NewzIntel.com

Category: Taxation

  • MIL-OSI USA: WTAS: Praise for Ernst Work to Codify Trump Effort to Eliminate Improper Payments

    US Senate News:

    Source: United States Senator Joni Ernst (R-IA)
    WASHINGTON – U.S. Senate DOGE Caucus Chair Joni Ernst (R-Iowa) is earning sweeping praise for her new bill that will save taxpayers tens of billions annually. The bill will effectively eliminate improper payments across the federal government by codifying one of the Trump administration’s largest cost savings actions taken by the Department of Government Efficiency (DOGE).
    Before any government expenditure can go out the door, the Delivering On Government Efficiency (DOGE) in Spending Act requires the Department of Treasury to have a description of the payment, link it to a budget account, and crosscheck the payment against government databases to ensure accuracy and eligibility. In Fiscal Year 2024, more than $160 billion in fraudulent and improper payments occurred.
    Here is some of the praise for the bill:
    “The Delivering on Government Efficiency (DOGE) in Spending Act is an extremely critical step towards codifying the policies in President Trump’s Executive Order. Before DOGE, taxpayer dollars have been the subject of waste and abuse. This legislation is as commonsense as it is bipartisan as it brings much-needed accountability by mandating that each agency undergoing review by the Treasury Department will have to report key financial information, thus ensuring fiscal responsibility and ending improper payments,” said Greg Sindelar, America First Policy Institute President & Chief Executive Officer.
    “Senator Ernst’s DOGE in Spending Act is a great step in assisting Congress in its work to analyze and track spending. It’s crucial that we respect taxpayers’ dollars and help drive down the costs that have led to billions in mismanagement and led to record inflation under the previous administration. Congress and the President must know where taxpayer funds are going to make coherent budgets and to execute the laws properly,” said Daniel Garza, The LIBRE Initiative President.
    “Congress and the President need to know where taxpayer funds go to make coherent budgets and to execute the laws properly. Senator Ernst’s DOGE in Spending Act would shine more light on federal spending so Congress can continue what’s working and change what isn’t,” said Kurt Couchman, Americans for Prosperity Senior Fellow in Fiscal Policy.
    “The Delivering on Government Efficiency in Spending Act will require the Treasury Department to make all federal payments public and searchable. The increased spending transparency will help identify and eliminate waste, fraud, abuse, and mismanagement. Taxpayers are grateful to Sen. Ernst for her continued leadership in holding the federal government accountable, and there should not be any objections from members of Congress to this commonsense legislation,” said Tom Schatz, Council for Citizens Against Government Waste President.
    “Under President Trump’s leadership, the DOGE effort has uncovered an unprecedented level of waste, fraud, and abuse. But there’s one big problem with DOGE’s work: Most of its work can be undone by a future president with the stroke of a pen. To make President Trump’s DOGE reforms permanent, Congress must act. Fortunately, under the leadership of Senator Joni Ernst, the Senate DOGE Caucus is doing precisely that, through the Delivering On Government Efficiency (DOGE) in Spending Act. If passed, the DOGE in Spending Act would help prevent future fraudulent and improper payments by providing the Treasury Department with the information needed to end improper payments, stop fraudsters, and protect American taxpayers. At the end of the day, the DOGE in Spending Act is just common sense,” said Tarren Bragdon, Foundation for Government Accountability President and CEO.
    “Open the Books has previously reported massive instances of wasted money that could have been avoided had federal agencies been in communication with the Do Not Pay system at Treasury. This legislation would mark a major step in curing that, too. The Delivering on Government Efficiency in Spending Act will improve transparency for taxpayers and accountability across federal agencies; it’s a no-brainer for passage,” said John Hart, Open the Books CEO.
    “Heritage Action strongly supports The Delivering on Government Efficiency (DOGE) in Spending Act to implement fiscal accountability within the federal government,” said Ryan Walker, Heritage Action Executive Vice President. “Each year the government loses billions in hard-earned taxpayer dollars to fraud. This DOGE-inspired legislation codifies the Trump executive order to ensure U.S. dollars are not improperly spent or lost, that waste is reduced, and we can accurately track federal spending. Heritage Action applauds Republican lawmakers for pushing this Act, and urges Congress to quickly codify this commonsense legislation.”

    MIL OSI USA News –

  • MIL-OSI Security: Two Charged with Methamphetamine Trafficking

    Source: Office of United States Attorneys

    KANSAS CITY, Mo. – Two men have been charged for their roles in a conspiracy to distribute methamphetamine.

    Ramon Garcia-Parra, 37, a Mexican national, and Abraham Acevedo-Hernandez, 32, of Kansas City, Mo., were charged in a criminal complaint in the U.S. District Court in Kansas City, Mo., on Thursday, June 5, 2025.

    The complaint alleges that Ramon Garcia-Parra and Abraham Acevedo-Hernandez conspired to distribute methamphetamine. As part of the conspiracy, the defendants delivered approximately 10 kilograms of methamphetamine during a controlled purchase on June 2, 2025.

    Trinidad Garcia-Parra, 40, a Mexican national and relative of Ramon Garcia-Parra, has also been charged in a separate criminal complaint in the U.S. District Court in Kansas City, Mo., on Thursday, June 5, 2025, with illegal re-entry. Trinidad Garcia-Parra had previously been removed from the United States on two prior occasions.

    The charges contained in these complaints are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.

    This case is being prosecuted by Assistant U.S. Attorney Robert Smith. It was investigated by the Federal Bureau of Investigation, the Kansas City, Missouri Police Department, and the Internal Revenue Service.

    KC Metro Strike Force

    This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against a continuum of priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through the long-term relationships that can be forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.

    Operation Take Back America

    This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).

    MIL Security OSI –

  • MIL-OSI USA: NEW: Report Shows Republicans’ Bill Will Terminate Health Insurance for Over 250,000 Wisconsinites

    US Senate News:

    Source: United States Senator for Wisconsin Tammy Baldwin
    WASHINGTON, D.C. – A new report was released showing that 258,396 Wisconsinites will have their health care terminated under Republicans’ House-passed budget bill to gut Medicaid and dismantle key parts of the Affordable Care Act to pay for tax cuts for corporations and wealthy Americans. Nationwide, 16 million Americans’ care is in jeopardy, including over 8.5 million Americans who rely on Affordable Care Act coverage and 7.4 million Americans on Medicaid.
    “Republicans’ plan is simple: gut benefits for working Americans so that the wealthiest Americans and big corporations can get richer. My phones have been ringing off the hook from Wisconsinites who are terrified their health care coverage is on the chopping block, and now we see just how many of our neighbors are in jeopardy,” said Senator Baldwin. “If Republicans get their way, 250,000 Wisconsinites will lose their coverage as health care costs are jacked up on thousands more. We should be working to make sure more people have health care and lowering costs – not taking it away from the elderly, the disabled, and hardworking families. We’re making sure Americans know who will pay the price so Donald Trump and Republicans can give handouts to billionaires.”
    The Republicans’ plan includes changes to the Medicaid program designed to kick eligible Americans off their health care, with a new report today showing an estimated 148,254 Wisconsinites would lose their Medicaid benefits. The Republican plan would also allow the enhanced Affordable Care Act Premium Tax Credits, which save Americans on average $700 each year on their coverage, to expire, jacking up the cost of coverage and putting insurance out of reach for 110,142 Wisconsin families. Senator Baldwin leads legislation to make these tax breaks for working families permanent. 
    In Wisconsin, over 1.2 million are enrolled in Medicaid. About 1 in 3 children in both Wisconsin’s rural and metro communities have Medicaid coverage. Severe cuts to Medicaid will also jeopardize rural hospitals and clinics’ ability to keep their doors open. Over 12 million rural Americans rely on Medicaid for health care.
    Senator Baldwin has been leading the charge to fight back against cuts to Medicaid. This year, Senator Baldwin has made eleven stops on her “Hands Off Medicaid Tour,” holding roundtable discussions statewide calling out Republicans’ plan to slash Medicaid to pay for tax cuts for the wealthy. During each stop, Senator Baldwin heard directly from Wisconsinites who depend on Medicaid and highlighted the dire consequences cuts to the lifesaving program would mean for them and their loved ones.
    Full report is available here with a breakdown by Congressional District available here. 

    MIL OSI USA News –

  • MIL-OSI USA: Congressman Scott Perry Introduces the “No Desire for Streetcars Act”

    Source: United States House of Representatives – Congressman Scott Perry (PA-10)

    Washington, D.C. – Today, Congressman Scott Perry (PA-10) introduced the No Desire for Streetcars Act, a bill prohibiting mass transit pet projects masquerading as legitimate public infrastructure.

    “Beauty is in the eye of the beholder, unless we’re talking about publicly-funded streetcars – expensive, ugly, and slow,” said Congressman Perry. “Academic, out-of-touch city planners are the only proponents of building roads to nowhere. Streetcars are the worst of the worst – dysfunctional and expensive at best, and funnel tax dollars to large coastal cities and out of the pockets of hardworking Americans.”

    The No Desire for Streetcars Act ends funding for the D.C. streetcar boondoggle, and for any current or future copycat transit infrastructure projects. In Washington, the streetcar cost exceeded $200 million, took years to implement, and never collected a single fare.

    Washington D.C. is phasing out the streetcar line by 2025, and replacing it with an electric bus after the abject failure of the decades-long project. Taxpayers can’t afford another failed mass transit project, and the No Desire for Streetcars Act eliminates the risk of one by codifying common sense.

    Read more here.

    MIL OSI USA News –

  • MIL-OSI USA: Congresswoman Tenney Leads Legislation to Support Water Infrastructure Projects

    Source: United States House of Representatives – Congresswoman Claudia Tenney (NY-22)

    Washington, DC – Congresswoman Claudia Tenney (NY-24), along with Congresswoman Gwen Moore (WI-4), today reintroduced the Financing Lead Out of Water (FLOW) Act to reduce red tape and enable more municipalities to finance water projects focused on replacing lead service lines. The legislation will help shore up Upstate New York’s aging water infrastructure and ensure communities can provide safe, clean drinking water.

    Additional cosponsors of the legislation include Representatives Mike Kelly (PA-3) and Haley Stevens (MI-11). 

    Lead service lines, which are often jointly owned by local governments and private homeowners, are expensive to replace—but they can be financed using tax-exempt bonds. Unfortunately, current law requires water utilities to prove these bonds do not primarily benefit private entities if used on private property—a burdensome and costly process that delays critical infrastructure upgrades.

    The FLOW Act would eliminate this barrier by allowing public water utilities to use tax-exempt bonds to replace privately owned lead service lines without triggering the IRS’s “private business use” restrictions.

    “Replacing hazardous lead pipes in our communities is a costly, time-consuming process burdened by unnecessary federal hurdles,” said Congresswoman Tenney. “The FLOW Act cuts red tape and eliminates excessive documentation requirements, making it easier for communities to access affordable financing for critical water infrastructure projects. Reducing ineffective bureaucracy will allow more New Yorkers in NY-24, and Americans nationwide, to replace dangerous lead pipes and gain access to safe, clean water.”

    “As a mother, grandmother, and great grandmother, I am focused on ending the lead epidemic so we can protect the potential of every child in Milwaukee. In Congress, I am working to advance proposals that can help our communities remove this toxin. That’s why I am supporting the FLOW Act, which would allow local governments to better leverage tax-exempt municipal bonds, to fund lead service line replacement projects. We need every tool available to tackle this health crisis,” said Congresswoman Moore. 

    “In Michigan, we’ve seen firsthand the devastating impact that led-contaminated water can have on families, from Flint to Benton Harbor and beyond. Communities across our state are working hard to replace aging lead service lines, but federal red tape has made that work slower and more expensive than it needs to be. The FLOW Act will cut unnecessary barriers and unlock affordable financing tools to get these dangerous pipes out of the ground faster. I’m proud to be an original cosponsor of this bipartisan bill to help Michigan and communities across the country deliver safe, clean drinking water to every household,” said Congresswoman Stevens. 

    ###

    MIL OSI USA News –

  • MIL-OSI Security: Morrison Man Sentenced to 46 Months in Federal Prison for PPP Loan Fraud

    Source: Office of United States Attorneys

    DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Richard Nieto, age 39, of Morrison, Colorado, was sentenced to 46 months in federal prison and ordered to pay $962,438.85 in restitution for engaging in wire fraud and money laundering in connection with obtaining two Paycheck Protection Program (PPP) loans during the COVID-19 pandemic. 

    According to the plea agreement, the defendant submitted three fraudulent PPP loan applications to a lender seeking $1,117,903.56 and was successful in obtaining two PPP loans totaling $913,551.88.

    In the first successful application for $175,384.83, the defendant inflated the number of employees and average monthly payroll for his business, Denver Pro Painting & Contracting, that had operated before the pandemic and fabricated Forms 941 that did not match the tax returns filed with the IRS. He then submitted a second successful PPP application for $738,167.05 to the same lender for another business, DenPro, that had no payroll or employees and was not operating at all. In this second application, the defendant made up $1,771,601.04 in annual payroll while fabricating fourth quarter tax returns to support the lies on the application.

    Before making a single payment on either loan, the defendant submitted fraudulent applications for loan forgiveness. In support of the forgiveness applications, the defendant created a total of 87 fake payroll checks and paystubs that falsely indicated that each check related to a specific pay period and employee and that the defendant’s companies had withheld taxes so that they would qualify for loan forgiveness. One of the defendant’s PPP loans was fully forgiven.

    Despite telling the lender that he would use the PPP loan money on business expenses, the defendant transferred PPP loan money through multiple intermediate accounts before using it on personal expenditures and investments. Among other transactions, the defendant used loan money to pay a home mortgage, purchase bitcoin, contribute to an investment account, buy gold and silver coins, and invest in a friend’s startup business. 

    “This is another case of someone using for personal gain a program meant to help people suffering during the COVID-19 pandemic,” said Acting United States Attorney J. Bishop Grewell. “I want the public to know that we are aggressively prosecuting people who stole from this relief program.”

    “Mr. Nieto went to great lengths to abuse a program meant for hardworking small business owners, seeking only to enrich himself.” said Amanda Prestegard, Special Agent in Charge, IRS-CI Denver Field Office. “We are proud to partner with the U.S Attorney’s Office to aggressively pursue those who defrauded this and other CARES Act programs and hold criminals like Mr. Nieto accountable.”

    United States District Judge William J. Martinez presided over the sentencing.

    The Internal Revenue Service Criminal Investigation conducted the investigation.  Assistant United States Attorneys Craig Fansler and Martha Paluch handled the prosecution of the case.

    Case Number: 22-cr-00262-WJM

    MIL Security OSI –

  • MIL-OSI USA: Durbin On Republicans’ Reconciliation Bill: It’s A Big, Beautiful Betrayal Against American Families

    US Senate News:

    Source: United States Senator for Illinois Dick Durbin
    June 09, 2025
    In a speech on the Senate floor, Durbin slammed the Republican reconciliation plan that will kick 16 million Americans off their health care coverage, close rural hospitals, and raise prices for American families in order to pay for tax cuts to billionaires
    WASHINGTON – U.S. Senate Democratic Whip Dick Durbin (D-IL) today spoke on the Senate floor, making clear that Republicans’ One Big Beautiful Bill Act will only raise prices and slash Medicaid and Medicare coverage for working Americans in order to pay for significant tax breaks for billionaires.  Durbin reiterated in his remarks that the legislation will harm Americans as the Congressional Budget Office (CBO) released an estimate showing that 16 million Americans will lose their health insurance under the Republicans’ reconciliation bill.
    “They [congressional Republicans] are considering a tax bill that will eliminate health insurance coverage for 16 million Americans.  More people and families will lose health insurance coverage by virtue of this ‘big, beautiful bill’ than any legislation we passed in modern memory,” Durbin began.
    Durbin explained how unpopular it would be to cut health insurance coverage for Americans, which has prompted a small number of Republicans to express their discontent with $800 billion in proposed cuts to Medicaid.
    “Some Republican Senators, like Josh Hawley in my neighboring state of Missouri, have criticized this because he realizes how many people he represents count on Medicaid, the basic health insurance program.  Senator Hawley says even as a Republican, he can’t support that provision,” Durbin said.  “No one should support that provision.  If you ever lived at a moment in your life with a seriously sick child and no health insurance, you’ll never forget it.  I know.  I’ve been there.”
    “With this analysis from the Congressional Budget Office, we have new estimates on how this bill impacts each and every state.  210,000 people in my neighboring state of Missouri, Senator Hawley’s state, could lose their health insurance coverage.  In Iowa, nearly 100,000 people could lose their health plans, and for our neighbor in Indiana, 250,000 Hoosiers could lose the peace of mind that comes with having health insurance,” Durbin said.
    “What is it that is so compelling that the Republicans feel they can stand up and tell 16 million people in America, ‘you’ll lose your health insurance.’  What will they use that money for?  What will they take it to the bank for?  For something very basic.  Tax cuts for the wealthiest people in America,” Durbin continued.
    Durbin spoke about his recent visit to a children’s hospital in Chicago, emphasizing that patients, including his constituent Layoni, rely on Medicaid in order to receive life-saving care.
    “Friday, I visited a hospital in Chicago… It’s La Rabida, a children’s hospital… Ninety percent of the families that bring their children to La Rabida Hospital qualify for Medicaid.  These are families of limited means, and they turn to a highly professional hospital which has a reputation of caring for the poorest kids, as well as the richest kids. They treat them all the same, and they treat them well,” Durbin said.
    “When I visited the hospital, they told me the story of one of their patients.  Her name is Layoni. She was born prematurely at 26 weeks.  When she was born she was only the size of the palm of your hand.  She was given just days to survive.  She needed a ventilator, tracheotomy tube, central line, an IV-like device that brought medicine to her heart, and much, much more.  Today, Layoni is four years old.  It’s a miracle. Thanks to want incredible cared provided by La Rabida and the love of so many people, she’s there,” Durbin continued.  “Layoni’s family was covered by Medicaid, the most highly targeted program for cuts in this ‘big, beautiful bill.’”
    Durbin explained the impact the Republicans’ reconciliation bill will have on hospitals across the country, many of which rely on Medicaid reimbursements to stay open.  If critical Medicaid funding is cut, hospitals across the country, especially those in rural areas, will be at serious risk of closure.  According to America’s Essential Hospitals, uncompensated care costs for hospitals will increase by $42 billion in a single year under this Republican proposal.  For rural hospitals that are already struggling financially, this bill could lead to them permanently closing their doors.
    “They [20 hospital administrators from downstate and urban Illinois] came out to see me three weeks ago…  On their own, they wanted to tell me the story, that the bill that passed the House of Representatives… will be devastating to these hospitals.  Some of them won’t survive,” Durbin said.
    “What does it mean to a small or medium-size city that’s lucky enough to have a good hospital and lose it?  Well, the obvious. If you need emergency medical care, it’s a longer drive.  If that baby is about to be born, it’s a longer drive. When it comes down to treatment, these hospitals provide the first in urgent care.  And if that hospital closes, what happens?  It takes longer to get that care, but in addition to that, it also means a major part of the local economy is gone,” Durbin said.  “How will you attract a business or keep a business when you lose your hospital? That’s what’s at stake here because it cuts into the Medicaid program.”
    Despite Republican claims that the reconciliation bill will not impact Medicare, the bill also includes a $500 billion cut to Medicare.
    “The Trump ‘big, beautiful bill’ is designed to cut the program that these hospitals rely on most, the Medicaid program.  Now it turns out because they add trillions of dollars to the deficit for this tax cut, you’re also facing the possibility of something called sequestration, what that means is there will be less coverage for Medicare,” Durbin said.  “This would be devastating to many people who count on it. It’s not just La Rabida that would face consequences.  Red and blue states would suffer.”
    Durbin continued on, stressing that this legislation will also increase the cost of living for Americans while billionaires will enjoy an additional $400,000 in tax cuts. 
    “As if an increase in the health care premiums isn’t enough, the costs of basic goods will skyrocket under this Republican plan.  The ‘big, beautiful betrayal’ will raise energy bills up to $400 a year for families and ten percent for businesses,” Durbin said.
    “If housing wasn’t already expensive enough, many Americans will see their mortgages increase by $600 a year.  Want to follow your passion and start a business?  Small business loans are estimated to increase under the ‘big, beautiful bill’ by $1,000 a year.  Tariffs are estimated to raise costs for American households by around $2,500,” Durbin said.  “If this last election was about the cost of living and giving families a fighting chance to survive paycheck to paycheck, this bill is devastating for those who aren’t the wealthiest in America.”
    Durbin concluded his remarks by calling on his Republican colleagues to push back against this legislation that will eliminate health care for 16 million Americans and raise prices even further.
    “This year, for the Fourth of July, the most American thing we can do is, on a bipartisan basis, stop this disaster.  What does it take to say, ‘Pause, stop.  We don’t want to cut Medicaid.  We don’t want to take health insurance away from 16 million people.  We don’t want to see the expenses of families going up.’  What will it take? Four Republican Senators who will step up and say this is a mistake,” Durbin said.
    “Donald Trump is trying to rush us into something which is not good for American families. [The bill is] good for billionaires… but for ordinary families struggling with their regular bills that they have to pay, the ‘big, beautiful bill’ is a big, beautiful betrayal,” Durbin concluded.
    Video of Durbin’s remarks on the Senate floor is available here.
    Audio of Durbin’s remarks on the Senate floor is available here.
    Footage of Durbin’s remarks on the Senate floor is available here for TV Stations.
    -30-

    MIL OSI USA News –

  • MIL-OSI Russia: IMF Staff Completes 2025 Article IV Mission to Turkmenistan

    Source: IMF – News in Russian

    June 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.

    • Growth slowed in 2024 due to weak hydrocarbon exports. The main economic challenge is to translate hydrocarbon wealth into more diversified, sustainable, and inclusive growth.
    • A more market-based strategy, reforms to the monetary and exchange rate frameworks, increased public spending efficiency, and enhanced governance and transparency would support the transition to a more diversified and robust economy.
    • Further improvements in the availability, quality, and reliability of economic statistics would help inform policy makers and increase transparency and credibility.

    Washington, DC: An International Monetary Fund (IMF) mission led by Ms. Anna Bordon visited Ashgabat during May 21-June 3, 2025. The purpose of the visit was to review the country’s economic landscape, including its financial developments, economic outlook, risks, and policies aimed at promoting diverse, inclusive, and sustainable growth. The mission met with senior government officials, representatives of the private and financial sectors, and the diplomatic community. At the end of the visit, Ms. Bordon issued the following statement: 

    “Economic activity moderated in 2024, and inflation softened in recent months. IMF staff estimate that growth slowed to 3.0 percent in 2024 from 4.5 percent in 2023, owing to weak hydrocarbon exports. Inflation decelerated from 3.8 percent at end 2024 to 1.1 percent in March 2025 owing to a sharp slowdown in food inflation combined with deflation in non-food items and low inflation in services. Credit growth and monetary conditions have been tighter since the second half of 2023, while the parallel market exchange rate has remained broadly stable. The current account surplus narrowed from 5.9 percent of GDP in 2023 to 4.4 percent in 2024.

    “Looking ahead the economy is expected to expand at around 2.3 percent in 2025 and over the medium term. Hydrocarbon exports growth is expected to be negative in 2025, but to gradually pick up to around 2 percent over the medium term while non-hydrocarbon growth is expected to remain subdued, given the challenging business environment, investment inefficiencies, significant real exchange rate overvaluation, and protectionism. Inflation is projected to pick up gradually over the medium term due to looser monetary conditions, returning to its recent historical average of 8 percent, which is primarily fueled by the long-standing policy of increasing public sector wages and pensions by 10 percent annually. The external position is projected to gradually deteriorate, shifting from a surplus to a deficit, driven by lower hydrocarbon prices, declining oil exports, and an overvalued currency. Rising wages are also expected to fuel import demand, further weakening the trade balance. Risks to the outlook remain tilted to the downside.

    “The nonhydrocarbon primary balance improved in 2024, with higher revenues more than offsetting an increase in capital spending. Looking ahead, the deficit is anticipated to narrow further over the medium term, with capital spending expected to moderate. To leverage this positive trajectory, it is crucial for Turkmenistan to focus its spending on enhancing physical and human capital. This will require improving spending efficiency and public investment management, transitioning towards performance-based public wage increases, and reforming state-owned enterprises (SOEs).

    “Strengthening fiscal reporting and public financial management (PFM) should be a top priority. Turkmenistan should expedite the implementation of medium-term budgeting, establishment of a single treasury account, and the expansion of fiscal reporting coverage. Reforming SOEs is also pivotal in managing fiscal risks, enhancing fiscal transparency, and fostering private sector development by reducing the state footprint.

    “The Central Bank of Turkmenistan (CBT) should focus on price and financial stability. Until recently, the CBT had typically kept monetary policy loose to support the government’s long-term development objectives. Since the second half of 2023, however, CBT net lending to banks has slowed considerably, owing to SOE repayments. Going forward, commercial bank lending for development purposes, if needed, should be supported by the state budget, and not by the CBT. The CBT should also modernize its central bank operations and accelerate its efforts to strengthen financial regulation, supervision, and crisis management.

    “Unifying the exchange rates would support Turkmenistan’s diversification objectives and reduce economic distortions and governance vulnerabilities. Turkmenistan should consider a significant upfront adjustment of the official exchange rate combined with sufficiently tight macroeconomic policies, a clear communication strategy, and enhanced social benefits to protect the most vulnerable. Post-adjustment, the devalued official exchange rate can remain the monetary anchor, with the CBT ready to provide FX to meet demand. Exchange restrictions on current international transactions should also be eliminated, to create a level-playing field, improve efficiency, and alleviate FX shortages. The adjustment measures and supporting reforms need to be sequenced carefully, while recognizing inherent uncertainties.

    “Turkmenistan is adequately prioritizing economic diversification. A pre-requisite for diversification is macroeconomic stability, including as a core element the unification of the exchange rates and elimination of exchange restrictions. Moving away from a centrally planned economy will require continued efforts to liberalize prices and reduce the state footprint to allocate resources more efficiently. A more market-oriented economy will also require improving governance, skills, infrastructure, digitalization, and logistics while accelerating the efforts toward WTO accession.

    “Further improvements in the availability, quality, and reliability of economic statistics would help inform policy makers and increase transparency and credibility.   

    “The IMF team is grateful to the authorities and other stakeholders for their warm hospitality and insightful and candid discussions.”

    Turkmenistan: Selected Economic and Financial Indicators, 2022–26

    		  
       

     

     

     

     

     

     

    		    
     

    Est.

    Est.

    Est.

    Proj.

    Proj.

    		    

     

    2022

    2023

    2024

    2025

    2026

    		    
       

     

    Output and prices

    (Annual percentage change)

    		    

    Real GDP 1/

    3.0

    4.5

    3.0

    2.3

    2.3

    		    

    Real hydrocarbon GDP

    -6.4

    -0.6

    -10.6

    -2.6

    1.8

    		    

    Real nonhydrocarbon GDP

    5.2

    5.6

    5.7

    3.0

    2.3

    		    

    Consumer prices (end of period)

    3.0

    1.4

    3.8

    4.0

    6.0

    		    

    Consumer prices (period average)

    11.2

    -1.6

    4.6

    3.9

    5.0

    		    
     

    Investment and savings

    (In percent of GDP)

    		    

    Gross investment

    18.2

    17.0

    16.0

    13.0

    12.9

    		    

             Of which: State budget

    0.5

    0.9

    1.6

    0.7

    0.7

    		    

    Gross savings

    27.9

    22.9

    20.4

    15.1

    13.3

    		    
     

    Fiscal sector

    (In percent of GDP)

    		    

    Overall fiscal balance 2/

    3.4

    0.1

    -0.1

    0.3

    -0.3

    		    

          Revenue

    16.4

    13.8

    14.4

    14.1

    13.7

    		    

          Expenditure

    13.0

    13.7

    14.5

    13.8

    14.1

    		    

    Total public debt 3/

    7.9

    5.8

    3.6

    3.3

    3.1

    		    
     

    Monetary sector

    (12-month percent change, unless otherwise indicated)

    		    

    Credit to the economy 4/

    8.2

    0.3

    2.2

    5.4

    5.9

    		    

    Credit to GDP ratio

    58.6

    53.1

    49.6

    49.9

    49.6

    		    

        Broad money, incl. foreign currency deposits at CBT

    -2.6

    -2.5

    10.1

    5.3

    6.7

    		    
     

    External sector

    (In percent of GDP, unless otherwise indicated)

    		    

    Exports of goods (In millions of US$)

    14,727

    12,963

    12,168

    11,218

    11,068

    		    

    Imports of goods (In millions of US$)

    7,188

    7,401

    7,665

    8,407

    9,085

    		    

    Current account balance

    9.7

    5.9

    4.4

    2.1

    0.4

    		    

    Foreign direct investment

    2.0

    0.9

    0.4

    0.0

    0.0

    		    

    Total public sector external debt

    7.9

    5.8

    3.6

    3.3

    3.1

    		    
             

    Memorandum items:

    		          

    Nominal GDP (in millions of manat)

    198,371

    219,848

    240,363

    251,884

    268,110

    		    

    Nominal GDP (in millions of US$)

    56,677

    62,814

    68,675

    71,967

    76,603

    		    
       
       

    Sources: Turkmen authorities; and Fund staff estimates and projections.

    		        

    1/ Staff uses its own GDP estimates given that the narrative underlying the official GDP growth estimates is hard to reconcile with other available data. In particular, official GDP growth is extremely stable, despite shocks, including the pandemic.

    		                    

    2/ Excluding receipts from government bond issuance and privatization proceeds.

    		                  

    3/ Includes domestic state government debt and external public and publicly guaranteed debt.

    		                

    4/ Including credit to SOEs.

     

     

     

    		                      
    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Mayada Ghazala

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

    https://www.imf.org/en/News/Articles/2025/06/10/pr-25190-turkmenistan-imf-completes-2025-article-iv-mission

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI USA: California Commercial Real Estate Agent Pleads Guilty to Obstructing the IRS

    Source: US State of California

    A California man pleaded guilty yesterday to obstructing the IRS’s efforts to collect hundreds of thousands of dollars in unpaid taxes.

    The following is according to court documents and statements made in court: Gabriel David Guerrero, a resident of Los Angeles County, is a real estate broker who did not timely file individual income tax returns for many years. After the IRS assessed taxes against Guerrero and attempted to collect them him, Guerrero took steps to conceal his income and assets from the IRS. For example, he made extensive use of cash and cashier’s checks; submitted a false form to the IRS that significantly understated his income; and used a nominee bank account to deposit income.

    He is scheduled to be sentenced on Sept. 15 and faces a maximum penalty of three years in prison. Guerrero also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

    Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and U.S. Attorney Bilal A. Essayli for the Central District of California made the announcement.

    IRS Criminal Investigation is investigating the case.

    Trial Attorneys Robert Kemins and Christopher Gerace of the Tax Division along with Assistant U.S. Attorney Steven Arkow for the District of Central District of California are prosecuting the case.

    MIL OSI USA News –

  • MIL-OSI USA: Warren Releases New Data: Republican Budget Bill Would Kick Over 300,000 Massachusetts Residents Off Health Care

    US Senate News:

    Source: United States Senator for Massachusetts – Elizabeth Warren
    June 10, 2025
    Washington, D.C. — U.S. Senator Elizabeth Warren (D-Mass.) released new data estimating over 300,000 total Massachusetts residents could lose access to their health care as a result of President Trump and Congressional Republicans’ proposed cuts to Medicaid and the Affordable Care Act. 
    “Donald Trump and Congressional Republicans want to rip health care away from millions of Americans and raise costs for families — all to fund giant tax handouts for billionaires. Here in Massachusetts, that means hundreds of thousands of people would lose their care and our community hospitals and health centers could be forced to shut down,” said Senator Warren. “The “Big Beautiful Bill” is a lose-lose for Massachusetts families, and I’ll keep fighting to stop it.”
    The new data follows an updated analysis by the independent, nonpartisan Congressional Budget Office (CBO) confirming that the bill would kick 16 million Americans off of their health insurance in order to fund trillions in tax cuts to the wealthiest Americans. The Joint Committee on Taxation (JCT) took the data a step further and broke down the disastrous impact of the proposed cuts by state.

    State

    Estimated # of People LosingAffordable Care ActCoverage

    Estimated # of PeopleLosing MedicaidCoverage

    Estimated Total # ofPeople Losing HealthInsurance

    Massachusetts

    136,700

    168,911

    305,611

    Senator Warren has led the resistance to these unprecedented cuts to Americans’ health care, pressing nominees to justify the cuts, mobilizing the public to fight back, and sharing stories of constituents set to be impacted by the cuts. The Senate is set to consider the budget bill this month. 

    MIL OSI USA News –

  • MIL-OSI Russia: Simpler and clearer – by 2026 the Ministry of Digital Development will change the procedure for processing tax deductions

    Translation. Region: Russian Federal

    Source: Mainfin Bank –

    What will change in the procedure for receiving a tax deduction by 2026?

    The registration of a deduction for personal income tax allows Russians to return part of the tax paid when buying a home, paying for medical, sports and educational services, and also to reduce the tax base when selling real estate and transport. You can take advantage of the benefit through State Services – by 2026, the Ministry of Digital Development promises to change the procedure:

    The Federal Tax Service will independently calculate the amount of tax to be deducted; taxpayers will not have to fill out a declaration when selling apartments and cars; an automatic notification service will appear – citizens will receive a mailing about the status of 3-NDFL inspections, which will allow them to track what stage the declaration is at.

    “The innovations are intended to simplify and make the process of processing deductions more transparent – the procedure will become more convenient for taxpayers,” the Ministry of Digital Development stated.

    Let us recall that persons paying personal income tax (most often, hired workers) can return 13% of certain types of expenses in Russia. Individual entrepreneurs and persons operating on the basis of a civil-law contract are also entitled to certain benefits.

    What other changes in the area of tax deductions await Russians?

    Simplifying the procedure for processing tax deductions is not the only change planned for the near future. The authorities are also discussing other innovations:

    introduction of a tax deduction for individuals who pass the GTO and undergo regular medical examinations – Vladimir Putin made the proposal; the limit for the personal income tax deduction for the purchase of housing may be increased to 6 million rubles – the Ministry of Construction supported the initiative; work on the launch of a multifunctional service that will allow for the automation of deductions will be completed by the end of the year.

    At the same time, the indicated changes regarding the introduction of new types of benefits and increasing limits have not yet been adopted at the legislative level – currently, discussions are underway on amendments that may be adjusted during the review process.

    15:00 10.06.2025

    Source:

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

    Please Note; This Information is Raw Content Directly from the Information Source. It is access to What the Source Is Stating and Does Not Reflect

    HTTPS: //Mainfin.ru/novosti/ Obrase- and-in-Knight-K-2026-Minzifry-Menit-Procedure-Registration-Nailural-Provisions

    MIL OSI Russia News –

  • MIL-OSI USA: King, Murkowski Introduce Bill to Strengthen Maine’s Coastal Workforce, Fisheries and Infrastructure

    US Senate News:

    Source: United States Senator for Maine Angus King
    WASHINGTON, D.C. — Today, U.S. Senators Angus King (I-ME) and Lisa Murkowski (R-AK) introduced legislation that would lay the groundwork to boost the workforce, energy and shoreside infrastructure, food security, and economies of coastal communities in Maine and across the country. The Working Waterfronts Act, which is also co-sponsored by Senator Susan Collins (R-ME), is comprised of more than a dozen provisions, would support efforts to mitigate the impacts of climate change and strengthen federal conservation research projects. Included in the legislation is Senator King’s Fishing Industry Credit Enhancement Act which would allow businesses that provide direct assistance to fishing operations — like gear producers or cold storage — to access loans from the Farm Credit System (FCS) that are already offered to service providers for farmers, ranchers and loggers. 
    “Maine’s coastal communities are changing. From a warming climate to an evolving economy, the Gulf of Maine faces both historic opportunities and challenges that will define our state’s success for generations,” said Senator King. “The Working Waterfronts Act would provide Maine’s working waterfronts up and down the coast with the necessary financial, energy and infrastructure resources to adapt to the rapidly shifting dynamics of natural disasters affecting economic and tourism operations. It would also help support the necessary workforce to sustain our coastal businesses. Thanks to my colleagues for working with me to ensure our waterfronts have the necessary tools and resources to thrive for years to come.”
    “One of my priorities this Congress was reintroducing the Working Waterfronts Act, a comprehensive and collective effort to harness the potential of the blue economy for Alaska’s coastal communities,” said Senator Murkowski. “With 66,000 miles of coastline, it is vital Alaska strengthens our shoreside infrastructure and supports workforce development to ensure the sustainability and growth of our fisheries, tourism, and mariculture sectors. This legislation will provide essential resources for alternative energy initiatives, improve community processing facilities, and promote safety and wellness in the maritime workforce. Together, we can build a resilient future for our coastal communities while addressing climate change and preserving our precious marine ecosystems.”
    “The men and women who make their living in Maine’s blue economy face growing challenges, including rising costs, workforce shortages, and changing ocean conditions,” said Senator Collins. “This bipartisan legislation would help address these issues by improving shoreside infrastructure, supporting the next generation of maritime workers, and investing in ocean ecosystem maintenance to ensure that Maine’s coastal communities remain strong for years to come.”
    Bill Highlights:
    Investing in Energy and Shoreside Infrastructure
    Tax Credits for Marine Energy Projects supports projects that produce electricity from waves, tides, and ocean currents.
    Fishing Vessel Alternative Fuels Pilot Program provides resources to help transition fishing vessels from diesel to alternative fuel sources such as electric or hybrid, and funds research and development of alternative fuel technologies for fishing vessels.
    Rural Coastal Community Processing and Cold Storage Grant increases support for community infrastructure such as cold storage, cooperative processing facilities, and mariculture/seaweed processing facilities by establishing a competitive grant program through the Department of Commerce for rural and small-scale projects.
    Working Waterfronts Development Act establishes a grant program for infrastructure improvements for facilities benefitting commercial and recreational fishermen, mariculturists, and the boatbuilding industry.
    Boosting Maritime Workforce Development and Blue Economy
    Fishing Industry Credit Enhancement Act strengthens financial support for fishery operations by expanding Farm Credit eligibility to fishing industry support businesses.
    Maritime Workforce Grant Program establishes a Maritime Workforce Grant Program, directing the Maritime Administrator to award competitive grants supporting entities engaged in recruiting, educating, or training the maritime workforce.
    Fishing Industry Safety, Health, and Wellness Improvement (FISH Wellness) Act expands the Coast Guard and CDC’s National Institute for Occupational Safety and Health (NIOSH) Fishing Safety Research and Training (FRST) Grant Program to include projects supporting behavioral health in addition to the projects currently supported dedicated to occupational safety research and training.
    Ocean Regional Opportunity and Innovation Act establishes at least one ocean innovation cluster in each of the five domestic NOAA Fisheries regions, as well as the Great Lakes and Gulf of Mexico regions. The ocean cluster model fosters collaboration between different sectors – including public, private, and academic – within a geographic region to promote economic growth and sustainability in the Blue Economy.
    Supporting Sustainable and Resilient Ecosystems
    Coastal Communities Ocean Acidification Act enhances collaboration on ocean acidification research and monitoring through ongoing mechanisms for stakeholder engagement on necessary research and monitoring. This provision would also establish two Advisory Board seats for representatives from Indian Tribes, Native Hawaiian organizations, Tribal organizations, and Tribal consortia affected by ocean acidification and coastal acidification.
    Vegetated Coastal Ecosystem Inventory establishes an interagency working group for the creation and maintenance of a comprehensive national map and inventory detailing vegetated coastal and Great Lakes ecosystems. This inventory encompasses habitat types, species, ecosystem conditions, ownership, protected status, size, salinity and tidal boundaries, carbon sequestration potential, and impacts of climate change.
    Marine Invasive Species Research and Monitoring provides resources and tools to mitigate the impact of invasive species and help limit their spread by authorizing research and monitoring grants for local, Tribal, and regional marine invasive prevention work. This includes training, outreach, and equipment for early detection and response to invasions.
    Senator King is a longtime supporter of working waterfronts and small businesses. He previously introduced the bipartisan Providing Resources for Emergency Preparedness and Resilient Enterprises (PREPARE) Act to reauthorize the Small Business Administration’s (SBA) Pre-Disaster Mitigation Pilot Program, which would give small businesses the opportunity to take out low-interest loans for the purpose of proactively implementing mitigation measures that protect their property from future disaster-related damage. He also led a bipartisan bill to provide working waterfronts with a 30 percent tax credit on up to $1 million in mitigation expenses, adjusted for inflation annually. In 2024, he was named a Hero of Main Street for his support of small businesses across Maine.
    Senator Collins has consistently fought to strengthen Maine’s working waterfronts. Earlier this year, she successfully pushed the Department of Commerce to restore full funding for Maine Sea Grant, ensuring continued support for coastal research and marine industries in Maine. She secured $15 million in federal funding in the 2024 funding package to help coastal communities recover from storm damage and to launch a new grant program at the Economic Development Administration for working waterfronts. She previously introduced the bipartisan Working Waterfront Preservation Act to create a $20 million annual grant program to support working waterfronts nationwide.

    MIL OSI USA News –

  • MIL-OSI USA News: The Largest Tax Cut in History for Working and Middle-Class Americans

    Source: US Whitehouse

    Even Democrats admit the tax policies in the One Big Beautiful Bill are needed and popular — but they still oppose the bill.

    To be clear, that means they’re opposing:

    • The largest tax cut in history for working and middle-class Americans.
    • A 15% tax cut for Americans making between $30,000 and $80,000 per year.
    • NO TAX ON TIPS and NO TAX ON OVERTIME.
    • Boosting the Child Tax Credit to $2,500 for 40 million families.
    • Historic tax cuts for seniors.
    • No tax on car loan interest for American-made cars.
    • Preserving the doubled standard deduction for 91% of taxpayers.
    • Expanding Health Savings Accounts (HSAs) to give Americans greater choice and flexibility in how they spend their money on their health.
    • Investment savings accounts to set all newborn American kids on the path to financial security from the very beginning.
    • Increasing the Death Tax exemption for two million family farms. 

    Failing to extend the Trump Tax Cuts alone would stick Americans with the largest tax hike in history.

    MIL OSI USA News –

  • MIL-OSI Global: For Trump’s ‘no taxes on tips,’ the devil is in the details

    Source: The Conversation – USA – By Jay L. Zagorsky, Associate Professor Questrom School of Business, Boston University

    President Donald Trump’s promise to eliminate taxes on tips may sound like a windfall for service workers — but the fine print in Congress’ latest tax bill tells a more complex story.

    Right now, Republican lawmakers are advancing the “One Big Beautiful Bill Act” — a sprawling, 1,100-page proposal that aims to change everything from tax incentives for electric vehicles to health care. It also includes a proposal to end taxes on tips, which could potentially affect around 4 million American workers. The Senate has recently passed its own version – the No Tax on Tips Act.

    The idea started getting attention when Trump raised it during a 2024 campaign stop in Las Vegas, a place where tipping is woven into the economy. And the headlines and press releases sound great — especially if you’re a waiter, bartender or anyone else who depends on tips for a living. That may be why both Democrats and Republicans alike broadly support the concept. However, like most of life, the devil is in the details.

    I’m a business-school economist who has written about tipping, and I’ve looked closely at the language of the proposed laws. So, what exactly has Trump promised, and how does it measure up to what’s in the bills? Let’s start with his pledge.

    The promise of money that’s ‘100% yours’

    Back in January 2025, Trump said, “If you’re a restaurant worker, a server, a valet, a bellhop, a bartender, one of my caddies … your tips will be 100% yours.” That sounds like a boost in tipped workers’ income.

    But when you look at the current situation, it becomes clear that the reality is far more complicated.

    First, the new tax break only applies to tips the government knows about — and a lot of that income currently flies under the radar. Tipped workers who get cash tips are supposed to report it to the IRS via form 4137 if their employer doesn’t report it for them. If a worker gets a cash tip today and doesn’t report it, they already get 100% of the money. No one really knows what percentage of tips are unreported, but an old IRS estimate pegs it at about 40%.

    What’s more, the current tax code defines tips only as payments where the customer determines the tip amount. If a restaurant charges a fixed 18% service charge, or there’s an extra fee for room service, those aren’t tips in the government’s eyes. This means some tipped workers who think service charges are tips will overestimate the new rule’s impact on their finances.

    How the new bills would affect tipped workers

    The “Big Beautiful Bill” would create a new tax code section under “itemized deductions” This area of the tax code already includes text that creates health savings accounts and gives students deductions for interest on their college loans.

    What’s in the new section?

    First, the bill specifies that this tax break applies just to “any cash tip.” The IRS classifies payments by credit card, debit card and even checks as “cash tips.” Unfortunately for workers in Las Vegas, noncash tips, like casino chips, aren’t part of the bill.

    While the House bill limits the deduction to people earning less than US$160,000 the Senate bill caps the deduction to the first $25,000 of tips earned. Everything over that is taxed.

    Second, the current House bill ends this special tax-free deal on Dec. 31, 2028. That means these special benefits would only last three years, unless Congress extends the law. The Senate bill does not include such a deadline.

    Third, the exemption is only available to jobs that typically receive tips. The Treasury secretary is required to define the list of tipped occupations. If an occupation isn’t on the list, the law doesn’t apply.

    I wonder how many occupations won’t make the list. For example, some camp counselors get tips at the end of the summer. But it’s unclear the Treasury Department will include these workers as a covered group, since counselors only make up a proportion of summer camp staff. Not making the list is a real problem.

    And while the new proposal gives workers an income tax break, there’s nothing in either bill about skipping FICA payments on the tipped earnings. Workers are still required to contribute slightly more than 7% in Social Security and Medicare taxes on all tips they report, which won’t benefit them until retirement. This isn’t an oversight — the bill specifically says employees must furnish a valid Social Security number to get the tax benefits.

    There are a few other ways the legislation might benefit workers less than it seems at first glance. Instituting no taxes on tips could mean tipped employees feel more pressure to split their tips with other employees, like busboys, chefs and hosts. After all, these untipped workers also contribute to the customer experience, and often at low wages.

    And finally, many Americans are tired of tipping. Knowing that servers don’t have to pay taxes might make some to cut back on it even more.

    The specifics of any piece of legislation are subject to change until the moment Congress sends it to the president to be signed. However, as now written, I think the bills aren’t as generous to tipped workers as Trump made it sound on the campaign trail.

    Jay L. Zagorsky 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. For Trump’s ‘no taxes on tips,’ the devil is in the details – https://theconversation.com/for-trumps-no-taxes-on-tips-the-devil-is-in-the-details-258276

    MIL OSI – Global Reports –

  • MIL-OSI Global: How the ‘Big Beautiful Bill’ positions US energy to be more costly for consumers and the climate

    Source: The Conversation – USA – By Daniel Cohan, Professor of Civil and Environmental Engineering, Rice University

    Proposed revisions to U.S. energy policy would likely raise consumer prices and climate-warming emissions. zpagistock/Moment via Getty Images

    When it comes to energy policy, the “One Big Beautiful Bill Act” – the official name of a massive federal tax-cut and spending bill that House Republicans passed in May 2025 – risks raising Americans’ energy costs and greenhouse gas emissions.

    The 1,100-page bill would slash incentives for green technologies such as solar, wind, batteries, electric cars and heat pumps while subsidizing existing nuclear power plants and biofuels. That would leave the country and its people burning more fossil fuels despite strong popular and scientific support for a rapid shift to renewable energy.

    The bill may still be revised by the Senate before it moves to a final vote. But it is a picture of how President Donald Trump and congressional Republicans want to reshape U.S. energy policy.

    As an environmental engineering professor who studies ways to confront climate change, I think it is important to distinguish which technologies could rapidly cut emissions or are on the verge of becoming viable from those that do little to fight climate change. Unfortunately, the House bill favors the latter while nixing support for the former.

    Renewable energy

    Wind and solar power, often paired with batteries, are providing over 90% of the new electricity currently being added to the grid nationally and around the world. Geothermal power is undergoing technological breakthroughs. With natural gas turbines in short supply and long lead times to build other resources, renewables and batteries offer the fastest way to satisfy growing demand for power.

    However, the House bill rescinds billions of dollars that the Inflation Reduction Act, enacted in 2022, devoted to boosting domestic manufacturing and deployments of renewable energy and batteries.

    It would terminate tax credits for manufacturing for the wind industry in 2028 and for solar and batteries in 2032. That would disrupt the boom in domestic manufacturing projects that was being stimulated by the Inflation Reduction Act.

    Deployments would be hit even harder. Wind, solar, geothermal and battery projects would need to commence construction within 60 days of passage of the bill to receive tax credits.

    In addition, the bill would deny tax credits to projects that use Chinese-made components. Financial analysts have called those provisions “unworkable,” since some Chinese materials may be necessary even for projects built with as much domestic content as possible.

    Analysts warn that the House bill would cut new wind, solar and battery installations by 20% compared with the growth that had been expected without the bill. That’s why BloombergNEF, an energy research firm, called the bill a “nightmare scenario” for clean energy proponents.

    However, one person’s nightmare may be another man’s dream. “We’re constraining the hell out of wind and solar, which is good,” said Rep. Chip Roy, a Texas Republican backed by the oil and gas industry.

    Wind turbines and solar panels generate renewable energy side by side near Palm Springs, Calif.
    Mario Tama/Getty Images

    Efficiency and electric cars

    Cuts fall even harder on Americans who are trying to reduce their carbon footprints and energy costs. The bill repeals aid for home efficiency improvements such as heat pumps, efficient windows and energy audits. Homeowners would also lose tax credits for installing solar panels and batteries.

    For vehicles, the bill would not only repeal tax credits for electric cars, trucks and chargers, but it also would impose a federal $250 annual fee on vehicles, on top of fees that some states charge electric-car owners. The federal fee is more than the gas taxes paid by other drivers to fund highways and ignores air-quality and climate effects.

    Combined, the lost credits and increased fees could cut projected U.S. sales of electric vehicles by 40% in 2030, according to modeling by Jesse Jenkins of Princeton University.

    Nuclear power

    Meanwhile, the bill partially retains a tax credit for electricity from existing nuclear power plants. Those plants may not need the help: Electricity demand is surging, and companies like Meta are signing long-term deals for nuclear energy to power data centers. Nuclear plants are also paid to manage their radioactive waste, since the country lacks a permanent place to store it.

    For new nuclear plants, the bill would move up the deadline to 2028 to begin construction. That deadline is too soon for some new reactor designs and would rush the vetting of others. Nuclear safety regulators are awaiting a study from the National Academies on the weapons proliferation risks of the type of uranium fuel that some developers hope to use in newer designs.

    The House-passed bill would protect government subsidies for existing nuclear power plants, like the one in the background, while limiting support for wind turbines.
    Scott Olson/Getty Images

    Biofuels

    While cutting funding for electric vehicles, the bill would spend $45 billion to extend tax credits for biofuels such as ethanol and biodiesel.

    Food-based biofuels do little good for the climate because growing, harvesting and processing crops requires fertilizers, pesticides and fuel. The bill would allow forests to be cut to make room for crops because it directs agencies to ignore the impacts of biofuels on land use.

    Hydrogen

    The bill would end tax credits for hydrogen production. Without that support, companies will be unlikely to invest in the seven so-called “hydrogen hubs” that were allocated a combined $8 billion under the Bipartisan Infrastructure Law in 2021. Those hubs aim to attract $40 billion in private investments and create tens of thousands of jobs while developing cleaner ways to make hydrogen.

    The repealed tax credits would have subsidized hydrogen made emissions-free by using renewable or nuclear electricity to split water molecules. They also would have subsidized hydrogen made from natural gas with carbon capture, whose benefits are impaired by methane emissions from natural gas systems and incomplete carbon capture.

    However it’s made, hydrogen is no panacea. As the world’s smallest molecule, hydrogen is prone to leaking, which can pose safety challenges and indirectly warm the climate. And while hydrogen is essential for making fertilizers and potentially useful for making steel or aviation fuels, vehicles and heating are more efficiently powered by electricity than by hydrogen.

    Still, European governments and China are investing heavily in hydrogen production.

    As Congress deliberates on the One Big Beautiful Bill Act, the nation’s energy agenda is one of many issues being hotly debated.
    Kevin Carter/Getty Images

    Summing it up

    The conservative Tax Foundation estimates that the House bill would cut the Inflation Reduction Act’s clean energy tax credits by about half, saving the government $50 billion a year. But with fewer efficiency improvements, fewer electric vehicles and less clean power on the grid, Princeton’s Jenkins projects American households would pay up to $415 more per year for energy by 2035 than if the bill’s provisions were not enacted. If the bill’s provisions make it into law, the extra fossil fuel-burning would leave annual U.S. greenhouse gas emissions 1 billion tons higher by then.

    No one expected former President Joe Biden’s Inflation Reduction Act to escape unscathed with Republicans in the White House and dominating both houses of Congress. Still, the proposed cuts target the technologies Americans count on to protect the climate and save consumers money.

    Daniel Cohan receives funding from the Carbon Hub at Rice University.

    – ref. How the ‘Big Beautiful Bill’ positions US energy to be more costly for consumers and the climate – https://theconversation.com/how-the-big-beautiful-bill-positions-us-energy-to-be-more-costly-for-consumers-and-the-climate-257783

    MIL OSI – Global Reports –

  • MIL-OSI: Abacus Refutes Misleading Balance Sheet Claims With Independent Third-Party Actuarial Valuation

    Source: GlobeNewswire (MIL-OSI)

    ORLANDO, Fla., June 10, 2025 (GLOBE NEWSWIRE) — Abacus Global Management, Inc. (“Abacus” or the “Company”) (NASDAQ: ABL), a leader in the alternative asset management space, today provided the following response to last week’s false and misleading short attack.

    Our shareholders have been subjected to a false and uninformed short attack. The short seller’s report published on June 4, 2025 makes two key allegations: first, that Abacus relies too heavily on a single life expectancy provider (Lapetus Solutions), and second, that this reliance has significantly inflated our balance sheet valuation. Both are incorrect.

    Abacus remains resolute in our process, valuation methodology, and the benefit we provide to both policyholders and investors. Our market coverage analysts share this sentiment as well, and have supported our process with published statements and maintained buy, outperform, or overweight ratings on our stock:

    • Autonomous/Bernstein: “Abacus Global Management – Morpheus Misleading,” June 4, 2025 (with follow up on June 9, 2025)
      • Rating: Outperform
      • Price Target: $12
    • BRiley: “Abacus Global Management – Take Advantage of Oversold Position,” June 5, 2025
      • Rating: Buy
      • Price Target: $15
    • Piper Sandler: “Shares sink on short report – stock reaction overdone and Abacus responds,” June 4, 2025
      • Rating: Overweight
      • Price Target: $12
    • TD Bank: “ABL’s model, reliant on direct originations and a short holding period, would seem to argue against overvaluation of policies.” June 4, 2025 (with follow up on June 5, 2025)
      • Rating: Buy
      • Price Target: $14
    • Northland: “Abacus Global Management (ABL) Trends in Fair Value, Gains and Other Stuff Tell Positive Story,” June 5, 2025
      • Rating: Outperform
      • Price Target: $13.50

    In addition to research analyst support, our auditor Grant Thornton has also affirmed our mark-to-market valuation approach for the policies we hold on our balance sheet, and has not seen any reason to revise that opinion since the publication of the short report. It is important to note that the report contained a misleading statement attributed to a Grant Thornton UK CEO. The UK-based company is a separate legal entity from our auditor, Grant Thornton US, and each firm operates independently and manages its own affairs.

    Executive Summary

    Section 1: Third-Party Analysis Confirms that Lapetus Is Not a Meaningful Input to Our Valuation Model

    Section 2: Mark-to-Market Valuation Depends On Much More Than Life Expectancy

    Section 3: The Most Recent Market Transactions Confirm the Accuracy of Our Valuation Model

    Section 4: Shareholder Commitment to Success of the Business and Anticipated Additions to Russell 2000 and 3000 in August 2025

    Section 1: Independent Third-Party Actuarial Validation

    A core claim of the short report is that “Abacus’ reliance on Lapetus to value its portfolio presents a material risk to the $446 million in claimed life settlements on its books as of Q1 2025.” This is wrong in so many ways, most importantly that Abacus does not “rel[y] on Lapetus to value its portfolio.” And to prove it, Abacus engaged Lewis and Ellis1, a third-party actuarial firm, to review the entire policy balance sheet as stated in our Q1 2025 10-Q filing (over 700 policies), removing all Lapetus life expectancy estimates from the analysis.   

    For over 55 years, Lewis and Ellis has maintained a sterling reputation and client list with testimonials from organizations including the Ohio Department of Insurance, Arkansas Insurance Department, Maryland Insurance Administration, Americo, Pacific Guardian Life, American Life, American Fidelity, Michigan Department of Insurance, Oklahoma Department of Insurance, and many others.  

    To produce the valuation, Lewis and Ellis has utilized a discount rate methodology to calculate the net present value of the portfolio. Premium streams, life expectancies (not including Lapetus Solutions), face values of policies and discount rates are all inputs for their analysis. The professionals responsible for producing this valuation are members and meet Qualification Standards of the American Academy of Actuaries.

    The new Lewis and Ellis valuation concurred with our prior valuation, resulting in a total policy valuation of $449 million as of March 31, 2025. The valuation provider aligned with a discount rate and range of ±2% as disclosed in the Q1 2025 10-Q filing. The Lewis and Ellis valuation of $449 million falls within a 1% margin of error from our stated valuation of $446 million.

    Section 2: The Short Report Confuses Individualized Pricing with Portfolio-Wide Valuations, and Misstates the Relevance of Life Expectancy to Each

    Abacus Global Management has developed a sophisticated valuation framework that optimizes for different business objectives at each stage of the asset lifecycle. This dual approach uses life expectancy for consumer-facing transactions while employing market-based valuation for balance sheet management. Life expectancy valuation models assume the value of the asset held to maturity, and thus calculating the maturity date is critically important. On the other hand, the market approach is based on the price of policy sales between informed, intelligent and willing buyers, and willing sellers.

    Both approaches have merit. When acquiring policies from consumers, Abacus uses life expectancy estimates to ensure fair pricing, which results in Abacus paying consumers an average of 20.4% of policy face value in 20232, prioritizing fair consumer outcomes. But once policies enter Abacus’s trading portfolio, the company shifts to a market-based valuation system that prioritizes actual market results.

    Abacus values its balance sheet using the mark-to-market model. Therefore, the blanket claim in the short report that “The Fair Value Of Life Settlements Depends On Accurately Predicting Life Expectancy” not only collapses the two distinct valuation approaches, it leads the reader to conclude that Abacus values its balance sheet primarily based on life expectancy data. But this ignores the clear description of the Abacus valuation approach in its Consolidated Financial Statements, included in the Company’s most recent 10-K: “The Company determines fair value based on assumptions that market participants would use in pricing an asset or a liability in the principal or most advantageous market.”

    In accordance with U.S. GAAP, Abacus’ balance sheet valuation model estimates the price it would receive on the sale of its life settlement policies based on applying data it has from actual policy trading activity, and then applies this and other data to inform its assumptions of what a buyer would pay if it used primarily a discounted cash flow and life expectancy analysis, which results in the reported discount rate. As such our balance sheet valuation model is not driven solely by life expectancy estimates or forecasted discount rates3. Our calculation of fair value for purposes of balance sheet valuation results from data that we observe in the market for life settlement policies, drawing on our experience of prior deals with our trading partners, institutional and representatives of a large, growing market, including the largest private credit asset managers, global alternative asset managers, family offices, insurance companies, and reinsurers.

    Consumer Purchase Stage: Life Expectancy Optimization

    Why This Hybrid Approach Works

    Traditional life settlement models suffer from a fundamental mismatch: they use the same methodology (life expectancy projections and selected discount rates) for both consumer fairness and active trading portfolio accuracy. Abacus recognizes these require different tools:

    • Consumer Transactions Need Predictive Models: Life expectancy estimates help ensure fair pricing when purchasing from consumers who deserve transparent, actuarially-sound offers.
    • Trading Portfolios Need Market Reality: Active trading strategies require balance sheet valuations based on actual transaction history, not theoretical projections that can shift with model updates.

    This dual methodology perfectly supports Abacus’s core strategy as an active life settlement market-maker:

    • High Portfolio Turnover: Target balance sheet turn of ~2x annually, making market-based marks more relevant than hold-to-maturity projections
    • Daily Trading Activity: Real-time valuation accuracy matters more than long-term actuarial estimates for a short-term strategy
    • Revenue Structure: Unrealized gains require marks that reflect actual selling capability

    The Strategic Result

    Abacus has solved the life settlement industry’s core valuation dilemma by recognizing that consumer fairness and active balance sheet accuracy require different approaches. This isn’t a compromise—it’s an optimization that delivers better outcomes at both stages.

    Section 3: The Most Recent Market Transactions Confirms the Accuracy of the Company’s Fair Value Approach

    Abacus operates an active life settlement trading business, continuously acquiring and disposing of life insurance policies to optimize balance sheet returns and maintain target return on equity metrics. This means it is ideally positioned to provide a check on its own fair value accounting. And our actual realized results support our valuation. This quarter, Abacus has sold polices at prices that match its mark-to-market approach. In Q2, through June 2nd, Abacus sold 226 policies for a total $141.4 million. As of March 31, 2025, those sold policies had an estimated balance sheet value of $139.1 million. Not only was Abacus able to crystalize its mark, but it has also realized an incremental gain of 1.65%.

    As Abacus is continuously in the market buying and selling policies, at any given time, a portion of its revenue will be unrealized if it is still holding policies it hasn’t sold. Further, if Abacus continues to grow its portfolio by recycling the capital from policy sales, cash flow from operating activities will likely be negative. This may change in the future.

    Section 4: Executives and Shareholders Are Aligned on Creating the Brightest Possible Future for Abacus

    We appreciate the investor concerns around the coming expiration of the share lock-up, which the short report described as an opportunity for “cashing out.” Jay Jackson, Sean McNealy, Scott Kirby, and Matt Ganovsky collectively own approximately 46% of the outstanding shares. They accepted two-year restricted lock-ups at the time of the deSPAC transaction. This lengthy lock-up period was double the average of any share lock-up compared to any other company, both IPO and deSPAC. The lock-up expires on July 3, 2025. The restriction period ends during a blackout period which will continue until our post-earnings release which is expected in August.

    The expiration of the lock-up period does not mean that the founders and senior management are about to cut and run. Just the opposite: these large shareholders are looking forward to the expiration of the lockup not so they can “cash out,” but so they can take the company to its next milestone.

    These shareholders and the Board understand that the Russell 2000 and Russell 3000 now require the expiration of the longest lock-up period before a stock can be listed as part of their indices. Abacus believes the positive impact of index inclusion would be beneficial to shareholders. If Abacus maintains the current course with respect to the lock-up expiration, we expect to be added to these indices in August 2025.

    Nonetheless, should these large block holders wish to sell shares in the future, we are committed to working closely with our shareholders and institutional investment partners on a purposeful, transparent, and organized sale of shares if one were to occur. We have committed over two decades of service to this company, and our intent is to recognize the highest valuation possible. Our 2025 Board-approved compensation is heavily equity-based and incentivized to increase value to our shareholders through both increased revenue and adjusted net income, as well as company market capitalization.

    Conclusion

    In summary, Abacus strongly refutes the misleading and incorrect claims made by the short seller. We are supported by outside market research analysts, third-party actuarial firms, our auditor, and our transparent accounting methodology used in fair market reporting driven by mark-to-market valuations.

    Abacus is a leading alternative asset manager, market maker, technology company, and growing private wealth manager. We will not allow this distraction to slow our growth and expansion.

    Forward-Looking Statements

    All statements in this press release (and oral statements made regarding the subjects of this press release) other than historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties and factors that could cause actual results to differ materially from such statements, many of which are outside the control of Abacus. Forward-looking information includes, but is not limited to, statements regarding: Abacus’s financial and operational outlook; Abacus’s operational and financial strategies, including planned growth initiatives and the benefits thereof, Abacus’s ability to successfully effect those strategies, and the expected results therefrom. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “expect,” ‎‎”intend,” “anticipate,” “goals,” “prospects,” “will,” “would,” “will continue,” “will likely result,” and similar expressions (including the negative versions of such words or expressions).

    While Abacus believes that the assumptions concerning future events are reasonable, it cautions that there are inherent difficulties in predicting certain important factors that could impact the future performance or results of its business. The factors that could cause results to differ materially from those indicated by such forward-looking statements include, but are not limited to: the ‎fact that Abacus’s loss reserves are bases on estimates and may be inadequate to cover ‎its actual losses; the failure to properly price Abacus’s insurance policies; the ‎geographic concentration of Abacus’s business; the cyclical nature of Abacus’s industry; the ‎impact of regulation on Abacus’s business; the effects of competition on Abacus’s business; the failure of ‎Abacus’s relationships with independent agencies; the failure to meet Abacus’s investment ‎objectives; the inability to raise capital on favorable terms or at all; the ‎effects of acts of terrorism; and the effectiveness of Abacus’s control environment, including the identification of control deficiencies.

    These forward-looking statements are also affected by the risk factors, forward-looking statements and challenges and uncertainties set forth in documents filed by Abacus with ‎the U.S. Securities and Exchange Commission from time to time, including the Annual ‎Report on Form 10-K and Quarterly Reports on Form 10-Q and subsequent ‎periodic reports. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Abacus cautions you not to place undue reliance on the ‎forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Abacus assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Abacus does not give any assurance that it will achieve its expectations.

    About Abacus

    Abacus Global Management (NASDAQ: ABL) is a leading financial services company specializing in alternative asset management, data-driven wealth solutions, technology innovations, and institutional services. With a focus on longevity-based assets and personalized financial planning, Abacus leverages proprietary data analytics and decades of industry expertise to deliver innovative solutions that optimize financial outcomes for individuals and institutions worldwide.

    Contacts:
    Investor Relations
    Robert F. Phillips – SVP Investor Relations and Corporate Affairs
    rob@abacusgm.com
    (321) 290-1198

    David Jackson – Director of IR/Capital Markets
    david@abacusgm.com
    (321) 299-0716

    Abacus Global Management Public Relations
    press@abacusgm.com

    ____________________

    1 Since going public, Abacus has paid Lewis and Ellis a total of $70,105, inclusive of this valuation engagement.
    2 Data as per The Deal.
    3 Discount rates are an output imputed from our valuations, rather than input for determining valuations.

    The MIL Network –

  • MIL-OSI: Subscription brand executives ditch digital ad spend for new business models

    Source: GlobeNewswire (MIL-OSI)

    CAMBRIDGE, United Kingdom, June 10, 2025 (GLOBE NEWSWIRE) — Subscription brands are pulling away from digital advertising. According to a new industry-wide study from Bango (AIM: BGO), 48% of subscription leaders report diminishing returns from traditional direct acquisition methods like paid search and paid social media. A further 53% warn that direct marketing is becoming “unsustainable” as customer acquisition costs spiral.

    The report — Gravity Shift: Subscribers, bundles, and the acquisition black hole — captures responses from more than 200 senior executives at subscription-based businesses, spanning sectors from AI productivity apps to streaming services, retail, and finance. It reveals a stark reality: the performance marketing model that powered subscription growth over the last decade is under serious strain.

    “Direct marketing used to be a reliable engine for growth. Now it’s a black hole,” said Anil Malhotra, CMO at Bango. “When nearly half your industry says ROI is vanishing, alarm bells should be ringing. It’s time to rethink how subscriptions go to market.”

    Key findings:

    • 88% of subscription brands expect direct acquisition costs to rise in 2025, with nearly one in three forecasting increases of over 25%.
    • 80% are cutting back on at least one paid channel, including:
      • Paid search ads (33%)
      • Display advertising (30%)
      • Paid social ads (29%)
    • 46% of leaders describe direct marketing spend as a “black hole” for their budgets.
    • 53% believe direct channels are no longer a sustainable path to growth.

    What’s driving the pullback?

    Executives cited rising ad costs, algorithm changes, data privacy limits, and subscriber fatigue as the most pressing challenges. Compounding this, many brands report hitting the ceiling on their ability to profitably scale one-to-one acquisition.

    “Netflix spends nearly $3 billion a year on marketing. That’s simply not feasible for the rest of the market,” said Giles Tongue, subscription expert at Bango. “Most brands don’t have the scale to absorb that kind of spend, especially when the returns are eroding. Direct-to-consumer marketing is hitting diminishing returns, and leaders are now looking for smarter, more sustainable ways to grow.”

    Where the money is going

    Rather than doubling down, brands are reallocating budget toward indirect acquisition strategies, such as bundling, partnerships, and aggregator platforms. According to the report:

    • 82% of brands plan to increase investment in indirect channels this year.
    • 90% are already bundling — or plan to — in 2025.
    • 72% say indirect routes bring in higher quality subscribers than direct channels.

    Among the fastest-growing channels: partnerships with telcos, banks, device platforms, and social media platforms. Over a quarter of brands (27%) are joining “Super Bundling” platforms like Verizon myPlan and myHome to reach new audiences without high upfront acquisition costs.

    Bango’s recent consumer data also supports the shift: 62% of U.S. subscribers would prefer to manage multiple subscriptions through a single bundle, and 44% already get at least one subscription free as part of a packaged deal. Among younger users, these numbers are even higher — 55% of 18–24-year-olds now receive a bundled subscription they previously paid for directly.

    Tongue added: “We’re seeing a clear shift from the subscription economy to the bundle economy. Consumers don’t want to manage ten separate subscriptions — they want value, convenience, and flexibility. The brands that win in this next phase will be the ones that package their offerings in ways that reflect how people actually want to buy.”

    Implications beyond the subscription market

    The findings come at a critical time for digital advertising giants like Google, Meta, and TikTok — whose earnings rely heavily on performance ad spend. If subscription leaders are a bellwether, Bango’s findings suggest we could be entering a post-performance marketing era, where distribution partnerships replace ad impressions as the metric that matters.

    Bango expects the pivot to indirect acquisition and bundling to drive a wave of commercial opportunity for its Digital Vending Machine® (DVM™) platform. Bango’s DVM currently powers many of the world’s leading Super Bundling platforms, including Verizon myPlan and myHome, and supports acquisition for major services such as Netflix, Amazon Prime, Disney+, Uber, YouTube, and Xbox. With 90% of subscription leaders now investing in bundling, the DVM is well placed to capitalize on the wider industry adoption and accelerated growth of indirect marketing through 2025 and beyond.

    View the full report at Gravity Shift: Subscribers, bundles, and the acquisition black hole.

    About Bango

    Bango enables content providers to reach more paying customers through global partnerships. Bango revolutionized the monetization of digital content and services, by opening-up online payments to mobile phone users worldwide. Today, the Digital Vending Machine® is driving the rapid growth of the subscription economy, powering choice and control for subscribers.

    The world’s largest content providers, including Amazon, Google and Microsoft, trust Bango technology to reach subscribers everywhere.

    Bango, where people subscribe. For more information, visit www.bango.com

    Media contact

    For US enquiries, contact SamsonPR: bango@samsonpr.com
    For all other enquiries, contact Wildfire: bango@wildfirepr.com

    The MIL Network –

  • MIL-OSI: eToro Reports First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, June 10, 2025 (GLOBE NEWSWIRE) — eToro Group Ltd. (“eToro”, or the “Company”) (NASDAQ: ETOR), the trading and investing platform, today announced financial results for the first quarter ended March 31, 2025.

    “I am incredibly proud of the eToro team for producing strong first quarter results and the successful completion of our initial public listing. As a business that champions access to capital markets, we are excited to now be part of those markets. The retail investor of 2025 is informed and connected and we’re encouraged to see their trading behavior enabling them to benefit from market opportunities. We believe that AI is turbo-charging the reshaping of the investing landscape and we’re excited to be at the forefront of this transformation. As a global community that empowers retail investors, we are well positioned to drive sustainable growth and profitability over time, creating further value for our shareholders,” commented Yoni Assia, CEO and Co-founder of eToro.

    First Quarter 2025 Financial Highlights

    • Net contribution increased by 8% year on year to $217 million, compared to $201 million in the first quarter of 2024, driven primarily by increased trading activity.
    • Net income (GAAP) was $60 million, compared to $64 million in the first quarter of 2024 due to increased investment in marketing and growth in response to favorable market conditions.
    • Adjusted EBITDA (non-GAAP) was $80 million compared to $87 million in the first quarter of the prior year reflecting the investments referenced above. Adjusted EBITDA margin was 37%, compared to 43% in the prior year period.1
    • Funded accounts increased 14% year on year to 3.58 million compared to 3.13 million in the first quarter of 2024. This was driven primarily by ongoing user acquisition and retention efforts, as well as the acquisition of Australian investing app Spaceship in 2024.
    • Assets under Administration grew by 21% year on year to $14.8 billion compared to $12.2 billion.
    • Cash, cash equivalents and short term investments were $736 million as of March 31, 2025.

    1 See “Non-GAAP Financial Metrics and Key Performance Indicators” below for additional information and a reconciliation to GAAP for all Non-GAAP financial metrics. Adjusted EBITDA margin is based on net contribution.

    “Our results show strong business performance for Q1 with an increase in net contribution driven by increased trading activity and our continued focus on sustainable, profitable growth. In the first quarter, in response to the market environment, we increased investment in marketing and growth,” said Meron Shani, eToro CFO.

    Business Highlights
    eToro continued to focus on sustainable, profitable growth in Q1, launching products and services to support users at every stage of their investing journey.

    • Trading: eToro continues to expand and develop the range of assets and tools users need to trade the global markets. In the first quarter, eToro launched futures in Europe and options in the UK. With the addition of 40 more tokens, eToro now offers trading in over 130 cryptoassets. The Company also extended trading hours by offering a number of stocks and ETFs for 24/5 trading.
    • Investing: eToro added stocks from the Abu Dhabi and Hong Kong stock exchanges and now offers users the ability to invest in companies listed on more than 20 of the world’s leading exchanges. It continued to grow its range of Smart Portfolios with the launch of a commodities portfolio in partnership with WisdomTree, and a portfolio offering 100% capital protection. As part of the Company’s commitment to offer its users access to interest earning assets, eToro launched securities lending to users in Europe, and expanded crypto staking to include DOT and ATOM.
    • Wealth management: As part of its long-term investment strategy, in the first quarter, eToro introduced a new self-directed offering as part of its UK ISA and introduced recurring investments for stocks, ETFs and crypto allowing users to make regularly scheduled investments. The Company also initiated the integration of Spaceship and the expansion of its Australian offering to include superannuation solutions.
    • Neo-banking: In the first quarter, eToro began the roll out of crypto to fiat enabling users to transfer their crypto to eToro and diversify into other asset classes. As part of the expansion of the eToro Money offering, eToro partnered with local financial institutions to offer local virtual bank accounts in multiple countries. The Company also continued to expand the ability for users to trade local stocks using local currencies.
    • Financial education and AI: eToro is committed to empowering its users to grow their financial knowledge with accessible and engaging content. The Company is leveraging AI to accelerate the production and translation of education materials and now offers more than 3,000 articles, videos, podcasts and webinars in 11 languages.
    • Regulatory developments: In Q1, eToro was granted a MiCA permit by CySec which enables the provision of crypto services across the EU. As long-term supporters of crypto, this is a key milestone and eToro welcomes the regulatory clarity and uniform rules provided by MiCA which it believes will foster greater crypto adoption across Europe. The Company also achieved a SOC 2 Type II compliance certification which demonstrates its strong commitment to operational excellence throughout its crypto custody operations.

    Second Quarter 2025 Update

    • The performance of the business through May 31, 2025 reflects continued progress and interest in trading and investing from retail investors in response to market events.
    • As of May 31, 2025 eToro had 3.61 million funded accounts and $16.9 billion in Assets under Administration.

    Contact
    Media Relations – pr@etoro.com
    Investor Relations – investors@etoro.com

    About eToro
    eToro is the trading and investing platform that empowers you to invest, share and learn. We were founded in 2007 with the vision of a world where everyone can trade and invest in a simple and transparent way. Today we have 40 million registered users from 75 countries. We believe there is power in shared knowledge and that we can become more successful by investing together. So we’ve created a collaborative investment community designed to provide you with the tools you need to grow your knowledge and wealth. On eToro, you can hold a range of traditional and innovative assets and choose how you invest: trade directly, invest in a portfolio, or copy other investors. You can visit our media center here for our latest news.

    ETORO GROUP LTD.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    U.S. dollars in thousands

        March 31,   December 31,
        2025   2024
        Unaudited   Audited
    Assets        
    Current assets:        
    Cash and cash equivalents   660,060     575,395  
    Restricted cash   319     314  
    Short-term investment   76,000     65,000  
    Counterparties   240,842     224,867  
    Cryptoassets   99,761     113,279  
    Receivable from omnibus accounts   10,905     50,466  
    Other receivables and prepaid expenses   49,795     46,005  
        1,137,682     1,075,326  
             
    Non-current assets:        
    Restricted cash   11,751     11,630  
    Right of use assets   43,054     44,406  
    Property and equipment, net   4,965     5,007  
    Goodwill and other intangible assets, net   45,564     46,346  
    Deferred taxes   12,708     8,647  
        118,042     116,036  
             
    Total Assets   1,255,724     1,191,362  
             
    Liabilities and equities        
    Current liabilities:        
    Accounts payable   5,768     4,201  
    Current maturities of long-term lease liabilities   4,940     4,758  
    Payable to users   115,290     103,493  
    Accrued expenses and other payables   176,718     193,115  
        302,716     305,567  
             
    Non-current liabilities:        
    Employee benefit liabilities, net   1,202     1,253  
    Long-term lease liabilities   42,447     43,546  
    Deferred taxes liabilities   7,210     2,968  
    Other long-term liabilities   7,484     5,653  
        58,343     53,420  
             
    Equity attributable to equity holders of the company:        
    Common share premium   479,036     474,469  
    Preferred share premium   397,019     397,019  
    Treasury shares   (2,625 )   (2,625 )
    Advanced Investment Agreement   9,091     9,091  
    Other capital reserve   (361 )   1,868  
    Retained Earnings (Accumulated deficit)   12,505     (47,447 )
        894,665     832,375  
    Total liabilities and equity   1,255,724     1,191,362  

    ETORO GROUP LTD.
    CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS
    AND OTHER COMPREHENSIVE INCOME (LOSS)
    U.S. dollars in thousands

        Three months ended
    March 31,
        2025   2024
        Unaudited   Unaudited
             
    Revenue and income:        
    Net trading income from equities, commodities and currencies   96,837     73,098  
    Revenue from cryptoassets   3,500,800     3,293,120  
    Net trading income (loss) from cryptoassets derivatives   77,051     (56,767 )
    Net interest income from users   52,618     49,318  
    Currency conversion and other income   23,911     21,403  
    Other interest income   4,164     3,348  
    Total revenue and income   3,755,381     3,383,520  
             
    Costs:        
    Cost of revenue from cryptoassets   3,528,853     3,173,766  
    Margin interest expense   9,159     8,650  
    Research and development   36,621     33,166  
    Selling and marketing   61,222     37,342  
    General, administrative and operating costs   49,502     56,042  
    Finance and other expenses, net   (517 )   928  
    Total costs   3,684,840     3,309,894  
             
    Income before taxes on income   70,541     73,626  
    Taxes on income   10,589     9,516  
    Net income   59,952     64,110  
             
    Other comprehensive income, net:        
    Items that may be reclassified subsequently to profit or loss:        
    Cash flow hedges, net of tax   (2,229 )   –  
    Other comprehensive loss for the year, net of tax   (2,229 )   –  
             
    Total comprehensive income   57,723     64,110  
             
    Basic net income per share   0.79     0.85  
    Diluted net income per share   0.69     0.76  
             
    Weighted-average shares of common shares used to compute net income per share attributable to common shareholders:      
    Basic   75,712,289     75,040,326  
    Diluted   86,576,130     84,239,189  

    ETORO GROUP LTD.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    U.S. dollars in thousands

        Three months ended
    March 31,
        2025   2024
        Unaudited   Unaudited
             
    Cash flows from operating activities:        
    Net income   59,952     64,110  
             
    Adjustments to reconcile net income (loss) to net cash provided by operating activities:        
    Adjustments to profit or loss items:        
    Depreciation, amortization and impairment   3,011     2,590  
    Share-based payment   4,287     8,891  
    Evaluation of contingent liability   1,831     –  
    Revaluation of fair value of cryptoassets and counterparties   51,830     (2,004 )
    Non-cash revenue from staking and blockchain rewards   (8,723 )   (3,877 )
    Non-cash costs from staking and blockchain rewards   5,847     2,441  
    Finance and other expenses, net   (517 )   928  
    Taxes on income, net   10,589     9,516  
        68,155     18,485  
    Changes in asset and liability items:        
    Increase of counterparties   (68,235 )   (67,300 )
    Decrease (increase) of cryptoassets   13,154     (8,196 )
    Increase of other receivables and prepaid expenses   (7,029 )   (15,427 )
    Increase of restricted cash   (124 )   (77 )
    Increase (decrease) of accounts payable   (670 )   13,043  
    Increase of user and omnibus accounts, net   48,901     38,842  
    Increase (decrease) of accrued expenses and other payables   (19,753 )   11,677  
    Decrease of employee benefit liabilities, net   (29 )   (439 )
        (33,785 )   (27,877 )
    Interest received (paid), net during the year   967     (1,235 )
    Taxes paid, net during the year   (5,557 )   (2,600 )
    Net cash provided by operating activities   89,732     50,883  
             
    Cash flows from investing activities:        
    Increase of short-term investments   (11,000 )   –  
    Purchase of property and equipment   (522 )   (1,712 )
    Purchase of intangible assets   (57 )   –  
    Net cash used in investing activities   (11,579 )   (1,712 )
             
    Cash flows from financing activities:        
    Exercise of options   280     211  
    Repayment of lease liability   (1,147 )   (909 )
    Net cash used in financing activities   (867 )   (698 )
             
    Exchange differences on balances of cash and cash equivalents   7,379     (3,579 )
             
    Increase in cash and cash equivalents   84,665     44,894  
             
    Cash and cash equivalents at beginning of year   575,395     388,334  
             
    Cash and cash equivalents at end of year   660,060     433,228  


    Non-GAAP Financial Metrics and Key Performance Indicators

    This press release and the accompanying tables contain certain non-GAAP financial metrics which differ from results prepared in accordance with GAAP. These non-GAAP financial metrics include: Adjusted EBITDA, which is defined as net income (loss) adjusted to exclude finance and other expenses, net, taxes on income, share-based payment expense, depreciation and amortization, employee non-cash expense, one-time transaction costs and other expense (income).

    eToro believes that these non-GAAP financial metrics may be helpful to investors because they provide consistency and comparability with past financial performance. Additionally, eToro management regularly review certain key performance metrics and non-GAAP financial metrics to evaluate its business, measure its performance, identify trends, prepare financial projections and make business decisions. However, non-GAAP financial metrics are presented for supplemental informational purposes only, have limitations as an analytical tool, and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. Other companies, including companies in eToro’s industry, may calculate similarly titled non-GAAP financial metrics differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of these non-GAAP financial metrics as tools for comparison. A reconciliation is provided below for the non-GAAP financial metrics to the most directly comparable financial metric stated in accordance with GAAP.

    ETORO GROUP LTD.
    RECONCILIATION OF NON-GAAP METRICS
    U.S. dollars in thousands

        Three months ended
        March 31,
        2025   2024
        Unaudited   Unaudited
             
    Net income   59,952     64,110
    Finance expense, net   (517 )   928
    Taxes on income   10,589     9,516
    Share-base payment expense   4,287     8,891
    Depreciation, amortization, and impairment   3,010     2,590
    Employee non-cash expense2   (1,049 )   595
    Transaction related costs3   2,091     247
    Evaluation of contingent liability4   1,831     –
             
    Adjusted EBITDA   80,194     86,877

     

    2Employee non-cash expense is related to payroll expenses recorded in respect of the non-withdrawable amount (“NWA”) over the employee’s vesting period.
    3Transaction related costs include transaction costs associated with the initial public offering.
    4 Evaluation of contingent liability is related to the commitment to issue shares as part of the Spaceship acquisition. Due to an increase in the share price, an evaluation was performed.

    Definitions of Certain Key Performance Indicators

    Adjusted EBITDA: Adjusted EBITDA is a non-GAAP financial metric that we define as net income (loss) adjusted to exclude finance and other expenses, net, taxes on income, share-based payment expense, depreciation and amortization, employee non-cash expense, one-time transaction costs and other expense (income).

    Assets under administration: Assets under administration (‘AUA’) are defined as the aggregate of the following: (i) the total fair value of all equities, cryptoassets, commodities, currencies and options held by users in their accounts, (ii) cash held by users in their accounts, (iii) eToro Money balances, (iv) users’ cryptoassets held in the eToro digital wallet, (v) users’ assets held by 3rd parties partners for execution or custody services.

    Funded Accounts: Funded Accounts are users who have completed KYC, AML and other onboarding processes, activated their account, deposited funds, executed at least one trade at any time and have a positive account balance (invested or uninvested). Funded Accounts represent the deepest level of our user acquisition funnel and are the users from whom we generate Total Commission.

    Interest Earning Assets: Interest Earning Assets are the average monthly balances of users’ cash balances, corporate cash, users’ total leveraged positions and stakeable cryptoassets.

    Net Contribution: Net Contribution reflects Total revenue and income, less the Cost of revenue from cryptoassets and Margin interest expense. We use Net Contribution to evaluate the net contributions of our users’ activity on our platform before considering the overhead costs associated with our operations.

    Net Contribution consists of the following five components, each representing revenue or income divided across our products based on the distinct patterns upon which we monetize users’ activity on the platform. We evaluate the performance of our business and our success in both diversification and risk management across these five components:

    • Net Trading Contribution (Equities, Commodities and Currencies) is equal to our Net trading income from equities, commodities and currencies.
    • Net Trading Contribution (Cryptoassets) is equal to Revenue from cryptoassets plus Net trading income (loss) from cryptoasset derivatives less Cost of revenue from cryptoassets, excluding the net contributions from blockchain rewards and staking activity.
    • Net Interest Contribution represents Net interest contribution from users plus Other interest income plus the net contributions of staking activity, less Margin interest expense.
    • eToro Money comprises the vast majority of our Currency conversion and other income. It represents the income earned from our money management services, including currency conversions, withdrawals, interchange on our debit card, transfers of cryptoassets, and fees relating to our cryptoasset wallet services.
    • Subscriptions and Other is the remainder of Currency conversion and other income not attributable to eToro Money plus the net contributions of blockchain rewards.

    Net Income
    Net income represents the company’s total earnings or profit for a given period, calculated as total revenue minus all expenses, including operating costs, depreciation, interest, taxes, and other income or expenses. It reflects the company’s overall profitability according to GAAP standards.

    Cautionary Note Regarding Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our financial outlook and market positioning. These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Words such as “outlook,” “guidance,” “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “plan,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond eToro’s control. eToro’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to market volatility and erratic market movements; failure to retain existing users or adding new users; extreme competition; changes in regulatory and legal framework under which we operate; regulatory inquiries and investigations; our estimates of our financial performance; interest rate fluctuations; the evolving cryptoasset market, including the regulations thereof; conditions related to our operations in Israel, including the ongoing war; risks related to data security and privacy and use of OSS; risks related to AI; changes in general economic or political conditions; changes to accounting principles and guidelines; the ability to maintain the listing of our securities on Nasdaq; unexpected costs or expenses; and other factors described in “Risk Factors” in our Registration Statement on Form F-1, filed with the SEC on March 24, 2025, as amended, and declared effective by the SEC on May 13, 2025. Further information on potential risks that could affect actual results will be included in the subsequent filings that eToro makes with SEC from time to time.

    Past performance is not necessarily indicative of future results. The forward-looking statements included in this press release represent eToro’s views as of the date of this press release. eToro anticipates that subsequent events and developments will cause its views to change. eToro undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. These forward-looking statements should not be relied upon as representing eToro’s views as of any date subsequent to the date of this press release.

    Source: eToro Group Ltd.

    The MIL Network –

  • MIL-OSI Economics: W&T Announces Appointment of Presiding Director for 2025

    Source: W & T Offshore Inc

    Headline: W&T Announces Appointment of Presiding Director for 2025

    HOUSTON, June 10, 2025 (GLOBE NEWSWIRE) — W&T Offshore, Inc. (NYSE: WTI) (“W&T” or the “Company”) today announced that its Board of Directors (the “Board”) appointed Mr. John D. Buchanan as Presiding Director for 2025. He has served in that role since the 2024 Annual General Meeting and will continue as Presiding Director this year. Mr. Buchanan joined the Board in April 2024 and has more than 30 years of experience as a seasoned oil and gas, commercial and banking attorney, in addition to his prior service as a military officer.

    Tracy W. Krohn, W&T’s Chairman and Chief Executive Officer stated, “We are very pleased that our Board has named John as our continuing Presiding Director. That position serves a valuable leadership role on our Board and John’s extensive legal experience in the energy industry and banking industry has served him well in that Board capacity. John has been a valuable advisor to and served several Boards for large public companies prior to joining our Board.”

    About Mr. Buchanan

    Mr. Buchanan has served in top legal roles as Chief Legal Officer/General Counsel/Corporate Secretary at several S&P 500 companies. Mr. Buchanan most recently served at ExxonMobil Corporation (“Exxon”) as an Assistant General Counsel where he also served as the Secretary to the Exxon Audit Committee and the Exxon Finance Committee. Mr. Buchanan also previously served in the top legal role with the Federal Reserve Bank of Dallas, where he was the Senior Vice President, General Counsel and Corporate Secretary Mr. Buchanan has held a number of other Chief Legal Officer positions over the course of his career at various S&P 500 financial institutions. Mr. Buchanan has served on numerous committees and boards of directors during his career, including the board of directors for Mercedes Benz US International Inc., with service as the Chair of the Audit Committee. Prior to his legal career Mr. Buchanan was a U.S. Army officer, helicopter pilot and paratrooper, serving with distinction.

    Mr. Buchanan holds a Master’s of Laws in Taxation from New York University School of Law and a Juris Doctorate degree from the Vanderbilt University School of Law. He also earned a Bachelor’s degree in Economics from Washington & Lee University.

    About W&T Offshore

    W&T Offshore, Inc. is an independent oil and natural gas producer with operations offshore in the Gulf of America and has grown through acquisitions, exploration and development. As of March 31, 2025, the Company had working interests in 52 fields in federal and state waters (which include 45 fields in federal waters and seven in state waters). The Company has under lease approximately 634,700 gross acres (496,900 net acres) spanning across the outer continental shelf off the coasts of Louisiana, Texas, Mississippi and Alabama, with approximately 487,200 gross acres on the conventional shelf, approximately 141,900 gross acres in the deepwater and 5,600 gross acres in Alabama state waters. A majority of the Company’s daily production is derived from wells it operates. For more information on W&T, please visit the Company’s website at www.wtoffshore.com.

         
    CONTACT: Al Petrie Sameer Parasnis
      Investor Relations Coordinator Executive VP and CFO
      investorrelations@wtoffshore.com sparasnis@wtoffshore.com
      713-297-8024 713-513-8654

    Source: W&T Offshore, Inc.

    Released June 10, 2025

    MIL OSI Economics –

  • MIL-Evening Report: ER Report: A Roundup of Significant Articles on EveningReport.nz for June 10, 2025

    ER Report: Here is a summary of significant articles published on EveningReport.nz on June 10, 2025.

    Why won’t my cough go away?
    Source: The Conversation (Au and NZ) – By David King, Senior Lecturer in General Practice, The University of Queensland Mladen Zivkovic/Shutterstock A persistent cough can be embarrassing, especially if people think you have COVID. Coughing frequently can also make you physically tired, interfere with sleep and trigger urinary incontinence. As a GP, I have even

    Bangarra Dance Theatre’s Illume is spectacle with heart and spirit, a thrilling manifestation of Country
    Source: The Conversation (Au and NZ) – By Erin Brannigan, Associate Professor, Theatre and Performance, UNSW Sydney Bangarra/Daniel Boud The stage is covered in stars that fill the depth of the space. When the 18 dancers slowly gather, they move through a night sky. This sky, and the scenes that unfold in Bangarra’s Illume are

    Starlink is transforming Pacific internet access – but in some countries it’s still illegal
    Source: The Conversation (Au and NZ) – By Amanda H.A. Watson, Fellow, Department of Pacific Affairs, Australian National University Solomon aligning the Starlink dish on the roof of his friend’s home in Vanuatu. Paul Basant In the past few years, Starlink’s satellite internet service has become available across much of the Pacific. This has created

    9 myths about electric vehicles have taken hold. A new study shows how many people fall for them
    Source: The Conversation (Au and NZ) – By Christian Bretter, Senior Research Fellow in Environmental Psychology, The University of Queensland More people believe misinformation about electric vehicles than disagree with it and even EV owners tend to believe the myths, our new research shows. We investigated the prevalence of misinformation about EVs in four countries

    Keith Rankin Analysis – Remembering New Zealand’s Missing Tragedy
    Analysis by Keith Rankin. Every country has its tragedies. A few are highly remembered. Most are semi-remembered. Others are almost entirely forgotten. Sometimes the loss of memory is due to these tragedies being to a degree international, seemingly making it somebody else’s ‘duty’ to remember them. This could have been the case with the Air

    A 10-fold increase in rocket launches would start harming the ozone layer – new research
    Source: The Conversation (Au and NZ) – By Laura Revell, Associate Professor in Atmospheric Chemistry, University of Canterbury Han Jiajun/VCG via Getty Images The international space industry is on a growth trajectory, but new research shows a rapid increase in rocket launches would damage the ozone layer. Several hundred rockets are launched globally each year

    For the first time, fossil stomach contents of a sauropod dinosaur reveal what they really ate
    Source: The Conversation (Au and NZ) – By Stephen Poropat, Research Associate, School of Earth and Planetary Sciences, Curtin University Artist’s reconstruction of Judy. Travis Tischler Since the late 19th century, sauropod dinosaurs (long-necks like Brontosaurus and Brachiosaurus) have been almost universally regarded as herbivores, or plant eaters. However, until recently, no direct evidence –

    The Racial Discrimination Act at 50: the bumpy, years-long journey to Australia’s first human rights laws
    Source: The Conversation (Au and NZ) – By Azadeh Dastyari, Director, Research and Policy, Whitlam Institute, Western Sydney University On June 11, Australia marks 50 years since the Racial Discrimination Act became law. This important legislation helps make sure people are treated equally no matter their race, skin colour, background, or where they come from.

    Fake news and real cannibalism: a cautionary tale from the Dutch Golden Age
    Source: The Conversation (Au and NZ) – By Garritt C. Van Dyk, Senior Lecturer in History, University of Waikato The Corpses of the De Witt Brothers, attributed to Jan de Baen, c. 1672-1675. Rijksmuseum The Dutch Golden Age, beginning in 1588, is known for the art of Rembrandt, the invention of the microscope, and the

    Some economists have called for a radical ‘global wealth tax’ on billionaires. How would that work?
    Source: The Conversation (Au and NZ) – By Venkat Narayanan, Senior Lecturer – Accounting and Tax, RMIT University Rudy Balasko/Shutterstock Earlier this year, I attended a housing conference in Sydney. The event’s opening address centred on the way Australia seems to be becoming like 18th-century England – a country where inheritance largely determines one’s opportunities

    Australia’s whooping cough surge is not over – and it doesn’t just affect babies
    Source: The Conversation (Au and NZ) – By Niall Johnston, Conjoint Associate Lecturer, Faculty of Medicine, UNSW Sydney Tomsickova Tatyana/Shutterstock Whooping cough (pertussis) is always circulating in Australia, and epidemics are expected every three to four years. However, the numbers we’re seeing with the current surge – which started in 2024 – are higher than

    As livestock numbers grow, wild animal populations plummet. Giving all creatures a better future will take a major rethink
    Source: The Conversation (Au and NZ) – By Clive Phillips, Adjunct Professor in Animal Welfare, Curtin University Toa55/Shutterstock As a teenager in the 1970s, I worked on a typical dairy farm in England. Fifty cows grazed on lush pastures for most of their long lives, each producing about 12 litres of milk daily. They were

    Johannesburg’s problems can be solved – but it’s a long journey to fix South Africa’s economic powerhouse
    Source: The Conversation (Au and NZ) – By Philip Harrison, Professor School of Architecture and Planning, University of the Witwatersrand South African president Cyril Ramaphosa met senior leaders of Johannesburg and Gauteng, the province it’s located in, in March 2025 to discuss ways to arrest the steep decline in South Africa’s largest city. Ramaphosa announced

    Albanese says the government’s focus on delivering commitments is essential to reinforce faith in democracy
    Source: The Conversation (Au and NZ) – By Michelle Grattan, Professorial Fellow, University of Canberra Prime Minister Anthony Albanese says his second term government is “focused on delivery” of its commitments, declaring this is important not only for the economy but also for Australians’ faith in our democracy. In a speech to the National Press

    Why Israel’s ‘humane’ propaganda is such a sinister facade
    COMMENTARY: By Cole Martin in Occupied Bethlehem Many people have been closely following the journey this week of the Madleen, a small humanitarian yacht seeking to break Israel’s illegal blockade of Gaza with a crew of 12 on board, including humanitarian activists and journalists. This morning we woke to the harrowing, yet not unexpected, news

    Trump has long speculated about using force against his own people. Now he has the pretext to do so
    Source: The Conversation (Au and NZ) – By Emma Shortis, Adjunct Senior Fellow, School of Global, Urban and Social Studies, RMIT University “You just [expletive] shot the reporter!” Australian journalist Lauren Tomasi was in the middle of a live cross, covering the protests against the Trump administration’s mass deportation policy in Los Angeles, California. As

    Palestinian supporters in NZ accuse Israel of ‘state piracy’ and condemn silence
    Asia Pacific Report Israel’s military attack and boarding of the humanitarian boat Madleen attempting to deliver food and medical aid to the besieged people of Gaza has been condemned by New Zealand Palestinian advocacy groups as a “staggering act of state piracy”. The vessel was in international waters, carrying aid workers, doctors, journalists, and supplies

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI USA: Kustoff Op-Ed: The ‘one big, beautiful bill’ will restore the American dream

    Source: United States House of Representatives – Representative David Kustoff (TN-08)

    WASHINGTON, D.C. — Today, Congressman David Kustoff (R-TN) published an op-ed in the Washington Examiner titled, “The ‘one big, beautiful bill’ will restore the American dream.” In the op-ed, Congressman Kustoff highlights the historic tax cuts in the One Big Beautiful Bill Act and lays out how they will jumpstart the economy. He urges the Senate to pass this bill as soon as possible.

    The ‘one big, beautiful bill’ will restore the American dream
    By: Congressman David Kustoff 

    When President Donald Trump was elected in November, he made a series of promises to the people. One of those promises was to reinvigorate our economy and create more opportunities for families, farms, and small businesses across the nation.

    Republicans in Congress have worked in lockstep with Trump to deliver on that promise. The key to jumpstarting our economy is for Congress to extend the successful provisions of the Tax Cuts and Jobs Act of 2017 through a wonky legislative process known as reconciliation. Reconciliation allows lawmakers to expedite legislation and enact policy quickly. Trump has dubbed this the “one big, beautiful bill.”

    Passed in 2017, TCJA was one of the hallmarks of the first Trump administration and was the first major reform to the federal tax code in over 30 years. It lowered individual income rates, reduced the corporate tax rate, changed rules for estate and retirement planning, and minimized taxes for small businesses. Essentially, it cut taxes across the board. 

    The Tax Cuts and Jobs Act ignited a red-hot economy that lit an economic fire across our nation. After its passage, businesses were expanding, and families had more money in their pockets.

    Unfortunately, if Congress does not act, many of the provisions in TCJA will expire at the end of the year. If that happens, the average family in my district of West Tennessee will face a nearly 26% tax hike. A child inheriting the family farm could pay such steep estate taxes that he is forced to sell it. And a small business owner competing with larger corporations could see her taxes nearly double.

    These are not just numbers on a chart in Washington. These provisions affect each and every one of us. If they expire, the American dream could be unachievable for many of our citizens. 

    While Democrats were spending tax dollars over the past few years like our economy was a game of Monopoly, the House Ways and Means Committee was preparing for this moment. 

    As the chief tax writing committee in Congress, we held hearings across the nation to hear directly from individuals, business owners, manufacturers, and farmers. The number one thing they told us was that the Tax Cuts and Jobs Act worked, and we cannot let its important provisions expire. 

    If we want to revitalize our economy, we must ensure that workers and businesses have the support they need from our tax code. My colleagues and I took what the public told us and crafted a tax bill that benefits both businesses and workers, incentivizes innovation, and creates more opportunities from coast to coast. 

    This tax bill prioritizes pocketbooks by solidifying and increasing the doubled standard deduction, boosting the doubled child tax credit, expanding the small business deduction, and making the doubled death tax exemption permanent for family-owned farms. It even goes a step further and incorporates Trump’s priorities of no tax on tips, no tax on overtime, and tax relief for seniors.  

    The One Big Beautiful Bill Act will be the cornerstone of Trump’s “America First” agenda. I am proud that the House of Representatives did its part and passed this historic legislation to ensure families and businesses are not forced to give more of their hard-earned money to Uncle Sam. 

    The One Big Beautiful Bill Act is once-in-a-generation, nation-building legislation that will drive economic growth, create jobs, and prioritize American families and businesses. Time is of the essence. I urge my colleagues in the Senate to pass this bill that will safeguard the American dream for all.
     

     

    ###

    MIL OSI USA News –

  • MIL-OSI Security: Former state worker pleads guilty in scheme to steal nearly $900,000 in state tax dollars

    Source: Office of United States Attorneys

    Defendant abused role as credit card custodian to embezzle money he then failed to report on his income taxes

    Tacoma – A 48-year-old Olympia resident pleaded guilty today in U.S. District Court in Tacoma to wire fraud in connection with his scheme to steal nearly $900,000 from his former employer – the State of Washington – announced Acting U.S. Attorney Teal Luthy Miller. Matthew Randall Ping pleaded guilty to wire fraud and making and subscribing a false tax return. Ping is scheduled for sentencing by U.S. District Judge Tiffany M. Cartwright on September 9, 2025.

    According to the charging information and the plea agreement, Ping began working for the Washington State Office of Administrative Hearings (OAH) in 2009. By 2017 he had been promoted to the role of Management Analyst and served as the department’s credit card custodian. Between 2019 and 2023, Ping used a sophisticated scheme to abuse his credit card access so he could embezzle at least $878,115 from the state agency.

    The plea agreement and charging information detail how Ping hid the fraud from his employer. Ping opened accounts with payment processors and gave the accounts display names that indicated the accounts were associated with legitimate OAH business vendors. Between 2019 and 2021, Ping secretly charged more than $330,000 to OAH credit cards as purported payments to these vendors. In fact, the money went to accounts Ping controlled. In 2021, Ping set up an account via a different payment processor and continued the fraud, stealing approximately $530,000 in additional funds from OAH. Ping also used OAH credit cards to buy $17,359 in personal items from Verizon and Walmart.

    Ping also circumvented state procedures designed to detect credit card fraud. For example, OAH required that Ping’s co-workers review and approve Ping’s credit card transactions, but Ping would provide false or incomplete lists of transactions during that review process. After the review, Ping would add in his fraudulent charges and upload and approve payment himself without the required oversight on his fraudulent transactions. He also took steps to manipulate the accounting data to make it more difficult to determine that he had violated protocol by uploading, reviewing, and approving his own transactions

    In all Ping secretly executed 210 transactions with the phony vendors he created for a total loss to the state of $860,756. The improper charges on his state issued credit card total $17,359, bringing the total loss to the State of Washington to $878,115.

    The embezzlement was first discovered by the Washington State Auditor’s Office. Ping resigned his position in 2023 when the theft was discovered.

    Even as he was embezzling, Ping failed to report the stolen funds on his income tax returns.  For tax years 2020-2023, the resulting tax loss totals $240,247. Ping has agreed to pay full restitution to the state and to the IRS for his tax obligation.

    The FBI and the Internal Revenue Service Criminal Investigation (IRS-CI) worked with the Auditors Office on the criminal investigation.

    The case is being Prosecuted by Assistant United States Attorney Dane A. Westermeyer.

    MIL Security OSI –

  • MIL-OSI: HDFC ERGO General Insurance Wins Duck Creek Standard of Excellence Customer Award at Formation ’25

    Source: GlobeNewswire (MIL-OSI)

    BOSTON, June 09, 2025 (GLOBE NEWSWIRE) — Duck Creek Technologies, the global intelligent solutions provider defining the future of property and casualty (P&C) and general insurance, today announced HDFC ERGO General Insurance Company Limited (HDFC ERGO), India’s leading private sector general insurer, as a 2025 Standard of Excellence Customer Award winner at Formation ’25, its flagship customer conference held in Orlando, Florida. A digital-first company, transforming into an AI-first company, HDFC ERGO is a leading general insurer of India, which is known for introducing pioneering and futuristic tech solutions in the Indian insurance landscape to offer its customers the best-in-class service experience.

    The Duck Creek Standard of Excellence Customer Awards recognize customers who have achieved the highest level of excellence through their implementation of Duck Creek solutions and who have a vision to advance their business, while reimagining the future of insurance. HDFC ERGO earned recognition for accelerating product launches, streamlining system integration, and increasing market agility using Duck Creek’s solutions, including Policy, Billing, Rating, and Insights.

    The Indian insurance market is undergoing a major transformation with a growing customer demand and the need for hyper-personalized services. The Insurance Regulatory and Development Authority of India (IRDAI) has also been encouraging the insurers to develop agile and customer-centric products so as to fuel insurance inclusion among diverse demographics and across the diverse geographies in the country. HDFC ERGO’s adoption of Duck Creek’s low-code, highly configurable platform to design a pioneering AI-enabled, real-time policy issuance system marks a significant milestone, where now the insurer has transformed the end-to-end process for its Health and Fire lines of business.

    “At HDFC ERGO, our endeavour has been to offer best-in-class solutions and experience to our customers. The behaviour and requirements of today’s customers have evolved to a great extent, where they expect dynamic, hyper-personalized, and innovative solutions, and the insurance industry is not an exception in this changed ecosystem. Hence as a customer-focused organization, we were looking for a technology partner, who would enable us to offer innovative products, efficient services, and better analytical insights in an integrated manner to provide a seamless experience to our customers. The tech enablement from Duck Creek matched perfectly to this requirement,” said Sriram Naganathan, President & CTO at HDFC ERGO General Insurance Company Limited. “We are happy and honored to receive the Duck Creek Standard of Excellence Award. We believe with these new tech enhancements we will set a new benchmark in the insurance industry and propel the cause of insurance inclusion in India — thus also supporting the vision of ‘Insurance for All by 2047’ of IRDAI— the Indian insurance regulator.”

    The scale of the project was massive, involving over 45 business users, 150+ IT developers working in parallel across seven systems integrator partners, designing 300+ product covers, 300+ business rules, and executing 10,000+ test scenarios. The solutions were delivered in only nine months, with their commercial fire product first to go live, followed by their health product soon thereafter. Key results include:

    • Product launch time reduced from 4-5 months to just four weeks, allowing rapid response to market demands and regulatory changes.
    • Dramatic productivity gains for agents with quotes generated almost instantly and agents able to offer 4-5 alternative product options rather than just a single choice.
    • Operational efficiency and risk reduction by drastically reducing manual data entry, minimizing compliance risks, and improving accuracy. Straight-through processing completed tasks in just 3-4 minutes, instead of hours or days.
    • Elevated customer experience driven by policies now being processed in near real time, instead of in hours and days. Customers are now also offered data-driven product recommendations and better-suited options, leading to improved engagements.

    “We are proud to honor HDFC ERGO General Insurance with the 2025 Standard of Excellence Customer Award,” said Christian Erickson, Vice President and General Manager, APAC at Duck Creek Technologies. “HDFC ERGO’s digital transformation stands as a benchmark for innovation and execution in the insurance industry. As our first customer in the in India market, we are thrilled to be HDFC ERGO’s strategic partner, with our suite of products helping drive meaningful business outcomes and value for the business, their customers, and shareholders. HDFC ERGO exemplifies the forward-thinking, customer-focused approach that defines the future of insurance. We congratulate them on this well-deserved recognition.”

    About Duck Creek Technologies   
    Duck Creek Technologies is the global intelligent solutions provider defining the future of the property and casualty (P&C) and general insurance industry. We are the platform upon which modern insurance systems are built, enabling the industry to capitalize on the power of the cloud to run agile, intelligent, and evergreen operations. Authenticity, purpose, and transparency are core to Duck Creek, and we believe insurance should be there for individuals and businesses when, where, and how they need it most. Our market-leading solutions are available on a standalone basis or as a full suite, and all are available via Duck Creek OnDemand. Visit www.duckcreek.com to learn more. Follow Duck Creek on our social channels for the latest information – LinkedIn and X.

    Media Contacts:   
    Marianne Dempsey/Tara Stred   
    duckcreek@threeringsinc.com 

    About HDFC ERGO General Insurance Company Limited:

    HDFC ERGO General Insurance Company Limited, one of the leading private sector general insurance companies of India, whose promoters are HDFC Bank Limited, one of India’s leading private sector banks, and ERGO International AG, the primary insurance entity of Munich Re Group.

    A digital-first company, transforming into an AI-first company, HDFC ERGO is a leader in implementing technology to offer customers the best-in-class service experience.

    HDFC ERGO offers a complete range of General Insurance products including Health, Motor, Home, Agriculture, Travel, Credit, Cyber and Personal Accident in the retail space along with Property, Marine, Engineering, Marine Cargo, Group Health and Liability Insurance in the corporate space.

    The Company has created a stream of innovative & new products as well as services using technologies like Artificial Intelligence (AI), Machine Learning (ML), Natural Processing Language (NLP), and Robotics. HDFC ERGO offers a range of general insurance products and has a completely digital sales process with 299 branches and 600+ digital offices across India. HDFC ERGO’s technology platform has empowered the customers to avail services digitally on a 24×7 basis, with 70%+ claims for retail products intimated digitally and over 80% of service interactions are catered digitally of which 10% are AI led. The Company issued ~3.4 crore policies in FY25 and has one of the best claims payout ratios in the General Insurance industry.

    Be it unique insurance products, integrated customer service models, top-in-class claim processes or a host of technologically innovative solutions, HDFC ERGO has been able to delight its customers at every touch-point and milestone to ensure consumers are serviced in real-time.

    Social Media:

    Facebook: https://www.facebook.com/hdfcergo

    Twitter: https://twitter.com/hdfcergogic

    LinkedIn: https://www.linkedin.com/company/hdfcergo

    YouTube: https://youtube.com/c/hdfcergo

    Media Contacts:
       
    Shilpi Bose
    Shilpi.bose@hdfcergo.com

    The MIL Network –

  • MIL-OSI: CEA Industries Enters Canadian Vape Market with Completion of Fat Panda Acquisition

    Source: GlobeNewswire (MIL-OSI)

    Closes Acquisition of Leading Vape Operator with 33 Locations and Over 50% Market Share in Central Canada

    Adds High-Margin, CAD $38.5 Million Revenue Platform to Accelerate Growth and Drive Shareholder Value

    Conference Call Scheduled for June 11, 2025 at 4:30pm ET to Review the Supporting Investor Presentation on the CEA Industries Website

    Louisville, Colorado, June 09, 2025 (GLOBE NEWSWIRE) — CEA Industries Inc. (NASDAQ: CEAD, CEADW) (“CEA Industries” or the “Company”), today announced the completion of its acquisition of Fat Panda Ltd. (“Fat Panda”), Central Canada’s largest independent vape retailer and vertically integrated manufacturer. The acquisition accelerates CEA’s strategic diversification while establishing a scalable platform in one of the fastest-growing sectors of the regulated nicotine market.

    Founded in 2013, Fat Panda operates 33 high-traffic retail locations across Manitoba, Ontario, and Saskatchewan, supported by a national e-commerce platform. The company’s vertically integrated model includes ISO-certified manufacturing facilities for its e-liquid production and direct supplier relationships, enabling product consistency, streamlined sourcing, and improved cost structure. With over 50% regional market share and a loyal customer base, Fat Panda generated approximately CAD $38.5 million (USD $28.5 million) in revenue with 39% gross margins and CAD $8.0 million (USD $5.9 million) (before ownership distributions) in adjusted EBITDA in the fiscal year ended April 30, 2024, based on preliminary unaudited results.

    “This acquisition marks a significant milestone for CEA as we expand into a dynamic, high-growth regulated vertical benefiting from strong consumer demand,” said Tony McDonald, Chairman and CEO of CEA Industries. “Fat Panda brings an established brand, experienced leadership, and a highly profitable operating model that can be rapidly scaled with our capital and strategic support. Importantly, this acquisition exemplifies our commitment to identifying accretive opportunities that can unlock meaningful long-term value for our shareholders.”

    “Joining CEA Industries provides the financial strength and operational support to accelerate our vision,” said Jordan Vedoya, Co-Founder and President of Fat Panda. “We are excited to deepen our footprint, elevate our e-commerce presence, and continue delivering value through Fat Panda’s customer-centric approach across Canada’s regulated vape industry.”

    Fat Panda will operate under its existing brand led by the current management team to ensure a seamless transition with uninterrupted operations. Mr. Vedoya will also lead integration efforts and spearhead expansion across both retail and digital channels.

    Strategic Benefits of the Transaction

    • Leads Central Canada’s Regulated Vape Market – Fat Panda operates 33 corporate-owned stores across three provinces with over 50% regional market share, establishing immediate category leadership.
    • Expands Scalable Omnichannel Platform – Combines a national e-commerce footprint with high-traffic retail locations, driving over CAD $2 million in annual online sales.
    • Drives Margin Accretion Through Vertical Integration – In-house manufacturing and direct supplier relationships support 39% gross margins and CAD $8.0 million in adjusted EBITDA in fiscal year 2024.
    • Establishes Durable Competitive Moat – Proprietary product formulations, a robust trademark portfolio, and regulatory alignment under the Tobacco and Vaping Products Act (TVPA) differentiate Fat Panda in the dynamic regulatory landscape.
    • Enables Platform Growth Through Expansion and M&A – With CEA Industries capital and strategic support, Fat Panda is positioned to open new locations, acquire complementary retailers, and scale profitably across Canada.

    Transaction Terms

    The CAD $18.0 million (USD $12.6 million) purchase price comprises approximately CAD $12.1 million in cash, 39,000 shares of CEAD common stock with an agreed value of CAD $700,000, and seller notes totaling CAD $2.56 million. A portion of the purchase price was funded by a short-term loan from a United States based lender in the amount of USD $4.0 million, which is due in six months. In addition, CAD $2.6 million has been placed in escrow to support post-closing adjustments, indemnity obligations, and employee-related matters.

    Conference Call and Investor Presentation

    CEA Industries will host a conference call to discuss the acquisition and strategic implications for the Company on Wednesday, June 11, 2025 at 4:30pm ET. A live webcast and accompanying investor presentation will be available on the Investor Relations section of the Company’s website at www.ceaindustries.com.

    To access the call, please use the following information:

    A replay of the webcast will be available shortly after the event and archived online.

    About CEA Industries Inc.

    CEA Industries Inc. (NASDAQ: CEAD) is a growth-oriented company focused on building category-leading businesses in regulated consumer markets. With a focus on the high-growth, Canadian nicotine vape industry, one of the fastest-expanding segments of the global nicotine market, CEA Industries targets scalable operators with strong regulatory alignment, defensible market share, and high-margin business models. The Company provides capital, operational expertise, and strategic resources to accelerate retail expansion, strengthen e-commerce infrastructure, and drive long-term value creation in performance-driven sectors. For more information, visit www.ceaindustries.com.

    Forward Looking Statements

    This press release may contain statements of a forward-looking nature relating to future events. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. These statements reflect our current beliefs, and a number of important factors could cause actual results to differ materially from those expressed in this press release, including the factors set forth in “Risk Factors” set forth in our annual and quarterly reports filed with the Securities and Exchange Commission (“SEC”), and subsequent filings with the SEC. Please refer to our SEC filings for a more detailed discussion of the risks and uncertainties associated with our business, including but not limited to the risks and uncertainties associated with our business prospects and the prospects of our existing and prospective customers; the inherent uncertainty of product development; regulatory, legislative and judicial developments, especially those related to changes in, and the enforcement of, cannabis laws; increasing competitive pressures in our industry; and relationships with our customers and suppliers. Except as required by the federal securities laws, we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise. The reference to CEA’s website has been provided as a convenience, and the information contained on such website is not incorporated by reference into this press release.

    Non-GAAP Financial Measures

    To supplement our financial results on U.S. generally accepted accounting principles (“GAAP”) basis, we use non-GAAP measures including net bookings and backlog, as well as other significant non-cash expenses such as stock-based compensation and depreciation expenses. We believe these non-GAAP measures are helpful in understanding our past performance and are intended to aid in evaluating our potential future results. The presentation of these non-GAAP measures should be considered in addition to our GAAP results and are not intended to be considered in isolation or as a substitute for financial information prepared or presented in accordance with GAAP. We believe these non-GAAP financial measures reflect an additional way to view aspects of our operations that, when viewed with our GAAP results, provide a more complete understanding of factors and trends affecting our business.

    Investor Contact:

    Sean Mansouri, CFA or Aaron D’Souza
    Elevate IR
    info@ceaindustries.com
    (720) 330-2829

    The MIL Network –

  • MIL-OSI: ETC Announces Fiscal 2025 Full Year and Fourth Quarter Results

    Source: GlobeNewswire (MIL-OSI)

    SOUTHAMPTON, Pa., June 09, 2025 (GLOBE NEWSWIRE) — Environmental Tectonics Corporation (OTC Pink: ETCC) (“ETC” or the “Company”) today reported its financial results for the fourteen week period ended February 28, 2025 (the “2025 fiscal fourth quarter”) and the fifty-three week period ended February 28, 2025 (“fiscal 2025”).

    Robert L. Laurent, Jr., ETC’s Chief Executive Officer and President stated, “Our strong backlog and pipeline of opportunities once again translated into increases in net sales, gross profit margin, operating income and net income. These results reflect growth in each of our business units with sales increasing to $62.9 million, gross profit increasing to $18.5 million, and net income increasing to $13.1 million or $0.75 diluted earnings per share in fiscal 2025 as compared to net income of $1.8 million or $0.09 diluted earnings per share in fiscal 2024. We believe we remain well positioned for the future with a backlog of $87 million and strong pipeline of opportunities at February 28, 2025.”

    Fiscal 2025 Results of Operations

    Net Income

    Net income was $13.1 million, or $0.75 diluted earnings per share, in fiscal 2025, compared to net income of $1.8 million during fiscal 2024, equating to $0.09 per diluted share. The $11.2 million variance is primarily attributable to a $19.6 million increase in sales, a $6.1 million increase in gross profit, slightly offset by a $0.8 million increase in operating expenses. Fiscal 2025 is also being positively impacted by an income tax benefit of $5.6 million, primarily associated with the partial reversal of valuation allowance previously recorded against the deferred tax asset. The deferred tax asset valuation allowance on federal deferred tax assets and certain state deferred tax assets was reversed in fiscal 2025, as it is now more likely than not that the Company will be able to fully realize these deferred tax assets.

    Net Sales

    Net sales for fiscal 2025 was $62.9 million, an increase of $19.6 million, or 45.3%, compared to fiscal 2024 net sales of $43.3 million. The increase is a result of higher International sales of $13.4 million, of which $9.3 million are within Aircrew Training Solutions (“ATS”) and $3.5 million are within Commercial Industrial Systems (“CIS”) as well as higher Domestic sales of $6.2 million, $6.0 million of which are within CIS. Further, sales in fiscal 2025 increased the greatest within the ATS business unit and Sterilizer Systems business unit, accounting for $9.9 and $7.4 million, respectively, of the overall increase of $19.6 million.

    Gross Profit

    Gross profit for fiscal 2025 was $18.5 million compared to $12.5 million in fiscal 2024, an increase of $6.1 million, or 48.7%. The increase in gross profit was primarily due to higher net sales within the ATS and Sterilizers System business units. Gross profit margin as a percentage of net sales increased to 29.4% in fiscal 2025 compared to 28.8% in fiscal 2024.

    Operating Expenses

    Operating expenses, including sales and marketing, general and administrative, and research and development, for fiscal 2025 was $10.3 million compared to $9.5 million in fiscal 2024, an increase of $0.8 million, or 8.1%. An increase in selling and marketing expenses, primarily driven by higher sales and an increase in general and administrative expenses, due primarily to an increase in salary and related expenses, along with an increase in professional fees was offset slightly by a decrease in research and development expenses.

    Interest Expense, Net

    Interest expense, net, for fiscal 2025 was $1.2 million compared to $0.9 million in fiscal 2024, an increase of $0.3 million, or 31.6%, due primarily to higher borrowing attributable to the leaseback of the Southampton, Pennsylvania demonstration equipment in fiscal 2025.

    Other (Income) Expense, Net

    Other income, net, for fiscal 2025 was ($0.4) million, compared to other expense, net, of $0.3 million in fiscal 2024 a favorable variance of ($0.7) million, or (221.5%) attributable to a gain realized from the sale of the Southampton, Pennsylvania demonstration equipment in fiscal 2025.

    Income (Benefit) Taxes

    As of February 28, 2025, the Company reviewed the components of its deferred tax assets and determined, based upon all available information, that it is more likely than not that deferred tax assets relating to its federal deferred tax assets and certain state deferred tax assets will be realized. Accordingly, we reversed the previously recorded valuation allowance against these deferred tax assets. If in the future there is a change in our ability to realize these deferred tax assets, then our tax valuation allowance may increase in the period in which we determine that realization is no longer more likely than not. An income tax benefit of $5.6 million was recorded in fiscal 2025 compared to income tax benefit of $0.1 million recorded in fiscal 2024.

    Fiscal 2025 Fourth Quarter Results of Operations

    Net Income

    Net income was $7.6 million, or $0.45 diluted earnings per share, in the 2025 fiscal fourth quarter, compared to net income of $2.8 million during the 2024 fiscal fourth quarter, equating to $0.17 diluted earnings per share. The $4.8 million variance is a result of $2.7 million of increased sales, $0.6 million increase in other income attributable to the sale of the Company’s demonstration equipment offset slightly by an 8.9% decrease in gross profit margin percentage, primarily attributable to increased aeromedical center building sales and higher interest expense attributable to the demonstration equipment lease. The 2025 fiscal fourth quarter is also being positively impacted by a $5.5 million increase in income tax benefit attributable to the reversal of the deferred tax asset valuation allowance.

    Net Sales

    Net sales for the 2025 fiscal fourth quarter were $19.1 million, an increase of $2.7 million, or 16.4%, compared to net sales of $16.4 million for the 2024 fiscal fourth quarter. The increase reflects higher overall sales within the ATS and Sterilizer Systems business units.

    Gross Profit

    Gross profit was $4.7 million in the 2025 fiscal fourth quarter, a decrease of $0.8 million, or 14.5% compared to gross profit of $5.5 million for the 2024 fiscal fourth quarter. Gross profit margin as a percentage of net sales decreased to 24.6% in the 2025 fiscal fourth quarter compared to 33.5% in 2024 fiscal fourth quarter. The majority of the decrease was a direct result of the increase in aeromedical center building sales, which is lower margin then ETC’s core business as the work is being performed by a sub-contracted construction firm. Excluding the aeromedical center building sales, gross profit margin would have been approximately 29.7%. As the building construction of the aeromedical center accelerates over the next year, ETC expects gross profit margin to be lower in fiscal 2026 as compared to fiscal 2025.

    Operating Expenses

    Operating expenses, including sales and marketing, general and administrative, and research and development, for the 2025 fiscal fourth quarter were $2.7 million, an increase of $0.2 million, or 6.1%, compared to $2.5 million for the 2024 fiscal fourth quarter. The increase in operating expenses was due primarily to higher general and administrative expenses slightly offset by lower selling and marketing and research and development expenses in the 2025 fiscal fourth quarter compared to the 2024 fiscal fourth quarter.

    Interest Expense, Net

    Interest expense, net, for the 2025 fiscal fourth quarter was $0.6 million compared to $0.2 million in the 2024 fiscal fourth quarter, an increase of $0.4 million, or 146.6%, reflecting increased borrowing attributable to the leaseback of the demonstration equipment in 2025 fiscal fourth quarter.

    Other (Income) Expense, Net

    Other income, net, for 2025 fiscal fourth quarter was ($0.5) million, compared to other expense, net, of $0.1 million in 2024 fiscal fourth quarter, a favorable variance of ($0.6) million, or (721.0%) attributable to a gain realized from the sale of the Southampton, Pennsylvania demonstration equipment in the 2025 fiscal fourth quarter.

    Income (Benefit) Taxes

    An income tax benefit of $5.7 million was recorded in the fiscal 2025 fourth quarter compared to an income tax benefit of $0.2 million in the 2024 fiscal fourth quarter. The increase in the income tax provision in the 2025 fiscal fourth quarter was driven primarily by the reversal of the valuation allowance on federal deferred tax assets and certain state deferred tax assets. This reversal is attributable to the change in the Company’s operating profit and expected ability to realize these deferred tax assets.

    Liquidity and Capital Resources

    As of February 28, 2025, the Company’s availability under the PNC Revolving Line of Credit was $2.2 million. This reflected cash borrowings of $14.3 million and net outstanding standby letters of credit of approximately $3.5 million. As of June 9, 2025, the date of our most current Revolving Line of Credit statement, the Company’s availability under the PNC Revolving Line of Credit was approximately $1.2 million. The Company had working capital of $19.7 million as of February 28, 2025 compared to working capital of $8.7 million as of February 23, 2024. The increase in working capital was primarily the result of a significant increase in contract assets and reduction in contract liabilities partially offset by a decrease in prepaid assets and increase in accounts payable, trade and an increase in the current portion of lease obligations. With unused availability under the Company’s various current lines of credit, the further conversion of contract assets and inventory into cash, the collection of milestone payments associated with several International contracts, and expected deposits on fiscal 2026 bookings, the Company anticipates its sources of liquidity will be sufficient to fund its operating activities, anticipated capital expenditures, and debt repayment obligations throughout fiscal 2025.

    On February 3, 2025, the Company entered into a Financing and Security Agreement with Coeur Capital, Inc. that provided for a line of credit of up to $3.0 million. The company is able to draw on the line transferring and assigning acceptable accounts receivable to Coeur Capital. The Financing and Security Agreement remains in full force until terminated by either party upon advanced written notice. As of February 28, 2025, the Company’s availability under this Financing and Security Agreement was $3.0 million. As of June 9, 2025, the date of our report, the Company’s availability under this Financing and Security Agreement with Coeur Capital was $3.0 million.

    Cash flows from operating activities

    During fiscal 2025, cash flows used by operating activities were $3.9 million, an increase of $0.2 million compared to fiscal 2024 cash flows used by operating activities of $3.7 million. Cash flows in fiscal 2025 increased as a result of the increase in contract assets and decrease in contract liabilities partially offset by net income for the fiscal year.

    Cash flows from investing activities

    Cash flows from investing activities primarily relates to funds for capital expenditures in property, plant, and equipment and software development. The Company’s fiscal 2025 investing activities provided $3.6 million as compared to fiscal 2024 investing activities which used $0.3 million. The change in investing activities is attributable to $4.0 million from the sale leaseback of the demonstration equipment in Southampton, Pennsylvania.

    Cash flows from financing activities

    During fiscal 2025, the Company’s financing activities provided $1.7 million from borrowings under the Company’s credit facility to support the significant increase in manufacturing, compared to fiscal 2024 borrowings of $2.7 million.

    About ETC

    ETC was incorporated in 1969 in Pennsylvania. For over five decades, we have provided our customers with products, services, and support. Innovation, continuous technological improvement and enhancement, and product quality are core values that are critical to our success. We are a significant supplier and innovator in the following areas: (i) software driven products and services used to create and monitor the physiological effects of flight, including high performance jet tactical flight simulation, fixed and rotary wing upset prevention and recovery and spatial disorientation, and both suborbital and orbital commercial human spaceflight: altitude (hypobaric) chambers; hyperbaric chambers for multiple persons (multiplace chambers) collectively, Aircrew Training Systems (“ATS”);; (ii) Advanced Disaster Management Simulators (“ADMS”); (iii) steam and gas (ethylene oxide) sterilizer systems (“Sterilizer Systems” or “Sterilizers”); and (iv) Environmental Testing and Simulation Systems (“ETSS”).

    We operate in two primary business segments, Aerospace Solutions (“Aerospace”) and Commercial/Industrial Systems (“CIS”). Aerospace encompasses the design, manufacture, and sale of: (i) ATS products; and (ii) ADMS, as well as integrated logistics support (“ILS”) for customers who purchase these products or similar products manufactured by other parties. These products and services provide customers with an offering of comprehensive solutions for improved readiness and reduced operational costs. Sales of our Aerospace products are made principally to U.S. and foreign government agencies and to civil aviation organizations. CIS encompasses the design, manufacture, and sale of: (i) sterilizer systems; and (ii) ETSS; as well as parts and service support for customers who purchase these products or similar products manufactured by other parties. Sales of our CIS products are made principally to the healthcare, pharmaceutical, and automotive industries.

    ETC-PZL Aerospace Industries Sp. z o.o. (“ETC-PZL”), our 100%-owned subsidiary in Warsaw, Poland, is currently our only operating subsidiary. ETC-PZL manufactures certain simulators and provides software to support products manufactured domestically within our Aerospace segment.

    The majority of our net sales are generated from long-term contracts with U.S. and foreign government agencies (including foreign military sales (“FMS”) contracted through the U.S. Government) for the research, design, development, manufacture, integration, and sustainment of ATS products, including Chambers and the simulators manufactured and sold through ETC-PZL, collectively, ATS. The Company also enters into long-term contracts with domestic and international customers for the sale of sterilizer systems and ETSS. Net sales of ADMS are generally much shorter term in nature and vary between domestic and international customers. We generally provide our products and services under fixed-price contracts.

    ETC’s unique ability to offer complete systems, designed and produced to high technical standards, sets it apart from its competition. ETC’s headquarters is located in Southampton, PA. For more information about ETC, visit http://www.etcusa.com/.

    Forward-looking Statements

    This news release contains forward-looking statements, which are based on management’s current expectations and are subject to uncertainties and changes in circumstances. Words and expressions reflecting something other than historical fact are intended to identify forward-looking statements, and these statements may include words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “future”, “predict”, “potential”, “intend”, or “continue”, and similar expressions. We base our forward-looking statements on our current expectations and projections about future events or future financial performance. Our forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about ETC and its subsidiaries, the economy and other factors that may cause actual results to be materially different from any future results implied by these forward-looking statements. We caution you not to place undue reliance on these forward-looking statements.

                     
    Table A                
                     
    Environmental Tectonics Corporation
    Consolidated Comprehensive Statement of Operations and Comprehensive Income
                     
                     
    (in thousands, except per share information)   Fifty-three / Fifty-two weeks ended   Variance
        February 28, 2025 February 23, 2024   ($)   (%)
    Net sales   $ 62,943     $ 43,307     $ 19,636     45.3  
    Cost of goods sold     44,420       30,848       13,572     44.0  
    Gross Profit     18,523       12,459       6,064     48.7  
    Gross profit margin %     29.4 %     28.8 %     0.6 %   2.1 %
                     
    Operating expenses     10,260       9,494       766     8.1  
    Operating income     8,263       2,965       5,298     178.7  
    Operating margin %     13.1 %     6.8 %     6.3 %   92.6 %
                     
    Interest expense, net     1,183       899       284     31.6  
    Other (income) expense, net     (361 )     297       (658 )   -221.5  
    Income before income taxes     7,441       1,769       5,672     320.6  
    Pre tax margin %     11.8 %     4.1 %     7.7 %   187.8 %
                     
    Income tax provision (benefit)     (5,622 )     (51 )     (5,571 )   10923.5  
    Net income     13,063       1,820       11,243     617.7  
    Preferred Stock Dividends     (493 )     (484 )     (9 )   1.9  
    Income attributable to common and participating shareholders   $ 12,570     $ 1,336     $ 11,234     840.9  
                     
    Per share information:                
    Basic earnings per common and participating share:            
    Distributed earnings per share:                
    Common   $ –     $ –          
    Preferred   $ 0.08     $ 0.08     $ –     0.0  
    Undistributed earnings per share:                
    Common   $ 0.81     $ 0.09     $ 0.72     800.0  
    Preferred   $ 0.81     $ 0.09     $ 0.72     800.0  
    Diluted earnings per share   $ 0.75     $ 0.09     $ 0.66     733.3  
                     
    Total basic weighted average common and participating shares     15,572       15,569          
                     
    Total diluted weighted average shares     16,655       15,569          
    Table B                
                     
    Environmental Tectonics Corporation
    Consolidated Comprehensive Statement of Operations and Comprehensive Income
                     
        Fourteen / Thirteen weeks ended   Variance
    (in thousands, except per share information)   February 28, 2025   February 23, 2024   ($)   (%)
    Net sales   $ 19,098     $ 16,414     $ 2,684     16.4  
    Cost of goods sold     14,394       10,915       3,479     31.9  
    Gross Profit     4,704       5,500       (795 )   -14.5  
    Gross profit margin %     24.6 %     33.5 %     -8.9 %   -26.7 %
                     
    Operating expenses     2,665       2,513       153     6.1  
    Operating income     2,039       2,987       (948 )   -31.6  
    Operating margin %     10.7 %     18.2 %     -7.5 %   -40.8 %
                     
    Interest expense, net     613       249       365     146.6  
    Other (income) expense, net     (504 )     81       (584 )   -721.0  
    Income before income taxes     1,930       2,658       (728 )   -27.4  
    Pre-tax margin %     10.1 %     16.2 %     -6.2 %   (38.2 )
                     
    Income tax provision (benefit)     (5,682 )     (171 )     (5,511 )   3222.8  
    Net income     7,612       2,829       4,783     169.1  
    Preferred Stock dividends     (130 )     (121 )     (9 )   7.4  
    Income attributable to common and participating shareholders   $ 7,482     $ 2,708     $ 4,774     176.3  
                     
    Per share information:                
    Basic earnings per common and participating share:                
    Distributed earnings per share:                
    Common   $ –     $ –     $ –      
    Preferred   $ 0.02     $ 0.02     $ –     0.0  
    Undistributed earnings per share:                
    Common   $ 0.48     $ 0.17     $ 0.31     182.4  
    Preferred   $ 0.48     $ 0.17     $ 0.31     182.4  
    Diluted earnings per share   $ 0.45     $ 0.17     $ 0.28     164.7  
                     
                     
    Total basic weighted average common and participating shares     15,582       15,569          
                     
    Total diluted weighted average shares     16,725       15,569          

    The MIL Network –

  • MIL-OSI USA: VIDEO: Rep. Pressley Condemns Trump’s Authoritarian Assault on Harvard, Nonprofits

    Source: United States House of Representatives – Congresswoman Ayanna Pressley (MA-07)

    Trump Admin. Weaponizing Tax Laws to Silence Dissent, Attack Nonprofits Providing Essential Services to Vulnerable People

    “This is about Trump and Republicans punishing people who disagree with them. It is about attacking nonprofits of all sizes that serve the vulnerable and marginalized and stand in the gap for our communities. It’s about trying to intimidate every charity and nonprofit in this country and spark a fear that if you speak up – if you do something the Republicans don’t like – you could be next.”

    Video (YouTube)

    WASHINGTON – Today, in a House Oversight Subcommittee hearing, Congresswoman Ayanna Pressley (MA-07) condemned Donald Trump’s targeted, authoritarian assault on nonprofit organizations it disagrees with. Congresswoman Pressley discussed the Trump Administration’s efforts to revoke the tax-exempt status of Harvard University as part of Republicans’ broader campaign to punish dissent and attack organizations that serve vulnerable communities.

    A full transcript of the Congresswoman’s remarks is below and the video is available here.

    Transcript: Pressley Condemns Trump’s Authoritarian Assault on Harvard, Nonprofits

    House Oversight DOGE Subcommittee

    June 4, 2025

    REP. PRESSLEY: Thank you to our witnesses for being here today. 

    What we are witnessing from Occupant Trump, his Administration, and Republicans writ-large is not governance – it is a targeted, dangerous assault on the independence of our nonprofit organizations. 

    We’ve seen these attacks take many forms, perhaps most visibly in my own district – the Massachusetts 7th – as the administration continues its unlawful campaign against Harvard University. Trump has threatened to revoke Harvard’s tax-exempt status, freeze billions in federal funding for scientific research to save lives, might I add, and publicly vilify students and faculty – all part and parcel of his attacks on education. 

    But let me make it plain: this isn’t just about Harvard and it’s definitely not about government efficiency – the name of this subcommittee. 

    This is about Trump and Republicans punishing people who disagree with them. 

    It is about attacking nonprofits of all sizes that serve the vulnerable and marginalized and stand in the gap for our communities. 

    It’s about trying to intimidate every charity and nonprofit in this country and spark a fear that if you speak up – if you do something the Republicans don’t like – you could be next.

    A hospital that provides abortion care. A local food pantry that feeds immigrants. Or an advocacy group that fights for civil rights.

    Donald Trump is weaponizing our tax laws to attack nonprofits at the same time he is pushing for tax cuts for Elon Musk and billionaires.

    Ms. Yentel, can the President or Executive Branch legally revoke a nonprofit’s tax-exempt status simply because it disagrees with that organization’s lawful speech or mission?

    DIANE YENTEL: They can’t. The statute is very clear that that is illegal.

    REP. PRESSLEY: Thank you. Republicans think the answer is yes, but that would mean every nonprofit in America is just one tweet away from being targeted by the federal government.

    I am proud that in the Massachusetts 7th, community-based organizations are speaking up and fighting back against Republican attacks. And I know they are doing it at risk of serious threat.

    Ms. Yentel, can you make plain what are the consequences to charities and nonprofits losing tax-exempt status?

    MS. YENTEL: Well, tax exempt status is given to nonprofit organizations that do essential work to meet needs in their local communities, in exchange for significant transparency and accountability. And if nonprofit organizations lose their tax exempt status, it could create significant challenges for them to be able to do their work related to how and where they get their funding, and it could cause them to have to shut down their work altogether.

    REP. PRESSLEY: Their work which is to the betterment of us all, which is to the collective, our shared constituents. 

    MS. YENTEL: Yes.

    REP. PRESSLEY: Very good. Let’s put this in perspective:

    Trump is firing government workers that administer programs like Head Start and Social Security while also attacking non-profits that provide resources and supports to vulnerable populations.

    Trump and his Republican cult do not care about helping people who are struggling. Instead, they want to make them suffer more.  

    Now, before I yield back, let me ask the Republican witnesses: if you all think Trump is right for revoking tax-exempt status for nonprofits for their political views, raise your hand then if you think the Heritage Foundation – who wrote Project 2025 – should also lose their tax-exempt status? 

    Show of hands, by the logic that is being applied. 

    MR. WALTER: I’m not aware of any nonprofit that’s had its status revoked. 

    REP. PRESSLEY: Again, the question that I’m posing is, would you please raise your hand if you think the Heritage Foundation who wrote Project 2025 should also lose their tax exempt status? 

    Show of hands.

    MR. WALTER: It’s a perfectly a reasonable speech by a nonprofit. 

    REP. PRESSLEY: So none of you, so none of you, none of you.

    The shame and the sham of it all.

    Before I yield back, Ms. Yentel, I know that you have been harangued intensely throughout today’s proceedings. Is there anything that you would like to set the record straight on or respond to in my remaining time? 

    MS. YENTEL: Thank you, Congresswoman. I would like to use the remaining time to remind us all and every member of this committee of the vital, essential work that nonprofit organizations do in each of your communities, for your constituents, and the work that we do to support them in that work. Nonprofit organizations are local. They are transparent and accountable. They are non-partisan, by law and in practice, and they do essential work to meet the needs of all of your communities and all Americans. Thank you.

    REP. PRESSLEY: Thank you. I yield back.

    ###

    MIL OSI USA News –

  • MIL-Evening Report: Some economists have called for a radical ‘global wealth tax’ on billionaires. How would that work?

    Source: The Conversation (Au and NZ) – By Venkat Narayanan, Senior Lecturer – Accounting and Tax, RMIT University

    Rudy Balasko/Shutterstock

    Earlier this year, I attended a housing conference in Sydney. The event’s opening address centred on the way Australia seems to be becoming like 18th-century England – a country where inheritance largely determines one’s opportunities in life.

    There has been a lot of media coverage of economic inequities in Australian society. Our tax system has been partly blamed for this problem. The case for long-term, visionary tax reform has never been stronger. And one area of tax reform could be a wealth tax.

    First, let’s be clear about one thing. Unlike the superannuation tax reforms currently being debated for those with more than A$3 million in superannuation, the wealth tax we’re talking about would apply to a very different cohort: billionaires.

    A recent article in the Financial Times re-examined a proposal to impose such a tax on the world’s highest-net-worth individuals. It also pointed out these efforts would need to be globally coordinated.

    Such taxes could collect significant sums of money for governments. It’s previously been estimated a billionaire tax could raise US$250 billion (more than A$380 billion) globally if just 2% of the net worth of the world’s billionaires was taxed each year.

    The case for a wealth tax

    Inequality is on the rise and the argument for a wealth tax can’t be ignored – not least here at home. According to the Australia Institute, the wealth of Australia’s richest 200 people has soared as a percentage of our national gross domestic product (GDP) – from 8.4% in 2004 to 23.7% in 2024.

    If that sounds dramatic, the picture is far worse in the United States. So, what would a wealth tax look like in Australia (noting that in reality a globally coordinated effort would be needed)?

    The starting point for this is understanding of why high-net-worth individuals seemingly pay very low taxes.

    High net worth, low tax rate

    Income taxes only take into account any amounts that are received in the hands of the taxpayer – whether that is a company, a person or a trust.

    Most high-net-worth individuals do not receive much income directly but “store” their wealth in companies and other corporate structures.

    In Australia, the maximum applicable tax rate for companies is 30%. Note that the highest tax rate in Australia for individuals is 45% plus the 2% medicare levy, effectively 47%.

    Assets such as real estate may also be held by companies or trusts, and the increase in value of these assets is not taxed until they are sold (through capital gains tax).

    Even then, those gains may not be paid out directly to the high-net-worth individual who owns these entities.

    Unrealised gains

    So, how do we tax wealth that is sitting in various businesses (company structures) or other entities, but isn’t taxed at present because the “income” or “gains” from these are not taxable in the hands of the wealthy individuals who own them?

    This goes into the murky area of taxation of unrealised gains. Here, we need to tread very carefully. But we also need to recognise that we already do this, albeit rather subtly, and most of us are not billionaires.

    In your rates notice from your local council, for example, the increase in value of your residence or investment property is used to calculate your rates.

    The real difficulty, to carry on with this example, is that your residence or investment property is typically held in your name and so the tax can be directly levied on you.

    A luxury residence in Miami Beach, Florida, owned by Jeff Bezos, founder of Amazon. The US is home to the most billionaires of any country in the world.
    Felix Mizioznikov/Shutterstock

    Making tax unavoidable

    As we’ve already explained, the bulk of the assets or net worth of wealthy individuals is not directly attributable to them. Does this mean we should give up altogether?

    Not quite. UNSW professor Chris Evans has pointed out that while we may not be able to effectively tax all the net worth of the wealthy, there are some things we can tax and they can’t avoid it.

    An obvious example is real estate. You can pack your bags and bank accounts and move to a low-tax country, but you can’t move your mansion overlooking Sydney Harbour.

    Real estate, both residential and commercial, provides one clear way in which we could implement a partial wealth tax. This method (which also has fewer valuation issues than value stored in a company in the form of retained profits) also counters the argument that the wealthy will simply move to other jurisdictions that won’t tax them.

    There is plenty of academic research looking at various wealth tax initiatives in other countries. We should learn from these, including the experience in Switzerland and Sweden.

    In Sweden, for instance, research found the behavioural effects of wealth taxation were less pronounced than those of income taxation, but the system had so many loopholes that evasion was an option for some people.

    Change faces headwinds

    In a very uncertain world that features ongoing wars and an unpredictable US president, any change that seeks to address issues of inequity is going to be met with resistance by those who hold power.

    Some billionaires in the US, however, have expressed their support for being taxed more in a letter signed by heirs to the Disney and Rockefeller fortunes. That offers some hope, and suggests the discussion about wealth taxes should not be relegated to the “too hard” basket.

    Some steps towards taxing the uber-rich would be better than the status quo.

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

    – ref. Some economists have called for a radical ‘global wealth tax’ on billionaires. How would that work? – https://theconversation.com/some-economists-have-called-for-a-radical-global-wealth-tax-on-billionaires-how-would-that-work-257632

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI Security: Founder of Orange County Based Non-Profit Charged in 15-Count Indictment Alleging He Bribed County Supervisor in $12 Million Scheme

    Source: US FBI

    SANTA ANA, California – The founder of a now-shuttered non-profit organization has been indicted on federal charges alleging he bribed then-Orange County Supervisor Andrew Hoang Do to obtain approximately $12 million in COVID-19 pandemic-related funds, pocketed the bulk of that money, then laundered it to avoid detection by law enforcement, the Justice Department announced today.

    Peter Anh Pham, 65, of Garden Grove, is charged with one count of conspiracy to commit wire fraud, one count of conspiracy to commit honest services wire fraud, six counts of wire fraud, six counts of concealment money laundering, and one count of bribery.

    Also charged in the indictment is Thanh Huong Nguyen, 61, of Santa Ana, who is charged with one count of conspiracy to commit wire fraud, one count of wire fraud, and one count of concealment money laundering.

    Pham is considered to be a fugitive from justice. Nguyen’s initial appearance and arraignment are expected to occur on Monday in U.S. District Court in Santa Ana.

    “These two defendants are charged with conspiring with a corrupt politician to pad their pockets while the nation suffered under the weight of COVID-19,” said United States Attorney Bill Essayli. “My office and our law enforcement partners will continue our efforts to prosecute individuals who cashed in on government aid intended to help those impacted by the largest public health emergency in a century.”

    “This conspiracy was a house of cards built on lies, betrayal, and insatiable greed,” said Orange County District Attorney Todd Spitzer. “Today’s indictments are another critical step in ensuring accountability – and consequences – for those who conspired to use the County of Orange’s COVID-19 funds as their personal ATMs – and to return those stolen funds to their rightful owners – the community for which these funds were originally intended.” 

    According to the indictment that was returned on Wednesday and unsealed today, Pham was a friend and associate of Do, 62, of Santa Ana, who served on the Orange County Board of Supervisors from 2015 until his resignation in October 2024. In that role, Do was one of five supervisors on the Board, which is responsible for the county’s $9 billion annual budget.

    Do pleaded guilty in October 2024 to one count of conspiracy to commit bribery concerning programs receiving federal funds and is scheduled to be sentenced on June 9, when he will face a sentence of up to five years in federal prison. 

    From June 2020 to October 2024, Do used his official position as a county supervisor to vote for millions of dollars in county funds to be allocated in his district, subject to disbursement at his sole discretion. Do then steered county contracts and grants to Pham and Nguyen, the indictment alleges. 

    For example, in June 2020, Do voted to approve an agenda item that, in part, allocated $5 million in federal COVID-19 pandemic-relief funding to a county nutrition program. As part of this agenda item, Do authorized himself a budget of $1 million to develop that nutrition program in his district, which he could distribute without further approval from the rest of the Board. Eight days after Do voted to approve the agenda item, Pham founded the Huntington Beach-based non-profit organization Viet America Society (VAS).

    Pham, through VAS, and Nguyen, through a Garden Grove-based group called Hand-to-Hand Relief Organization Inc. (H2H), entered into contracts and beneficiary agreements with the county. In many of these contracts, VAS and H2H falsely represented that they would reimburse the county for any funds not spent for the contract’s intended purpose. In each of the beneficiary agreements, VAS and H2H falsely certified that all funds would be used solely for the grant’s intended purpose.

    In exchange for Pham’s bribes in the form of payments to his two daughters, Do used his official position as a county supervisor to advocate for VAS and H2H so county employees would approve contracts and beneficiary agreements between the county and these organizations. Do and his staff – including his chief of staff – edited the terms of those contracts and agreements to make them more favorable to Pham and Nguyen. Through the influence of Do and his staff, the county wired funds to Pham and Nguyen. 

    After receiving county funds, Pham and Nguyen transferred most of the money to other entities they controlled. They then spent large portions of the funds to pay personal expenses such as rent and bills, to pay off debts owed by their other businesses, and to make personal investments such as purchasing commercial and residential real estate. Pham and Nguyen also used county funds to bribe Do through payments to his daughters.

    Pham also used county money to pay the eventual wife of Do’s chief of staff, under the guise that she was providing consulting services to VAS. Do’s chief of staff then used his position in Orange County’s government to help VAS and H2H obtain county contracts, edited the contracts’ terms to make them more favorable to VAS and H2H, and helped those organizations fulfill reporting requirements and get paid.

    When required to submit invoices to the county to account for how the money was being spent, Pham and Nguyen submitted false documents, claiming to have used all the funds – all solely for legitimate purposes and according to the contracts’ terms.

    To disguise the funds’ source, Pham and an associate caused checks from county funds to be written to a Westminster-based company called D Air Conditioning Co. LLC. This company then issued checks from its corporate bank account to Pham, Pham’s associate, and one of Do’s daughters.

    In total, Pham and Nguyen unlawfully acquired approximately $12 million in county funds through this conspiracy.

    An indictment contains allegations that a defendant has committed a crime.  Every defendant is presumed innocent until and unless proved guilty beyond a reasonable doubt.

    If convicted of the charges, Pham and Nguyen would face a statutory maximum sentence of 20 years in federal prison for the conspiracy count, each wire fraud count, and each money laundering count. Pham also would face up to 10 years in federal prison for the bribery count. 

    The FBI, the Orange County District Attorney’s Office Bureau of Investigation, and IRS Criminal Investigation are investigating this matter.      

    Assistant United States Attorneys Nandor F.R. Kiss and Rosalind Wang of the Orange County Office, Assistant United States Attorney Tara Vavere of the Asset Forfeiture and Recovery Section, and Senior Deputy District Attorney Avery T. Harrison and Deputy District Attorney Anthony J. Schlehner of Orange County District Attorney’s Office are prosecuting this case.

    MIL Security OSI –

  • MIL-OSI USA: NASA’s TROPICS Mission: Offering Detailed Images and Analysis of Tropical Cyclones

    Source: NASA

    Introduction
    Tropical cyclones represent a danger to life, property, and the economies of communities. Researchers who study tropical cyclones have focused on remote observations using space-based platforms to image these storms, inform forecasts, better predict landfall, and improve understanding of storm dynamics and precipitation evolution – see Figure 1.

    The tropical cyclone community has leveraged data from Earth observing platforms for more than 30 years. These data have been retrieved from numerous instruments including: the Advanced Baseline Imager (ABI) on the National Oceanic and Atmospheric Administration’s (NOAA) Geostationary Operational Environmental Satellite (GOES)–Series R satellites; the Tropical Rainfall Measuring Mission (TRMM) Microwave Imager (TMI); the Global Precipitation Measurement (GPM) Microwave Imager (GMI); the Special Sensor Microwave Imager/Sounder (SSMIS) on the Defense Meteorological Satellite (DSMP) satellites; the Advanced Microwave Scanning Radiometer (AMSR-E) on Aqua; AMSR2 on the Japan Aerospace Exploration Agency’s (JAXA) Global Change Observation Mission–Water (GCOM-W) mission; the Advanced Microwave Sounding Unit (AMSU) on Aqua and the Advanced Technology Microwave Sounder (ATMS) on the NASA–NOAA Suomi National Polar-Orbiting Partnership (Suomi NPP), NOAA-20, and NOAA-21; the Moderate Resolution Imaging Spectroradiometer (MODIS) on NASA’s Terra and Aqua Platform; and the Visible Infrared Imaging Radiometer Suite (VIIRS) on Suomi NPP, as well as on the first two Joint Polar Satellite System (JPSS) missions (i.e., NOAA-20 and NOAA-21).
    Despite having decades of data at their disposal, scientists lack data from instruments placed in low-inclination orbits that provide more frequent views within tropical regions. This limitation is especially pronounced in the tropical and subtropical latitudes, which is where tropical storms develop and intensify.
    The NASA Time-Resolved Observations of Precipitation structure and storm Intensity with a Constellation of Smallsats (TROPICS) grew from the Precipitation and All-weather Temperature and Humidity (PATH) to address a need for obtaining three-dimensional (3D) temperature and humidity measurements as well as precipitation with a temporal revisit rate of one hour or better – see Figure 2. TROPICS uses multiple small satellites flying in a carefully engineered formation to obtain rapid revisits of measurements of precipitation structure within the storms, as well as temperature and humidity profiles, both within and outside of the storms, including the intensity of the upper-level warm core. In addition, the instruments provide a median revisit time of about one hour. The data gathered also informs changes in storm track and intensity and provides data to improve weather prediction models.
    The imagery is focused on inner storm structure (near 91 and 205 GHz), temperature soundings (near 118 GHz), and moisture soundings (near 183 GHz). Spatial resolution at nadir is approximately 24 km (16.8 mi) for temperature and 17 km (10.6 mi) for moisture and precipitation, covering a swath of approximately 2000 km (1243 mi) in width. Researchers can use TROPICS data to create hundreds of high-resolution images of tropical cyclones throughout their lifecycle.

    This article provides an overview of the two years of successful science operations of TROPICS, with a focus on the suite of geophysical Level-2 (L2) products (e.g., atmospheric vertical temperature and moisture profiles, instantaneous surface rain rate, and tropical cyclone intensity) and the science investigations resulting from these measurements. The complete article, available in the Proceedings Of The IEEE: Special Issue On Satellite Remote Sensing Of The Earth, provides more comprehensive details of the results.
    From Pathfinder to Constellation
    A single TROPICS satellite was launched as a Pathfinder vehicle on June 30, 2021, aboard a SpaceX Falcon 9 rideshare into a Sun-synchronous polar orbit. TROPICS was originally conceived as a six-satellite constellation, with two satellites launched into each of three low-inclination orbits. Regrettably, the first launch, on June 22, 2022 aboard an Astra Rocket 3.3, failed to reach orbit. While unfortunate, the mission could still proceed with four satellites and meet its baseline revisit rate requirement (with no margin), with the silver lining of an extra year of data gathered from TROPICS Pathfinder that allowed the tropical cyclone research community to prepare and test communications systems and data processing algorithms before the launch of the four remaining constellation satellites. These satellites were deployed on two separate launches – May 8, 2023 and May 26, 2023 aboard a Rocket Lab launch vehicle. The early testing accelerated calibration and validation for the constellation.
    Collecting Data Critical to Understanding Tropical Cyclones
    Tropical cyclone investigations require rapid quantitative observations to create 2D storm structure information. The four radiance data products in the TROPICS constellation [i.e., antenna temperature (L1a), brightness temperature (L1b), unified brightness temperature, and regularized scan pattern and limb-adjusted brightness temperature (L1c)] penetrate below the cloud top to gather data at greater frequency for a lower cost than current operational systems. The constellation data has been used to evaluate the development of the warm core and evolution of the ice water path within storms – two indicators of storm formation and subsequent changes in intensity.
    The upper-level warm core is key to tropical cyclone development and intensification. Precipitation may instigate rapid intensification through convective bursts that are characterized by expanding cold cloud tops, increasing ice scattering, lightning, and towers of intense rain and ice water that are indicative of strong updrafts. TROPICS frequencies provide a wealth of information on scattering by precipitation-sized ice particles in the eyewall and rainbands that will allow for researchers to track the macrostructure of convective bursts in tropical cyclones across the globe. In addition, TROPICS data helps clarify how variations in environmental humidity around tropical cyclones affect storm structure and intensification.
    Upper-level Warm Core
    Analysis of the upper-level warm core of a tropical cyclone reveals valuable information about the storm’s development. The tropical cyclone community is using data from TROPICS to understand the processes that lead to precipitating ice structure and the role it plays in intensification – see Figure 3. While the warm core has been studied for decades, TROPICS provides a new opportunity to get high-revisit rate estimates of the atmospheric vertical temperature profile. By pairing the temperature profile with the atmospheric vertical moisture profile, researchers can define the relative humidity in the lower-to-middle troposphere, which is critical to understanding the impact of dry environmental air on storm evolution and structure.

    Ice Water Path and Precipitation
    Another variable that helps to provide insight into the development of tropical cyclones is the ice water path, which details the total mass of ice present in a vertical column of the atmosphere and is therefore useful for characterizing the structure and intensity of these storms. Increasing ice water path can reflect strengthening convection within a storm and thereby be an indicator of likely intensification – see Figure 4. TROPICS is the first spaceborne sensor equipped with a 205-GHz channel that, along with the traditional 89, 118, and 183 GHz channels, is more sensitive to detecting precipitation-sized ice particles. In addition, the TROPICS Precipitation Retrieval and Profiling Scheme (PRPS) provides an estimate of precipitation. This scheme is based solely on the satellite radiances linked to precipitation rates, which can be used to generate products across time scales, from near-real-time to climatological scales.

    Collaborations and TROPICS Data in Action
    To evaluate and enhance the data gathered by TROPICS, the TROPICS application team enlisted the assistance of operational weather forecasters that formed the TROPICS Early Adopters program. In 2018, the program connected the application team to stakeholders interested in using TROPICS data for research, forecasting, and decision making. This collaboration improved approaches to diagnose and predict tropical cyclones. For example, the National Hurricane Center (NHC) found that the new TROPICS channel at 204.8 GHz offered the best approach to capture convective storm structure, followed by the more traditionally used 91-GHz channel. In addition, the U.S. Joint Typhoon Warning Center (JTWC) has been using TROPICS data to center-fix tropical cyclones and identify cloud formations. In particular, the JTWC team found that the 91-GHz channel was most useful for identifying cloud structure. Both NHC and JTWC found the TROPICS high revisit rate to be beneficial.
    In 2024, the TROPICS applications team developed the TROPICS Satellite Validation Module as part of the NOAA Hurricane Research Division’s annual Advancing the Prediction of Hurricanes Experiment (APHEX). The module coordinated data collection from NOAA’s Hurricane Hunter aircraft beneath TROPICS satellite overpasses to provide data to calibrate and validate TROPICS temperature, moisture, and precipitation measurements. Using this approach, the Hurricane Hunter team tracked Hurricane Ernesto over the central North Atlantic on August 15 and 16, 2024 and used the data to characterize the environment of Ernesto’s rain bands – see Figure 5.

    In addition, the team used TROPICS observations in combination with GPM constellation precipitation estimates to characterize the lifecycle of Hurricane Franklin, which formed on August 19, 2023 and underwent a period of rapid intensification about eight days later. Intensification of the storm, in particular the period of rapid intensification (45 knot increase in maximum winds in 24 hours), occurred in association with a decrease in environmental vertical wind shear, a contraction of the radius of maximum precipitation, and an increase in the precipitation rate. Intensification ended with the formation of secondary rainbands and an outward shift in the radius of maximum precipitation.
    Conclusion
    TROPICS data offer the potential for improving forecasts from numerical weather prediction models and operational forecasts using its high spatial resolution and high revisit rates that enable enhanced characterization of tropical cyclones globally. To date, the TROPICS mission has produced a high-quality aggregate data record spanning 10 billion observations and 10 satellite years, using relatively low-cost microwave sounder constellations. All L1 (i.e., radiances) and L2 (i.e., geophysical products) data products and Algorithm Theoretical Basis Documents are available to the general public through the Goddard Earth Sciences Data and Information Services Center (GES DISC). The GES DISC data discussed in this article include L1 and L2 products for TROPICS-1, TROPICS-3, TROPICS-5, and TROPICS-6.
    TROPICS data has aided hurricane track forecasting for multiple storms as forecasters have used the data at multiple operational tropical cyclone forecast centers. Data gathered by TROPICS will soon be complemented by multiple commercial constellations that are coming online to improve the revisit rate and performance.
    William Blackwell MIT Lincoln Laboratorywjb@ll.mit.edu
    Scott BraunNASA GSFC, TROPICS Project Scientistscott.a.braun@nasa.gov
    Stacy KishEarth Observer StaffEarthspin.science@gmail.com

    MIL OSI USA News –

  • MIL-OSI Security: Former Orange County Supervisor Sentenced to 5 Years in Prison for Bribery Scheme Involving More Than $10 Million in COVID Funds

    Source: Office of United States Attorneys

    SANTA ANA, California – A former politician who served on the Orange County Board of Supervisors was sentenced today to 60 months in federal prison for accepting more than $550,000 in bribes for directing and voting in favor of more than $10 million in COVID-19 pandemic relief funds to a charity affiliated with one of his daughters.

    Andrew Hoang Do, 62, of Santa Ana, was sentenced by United States District Judge James V. Selna, who scheduled a restitution hearing for August 11.

    Do pleaded guilty in October 2024 to one count of conspiracy to commit bribery concerning programs receiving federal funds.

    “Elected officials have a sworn duty to put their constituents’ interests ahead of their own,” said United States Attorney Bill Essayli. “Public money intended to assist aging and ailing pandemic victims instead filled the coffers of Do, his family, and insiders. I commend our prosecutors and law enforcement partners for their work on this important case and for helping to remove a corrupt politician from his seat of power.”

    “As a county supervisor, Andrew Do transformed the County of Orange into an ATM available to his insiders, his loved ones, and himself, withdrawing millions of dollars to buy houses, lavish dinners, and expensive wine while the elderly, the sick, and the vulnerable who depended on Andrew Do were left to fend for themselves,” said Orange County District Attorney Todd Spitzer. “We, along with our federal partners, are continuing to peel back the layers of conspiracy to hold every thief accountable and return those stolen monies to the communities to which they belonged.”    

    “Mr. Do abused his powerful position as a county supervisor to profit personally at the expense of individuals in need, as well as the residents of Orange County, who deserve honest leadership,” said Akil Davis, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “The FBI will continue to pursue corrupt public officials whose actions erode trust in government.”

    From February 2015 until his resignation in October 2024, Do was one of five supervisors on the Orange County Board of Supervisors, which is responsible for the county’s $9 billion annual budget. As supervisor for the First District, Do represented the cities of Cypress, Fountain Valley, Garden Grove, Huntington Beach, La Palma, Los Alamitos, Midway City, Rossmoor, Seal Beach, and Westminster.

    Beginning in 2020, in exchange for more than $550,000 in bribes, Do voted in favor of and directed millions of dollars in COVID-related funds to the Viet America Society (VAS), a charity affiliated with his daughter. Do directed and worked together with other county employees to approve contracts with – and payments to – VAS. Do further admitted he acted corruptly and abused his position of trust as a county supervisor.

    Shortly after receiving the COVID-related public funds from the county government – funds that were intended to provide meals to the elderly and disabled – VAS from April 2021 to February 2024 paid a business identified in court documents as “Company #1” $100,000 or more per month, which totaled approximately $3,804,000. In September 2021, VAS increased its payments to Company #1 from $100,000 to $108,000 per month. Company #1 then began paying Rhiannon Do – Do’s daughter – $8,000 per month, totaling by February 2024 approximately $224,000.

    In addition to the $8,000 monthly payments that Company #1 had made to Do’s daughter, in July 2023, Company #1 also transferred a total of $381,500 from the funds it had received from VAS to an escrow company. In July 2023, Do’s daughter used the escrow account funds to purchase a home, in her name, in Tustin for $1,035,000. As part of that transaction, a mortgage for more than $600,000 was obtained by a loan application that contained false information and with fabricated documents. Do’s daughter has admitted in court documents that her conduct was criminal and violated federal and state law.

    The $381,500 from Company #1 that his daughter used to purchase the Tustin house in 2023 was a disguised bribe to Do. An additional $100,000 in payments sent to his other daughter, including three $25,000 checks from Company #2 – an air conditioning company that had been paid by VAS – also were bribes to Do.

    Some of the bribe funds that had been funneled to his daughters were spent for his direct benefit. For example, during 2022, a total of $14,849 of funds that had been funneled to Do’s daughters was used to make property tax payments for properties in Orange County owned by Do and his wife. Approximately $15,000 was used to pay for one of Do’s credit card bills.

    Do knew that VAS was not providing all the meals for which the county had paid VAS. Instead, much of the funds were used for the benefit of insiders, including to buy real estate in the name of both Do’s daughter and Company #1, bribe payments to both of Do’s daughters, payments to other conspirators, payments to other companies affiliated with VAS’s listed officers, and through hundreds of thousands of dollars in cash withdrawals.

    Do forfeited assets connected to the bribery scheme, including the Tustin property his daughter purchased in 2023. As part of his daughter’s related diversion agreement, she forfeited the Tustin property. The plea agreement requires Do to pay full restitution by paying back the bribe money he and his daughters received. In August 2024, the government seized more than $2.4 million from VAS’s and Company #1’s bank accounts.

    Do resigned from the Orange County Board of Supervisors as part of a related agreement with the Orange County District Attorney’s Office (OCDA). He also agreed to forfeit any pension credit for the time where he participated in the bribery conspiracy.

    The FBI; the Orange County District Attorney’s Office Bureau of Investigation; the Federal Deposit Insurance Corp. Office of the Inspector General; IRS Criminal Investigation; and the United States Department of Education Office of the Inspector General investigated this matter.

    This matter is being jointly prosecuted by the United States Attorney’s Office and OCDA. The prosecution is being led by Assistant United States Attorneys Nandor F.R. Kiss, Rosalind Wang, and Tara Vavere of the United States Attorney’s Office and Senior Deputy District Attorney Avery T. Harrison and Deputy District Attorney Anthony J. Schlehner of the OCDA. 

    Any member of the public who has information related to this or any other public corruption matter in Orange County is encouraged to send information to the FBI’s email tip line at https://tips.fbi.gov and/or to contact the FBI’s Los Angeles Field Office at (310) 477-6565.

    MIL Security OSI –