 8, 2025
  • MIL-OSI Security: Feeding Our Future Defendant Sentenced to 43 Months in Prison For Her “Flagrant” Role in $250 Million Fraud Scheme

    Source: Office of United States Attorneys

    MINNEAPOLIS – Sharon Denise Ross, 54, of Willernie, Minnesota, has been sentenced to 43 months in prison followed by three years of supervised release for her role in a $250 million fraud scheme that exploited a federally funded child nutrition program during the COVID-19 pandemic, announced Acting U.S. Attorney Lisa D. Kirkpatrick. Ross was also ordered to pay restitution in the amount of $2,434,360. Ross was further ordered to forfeit to the United States all property derived from fraud proceeds, including her house in Willernie.

    Ross was charged in a 12-count indictment on March 7, 2023, with wire fraud and money laundering for her role in devising and carrying out a multi-million dollar scheme to defraud the Federal Child Nutrition Program.  On January 10, 2024, Ross pled guilty to one count of wire fraud.

    According to court documents, Ross was the executive director of House of Refuge Twin Cities, a St. Paul-based non-profit which she enrolled in the Federal Child Nutrition Program under the sponsorship of Feeding Our Future and Partners in Nutrition. Ross claimed that House of Refuge operated distribution sites at a dozen locations throughout the Twin Cities that served food by a vendor called Brava Café, a restaurant in Minneapolis run by Hanna Marakegn. Between September 2021 through February 2022, Ross falsely claimed to be serving thousands of children each day at her House of Refuge sites, which included fraudulently claiming to feed children at multiple area churches.  In total, Ross fraudulently claimed to have served nearly 900,000 meals and she received approximately $2.4 million in fraudulent Federal Child Nutrition Program funds. Ross distributed hundreds of thousands of dollars to family members and used the rest of the money to fund her lifestyle, including to pay for vacations to Florida and Las Vegas, to purchase a suite at a Minnesota Timberwolves game, and to purchase her house in Willernie.

    In handing down the sentence today, Judge Nancy E. Brasel commented that Ross “used a position of trust in the community” for her own “flagrant personal gain.” Judge Brasel further noted that Ross’s crime was all the more aggravating because she acquired large amounts of fraudulent money in an “extremely short time span” while Ross was on probation for another fraud.

    The case is the result of an investigation by the FBI, IRS – Criminal Investigations, and the U.S. Postal Inspection Service. 

    Assistant U.S. Attorneys for the District of Minnesota Joseph H. Thompson, Harry M. Jacobs, Matthew S. Ebert, and Daniel W. Bobier prosecuted the case. Assistant U.S. Attorney Craig Baune is handling the seizure and forfeiture of assets.
     

    MIL Security OSI –

    February 8, 2025
  • MIL-OSI Russia: IMF Executive Board Concludes 2024 Article IV Consultation with Nicaragua

    Source: IMF – News in Russian

    February 7, 2025

    Washington, DC: The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] with Nicaragua.

    Nicaragua’s economic performance remains robust, underpinned by prudent macroeconomic policies and very strong remittance flows. The economy continues to be open and resilient, on a backdrop of transfers of private property to the state, international sanctions, and a reorientation of official financing. Real GDP growth accelerated to around 4½ percent in 2023 and the first half of 2024, from about 3.8 percent in 2022, on the back of robust domestic demand, while inflation declined. Twin fiscal and external account surpluses are leading to a decline in the public debt-to-GDP ratio and the accumulation of strong buffers.

    Real GDP growth is projected to moderate to 4 percent in the near term and to 3.5 percent in the medium-term, amid a slower pace of remittances growth, limited labor contribution to growth due to recent emigration, and cautious private sector investment decisions. International reserves are expected to grow at a slower pace than in the recent period, with narrowing of fiscal and current account surpluses as the authorities’ increase public investment.

    Risks to the outlook are broadly balanced in the short-term and to the downside in the medium term. Upside risks include stronger domestic demand, while downside risks include lower global growth, a deterioration in the terms of trade, natural disasters, stricter and wider international sanctions, and a change in immigration policies in the U.S. In addition, going forward, domestic and international political developments, and deterioration of the rule of law may also impact economic performance by potentially increasing the cost of doing business.

    Executive Board Assessment[2]

    Executive Directors agreed with the thrust of the staff appraisal. They welcomed Nicaragua’s robust growth, declining inflation and public debt, and fiscal sector and current account surpluses, supported by prudent macroeconomic policies and high remittances. While noting the positive outlook, Directors stressed that risks are to the downside, including from natural disasters, international sanctions, and U.S. immigration policies. They underscored the importance of continued efforts to safeguard macroeconomic stability, strengthen buffers, and support higher and more inclusive growth.

    Directors welcomed the authorities’ commitment to preserving fiscal sustainability, while supporting growth. Efforts to strengthen domestic revenue mobilization, enhance spending efficiency, and support higher capital and social spending are important. Noting the limited availability of concessional financing, Directors highlighted the importance of prudent debt management to safeguard debt sustainability. They underscored the need to mitigate fiscal risks by strengthening fiscal transparency, enhancing oversight of state owned enterprises, and reforming the pension system.

    Directors agreed that monetary policy should remain focused on supporting price stability and the exchange rate regime and highlighted the criticality of policy coordination. They recommended that the Central Bank of Nicaragua adjust monetary and exchange rate policies, as needed, enhance communication, and strengthen monetary policy transmission. Directors encouraged steadfast implementation of the 2021 safeguard assessment recommendations.

    Directors welcomed the commitment to maintaining financial stability. Noting the vulnerabilities, they encouraged proactive provisioning of distressed assets, close monitoring of consumer credit growth, enhanced foreign exchange risk monitoring, and aligning the crisis preparedness framework with international best practice. Measures to increase financial inclusion and deepening, including developing local bond and capital markets, would support medium term growth.

    Directors stressed the need for efforts to promote higher medium term growth and enhance climate resilience. Important measures include increasing human capital investment, targeted social spending, and promoting labor force participation, particularly for women. Directors also called for efforts to enhance the business climate and strengthen government institutions and frameworks to support increased private investment.

    Directors noted the steps taken to enhance governance, anti corruption, and AML/CFT frameworks, and emphasized that further efforts are needed to ensure their effective and appropriate application. They stressed the need to significantly improve the rule of law and safeguard judicial independence. Publishing asset declarations of politically exposed persons and supporting property rights are important. Directors welcomed the authorities’ commitment to enhancing the quality and consistency of statistics.

    It is expected that the next Article IV consultation with Nicaragua will be held on the standard 12 month cycle.

    Table 1. Nicaragua: Selected Social and Economic Indicators, 2023-25

    I. Social and Demographic Indicators

    GDP per capita (current US$, 2023)

    2,606

    Income share held by the richest 10 percent (2014)

    37.2

    GNI per capita (Atlas method, current US$, 2023)

    2,270

    Unemployment (percent of labor force, 2023)

    3.4

    GINI Index (2014)

    46.2

    Poverty rate ($3.65/day line, 2017 PPP, percent, World Bank, 2023)

    12.5

    Population (millions, 2023)

    6.8

    Adult literacy rate (percent, 2015)

    82.6

    Life expectancy at birth in years (2022)

    74.6

    Infant mortality rate (per 1,000 live births, 2022)

    14.0

    II. Economic Indicators

    2023

    2024

    2025

    Projections

    Output

    (Annual percentage change; unless otherwise specified)

    GDP growth

    4.6

    4.0

    4.0

    GDP (nominal, US$ million)

    17,843

    19,204

    20,771

    Prices

    Consumer price inflation (period average)

    8.4

    4.0

    4.0

     

    (Percent of GDP)

    Gross domestic investment

    23.0

    25.0

    26.5

    Private sector

    15.1

    15.8

    15.5

    Public sector

    7.9

    9.2

    11.0

    Gross national savings

    30.8

    31.8

    32.9

    Private sector

    21.5

    22.5

    22.9

    Public sector

    9.3

    9.3

    10.0

    Exchange rate

    Period average (Córdobas per US$)

    36.4

    36.6

    …

     

    Fiscal sector

    (Percent of GDP)

    Consolidated public sector

    balance1/

    2.8

    1.8

    1.1

    Revenue (including grants)

    32.9

    33.2

    33.1

    Expenditure

    30.1

    31.4

    32.0

    of which: Central Government overall balance2/

    2.6

    2.1

    1.3

    Revenue

    21.7

    21.6

    21.6

    Expenditure

    19.1

    19.5

    20.3

    Cash payments for operating activities

    14.6

    14.5

    13.8

    Net cash outflow: investments in NFAs

    4.5

    5.0

    6.5

    Money and financial

    (Annual percentage change)

    Broad money

    11.9

    12.2

    11.2

    Credit to the private sector

    18.1

    18.3

    11.2

    Net domestic assets of the banking system

    -8.0

    5.8

    1.3

    Non-performing loans to total loans (ratio)3/

    1.2

    1.7

    …

    Regulatory capital to risk-weighted assets (ratio)3/

    19.1

    19.2

    …

    External sector

    (Percent of GDP, unless otherwise indicated)

    Current account

    7.7

    6.7

    6.4

    Remittances

    26.1

    27.2

    26.1

    Capital and financial account

    4.1

    2.5

    3.0

    Gross international reserves (US$ million)4/

    5,190

    5,907

    6,729

    In months of imports excl. maquila

    7.0

    7.4

    7.7

    Net international reserves (US$ million)5/

    4,249

    4,979

    5,724

    In months of imports excl. maquila

    5.7

    6.3

    6.7

    Non-financial public sector debt6/

    49.6

    46.9

    44.9

    Domestic public debt

    10.3

    8.0

    6-9

    External public debt

    39.3

    38.9

    38.0

    Private sector external debt

    31.0

    28.6

    26.2

    Sources: National authorities; World Bank; and IMF staff calculations.

    1/ The consolidated public sector comprises the central government, the municipality of Managua, the state-owned enterprises, social security system (INSS) and the central bank.

    2/ Include transfers to cover the INSS deficit for 2023-25, 0.5 percent of GDP per year, and payment for historical debt (0.7 percent of GDP in 2023).

    3/ 2024 data is as of September 2024.

    4/ Excludes resources from the Deposit Guarantee Fund for Financial Institutions (FOGADE).

    5/ Excludes FOGADE and reserve requirements for FX deposits.

    6/ Assumes that HIPC-equivalent terms were applied to the outstanding debt to non-Paris Club bilaterals. Does not include SDR allocation.

             

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

    [2] At the conclusion of the discussion, the Managing Director, as Chairman of the Board, summarizes the views of Executive Directors, and this summary is transmitted to the country’s authorities. An explanation of any qualifiers used in summings up can be found here: http://www.IMF.org/external/np/sec/misc/qualifiers.htm.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Brian Walker

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

    @IMFSpokesperson

    https://www.imf.org/en/News/Articles/2025/02/06/pr-2532-nicaragua-imf-executive-board-concludes-2024-article-iv-consultation-with-nicaragua

    MIL OSI

    MIL OSI Russia News –

    February 8, 2025
  • MIL-OSI United Nations: Responsible Global Governance of Artificial Intelligence Critical, Speakers Say, as Economic and Social Council Concludes Its Coordination Segment

    Source: United Nations General Assembly and Security Council

    Amid the fourth industrial revolution, responsible global governance of artificial intelligence (AI) is paramount, the Economic and Social Council heard today as speakers at its 2025 coordination segment explored the transformative potential of data, science, technology and innovation to advance sustainable development.

    The first of the four panel discussions held today — moderated by Mahlet Zeleke Redi, Focal Point of Global Youth Caucus on Decent Work and Sustainable Economies Major Group for Children and Youth — focused on “Creating employment and decent work opportunities for all”.

    It began with a fireside chat featuring José Manuel Salazar-Xirinachs, Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC), and Cynthia Samuel-Olonjuwon, Director of the International Labour Organization (ILO) Office for the United Nations.

    Mr. Salazar-Xirinachs, spotlighting the challenge of job creation, said that in the era of technological and AI revolutions, one of the key drivers of investment flows to countries is not just cheap but skilled labour.  Therefore, he stressed, the quality of education and vocational training systems and the digital skills of the labour force are essential for people to get good jobs and for countries to thrive.

    Ms. Samuel-Olonjuwon underscored that prioritizing decent work for young people pays back “sustained and multifaceted dividends” for their families and nations.  Technological transformation is rapidly driving change in the world of work and beyond, she observed, adding that “skills have become a priority”.  Noting the importance of education, training and entrepreneurship for young businesses, she said that policy actions should be guided by the actual needs of young people and “put them in the driver seat”.

    The panel began with Gerd Müller, Director General of the United Nations Industrial Development Organization (UNIDO), who underscored — via video message — that “creating decent jobs is the core of our mission” to fight poverty and hunger worldwide.  While spotlighting AI’s massive opportunities — including to improve productivity and competitiveness — he underlined the need to “close the existing digital divides”.  More specifically, it is crucial to address the potential downsides of digitalization and automation, including the risk of job losses and shifting production away from developing countries, he stressed, pointing to UNIDO’s projects which equip young people and women in developing countries with technical skills for decent jobs.

    Abdulaziz M. Alwasil (Saudi Arabia), Chair of the Commission on the Status of Women on its sixty-ninth session, stressed that an inclusive society cannot be built without gender equality.  The empowerment of women and girls is paramount, he said, adding that in many countries, women and girls are deprived of equal access to economic opportunities and leadership roles.  “This undermines the resilience of societies,” he stated, underscoring the need to push for policy outcomes that are “not just ambitious in rhetoric but transformative in practice”.

    “We gather here at a moment of profound reckoning” — from the devastating impacts of conflict and rise of authoritarianism to the assaults on fundamental human rights, said Veronica Brown, Women’s Major Group Coordinator for the Women’s Environment and Development Organization.  Warning against forces that aim to roll back hard-won gains in gender equality, she observed:  “Gender equality is too often treated as an add-on rather than a prerequisite for sustainable development.”

    Echoing her concerns, Jemimah Njuki, Chief of the Economic Empowerment section at the United Nations Entity for Gender Equality and the Empowerment of Women (UN-Women), said the empowerment of women and girls is not just a moral imperative but a necessity for achieving all of the Sustainable Development Goals (SDGs) and ensuring a resilient economy.  Nevertheless, women face a 20 per cent gender pay gap and, in many countries, informal employment — where mostly women are to be found — is as high as 90 per cent.  Accordingly, she called for sustainable financing, ensuring that “gender equality remains at the heart of financial systems”.

    Georges-Simon Ulrich, Director General of the Federal Statistical Office of Switzerland and Chair of the Statistical Commission on its fifty-fifth session, speaking via videoconference, called for comprehensive data and statistical systems which permit evidence-based decision-making and detailed the Commission’s work towards supporting inclusive growth strategies and building resilient economies.

    The second panel, moderated by Quintin Chou-Lambert, Senior Adviser to the Under-Secretary-General and Special Envoy for Digital and Emerging Technologies, focused on “Harnessing data, science, technology and innovation to advance digital progress”.

    The fireside chat included Geraldine Fraser-Moleketi, Chancellor of Nelson Mandela University, and Tomas Lamanauskas, Deputy Secretary-General of the International Telecommunication Union (ITU).

    Ms. Fraser-Moleketi said public administration is responsible for ensuring that AI is used to improve lives.  Governance frameworks must leverage scientific expertise to do this, she said, calling for targeted interventions to address the digital divide and technological exclusion.

    Mr. Lamanauskas said:  “Done right, [AI] can mitigate 5-10 per cent of global greenhouse gas emissions by 2030”, and highlighted the “AI for Good summit” which showcases responsible innovation and spotlights AI solutions for each SDG.  He also drew attention to the UN System White Paper on AI Governance, which identifies pre-existing instruments that could also cover AI, from broad ethics to sector-specific technical guidelines. 

    The panel began with Muhammadou M.O. Kah (Gambia), Chair of the Commission on Science and Technology for Development on its twenty-eighth session, who stressed that “when we establish transparent and consistent data governance frameworks, we create an environment of legal certainty that empowers innovators, businesses and consumers alike”.  It is also crucial to establish clear avenues for redress, he said, underscoring the importance of interoperability — “by aligning our legal and technical standards, we could create pathways for seamless data flows that enhance cooperation and facilitate the global exchange of ideas and best practices”.

    Next, Tatiana Molcean, Executive Secretary of the Economic Commission for Europe (ECE), highlighted its efforts to facilitate trade by streamlining trade-related processes and digitalizing the exchange of information.  ECE hosts the United Nations Centre for Trade Facilitation and Electronic Business, which develops interoperable data exchange standards and policy recommendations, enabling seamless data exchange across systems, borders and value chains.  “Today, many products have AI embedded.  Ensuring their conformity and safety presents new challenges,” she said, adding that ECE has released guidance for regulatory compliance of products and services using embedded AI or other digital technologies.

    Julia Glidden, Group President of Ipsos Public Affairs, said that “it is easy to talk about sexy data-driven topics like GenAI, Edge Computing [and] geospatial intelligence”, but it is also essential to combine established technologies with sophisticated data analytics.  As an example, she said, her organization worked with Mondelez, a multinational food producer, to use data to understand cocoa farmers’ working conditions and economic growth.  Collecting reliable data meant reaching communities in remote areas, often traveling by foot, donkey and canoe to capture and transmit data from areas that often lack electricity, let alone Wi-Fi.  They did so “by using tablet devices enabled by Ipsos’s iField” technology, she added.

    Fernand Bale, Director of the Geographic and Digital Information Center of Côte d’Ivoire, said that because geospatial information integrates diverse data and scientific approaches, it “enables policymakers to process large amounts of data, thereby strengthening the interface between policy and science”.  Communities and Governments can use geospatial information and maps to visualize locations where critical infrastructure is needed, or areas affected by disasters, pollution or biodiversity loss.  By enhancing policies and capacities related to geospatial information, “we democratize access to data and knowledge”, he said.

    Moderated by Lok Bahadur Thapa (Nepal), Vice-President of the Economic and Social Council and co-facilitator of the Fourth International Conference on Financing for Development, the sixth panel focused on “Financing and investment solutions for sustainable development in countries in special situations”.

    The speakers for the fireside chat were Jose Antonio Ocampo, Professor at the School of International and Public Affairs, Columbia University, and Robert Powell, Special Representative of the International Monetary Fund (IMF).

    Mr. Ocampo noted that levelling the playing field is not enough for countries in special situations.  Debt and tax cooperation are “pressing problems”, he said, calling for interaction between regional and global institutions and urging the fulfilment of historical commitments for developing countries.  He observed that interaction with Governments and monitoring of graduating countries will uncover systemic inequalities on the ground. 

    Mr. Powell, stating that coordination and trust are critical for efficiency across the UN system, said that Member States in New York are responsible for ensuring that “messaging remains consistent”.  Noting that major financial reforms are already taking place, he spotlighted the Fund’s “historic” special drawing rights (SDRs) allocation of $650 billion and the creation of the Resilience and Sustainability Trust.

    The panel began with Rabab Fatima, High Representative for Least Developed Countries, Landlocked Developing Countries and Small Island Developing States, stressing that the Fourth International Conference on Financing for Development must deliver a renewed global financing framework.

    For her part, Rebeca Grynspan, Secretary-General of the UN Conference on Trade and Development (UNCTAD), pointing to the term “countries in special situations”, observed that States’ perseverance and transformation potential make them “truly special”.  However, there is nothing “special” about small island developing States defaulting on their development to not default on their debt, she said, calling for maximizing the impact of development on technological progress.

    Mathew Gbonjubola, Co-Chair of the Committee of Experts on International Cooperation in Tax Matters, said that developing countries widely adopt the UN Model Double Taxation Convention.  The Committee also supports capacity-development activities and reviews standards — designed from the point of view of developed economies — through the prism of developing countries.  He added that giving the developing countries the ability to sit at the table in designing the world tax system is key.

    “Although Africa has integrated into the global financial system, its economies remain constrained by limited access to stable financing,” observed Claver Gatete, Executive Secretary of the Economic Commission for Africa (ECA).  The continent’s debt exceeds $1 trillion, and its countries annually spend millions in debt servicing — “resources that could have been invested in other development priorities”, he noted.  Through the African High-Level Working Group, the Commission works to scale up bank financing and ensure better returns.

    “Over the past two days, we have witnessed the [Economic and Social Council] ecosystem in action, providing ideas and solutions on how to turbocharge implementation as we approach the 2030 deadline of the SDGs,” said Navid Hanif, Assistant Secretary-General for Economic and Social Affairs, Department of Economic and Social Affairs, in his closing remarks.  Noting that this year’s coordination segment was the first since the adoption of the Pact for the Future, he said it has delivered “a clear call to strengthen coordination within the UN system, reduce duplication and address misalignment of partnerships”.

    Anatolio Ndong Mba (Equatorial Guinea), Vice-President of the Economic and Social Council and Chair of the Coordination Segment, said that this year’s meeting has demonstrated that political will can elevate international cooperation to new heights and deliver concrete solutions. “The coordination segment is not just about reflection; it is about action and charting the way forward”, he stated, urging those present to carry forward the momentum and translate discussions into action.  He added:  “We have a responsibility to the people we represent.  The time for bold and coordinated leadership cannot be postponed anymore.”

    MIL OSI United Nations News –

    February 8, 2025
  • MIL-OSI Security: Rumford Man Sentenced for Evading Employment Taxes

    Source: Office of United States Attorneys

    PORTLAND, Maine: A Rumford man was sentenced today in U.S. District Court in Portland for willfully evading the payment of employment taxes.

    U.S. District Judge John A. Woodcock, Jr. sentenced Jeffrey Richard, 50, to 12 months and one day in prison followed by three years of supervised release. He was also ordered to pay $910,980.37 in restitution to the IRS. Richard pleaded guilty on July 17, 2023.

    According to court records, between 2013 and 2017, Richard willfully attempted to evade payment of employment withholding taxes owed by his company, Black Bear Industrial, Inc. Despite being aware of the company’s unpaid employment tax liability, Richard took a variety of steps to evade payment. He regularly used funds from Black Bear’s business bank account to make business and personal purchases, all while making no payments toward Black Bear’s tax liability. He also created two nominee companies and took steps to disguise his ownership of the companies. He falsely represented to an IRS revenue officer that he had anything to do with one of the companies. The other company did business and had over $174,000 of business income in 2017, but none of the money was used to pay the IRS. Richard never informed the IRS about the company, and the company never filed any corporate or employment tax returns.

    “Today’s sentencing of Jeffrey Richard sends a strong message to all individuals and businesses that think they are above the law and can evade their obligation to pay their fair share of taxes,” said Thomas Demeo, Acting Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Office. “Richard knowingly chose to steal and cheat from every America taxpayer when he selfishly chose to use business funds for personal purchases and took other steps to evade paying his tax liability. Tax evasion is not a victimless crime, it impacts every American by stealing resources vital to fund schools, maintain public infrastructure and enhance social welfare.”

    IRS Criminal Investigation investigated the case.

    ###

    MIL Security OSI –

    February 8, 2025
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