Category: Taxation

MIL-OSI USA: Congressman Ben Cline’s Statement on Voting for the One Big Beautiful Budget Reconciliation Bill
Source: United States House of Representatives – Congressman Ben Cline (VA-06)

Washington, D.C.— Congressman Ben Cline (VA-06) today released the following statement after the House of Representatives passed H.R. 1, the One Big Beautiful Bill Act, a major budget reconciliation package that delivers meaningful wins for working families, small businesses, and taxpayers in Virginia’s Sixth District.

“Today’s passage of the One Big Beautiful Bill is a big win for the American people and for families across Virginia’s Sixth District,” said Rep. Cline. “While the bill isn’t perfect, it delivers on the core promises House Republicans made—to secure our border, unleash American energy, rein in Washington’s reckless spending, and stop the largest tax hike in our Nation’s history.”

The bill includes sweeping reforms designed to provide relief and stability for hardworking Americans. Among its key provisions, the legislation eliminates taxes on tips, overtime pay, and car loan interest, delivers additional tax relief for seniors, makes no changes to Social Security or Medicare, strengthens Medicaid by cracking down on fraud and protecting access for those who need it most, and ensures robust funding for our national defense.

Congressman Cline also secured the inclusion of one of his top legislative priorities, the Hearing Protection Act, which he sponsored to remove suppressors from the outdated National Firearms Act of 1934.

“I’m proud that this legislation includes portions of the Hearing Protection Act,” Cline added. “This is a long-overdue win for law-abiding gun owners and a key step in defending our Second Amendment rights.”

Cline warned that failure to pass this bill would have severe consequences for families and small businesses in the Sixth District as the Trump tax cuts are set to expire. Without this legislation:
- The average taxpayer would face a 26% tax hike
- 78,150 families would see their Child Tax Credit cut in half
- 92% of taxpayers would have their Guaranteed Deduction slashed in half
- 51,860 small businesses would face a 43.4% tax rate if the 199A Small Business Deduction is allowed to expire
- 8,032 taxpayers would be hit by the return of the Alternative Minimum Tax
- 7,445 family-owned farms would lose half of their Death Tax exemption next year
The legislation now moves to the Senate for further consideration.

“I hope my colleagues in the Senate will move quickly so we can send this important bill to President Trump’s desk and continue delivering real results for the American people,” Cline said.

MIL OSI USA News –
May 27, 2025

MIL-OSI: Final Results

Source: GlobeNewswire (MIL-OSI)

Octopus Apollo VCT plc
Final Results

Octopus Apollo VCT plc today announces the final results for the year ended 31 January 2025.

Octopus Apollo VCT plc (‘Apollo’ or the ‘Company’) is a Venture Capital Trust (VCT) which aims to provide shareholders with attractive tax-free dividends and long-term capital growth by investing in a diverse portfolio of predominantly unquoted companies.

The Company is managed by Octopus Investments Limited (‘Octopus’ or the ‘Portfolio Manager’) via its investment team, Octopus Ventures.

HIGHLIGHTS

	Year to 31 January 2025	Year to 31 January 2024
Net assets (£’000)	£482,563	£390,294
Profit/(loss) after tax (£’000)	£24,110	£(435)
Net asset value (NAV) per share¹	50.5p	50.5p
Cumulative dividends paid since launch	90.0p	87.4p
Total value per share²	140.5p	137.9p
Dividends paid in the year	2.6p	2.7p
Dividend yield³	5.1%	5.1%
Dividend declared	1.3p	1.3p
Total return per share %⁴	5.1%	0.0%

NAV per share is calculated as net assets divided by total number of shares, as described in the glossary of terms.
Total value per share is calculated by adding together NAV per share and cumulative dividends paid since launch.
Dividend yield is calculated as dividends paid in the period, divided by the NAV per share at the beginning of the period.
Total return per share % is an alternative performance measure (APM) calculated as movement in NAV per share in the period plus dividends paid in the period, divided by the NAV per share at the beginning of the period, as described in the glossary of terms.

CHAIR’S STATEMENT

Highlights

Apollo’s latest fundraise: £75 million
Total return over five years: 45.3%
Dividends paid in 2025: 2.6p

Apollo’s total return for the year to 31 January 2025 was 5.1% with the net assets at the end of the period totalling £483 million.

Performance

I am pleased to present the annual results for Apollo for the year ended 31 January 2025. The NAV plus cumulative dividends per share at 31 January 2025 was 140.5p, an increase of 2.6p per share from 31 January 2024. During the year the NAV per share remained stable at 50.5p which represents, after adding back the 2.6p of dividends paid in the year, a total return for the year of 5.1% compared to 0% in the previous year. This outcome highlights the Company’s overall resilience and positive performance, despite the uncertain macro environment. I also note several exciting new investments have been made in the period, showing that the Company is successfully growing the overall size of the portfolio.

In the twelve months to 31 January 2025, we utilised £86.1 million of our cash resources, comprising £47.1 million in new and follow-on investments, £17.8 million in dividends (net of the Dividend Reinvestment Scheme (DRIS)), £8.6 million in management fees, £9.0 million in share buybacks, and £3.6 million in other running costs such as accounting and administration services and trail commissions. The cash and liquid resources balance of £95.7 million at 31 January 2025 represented 19.8% of net assets at that date, compared to £61.3 million, which represented 15.7% at 31 January 2024. Cash and liquid resources comprises cash at bank, money market funds (MMFs) and open ended investment companies (OEICs.)

Performance incentive fees
Apollo’s performance since 31 January 2024 has given rise to a performance fee being payable to Octopus of £6.1 million. The performance fee is calculated as 20% on all gains above the High-Water Mark, the highest total return as at previous year ends, of 137.9p as at 31 January 2024.

Dividends
It is your Board’s policy to maintain a regular dividend flow where possible to take advantage of the tax-free distributions a VCT can provide, and work towards the targeted 5% annual dividend yield policy.

I am pleased to confirm that the Board declared a second interim dividend of 1.3p per share in respect of the year ended 31 January 2025. This second interim dividend, in addition to the 1.3p per share interim dividend paid in December 2024 brings the total dividends declared to 2.6p per share in respect of the year ended 31 January 2025. The dividend was paid on 8 May 2025 to shareholders on the register at 22 April 2025. Since inception, we have paid a total of 91.3p in tax-free dividends per share, comprising 90.0p in previous distributions and an additional 1.3p paid in May. Considering dividends paid during 2024 (totalling 2.6p), the total dividend yield for the year is 5.1%, therefore meeting the Company’s target.

Apollo’s DRIS was introduced in November 2014 and currently 20.7% of shareholders take advantage of it as it is an attractive scheme for investors who would prefer to benefit from additional income tax relief on their reinvested dividend. I hope that shareholders will find this scheme beneficial. During the year to 31 January 2025, 10,800,892 shares were issued under the DRIS, equating to a reinvested amount of £5.3 million.

Fundraise and share buybacks
On 19 March 2024, the Company closed its offer to raise £50 million, which led the Board to increase the offer by a further £35 million. I am pleased to report that we successfully raised the full £85 million, closing the offer on 24 September 2024.

Following on from this, on 23 October 2024, the Company launched an offer to raise a further £50 million with an over-allotment facility for a further £25 million. I am delighted to report that we raised the full £75 million, so the offer closed fully subscribed on 21 March 2025. We would like to take this opportunity to welcome all new shareholders and thank all existing shareholders for their continued support.

Apollo has continued to buy back and cancel shares as required. Subject to shareholder approval of resolution 10 at the forthcoming Annual General Meeting (AGM), this facility will remain in place to provide liquidity to investors who may wish to sell their shares, subject to the Board’s discretion. Details of the share buybacks undertaken during the year can be found in the Directors’ Report.

Dividends, whether paid in cash or reinvested under the DRIS, and share buybacks are always at the discretion of the Board, are never guaranteed and may be reviewed when necessary.

VCT sunset clause
In November 2023, a ten-year extension was announced to the ‘sunset clause’ (a retirement date for the VCT scheme), meaning VCT tax reliefs will be available until 5 April 2035. This extension passed through Parliament in February 2024 and on 3 September 2024 His Majesty’s Treasury brought the extension into effect through The Finance Act 2024.

Board of Directors
Alex Hambro, having originally been appointed to the Board of Octopus Eclipse VCT 3 and 4 PLC in 2005, and then continuing as a Director following the merger with the Octopus Apollo VCTs in 2016, has decided to retire from the Board and will not be seeking re-election at the forthcoming AGM. It has been a pleasure to work with Alex, and I would like to take this opportunity to thank him on behalf of the Board and the shareholders for his substantial contribution over the years and help in guiding Apollo through its different phases of growth.

A new Non-Executive Director will be appointed at the completion of a structured recruitment process, which is already underway. All the other Directors have indicated their willingness to remain on the Board, and both Chris Powles and Gillian Elcock will be seeking re-election at the AGM.

Alternative Investment Fund (AIF)
As announced on 30 September 2024, the Company is now classified as a full scope AIF under the European Union’s AIF Managers Directive (AIFMD). This is due to the Company’s success and continued growth in assets under management (AUM). This regulation is in place to ensure greater transparency and risk mitigation to protect investors. It is an exciting milestone for the Company, and the Board is working closely with Octopus to ensure all reporting requirements and management protocols are adopted.

Portfolio Manager
As reported in the half-yearly unaudited report, Richard Court (previously Apollo’s Lead Fund Manager), took on a new role in the period as Head of VCTs and Enterprise Investment Schemes (EIS) at Octopus Ventures. Paul Davidson, a Partner in the Octopus Ventures team, has replaced Richard as Lead Fund Manager as of September 2024. Paul brings with him eight years of experience, focusing on Apollo, and has worked closely with the Board (alongside Richard) for the last three years. The Board would like to take this opportunity to reiterate its congratulations to Paul on his new role and to again thank Richard for his contribution to the Company and wish him well in his new position. In January 2025, Erin Platts was appointed as new Chief Executive Officer (CEO) of Octopus Ventures.

AGM
The AGM will be held on 10 July 2025 at 10am. Full details of the business to be conducted at the AGM are given in the Notice of the Meeting. We will have a Portfolio Manager’s update at the AGM, supported by a filmed update from the Portfolio Manager which will be available on the website at https://octopusinvestments.com/apollovct/.

Shareholders’ views are important, and the Board encourages shareholders to vote on the resolutions by using the proxy form, or electronically at www.investorcentre.co.uk/eproxy.

The Board has carefully considered the business to be approved at the AGM and recommends shareholders vote in favour of all the resolutions being proposed.

Outlook
I am pleased with the positive performance over the last six months, especially whilst the geo-political and economic landscape has been extremely challenging for portfolio companies to navigate. The uncertain conditions which have prevailed for the last couple of years have meant we have seen portfolio companies’ growth rates slow as trading conditions have become tougher and sales cycles have become more protracted. Companies have also looked to reduce their cash burn and focus on achieving profitability due to the scarcity and higher cost of capital. Some protection against these external factors has been offered by the contracted recurring revenue models that businesses within the portfolio have.

Over the past 12 months, we have observed a recovery in the Company’s investment rate, with twice as many new investments being completed when comparing 2025/24 to 2024/23.. Market data supports this trend, showing more deals completed in the Series B and onwards space in 2024 compared to the prior year¹. The investment team is experiencing an increase in deal flow, especially in the last six months of 2024, and the current pipeline of opportunities looks very promising. In addition to the higher deal cadence, we are pleased that the Company concluded three profitable realisations, compared to one in the prior year.

VCTs have long provided a compelling opportunity for UK investors to invest in businesses in a tax-efficient way, and we look forward to Apollo continuing to do so in the coming year. I would like to conclude by thanking both the Board and the Octopus team on behalf of all shareholders for their hard work.

Murray Steele
Chair

¹ https://carta.com/uk/en/data/vc-concentration-2024/

PORTFOLIO MANAGER’S REVIEW

At Octopus our focus is on managing your investments and providing open communication. Our annual and half-year updates are designed to keep you informed about the progress of your investment.

Investment strategy
In general, we invest in technology companies in the SaaS space that have recurring revenues from a diverse base of customers. We also seek to invest in companies that will provide an opportunity for Apollo to realise its investment typically within three to seven years.

Apollo total value growth
The total value has seen a significant increase over the five years from 119.8p to 140.5p at 31 January 2025. This increase in total value of 20.7p represents a 45.3% increase on the NAV of 45.7p as at 31 January 2020. Over the last five years, a total of more than £92.4 million has also been distributed back to shareholders in the form of tax-free dividends. This includes dividends reinvested as part of the DRIS.

Focus on performance
In the year to 31 January 2025, the NAV total return (NAV plus cumulative dividends) increased to 140.5p per share, giving a total return of 5.1% for the period. We are pleased with this modest uplift in total value, considering the challenging macroeconomic backdrop that our portfolio companies continued to navigate their way through over the last 12 months.

The performance over the five years to 31 January 2025 is shown below:

Year Ended	NAV	Dividends paid in year	Cumulative dividends	NAV + cumulative dividends	Total return %
31 January 2021	49.2p	2.3p	76.4p	125.6p	12.7%
31 January 2022	50.2p	5.7p	82.1p	132.3p	13.6%
31 January 2023	53.2p	2.6p	84.7p	137.9p	11.2%
31 January 2024	50.5p	2.7p	87.4p	137.9p	0.0%
31 January 2025	50.5p	2.6p	90.0p	140.5p	5.1%

Over the year, including disposals, there have been valuation increases across 29 portfolio companies, delivering a collective increase of £62 million. These increases reflect businesses which have successfully managed to grow revenues through the period. The strongest performers have generally exhibited improving profitability levels and revenue growth from their customer base and some of the top performers include Definely, Lodgify and TRI.

Conversely, 20 companies saw a decrease in valuation, collectively totalling £23 million. The businesses that saw the most significant reductions were Edge10, Synchtank and Peak Data. Growth has decelerated or in some cases revenues have declined in several portfolio companies and they have experienced decreases in their valuation. This has mainly been due to continued challenges in selling their software products into corporates who have experienced declining software expense budgets. There have also been some company-specific performance issues impacting a small number of companies in the portfolio.

In aggregate, this resulted in a net increase in portfolio company valuations of £39 million.

As part of ongoing liquidity management, Apollo regularly invests in and withdraws from MMFs in order to meet cash requirements. During the year, an additional £35.6 million (including interest) was invested in MMFs. Apollo also holds an investment in the Sequoia Economic Infrastructure Fund (SEQI), but no further investment was made in this fund during the year. These investments, in combination with the previously held investments in SEQI and the MMFs, took the total liquid investments as at 31 January 2025 to £91.5 million (including interest earned during the year on MMF deposits).

Disposals
Three profitable disposals were completed in the year. All of these investments were made prior to the change of investment focus to B2B SaaS businesses. The first exit was Dyscova Ltd (trading as Care & Independence (C&I)) which was acquired by GBUK Group, a company which designs, develops and distributes a portfolio of own and third-party branded acute-setting medical devices. Apollo first invested in C&I in 2016 and the exit resulted in Apollo achieving a 1.7x total return on its investment.

In September 2024, we were pleased to exit our holding in Countrywide Healthcare Supplies Holdings which was acquired by Personnel Hygiene Services Ltd, a hygiene services provider. The Company first invested in 2014, and the exit resulted in a 4.4x return on our initial investment, which is an excellent outcome.

In November 2024, nCino, a cloud-based software company that provides a platform for financial institutions to manage their business, acquired FullCircl. This acquisition will enhance nCino’s data and automation capabilities and allow it to expand its reach across the UK and Europe. Apollo made its initial investment in 2011, and the disposal resulted in a positive return for the Company.

One disposal during the year resulted in a partial loss on investment when Ryte GmbH, a marketing software technology platform, was acquired by Semrush Holdings Inc. Two companies were placed into administration in the year, Rotolight and Origami Energy. However, given the underlying holding valuations of these companies at the time of them going into administration, this did not have a material impact on the Company’s performance during the year. In aggregate, the investment cost of the companies placed into administration totalled £5.3 million. The underperformance of a portfolio company is always disappointing for Apollo and shareholders alike, but it is an inevitable feature of a venture capital portfolio, and we believe that successful exits will continue to outweigh any losses that could arise over the medium to long term of managing the portfolio. In the year, all disposals, including loan repayments, collectively returned £21.7 million in cash to Apollo, with the aggregate investment cost totalling £15.4 million.

	Year ended 31 January 2021	Year ended 31 January 2022	Year ended 31 January 2023	Year ended 31 January 2024	Year ended 31 January 2025	Total
Dividends paid in the year (£’000)	7,471	28,366¹	14,323	19,165	23,097	92,423
Disposal proceeds (£’000)	3,356	53,939	3,591	18,292	21,713	100,981

¹ Dividends paid to shareholders in the year ended 31 January 2022, including a special dividend of 3.1p per share.

As illustrated in the table above, we are pleased to have paid dividends from disposal proceeds over the past five years. The nature and timing of realising investments in a venture capital portfolio means it can affect our ability to do so. The Company also tries to maximise the outcome of the underlying holdings in an exit scenario which may not always align with a specific financial period.

New and follow-on investments
During the year, in-line with the broader private capital market, the Company demonstrated increasing new investment activity with Apollo investing £34.1 million into eight new opportunities (this includes second tranches of prior year new investments) as compared to four new investments completing in the prior year, totalling £15.2 million. For follow-on investments, we also saw an increased number with £13 million being invested into nine companies compared to seven follow-on investments completing in the year to 31 January 2024 adding up to £17.8 million invested.

Apollo’s new investments were in several exciting B2B software companies operating in a variety of end-markets:

Definely £2.8 million – An AI based legal tech software company supporting legal professionals in drafting and reviewing contractual documentation.
Switchee £2.5 million – A smart thermostat hardware and software provider focused on social housing and housing associations.
Cambri £4.2 million – An insights software platform that increases the quality, speed and cost effectiveness of producing research for new product launches.
Vyntelligence £4.5 million – A video intelligence and AI-driven data capture platform addressing inefficiencies in communication, reporting, and operational workflows within large infrastructure sectors.
Semble £2.5 million – An all-in-one platform for healthcare practices, enhancing patient care and streamlining operations.
bsport £8.4 million – An all-in-one software platform designed to manage boutique fitness and wellness studios.
Threatmark £6.1 million – A fraud prevention platform that uses real-time behavioural data to accurately identify payment fraud.

Q&A
How do we think about exiting our positions?
In traditional venture capital, a relatively small number of investments generate a significant proportion of the fund’s performance. However, for Apollo we try to construct a portfolio where the majority of the portfolio delivers the majority of the Company’s performance. The investment team takes an active role to try and optimise each specific situation. This means we have certain situations where companies may be held for longer if we think it is in the best interest of investors and the Company. Conversely, there are other situations where we may seek to exit earlier if market conditions permit. This means we maintain good portfolio management discipline to make sure realised proceeds materially contribute towards financing the Company’s ongoing running costs and meeting its dividends targets.

Private markets are illiquid, and as a result, the opportunities to sell all or some of our holding in a particular company can be unpredictable and governed by prevailing market conditions. We work closely with each portfolio company to understand and optimise its growth plans, with the goal of it maintaining flexibility over exit timing with the best interests of its shareholders in mind.

Wider macroeconomic conditions often influence exits as much as company specific factors. We also recognise that timing may not always be right to exit a position, and patience can allow for greater value growth. In such cases, we will continue to support portfolio companies, stay alert to opportunities, and help create them proactively through our network.

When do we start to think about exits?
We look to understand who the likely acquirers are from the outset and throughout the holding period. This can help inform important strategic decisions which contribute to value creation for shareholders. It is healthy for our portfolio companies to maintain relationships with key potential acquirers. These can often be commercial partners before becoming acquirers, and as such this activity can be highly productive.

We know not all companies will be as successful as we hoped at the time of the initial investment. We therefore seek to realise investments in companies which are underperforming and unlikely to generate a meaningful return. It can also help to find a “soft landing” for the company’s employees where the alternative may be placing the business into administration. However, to date this has only been in a very small minority of cases. Although generally not meaningful to investor returns, our behaviour in these scenarios is important.

How do we work with portfolio company boards?
We believe that it is important to be an active and supportive investor, so we typically appoint a Non-Executive Director or observer to the board of our portfolio companies. This allows us to offer ongoing support at the top level of the business and be involved in key decisions. It also gives us the opportunity to share any expertise and insights that we may have. Even very experienced founders may only sell a business once or twice in their career, whereas as investors, we may be involved in a few such transactions each year. We therefore look to support our portfolio companies by sharing the learnings and experience gathered across our team, all with the objective of obtaining the best outcome for our investors and shareholders in the Company overall.

Valuations
The table below illustrates the distribution of valuation methodologies used across Apollo’s B2B software investments (shown as a percentage of portfolio value and number of companies). B2B software accounts for 99% of Apollo’s total fixed asset investments. Methodologies include:
• ‘External price’ includes valuations based on funding rounds that typically completed by the year end or shortly after the year end, and exits of companies where terms have been agreed or proposed with an acquirer;
• ‘Multiples’ is predominantly used for valuations that are based on a multiple of revenue or EBITDA for portfolio companies; • ‘Scenario analysis’ is utilised where there is uncertainty around the potential outcomes available to a company, so a probability-weighted scenario analysis is considered.

Having arrived at a valuation of the portfolio company, to distribute the equity value within a portfolio company’s capital structure, taking into account the priority of financial instruments and the economic rights of debt and shares Apollo holds, the Current Value Method (CVM) is typically employed. This method allocates the equity value to different equity interests as if the business were sold on the reporting date, thereby reflecting the effects of the distribution waterfall.

Valuation methodology	By value	By number of companies
Multiples	77%	64%
Scenario analysis	18%	22%
External price	5%	8%
Write-off	–	6%

Case studies
definely
definely.com
LegalTech solution helping lawyers at every pre-execution stage of the contract lifecycle

40,000 active users

top 25 of the prestigious Deloitte UK Technology Fast50
75 employees located globally

Definely, founded in 2020, is a UK LegalTech company created to make legal documents easier to read, edit and understand. Definely was founded by two former Magic Circle lawyers, one of whom is registered blind. They set out to make legal documents more accessible to those with visual impairments and soon realised that their solution solved a problem faced by all lawyers, daily. Headquartered in London, it has over 75 employees located globally.

Fuelled by investment from Apollo, the company is now focused on adding to its existing base of 40,000 active users from the largest companies and law firms in the UK, US, Canada and Australia. In 2023, the company was named in the top 25 of the prestigious Deloitte UK Technology Fast50. Customers include AO Shearman, Slaughter and May, Dentons and Deloitte.

Cambri
cambri.io
Helping brands innovate iteratively to bring successful products to market fast

80% prediction accuracy for product launch success
68% year-over-year ARR growth

Cambri is an AI consumer insights and innovation platform which addresses a major industry problem – that of the high failure rate of product launches. Traditional market research, consumer insights, and prediction models are outdated, static, and notoriously inaccurate, typically delivering just 40% prediction accuracy. This means brands waste time and resources developing and launching products that consumers don’t need. By contrast, Cambri’s proprietary AI engine predicts the likelihood of a product’s success and provides actionable insights to help improve products before launch.

Cambri’s AI models are two to three times more accurate than traditional methods, enabling its customers to regularly achieve over 80% prediction accuracy for product launch success – contributing to Cambri’s 68% year-over-year annual recurring revenue (ARR) growth. Household food and beverage brands such as Coca-Cola and Nestle already utilise the platform.

Top 10 investments by value as at 31 January 2025
Here, we set out the cost and valuation of the top ten holdings, which account for over 57% of the value of the portfolio.

	Portfolio:	Investment cost (£’000)	Fair value of investment (£’000)
1	Natterbox	£18,990	£44,419
2	Lodgify	£12,611	£33,912
3	Ubisecure	£9,075	£25,811
4	Tri	£3,800	£22,070
5	Interact	£308	£20,658
6	Sova	£12,250	£19,266
7	FableData	£8,600	£15,780
8	ValueBlue	£10,071	£15,031
9	MentionMe	£15,000	£15,000
10	FuseUniversal	£8,000	£14,394

Top 10
1
N2JB Limited (trading as Natterbox)

Natterbox is a London-based provider of business-to-business cloud telephone services that are uniquely integrated into Customer Resource Management (CRM) software platforms, most notably Salesforce.

www.natterbox.com

Investment date:	March 2018
Equity held:	9.0% (2024: 8.5%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£177,000 (2024: £150,000)
Last submitted accounts:	31 December 2023
Consolidated turnover:	£19,289,000 (2022: £17,092,000)
Consolidated loss before tax:	£(644,000) (2022: £(2,568,000))
Consolidated net assets:	£646,000 (2022: £1,022,000)

2
Codebay Solutions Limited (trading as Lodgify)
Lodgify provides a SaaS platform for vacation rental hosts and property managers to manage their business and process their bookings.

www.lodgify.com

Investment date:	September 2022
Equity held:	15.3% (2024: 11.9%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	n/a (2024: n/a)
Last submitted accounts:	31 December 2023
Consolidated turnover:	€14,508,000 (2022: €9,315,000)
Consolidated loss before tax:	€(7,462,000) (2022: €(6,239,000))
Consolidated net assets:	€10,390,000 (2022: €16,946,000)

Ubisecure Holdings Limited
Ubisecure is a provider of customer identity access management software.

www.ubisecure.com

Investment date:	May 2018
Equity held:	73.4% (2024: 33.3%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£179,000 (2024: £197,000)
Last submitted accounts:	31 December 2023
Consolidated turnover:	£8,674,000 (2022: £6,923,000)
Consolidated loss before tax:	£(3,091,000) (2022: £(2,135,000)
Consolidated net liabilities:	£(3,053,000) (2022: £(287,000))

4
Triumph Holdings Limited (TRI)
TRI has developed a risk based quality management and monitoring platform for the life sciences industry

www.tritrials.com

Investment date:	October 2018
Equity held:	52.0% (2024: 52.0%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£174,000 (2023: £171,000)
Last submitted accounts:	31 December 2023
Consolidated turnover:	Not available¹ (2022: Not available¹)
Consolidated profit before tax:	Not available¹ (2022: Not available¹)
Consolidated net assets:	£2,758,000 (2021: £2,875,000)

5
Hasgrove Limited
Hasgrove is the holding company for Interact, a SaaS business which provides an intranet product which focuses on the communication and collaboration requirements of large organisations.

www.interactsoftware.com

Investment date:	December 2016
Equity held:	5.9% (2024: 5.7%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	n/a (2024: n/a)
Last submitted accounts:	31 December 2023
Consolidated turnover:	£37,032,000 (2022: £29,388,000)
Consolidated profit before tax:	£9,907,000 (2022: £8,099,000)
Consolidated net assets:	£13,344,000 (2022: £13,136,000)

6
Sova Assessment Limited
Sova Assessment is a UK based end-to-end digital candidate assessment SaaS platform targeting large blue-chip organisations conducting large volumes of hiring.

www.sovaassessment.com

Investment date:	November 2020
Equity held:	37.2% (2024: 37.2%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£104,000 (2024: £93,000)
Last submitted accounts:	31 March 2024
Consolidated turnover:	£6,780,000 (2023: £5,611,000)
Consolidated loss before tax:	£(3,685,000) (2023: £(5,360,000))
Consolidated net liabilities:	£(5,460,000) (2023: £(3,593,000))

7
Fable Data Limited
Fable Data provides anonymised, pan-European consumer transaction data and analysis to institutional investors, businesses, governments and academics.

www.fabledata.com

Investment date:	December 2022
Equity held:	14.2% (2024: 6.2%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	n/a (2024: n/a)
Last submitted accounts:	31 December 2023
Consolidated turnover:	Not available¹ (2022: Not available¹)
Consolidated profit before tax:	Not available¹ (2022: Not available¹)
Consolidated net liabilities:	£(1,720,000) (2022: £(2,111,000))

8
Value Blue B.V.
Value Blue is a provider of enterprise architecture management software, that is growing in the UK. The product allows companies to map their existing technology architecture in a single location to easily plan, collaborate and execute both large scale transformational and everyday IT projects.

www.valueblue.com

Investment date:	January 2022
Equity held:	20.3% (2024: 20.3%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£317,000 (2024: £19,000)
Last submitted accounts:	31 December 2023
Consolidated turnover:	Not available¹ (2022: Not available¹)
Consolidated loss before tax:	€(7,412,000) (2022: €(9,185,000))
Consolidated net liabilities:	€(6,189,000) (2022: €(4,595,000))

9
Mention Me Limited
Mention Me is a referral engineering SaaS platform that helps business to consumer (B2C) businesses acquire new customers more successfully through their referral channel.

www.mention-me.com

Investment date:	December 2021
Equity held:	19.4% (2024: 19.4%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	n/a (2024: n/a)
Last submitted accounts:	31 December 2023
Consolidated turnover:	£11,561,000 (2022: £10,244,000)
Consolidated loss before tax:	£(5,175,000) (2022: £(5,621,000))
Consolidated net assets:	£5,302,000 (2022: £10,173,000)

10
Fuse Universal Limited

Fuse is a business-to-business software provider of a cloud-based learning technology platform for corporates, founded in 2008 and based in London (with further offices in South Africa and Australia).

www.fuseuniversal.com

Investment date:	August 2019
Equity held:	0% (2024: 0%)
Valuation basis:	Revenue multiple
Income received in year to 31 January 2025:	£56,000 (2024: £100,000)
Last submitted accounts:	31 December 2023
Consolidated turnover:	£7,997,000 (2022: £9,338,000)
Consolidated loss before tax:	£(1,044,000) (2022: £(2,816,000))
Consolidated net liabilities:	£(2,468,000) (2022: £(3,682,000))

These numbers are not available per the latest public filings on Companies House or the company is non-UK.

Outlook

It has been a challenging few years for the broader technology sector, with both geopolitical and economic factors impacting the ability of portfolio companies to grow and perform as successfully as forecast. Against this backdrop, I am pleased to report a stable NAV as portfolio companies have shown great resilience in the face of these challenges. Companies have been operating more efficiently in terms of their capital requirements and in several cases we are seeing top-line revenue growth returning steadily, albeit not to the same degree as experienced prior to the beginning of this more turbulent period. The slowdown in revenue growth observed across the portfolio occurred alongside companies striving to preserve cash and move towards profitability to extend their cash runways.

The nature of the current portfolio and the characteristics of the technology-focused businesses means that several companies have had some degree of protection from the full impact of these more challenging macroeconomic conditions. This is due to recurring revenues and long-term contracts being key features of their business models.

As mentioned in the Chair’s Statement, we were delighted and grateful for the support we’ve received from the Company’s new and existing investors, with the latest fundraise closing fully subscribed, including the overallotment facility. These funds will allow the Company to continue to support the existing portfolio in their growth plans and to invest in new opportunities which have the potential to become successful and deliver great returns to shareholders in the years to come.

We were also pleased that the Company benefitted from three profitable disposals in the period, which together returned £18.9 million in proceeds to the Company. We are hopeful that this could indicate an improvement in the mergers and acquisitions (M&A) market, providing more opportunities for exits and offering the Company sustainable growth prospects.

Despite the macroeconomic climate remaining uncertain, we believe that the rapid pace of change and advancements being made with the development and adoption of AI technology will create many new businesses seeking growth capital. This provides us with a degree of optimism about the Company’s future investment prospects and for its current well-diversified portfolio, as the component companies seek to take advantage which component companies are similarly seeking to take advantage of these advancements in AI. Hence, I am confident that the Company is well-positioned to capitalise on these market opportunities as they arise and that they will be able to offer further growth potential for the Company’s continued success.

RISKS AND RISK MANAGEMENT

The Board assesses the risks faced by Apollo and, as a board, reviews the mitigating controls and actions, and monitors the effectiveness of these controls and actions.

Emerging and principal risks, and risk management

The Board is mindful of the ongoing risks and will continue to make sure that appropriate safeguards are in place, in addition to monitoring the cash flow forecasts to make sure that the Company has sufficient liquidity.

The Board carries out a regular review of the risk environment in which the Company operates.

Emerging risks

The Board has considered emerging risks. The Board seeks to mitigate emerging risks and those noted below by setting policy, regular review of performance and monitoring progress and compliance. In the mitigation and management of these risks, the Board applies the principles detailed in the Financial Reporting Council’s Guidance on Risk Management, Internal Control and Related Financial and Business Reporting.

The following are some of the potential emerging risks management and the Board are currently monitoring:

adverse changes in global macroeconomic environment;
artificial intelligence;
geopolitical tensions; and
climate change.

Principal risks

*Risk*	*Mitigation*	*Change*
*Investment performance*:
The focus of Apollo’s investments is in unquoted, small and medium-sized VCT qualifying companies which, by their nature, entail a higher level of risk and may have lower cash reserves than investments in larger quoted companies. Poor performance across these investments may impact Apollo’s ability to raise new funds from investors.	Octopus has significant experience and a strong track record of investing in unquoted companies, and appropriate due diligence is undertaken on every new investment. A member of the Octopus Ventures team is typically appointed to the board of a portfolio company subject to an evaluation using a risk based approach that considers the size of the company within the Apollo portfolio and the engagement levels of other investors. Regular board reports are prepared by the portfolio company’s management and examined by the Portfolio Manager. This arrangement, in conjunction with its Portfolio Talent team’s active involvement, allows Apollo to play a prominent role in a portfolio company’s ongoing development and strategy. Although investment strategy is focused on B2B software, the overall risk in the portfolio is mitigated by diversifying investment across a wide spread of holdings in terms of the underlying sub-sector served by the portfolio companies, and their financing stage, age, industry sector and business models. The Board reviews the investment portfolio with the Portfolio Manager on a regular basis. The Portfolio Manager is incentivised to make sure Apollo performs well, via a Performance Incentive Fee (charged annually) for exceeding certain performance hurdles.	Increased exposures reflected in the previous period remain unchanged due to the continuing difficult macro environment and challenging trading conditions for some portfolio companies continuing.
*Risk*	*Mitigation*	*Change*
*VCT qualifying status risk:*
Apollo is required at all times to observe the conditions for the maintenance of HMRC-approved VCT status. The loss of such approval could lead to Apollo and its investors losing access to the tax benefits associated with VCT status and, in certain circumstances, to investors being required to repay the initial income tax relief on their investment.	Prior to making an investment, the Portfolio Manager seeks assurance from Apollo’s VCT status adviser that the investment will meet the legislative requirements for VCT investments. On an ongoing basis, the Portfolio Manager monitors Apollo’s compliance with VCT regulations on a current and forecast basis to ensure ongoing compliance with VCT legislation. Regular updates are provided to the Board throughout the year. The VCT status adviser formally reviews Apollo’s compliance with VCT regulations on a bi-annual basis and reports its results to the Board.	VCT status monitoring by independent advisers continues to reduce the risk of an issue causing a loss of VCT status.
*Risk*	*Mitigation*	*Change*
*Operational – reliance on third parties*:
The Board is reliant on the Portfolio Manager to manage investments effectively, and manage the services of a number of third parties, in particular the registrar and tax advisers. A failure of the systems or controls at the Portfolio Manager or third-party providers could lead to an inability to provide accurate reporting and to ensure adherence to VCT and other regulatory rules.	The Board reviews the system of internal control, both financial and non-financial, operated by the Portfolio Manager (to the extent the latter are relevant to Apollo’s internal controls). These include controls that are designed to ensure that Apollo’s assets are safeguarded and that proper accounting records are maintained, as well as any regulatory reporting. Feedback on other third-parties is reported to the Board on at least an annual basis, including adherence to Service Level Agreements where relevant. During the year a depositary has been appointed. This increases the number of key third parties involved in the running of the Company, but also adds additional layers of oversight of the Portfolio Manager.	No overall change in risk exposure on balance.
*Risk*	*Mitigation*	*Change*
*Information security:*
A lack of suitable controls could result in a data breach and fines and/or business disruption. The Board is reliant on the Portfolio Manager and third parties to take appropriate measures to prevent a loss of confidential customer information or other malicious events.	Annual due diligence is conducted on third parties, which includes a review of their controls for information security. The Portfolio Manager has a dedicated information security team and a third party is engaged to provide continual protection in this area. A security framework is in place to help prevent malicious events. The Portfolio Manager reports to the Board on an annual basis to update it on relevant information security arrangements. Significant and relevant information security breaches are escalated to the Board when they occur.	No overall change on balance, although cyber threat remains a significant risk area faced by all service providers. The appropriateness of mitigants in place are continuously reassessed to adapt to new risk exposures, such as those posed by artificial intelligence.
*Risk*	*Mitigation*	*Change*
*Economic:*
Events such as an economic recession, movement in interest rates, fluctuations in foreign exchange rates, inflation, political instability and rising living costs could adversely affect some smaller companies’ valuations, as they may be more vulnerable to changes in trading conditions or the sectors in which they operate. This could result in a reduction in the value of Apollo’s assets.	Apollo invests in a portfolio of companies serving markets across a diverse range of sectors, which helps to mitigate against the impact of performance in any one sector. Apollo also maintains adequate liquidity to make sure that it can continue to provide follow-on investment to those portfolio companies that require it and which is supported by the individual investment case. The Portfolio Manager monitors the impact of macroeconomic conditions on an ongoing basis and provides updates to the Board at least quarterly.	Increased exposures reflected in the previous periods remain and have heightened further as economic uncertainty persists through interest rate changes, the risk of recession and other economic factors.
*Risk*	*Mitigation*	*Change*
*Legislative:*
A change to the VCT regulations could adversely impact Apollo by restricting the companies Apollo can invest in under its current strategy. Similarly, changes to VCT tax reliefs for investors could make VCTs less attractive and impact Apollo’s ability to raise further funds. Failure to adhere to other relevant legislation and regulation could result in reputational damage and/or fines. We are also pleased that the sunset clause in place for April 2025, regarding eligibility of VCTs for tax relief, has been extended to 2035.	The Portfolio Manager engages with HM Treasury and industry bodies to demonstrate the positive benefits of VCTs in terms of growing UK companies, creating jobs and increasing tax revenue, and to help shape any change to VCT legislation. The Portfolio Manager employs individuals with expertise across the legislation and regulation relevant to Apollo. Individuals receive ongoing training and external experts are engaged where required.	Risk exposure has continued to reduce since the previous period following the extension of the sunset clause to 2035 being agreed.
*Risk*	*Mitigation*	*Change*
*Liquidity:*
Apollo invests in smaller unquoted companies, which are inherently illiquid as there is no readily available market for these shares. Therefore, these may be difficult to realise for their fair market value at short notice.	The Portfolio Manager prepares cash flow forecasts to make sure cash levels are maintained in accordance with policies agreed with the Board. Apollo’s overall liquidity levels are monitored on a quarterly basis by the Board, with close monitoring of available cash resources. Apollo maintains sufficient cash and readily realisable securities, including MMFs and OEICs, which can be accessed at short notice. At 31 January 2025, 91% of current asset investments were held in MMFs, realisable within one business day, and 9% in OEICs, realisable within seven business days.	Risk exposure remains unchanged from the previous period.
*Risk*	*Mitigation*	*Change*
*Valuation:*
While investments within the portfolio are valued in accordance with International Private Equity and Venture Capital (IPEV) valuation guidelines, for smaller companies establishing a fair value can be difficult due to the lack of readily available market data for similar shares, resulting in a limited number of external reference points.	Valuations of portfolio companies are performed by appropriately experienced staff, with detailed knowledge of both the portfolio company and the market in which it operates. These valuations are then subject to review and approval by the Octopus Valuations Committee, comprised of staff who are independent of Octopus Ventures and with relevant knowledge of unquoted company valuations. The Board reviews valuations after they have been agreed by the Octopus Valuations Committee.	Risk exposure remains unchanged from the previous period due to economic uncertainty within valuation modelling.

VIABILITY STATEMENT
In accordance with provision 36 of the AIC Code of Corporate Governance, the Directors have assessed the prospects of the Company over a period of five years, consistent with the expected investment holding period of a VCT investor. Under VCT rules, subscribing investors are required to hold their investment for a five-year period in order to benefit from the associated tax reliefs. The Board regularly considers strategy, including investor demand for the Company’s shares, and a five-year period is considered to be a reasonable time horizon for this.

The Board carried out a robust assessment of the emerging and principal risks facing the Company and its current position.

This includes risks which may adversely impact its business model, future performance, solvency or liquidity, and focused on the major factors which affect the economic, regulatory and political environment. Particular consideration was given to the Company’s reliance on, and close working relationship with, the Portfolio Manager. The principal risks faced by the Company and the procedures in place to monitor and mitigate them are set out above.

The Board has carried out robust stress testing of cash flows which included assessing the resilience of portfolio companies, including the requirement for any future financial support and the ability to pay dividends and buybacks.

The Board has additionally considered the ability of the Company to comply with the ongoing conditions to make sure it maintains its VCT qualifying status under its current investment policy.

Based on the above assessment the Board confirms that it has a reasonable expectation that the Company will be able to continue in operation and meet its liabilities as they fall due over the five-year period to 31 January 2030. The Board is mindful of the ongoing risks and will continue to make sure that appropriate safeguards are in place, in addition to monitoring the cash flow forecasts to make sure that the Company has sufficient liquidity.

DIRECTORS’ RESPONSIBILITIES STATEMENT

The Directors are responsible for preparing the Strategic Report, the Directors’ Report, the Directors’ Remuneration Report and the Financial Statements in accordance with applicable law and regulations. They are also responsible for ensuring that the Annual Report and Accounts include information required by the Listing Rules of the Financial Conduct Authority.

Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable laws) including FRS 102 – “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs and profit or loss of the Company for that period.

In preparing these financial statements, the Directors are required to:

select suitable accounting policies and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business; and
prepare a Strategic Report, a Directors’ Report and Directors’ Remuneration Report which comply with the requirements of the Companies Act 2006.

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to make sure that the financial statements and the Directors’ Remuneration Report comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Insofar as each of the Directors is aware:

there is no relevant audit information of which the Company’s auditor is unaware; and

the Directors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

The Directors are responsible for preparing the annual report in accordance with applicable law and regulations. Having taken advice from the Audit and Risk Committee, the Directors consider the annual report and the financial statements, taken as a whole, provide the information necessary to assess the Company’s position, performance, business model and strategy and is fair, balanced and understandable.

The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

The Directors confirm that, to the best of their knowledge:

the financial statements, prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including FRS 102, give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company; and
the Annual Report and Accounts (including the Strategic Report), give a fair review of the development and performance of the business and the position of the Company, together with a description of the principal risks and uncertainties that it faces.

On behalf of the Board

Murray Steele
Chair

INCOME STATEMENT

	Year ended 31 January 2025			Year ended 31 January 2024
	Revenue £’000	Capital £’000	Total £’000	Revenue £’000	Capital £’000	Total £’000
Realised gain/(loss) on disposal of fixed asset investments	–	1,226	1,226	–	(876)	(876)
Change in fair value of fixed asset investments	–	37,666	37,666	–	9,317¹	9,317¹
Change in fair value of current asset investments	–	(574)	(574)	–	16	16
Investment income	4,082	–	4,082	2,576¹	–	2,576¹
Investment management fees	(2,147)	(6,442)	(8,589)	(1,862)	(5,587)	(7,449)
Performance fee	–	(6,139)	(6,139)	–	(14)	(14)
Other expenses	(3,555)	–	(3,555)	(4,006)	–	(4,006)
Foreign currency translation	(7)	–	(7)	1	–	1
Profit/(loss) before tax	(1,627)	25,737	24,110	(3,291)¹	2,856¹	(435)
Tax	–	–	–	–	–	–
Profit/(loss) after tax	(1,627)	25,737	24,110	(3,291)¹	2,856¹	(435)
Earnings/(loss) per share – basic and diluted	(0.2p)	3.0p	2.8p	(0.5p)¹	0.4p¹	(0.1p)

The ‘Total’ column of this statement is the profit and loss account of Apollo; the revenue return and capital return columns have been prepared under guidance published by the Association of Investment Companies.
All revenue and capital items in the above statement derive from continuing operations.
Apollo has only one class of business and derives its income from investments made in shares and securities and from money market funds.

¹ The presentation and classification of £3.5 million of accrued loan interest was updated to be part of the fair value of investments. This balance is therefore an amendment to the balance presented in the 31 January 2024 accounts. This had no impact on the overall loss for the year presented or net asset value.

Apollo has no other comprehensive income for the period.

The accompanying notes are an integral part of the financial statements.

BALANCE SHEET

	As at 31 January 2025		As at 31 January 2024
	£’000	£’000	£’000	£’000
Fixed asset investments		395,018		331,878¹
Current assets:
Investments	7,912		8,486
Money market funds	83,544		47,950
Debtors	1,424		244¹
Cash at bank	4,251		4,868
Applications cash	16,780		8,852
Total current assets	113,911		70,400¹
Current liabilities	(26,366)		(11,984)
Net current assets		87,545		58,416¹
Net assets		482,563		390,294
Share capital		956		773
Share premium		62,281		27,476
Special distributable reserve		299,284		266,132
Capital redemption reserve		191		172
Capital reserve realised		(25,949)		(15,275)
Capital reserve unrealised		153,438		117,027¹
Revenue reserve		(7,638)		(6,011)¹
Total shareholders’ funds		482,563		390,294
Net asset value per share – basic and diluted		50.5p		50.5p

¹The presentation and classification of £3.5 million of accrued loan interest was updated to be part of the fair value of investments. This balance is therefore an amendment to the balance presented in the 31 January 2024 accounts. This had no impact on the overall loss for the year presented or net asset value.

The statements were approved by the Directors and authorised for issue on 22 May 2025 and are signed on their behalf by:

Murray Steele
Chair
Company number: 05840377

The accompanying notes are an integral part of the financial statements.

STATEMENT OF CHANGES IN EQUITY

	Share capital £’000	Share premium £’000	Special distributable reserves¹ £’000		Capital redemption reserve £’000	Capital reserve realised¹ £’000	Capital reserve unrealised £’000	Revenue reserve¹ £’000	Total £’000
As at 1 February 2024	773	27,476	266,132	172		(15,275)	117,027²	(6,011) ²	390,294
Total comprehensive income for the year	–	–	–	–		(11,355)	37,092	(1,627)	24,110
Total contributions by and distributions to owners:	–	–	–	–		–	–	–	–
Repurchase and cancellation of own shares	(19)	–	(8,981)	19		–	–	–	(8,981)
Issue of shares	202	106,017	–	–		–	–	–	106,219
Share issue cost	–	(5,982)	–	–		–	–	–	(5,982)
Dividends paid	–	–	(23,097)	–		–	–	–	(23,097)
Total contributions by and distributions to owners:	183	100,035	(32,078)	19		–	–	–	68,159
Other movements:
Prior year fixed asset gains now realised	–	–	–	–		681	(681)	–	–
Cancellation of Share Premium	–	(65,230)	65,230	–		–	–	–	–
Total other movements	–	(65,230)	65,230	–		681	(681)	–	–
Balance as at 31 January 2025	956	62,281	299,284	191		(25,949)	153,438	(7,638)	482,563

¹ Included within these reserves is an amount of £265,697,000 (2024: £244,846,000) which is considered distributable to shareholders under Companies Act rules. The Income Taxes Act 2007 restricts distribution of capital from reserves created by the conversion of the share premium account into a special distributable reserve until the third anniversary of the share allotment that led to the creation of that part of the share premium account. As at 31 January 2025, £19,920,000 (2024: £34,910,000) of the special reserve is distributable under this restriction.
²The presentation and classification of £3.5 million of accrued loan interest was updated to be part of the fair value of investments. This balance is therefore an amendment to the balance presented in the 31 January 2024 accounts. This had no impact on the overall loss for the year presented or net asset value.

The accompanying notes are an integral part of the financial statements.

	Share capital £’000	Share premium £’000	Special distributable reserves¹ £’000		Capital redemption reserve £’000	Capital reserve realised¹ £’000	Capital reserve unrealised £’000	Revenue reserve¹ £’000	Total £’000
As at 1 February 2023	657	78,440	174,061	159		(20,136)	119,032	(2,720)	349,493
Total comprehensive income for the year	–	–	–	–		(6,477)	9,333²	(3,291)²	(435)
Total contributions by and distributions to owners:
Repurchase and cancellation of own shares	(13)	–	(6,743)	13		–	–	–	(6,743)
Issue of shares	129	70,927	–	–		–	–	–	71,056
Share issue cost	–	(3,912)	–	–		–	–	–	(3,912)
Dividends paid	–	–	(19,165)	–		–	–	–	(19,165)
Total contributions by and distributions to owners:	116	67,015	(25,908)	13		–	–	–	41,236
Other movements:
Prior year fixed asset losses now realised	–	–	–	–		11,338	(11,338)	–	–
Cancellation of Share Premium	–	(117,979)	117,979	–		–	–	–	–
Total other movements	–	(117,979)	117,979	–		11,338	(11,338)	–	–
Balance as at 31 January 2024	773	27,476	266,132	172		(15,275)	117,027²	(6,011)²	390,294

¹ Reserves considered distributable to shareholders per the Companies Act.
² The presentation and classification of £3.5 million of accrued loan interest was updated to be part of the fair value of investments. This balance is therefore an amendment to the balance presented in the 31 January 2024 accounts. This had no impact on the overall loss for the year presented or net asset value.

The accompanying notes are an integral part of the financial statements.

CASH FLOW STATEMENT

	Year to 31 January 2025 £’000	Year to 31 January 2024 £’000
Cash flows from operating activities
Profit/(loss) before tax	24,110	(435)
Adjustments for:
Decrease/(increase) in debtors¹	(10)¹	4,622²
(Decrease)/increase in creditors	6,454	(8,490)
(Gain)/loss on disposal of fixed asset investments	(1,226)	876
Gain on valuation of fixed asset investments	(37,666)	(9,317)²
Loss/(Gain) on valuation of current asset investments	574	(17)
Transfer of accrued loan interest receivable²	–	(1,824)²
Net cash utilised in operating activities	(7,764)	(14,585)
Cash flows from investing activities
Purchase of fixed asset investments	(47,131)	(32,975)
Proceeds on sale of fixed asset investments	21,713	18,292
Purchase of current asset investments	–	(4,499)
Net cash utilised in investing activities	(25,418)	(19,182)
Cash flows from financing activities
Movement in applications account	7,928	(409)
Purchase of own shares	(8,981)	(6,743)
Proceeds from share issues	100,951	66,543
Cost of share issues	(5,982)	(3,912)
Dividends paid (net of DRIS)	(17,829)	(14,653)
Net cash generated from financing activities	76,087	40,826
Increase in cash and cash equivalents	42,905	7,059
Opening cash and cash equivalents	61,670	54,611
Closing cash and cash equivalents	104,575	61,670
Cash and cash equivalents comprise
Cash at bank	4,251	4,868
Applications cash	16,780	8,852
Money market funds	83,544	47,950
Closing cash and cash equivalents	104,575	61,670

The accompanying notes are an integral part of the financial statements.

¹ Movement in debtors, adjusted for £1,170,000 of deferred consideration proceeds.
² The presentation and classification of £3.5 million of accrued loan interest was updated to be part of the fair value of investments. This balance is therefore an amendment to the balance presented in the 31 January 2024 accounts. This had no impact on the overall loss for the year presented or net asset value.

NOTES TO THE FINANCIAL STATEMENTS

1. Significant accounting policies

Apollo is a Public Limited Company (plc) incorporated in England and Wales and its registered office is 33 Holborn, London, EC1N 2HT.

Apollo’s principal activity is to invest in a diverse portfolio of predominantly unquoted companies with the aim of providing shareholders with attractive tax-free dividends and long-term capital growth.

Basis of preparation
The financial statements have been prepared under the historical cost convention, except for the measurement at fair value of certain financial instruments, and in accordance with UK Generally Accepted Accounting Practice (GAAP), including Financial Reporting Standard 102 – ‘The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland’ (FRS 102), and with the Companies Act 2006 and the Statement of Recommended Practice (SORP) ‘Financial Statements of Investment Trust Companies and Venture Capital Trusts (issued 2014 and updated in July 2022)’.

The significant accounting policies have remained unchanged since those set out in Apollo’s 2024 Annual Report and Accounts.

2. Investment income
Accounting policy

Fixed returns on non-equity shares and debt securities are recognised on a time apportionment basis (including time amortisation of any premium or discount to redemption), so as to reflect the effective interest rate, provided it is considered probable that payment will be received in due course. Income from fixed-interest securities and deposit interest is accounted for on an effective interest rate method. Investment income includes interest earned on MMFs. Dividend income is shown net of any related tax credit.

Dividends receivable are brought into account when Apollo’s right to receive payment is established and it is probable that payment will be received. Fixed returns on debt are recognised provided it is probable that payment will be received in due course. The nature of dividends received is assessed to establish whether they are revenue or income dividends.

Disclosure

	31 January	31 January
	2025	2024
	£’000	£’000
Loan note interest receivable¹	163	–¹
Dividends receivable MMF interest income	741 3,178	576 2,000
	4,082	2,576¹

3. Investment management and performance fees

	31 January 2025			31 January 2024
	Revenue	Capital	Total	Revenue	Capital	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Investment management fee	2,147	6,442	8,589	1,862	5,587	7,449
Investment performance fee	–	6,139	6,139	–	14	14
	2,147	12,581	14,728	1,862	5,601	7,463

For the purpose of the revenue and capital columns in the Income Statement, the management fee has been allocated 25% to revenue and 75% to capital, in line with the Board’s expected long-term split of returns in the form of income and capital gains respectively from Apollo’s investment portfolio. The investment performance fee, explained below, is allocated 100% to capital as it is deemed that capital appreciation on investments has primarily driven the total return of Apollo above the required hurdle rate at which the performance fee is payable. The management fee, administration and accountancy fees are calculated based on the NAV which is then multiplied by the number of shares in issue, calculated on a daily basis.

Octopus provide investment management, accounting and administration services and company secretarial services to Apollo under a management agreement which may be terminated at any time thereafter by not less than twelve months’ notice given by either party. No compensation is payable in the event of terminating the agreement by either party, if the required notice period is given. The fee payable, should insufficient notice be given, will be equal to the fee that would have been paid should continuous service be provided. The basis upon which the management fee is calculated is disclosed within the Annual Report and financial statements.

Apollo has established a performance incentive scheme whereby the Portfolio Manager is entitled to an annual performance related incentive fee in the event that certain performance criteria are met. Further details of this scheme are disclosed within the Annual Report and financial statements. As at 31 January 2025 £6,139,076 was due to the Portfolio Manager by way of an annual performance fee (2024: £14,000).

4. Other expenses
Accounting policy

All expenses are accounted for on an accruals basis. Expenses are charged wholly to revenue, apart from management fees charged 75% to capital and 25% to revenue, performance fees charged wholly to capital and transaction costs. Transaction costs incurred when purchasing or selling assets are written off to the Income Statement in the period that they occur.

Disclosure

	31 January	31 January
	2025	2024
	£’000	£’000
Accounting and administration services	1,288	1,117
Ongoing trail commission	1,130	1,011
Directors’ fees	182	140
Registrars’ fees	120	106
Audit fees	103	85
Legal fees	50	12
Bad debt provision	0	953
Other administration expenses	682	582
	3,555	4,006

The ongoing charges ratio of Apollo for the year to 31 January 2025 was 2.4% (2024: 2.4%). Total annual running costs are capped at 2.75% of average net assets (2024 cap: 2.75% of average net assets). This figure excludes any extraordinary items, adviser charges, impairment of interest and performance fees.

No non-audit services were provided by Apollo’s auditor.

5. Tax
Accounting policy

Current tax is recognised for the amount of income tax payable in respect of the taxable profit/(loss) for the current or past reporting periods using the current UK corporation tax rate. The tax effect of different items of income/gain and expenditure/loss is allocated between capital and revenue return on the “marginal” basis as recommended in the SORP.

Deferred tax is recognised in respect of all timing differences at the reporting date. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements.

Deferred tax assets are only recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Disclosure

	31 January 2025			31 January 2024
	Revenue	Capital	Total	Revenue	Capital	Total
	£’000	£’000	£’000	£’000	£’000	£’000
Profit/(loss) before tax¹	(1,627)	25,737	24,110	2,856¹	(3,290)¹	(435)
Tax at 25% (2024: 24%)¹	(407)	6,434	6,027	686¹	(791)¹	(104)
Effects of:
Non-taxable dividend income	(9)	–	(9)	(16)	–	(16)
Non-taxable capital gains on valuations and disposals¹	–	(9,579)	(9,579)	–	(2,032)¹	(2,032)¹
Expenses not deductible for tax purposes	–	12	12	–	14	14
Excess management expenses on which deferred tax not recognised¹	416	3,133	3,549	1,332¹	806¹	2,138¹

Total tax charge	–	–	–	–	–	–

Approved VCTs are exempt from tax on chargeable gains. Since the Directors intend that Apollo will continue to conduct its affairs so as to maintain its approval as a VCT, no deferred tax has been provided in respect of any capital gains or losses arising on the revaluation or disposal of investments based on a prospective tax rate of 25%. Unrelieved tax losses of £64,803,000 (2024: £51,785,000) are estimated to be carried forward at 31 January 2025 (subject to completion of Apollo’s tax return) and are available for offset against future taxable income, subject to agreement with HMRC. Apollo has not recognised the deferred tax asset of £16,201,000 (2024: £12,946,000) in respect of these tax losses because there is insufficient forecast taxable income in excess of deductible expenses to utilise these losses carried forward. There is no expiry period on these deductible expenses under the UK HMRC legislation.

6. Dividends
Accounting policy

Dividends payable are recognised as distributions in the financial statements when Apollo’s liability to make payment has been established. This liability is established on the record date, the date on which those shareholders on the share register are entitled to the dividend. Interim dividends to equity shareholders are declared by the Directors.

Disclosure

	31 January	31 January
	2025	2024
	£’000	£’000
Dividends paid in the year
Second interim dividend: 1.3p per share paid 2 May 2024 (2024: 1.3p per share) in respect of prior year	10,901	8,739
Interim dividend: 1.3p per share paid 20 December 2024 (2024: 1.4p) in respect of the current year	12,196	10,426
	23,097	19,165

	31 January	31 January
	2025	2024
	£’000	£’000
Dividends in respect of the year
Interim dividend: 1.3p per share paid 20 December 2024 (2024: 1.4p)	12,196	10,426
Second interim dividend: 1.3p paid 8 May 2025 (2024: 1.3p per share)	13,663	10,901
	25,859	21,327
The figures above include dividends elected to be reinvested through the DRIS. In the year to 31 January 2025, the net proceeds reinvested through the DRIS totalled £5,268,000 (2024: £4,513,000).

7. Earnings per share

	31 January 2025			31 January 2024
	Revenue	Capital	Total	Revenue	Capital	Total
Profit/(loss) attributable to ordinary shareholders (£’000)¹	(1,627)	25,737	24,110	(3,291)¹	2,856¹	(435)¹
Earnings per ordinary share (p)¹	(0.2p)	3.0p	2.8p	(0.5p)¹	0.4p¹	(0.1p)¹

The earnings per share is based on 867,758,701 Ordinary shares (2024: 709,769,066), being the weighted average of shares in issue during the year.

There are no potentially dilutive capital instruments in issue and, as such, the basic and diluted earnings per share are identical.

8. Net asset value per share

	31 January	31 January
	2025	2024
	Ordinary shares	Ordinary shares
Net assets (£)	482,563,000	390,294,000
Shares in issue	956,172,843	772,743,612
Net asset value per share (p)	50.5	50.5

There are no potentially dilutive capital instruments in issue and, as such, the basic and diluted NAV per share are identical.

9. Transactions with the Portfolio Manager

Apollo has employed Octopus throughout the year as the Portfolio Manager. Apollo has incurred £8,589,000 (2024: £7,449,000) in management fees due to the Portfolio Manager in the year. At 31 January 2025 there was £2,295,000 outstanding (2024: £1,989,000). The management fee is payable quarterly in arrears and is based on 2% of the NAV calculated daily from 31 January.

The Portfolio Manager is entitled to an annual performance-related incentive fee, subject to the total return (NAV plus cumulative dividends paid) per share being at least 100p at the end of the relevant period. This performance fee is equal to 20% of the amount by which the NAV plus cumulative dividends paid per share exceeds the higher of:

The highest total return in previous accounting periods. This is currently the return in the year to 31 January 2024 (137.9p).
The total return as at 1 February 2012, plus the average Bank of England interest rate to date, commencing 1 February 2012.

The Board considers that the liability becomes due at the point that the performance criteria are met, which has happened at the end of this financial year. In the year, Apollo incurred performance fees of £6,139,076 (2024: £14,000). At 31 January 2025 there were £6,139,076 of outstanding performance fees to be paid (2024: £14,000).
The Portfolio Manager also provides accounting and administrative services to Apollo, payable quarterly in arrears, for a fee of 0.3% of the NAV calculated daily. During the year £1,288,000 (2024: £1,117,000) was paid to the Portfolio Manager, of which £344,000 (2024: £298,000) was outstanding at the Balance Sheet date, for the accounting and administrative services. In addition, the Portfolio Manager also provides company secretarial services for a fee of £20,000 per annum (2024: £20,000).

Several members of the Octopus investment team hold Non-Executive Directorships as part of their monitoring roles in Apollo’s portfolio companies, but they have no controlling interests in those companies. The Portfolio Manager receives transaction fees and directors’ fees from these portfolio companies. During the year ended 31 January 2025, Directors’ fees of £788,000 attributable to the investments of Apollo were received by the Portfolio Manager (2024: £821,000).

Octopus AIF Management Limited remuneration disclosures (unaudited)
Quantitative remuneration disclosures required to be made in this annual report in accordance with the FCA Handbook FUND 3.3.5 are available on the website: https://www.octopusinvestments.com/remuneration-disclosures/.

10. Related party transactions

As at 31 January 2025, Octopus Investments Nominees Limited (OINL) held 315 shares (2024: 315) in Apollo as beneficial owner, having purchased these from shareholders to protect their interests after delays or errors with shareholder instructions and other similar administrative issues. Throughout the period to 31 January 2025 OINL purchased nil shares (2024: 315) at a cost of nil (2024: £163) and sold nil shares (2024: 173,900) for proceeds of nil (2024: £87,993). This is classed as a related party transaction as per the Listing Rules, as Octopus, the Portfolio Manager, and OINL are part of the same group of companies. Any such future transactions, where OINL takes over the legal and beneficial ownership of Company shares will be announced to the market and disclosed in annual and half-yearly reports.

11. 2025 financial information

The figures and financial information for the year ended 31 January 2025 are extracted from the Company’s annual financial statements for the period and do not constitute statutory accounts. The Company’s annual financial statements for the year to 31 January 2025 have been audited but have not yet been delivered to the Registrar of Companies. The Auditors’ report on the 2025 annual financial statements was unqualified, did not include a reference to any matter to which the auditors drew attention without qualifying the report, and did not contain any statements under Sections 498(2) or 498(3) of the Companies Act 2006.

12. 2024 financial information

The figures and financial information for the year ended 31 January 2024 are extracted from the Company’s annual financial statements for the period and do not constitute statutory accounts. The Company’s annual financial statements for the year to 31 January 2024 have been audited but have not yet been delivered to the Registrar of Companies. The Auditors’ report on the 2024 annual financial statements was unqualified, did not include a reference to any matter to which the auditors drew attention without qualifying the report, and did not contain any statements under Sections 498(2) or 498(3) of the Companies Act 2006.

13. Annual Report and financial statements
The Annual Report and financial statements will be posted to shareholders in June and will be available on the Company’s website. The Notice of Annual General Meeting is contained within the Annual Report.

14. General information
Registered in England & Wales. Company No. 05840377
LEI: 213800Y3XEIQ18DP3O53

15. Directors
Murray Steele (Chair), Christopher Powles, Alex Hambro, Claire Finn and Gillian Elcock.

16. Secretary and registered office
Octopus Company Secretarial Services Limited
6^th Floor, 33 Holborn, London EC1N 2HT

The MIL Network –

May 27, 2025

MIL-OSI USA: Welch, Klobuchar Lead 25 Colleagues on Legislation to Expand Medicare Drug Price Negotiation and Lower Costs for Americans

US Senate News:

Source: United States Senator Peter Welch (D-Vermont)
WASHINGTON, D.C. — U.S. Senators Peter Welch (D-Vt.) and Amy Klobuchar (D-Minn.) reintroduced the Strengthening Medicare and Reducing Taxpayer (SMART) Prices Act, legislation to expand Medicare negotiation of drug prices to lower drug costs for consumers, reduce federal spending, and give the U.S. Department of Health and Human Services (HHS) stronger tools to negotiate lower drug prices in Medicare Part B and Part D.
This Senators’ legislation builds on their provision passed into law in 2022 which empowered Medicare to negotiate prescription drug prices for the first time, unleashing the power of 53 million seniors enrolled in Medicare Part D Drug Coverage. The SMART Prices Act would extend this progress by more than doubling the number of prescription drugs Medicare must negotiate to a minimum of 50 per year, allowing the most costly prescription drugs and biologics to have negotiated prices five years after approval by the U.S. Food and Drug Administration (FDA), and by increasing the discount that Medicare is allowed to negotiate.
“Far too many Americans struggle to pay for the prescription drugs they need,” said Senator Welch. “I’m proud to partner with my friend and colleague, Senator Klobuchar, and reintroduce the SMART Prices Act. This bill will build on the Inflation Reduction Act by giving Medicare the ability to negotiate the prices of more prescription drugs and lower the cost of the prescription drugs Vermonters need, faster.”
“No one should have to choose between putting food on the table and affording their medications. This bill builds on our progress to lower prescription drug costs by accelerating Medicare’s ability to negotiate prices for more drugs on behalf of the American people,” said Senator Klobuchar. “We will make prescriptions more affordable and save taxpayers more money by continuing to take on Big Pharma’s price gouging.”
According to preliminary estimates from a model by West Health and Verdant Research, if the SMART Prices Act was enacted in 2026, it would save 33% more by 2030 than current law. It would also allow Medicare to begin negotiations earlier and bring down the price of more expensive drugs.
In addition to Senators Welch and Klobuchar, the SMART Prices Act is cosponsored by Senators Tammy Baldwin (D-Wis.), Michael Bennet (D-Colo.), Richard Blumenthal (D-Conn.), Cory Booker (D-N.J.), Maria Cantwell (D-Wash.), Catherine Cortez Masto (D-Nev.), Tammy Duckworth (D-Ill.), Dick Durbin (D-Ill.), John Fetterman (D-Pa.), Kirsten Gillibrand (D-N.Y.), Maggie Hassan (D-N.H.), Martin Heinrich (D-N.M.), Angus King (I-Maine), Ben Ray Luján (D-N.M.), Ed Markey (D-Mass.), Jeff Merkley (D-Ore.), Chris Murphy (D-Conn.), Patty Murray (D-Wash.), Jack Reed (D-R.I.), Jeanne Shaheen (D-N.H.), Elissa Slotkin (D-Mich.), Tina Smith (D-Minn.), Chris Van Hollen (D-Md.), Elizabeth Warren (D-Mass.), and Sheldon Whitehouse (D-R.I.).
“Hard-working Nevadans often struggle to afford the high prices of the medications that they rely on,” said Senator Cortez Masto. “This common-sense fix builds on the legislation, passed and signed into law by Democrats, that caps insulin at $35 a month and allows Medicare to negotiate drug prices. We will continue to deliver real solutions that lower costs for American families and end Big Pharma’s price gouging.”
“People in the United States are paying four times more than people in similar countries pay for life-saving medications,” said Senator Durbin. “Democrats took the first step to address this issue three years ago by passing the Inflation Reduction Act, to enable Medicare to negotiate with Big Pharma to lower costs for seniors—while every Republican opposed these savings. Now, instead of focusing on lowering prices for Americans, Republicans in Congress are focused on cutting Medicaid to give tax breaks to billionaires. Senate Democrats are introducing the SMART Prices Act tohelp lower the outrageous cost of prescription drugs, expand on the progress we have made, and improve health care for Americans.”
“No one should be forced to choose between paying for lifesaving prescription drugs and putting food on the table,” said Senator Gillibrand. “This vital, commonsense legislation would help lower the unacceptably high cost of prescription medication for seniors on Medicare. I’m proud to champion this effort, and I look forward to working with my colleagues to get it passed.”
“In 2023, my colleagues and I took on Big Pharma and moved to help lower prescription drug costs by finally allowing Medicare to negotiate the price of medications. But rather than build upon this important work, the Trump Administration wants to add loopholes and exemptions that weaken this program and result in higher prices for patients,” said Senator Hassan. “This legislation rejects the Trump Administration’s handouts to Big Pharma and instead accelerates the drug price negotiation efforts that will help more people afford the medications that they need.”
“While the Trump Administration and Congressional Republicans work to gut Medicare to give massive tax handouts to billionaires like Elon Musk, I’m fighting to protect and strengthen Medicare for New Mexicans,” said Senator Heinrich. “I’m proud to co-sponsor legislation that will lower health care costs by making more prescription drugs affordable for New Mexico’s seniors enrolled in Medicare.”
“Lifesaving prescription medications shouldn’t break the bank,” said Senator King.“Expanding Medicare’s ability to negotiate drug prices will go a long way toward helping Maine people get the medication they need at a price they can afford. The SMART Prices Act is a commonsense step that will help Maine people save money and stay healthy, and I thank my colleagues for putting Maine people first.”
“No one should have to choose between paying for life-saving medication and putting food on the table. At a time when President Trump’s tariffs threaten to raise prices on everyday goods and medicine, the SMART Prices Act is more important than ever for New Mexican families,” said Senator Luján. “That’s why I’m proud to join my colleagues in introducing this legislation to lower prescription drug costs by strengthening Medicare’s ability to negotiate prices, helping Americans afford the medications they rely on.”
“The amount of money Minnesotans are paying for their medications is out of control & unsustainable,” said Senator Smith. “This legislation would empower Medicare to negotiate lower prices, faster — and for more prescription drugs. And yet here we are, with President Trump and Congressional Republicans sabotaging Medicare’s power to negotiate lower drug prices at every turn, all while raising prices for seniors and giving handouts to Big Pharma. I’ll keep working to get this bill passed and make sure everyone has access to the medication they need.”
“No one should ever have to decide between filling a life-saving prescription and putting gas in the tank or food on the table,” said Senator Merkley. “The Inflation Reduction Act was an important step forward to make sure Americans get the best price, not the worst, for several prescription drugs. President Trump has said he wants to lower drug costs for families and seniors across America, and Senate Democrats are offering real proposals to crack down on Big Pharma’s sky-high drug prices.”
“Drug companies have had a free pass to gouge seniors for decades and people in Connecticut are paying the price,” said Senator Murphy. “It’s time to put an end to the price games. This legislation would give the federal government power to negotiate drugs more quickly after they are approved and with more substantial cost-savings for patients. It’s time to stop the abuse.”
“The prices Americans pay for many medications that treat cancer, diabetes, and other common conditions have actually gone down in recent years thanks to the law Democrats passed in 2022 that forced Big Pharma to the negotiating table with Medicare for the first time ever,” said Senator Murray. “The SMART Prices Act would build on that important progress and expand these savings to more medications, and more people. Donald Trump is lying and making empty promises when it comes to lowering drug costs—meanwhile Republicans are pushing to pass a mega-bill that would rip away health care from millions of people. I’m going to keep fighting to make sure no person is forced to choose between putting food on the table and buying life-saving medication.”
“No one should have to choose between medicine and groceries. Multi-billion-dollar drug corporations are making obscene profits off of seniors and working families struggling just to get by,” said Senator Fetterman. “The SMART Prices Act is not complicated: it will boost Medicare’s ability to negotiate fair deals with pharmaceutical companies and bring drug prices down. Big Pharma lobbyists might hate it, but regular people sure as hell won’t.”
“One of the biggest expenses for seniors on fixed incomes is prescription drug costs. I helped include provisions in the Inflation Reduction Act to lower the prices seniors pay at the pharmacy counter. The SMART Prices Act builds on this progress by strengthening Medicare’s ability to use bulk purchasing power to negotiate lower prices,” said Senator Reed.
“Through the Inflation Reduction Act, we stood up to Big Pharma and took important steps to lower health care costs for seniors – empowering Medicare to negotiate lower prices for medications that millions of older Americans rely on. But there’s more we can do. This legislation expands Medicare’s negotiating leverage to cut the prices of even more drugs – a commonsense way to provide more health care cost relief for seniors while saving billions in taxpayer dollars,” said Senator Van Hollen.
“While Republicans in Congress are jamming through a bill that would rip health care away from 14 million Americans and raise drug prices for seniors, we’re doubling down on lowering drug prices and cutting costs for families. We’ll keep fighting to make sure people have access to the life-saving care and medications they need,” said Senator Warren.
“As Republicans move to cut health care, Democrats are working to lower health care and prescription drug costs for our nation’s seniors,” said Senator Whitehouse. “Our SMART Prices Act will build on progress made in our Inflation Reduction Act and strengthen Medicare’s ability to negotiate drug prices, providing welcome relief to seniors living on fixed incomes.”
The bill is endorsed by Center for American Progress, FamiliesUSA, Patients For Affordable Drugs NOW, Protect Our Care, and Public Citizen.
“The SMART Prices Act builds on the progress of the Inflation Reduction Act to help bring down today’s exorbitant prescription drug prices,” said Andrea Ducas, Vice President of Health Policy at the Center for American Progress. “The bill is an important step forward in holding pharmaceutical companies accountable and ensuring seniors are paying fair and affordable prices for life-saving medications.”
“One in three Americans can’t afford their prescription drugs. We hear from patients every day who are rationing medication or skipping doses because of high drug costs. The SMART Prices Act is a welcome step that builds on the historic drug price reforms in the Inflation Reduction Act byincreasing the number of drugs subject to Medicare negotiation – a proposal that has broad support from Americans on both sides of the aisle. We are grateful to Senator Klobuchar for her tireless leadership on this critical issue and are eager to expand Medicare negotiation to secure a better deal for more patients on Medicare,” said Merith Basey, Executive Director of Patients For Affordable Drugs Now.
“Senators Klobuchar and Welch are fighting for seniors and their families by bringing down the high cost of prescription drugs,” said Protect Our Care Chair Leslie Dach. “Americans across the political spectrum support Medicare’s ability to negotiate drug prices and want to see the program expand. Instead, Trump and his cronies in Congress are charging ahead with their budget that not only guts Medicaid and the Affordable Care Act to fund billionaire tax breaks, but hands billions in give-aways over to Big Pharma. The contrast couldn’t be more clear. If Republicans are serious about wanting to lower drug prices and save taxpayer dollars, they should join Senators Klobuchar and Welch in passing the SMART Prices Act and deliver real, lasting relief for the American people.”
“The SMART Prices Act would save billions of dollars by empowering Medicare to negotiate lower prices for more patients sooner. We applaud Senators Klobuchar, Welch, and cosponsors for their leadership. Congressional Republicans should follow their lead instead of seeking to undermine Medicare drug price negotiations and take away health insurance from millions of our society’s most vulnerable people,” said Robert Weissman, Co-President of Public Citizen.
Learn more about the SMART Prices Act.

MIL OSI USA News –

May 27, 2025
MIL-OSI USA: Luttrell Introduces Legislation to Help Critical Businesses Stay Powered During Disasters
Source:

WASHINGTON — Congressman Morgan Luttrell (R-TX) introduced the Critical Businesses Preparedness Act, legislation that provides a 30% federal tax credit for critical businesses that purchase and install electric generators in high-risk disaster areas.

“When Hurricane Beryl hit last year, communities across Montgomery, Liberty, and San Jacinto Counties were left without power for days,” said Congressman Luttrell. “Families couldn’t get gas, groceries, or medical care. “The lessons from Beryl and other natural disasters across the country are clear: We must harden our communities, not just react to emergencies after they happen. This bill empowers local businesses to keep their doors open and their communities running so people aren’t left in the dark or out in the cold next time.”

The legislation amends the Internal Revenue Code to support businesses that are essential to emergency response and recovery. Under the bill, the tax credit would apply to generators placed in service by businesses operating in areas deemed at high risk for hurricanes or flooding, as determined by FEMA.

Eligible businesses include, but are not limited to:
- Hospitals and urgent care centers
- Nursing homes and long-term care facilities
- Grocery stores
- Gas stations
MIL OSI USA News –
May 27, 2025
MIL-OSI Security: Two Convicted in St. Louis of Laundering Drug Proceeds for Sinaloa Cartel

Source: Federal Bureau of Investigation (FBI) State Crime News

ST. LOUIS – Two men were convicted Wednesday of all charges related to their laundering of money in the St. Louis area for the Sinaloa drug cartel.

Carl Von Garrett, 54, of St. Charles, Missouri and Tobiyyah Israel, 38, of Ohio, were each found guilty by a jury in U.S. District Court in St. Louis of one count of conspiracy to commit money laundering and one count of money laundering. Von Garrett was also found guilty of one additional count of money laundering. The trial began on May 12.

Two others have already pleaded guilty and been sentenced in the case. Luis Miguel Hernandez, 38, of Phoenix, pleaded guilty to one count of conspiracy to commit money laundering and two counts of money laundering and Antonio Jones, 51, of Florissant, Missouri, pleaded guilty to two counts of money laundering. Hernandez was sentenced in January to 87 months in prison and Jones was sentenced to 37 months in prison.

As part of his plea agreement, Hernandez admitted being driven by Von Garrett to a meeting with an undercover Drug Enforcement Administration task force officer in St. Louis on March 1, 2021, to deliver $100,095 in drug proceeds. Hernandez then arranged a series of meetings between Jones and the task force officer. On March 8, 2021, Jones handed over $100,000. Jones delivered $150,030 on March 17 and $100,000 on March 31. On April 8, Jones delivered $109,740 and $100,100 on May 18. On May 25, 2021, Jones delivered $100,100.

During closing arguments Tuesday, Assistant U.S. Attorney Jim Delworth told jurors that Von Garrett was the “focal point” of the conspiracy and Israel was a courier, like Jones. On April 14, Israel picked up $221, 020 from Von Garrett. Von Garrett was stopped by investigators, who found six phones and a ledger that contained dates and amounts of money roughly corresponding to cash drops, Delworth said. Israel told investigators that he’d been promised $1,000 to pick up the cash, and that he’d done so once before.

The money drops continued. On May 18, Jones delivered $110,100 and $100,100 one week later.

Both men are scheduled to be sentenced on August 21.

The Drug Enforcement Administration, IRS-Criminal Investigation, the FBI, the St. Louis County Police, the Bridgeton Police Department, the St. Louis Metropolitan Police Department, and the St. Charles County Police Department investigated the case. Assistant U.S. Attorneys Jim Delworth and Ricardo Dixon are prosecuting the case.

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

MIL Security OSI –

May 27, 2025
MIL-OSI Security: Two Florida Men Plead Guilty for Their Roles in Years-Long Off-the-Books Payroll Scheme

Source: Office of United States Attorneys

Defendants Caused Combined Tax Loss of Nearly $10M and Facilitated Employment of Undocumented Aliens

Two Florida men pleaded guilty today before Magistrate Judge Leslie Hoffman Price for the Middle District of Florida for their roles in a years-long off-the-books payroll scheme. The pleas must be accepted by a U.S. district court judge.

The following is according to court documents and statements made in court: Michael Mayorga and Francisco Alvarez conspired with others to operate an illegal, off-the-books cash payroll system for construction workers to avoid paying employment taxes to the IRS and to defraud workers’ compensation insurance companies. Through the scheme, Mayorga and Alvarez facilitated the employment of undocumented aliens working illegally in the United States.

From 2015 to 2022, Alvarez and Mayorga and their co-conspirators created a series of shell companies to run an unlicensed check cashing and cash courier service business that cashed approximately $89 million in checks from subcontractors in the construction industry. The subcontractors used the cash to pay their workers. Mayorga provided bookkeeping and tax preparation services for some of the shell companies, and Alvarez and others facilitated the distribution of millions in cash to subcontractors. Mayorga also prepared false returns for the shell companies and members of the conspiracy that Alvarez, and others, filed. Specifically, Alvarez caused the filing of false tax returns and tax documents on behalf of one of the shell companies.

In total Mayorga caused a tax loss to the IRS of $8,647,824.

In total Alvarez caused a tax loss to the IRS of $2,331,731.

In addition to the tax crimes, Alvarez filed a false worker’s compensation insurance application. This allowed the shell companies to pay small insurance premiums. After fraudulently getting the insurance, Alvarez “rented” it to subcontractors so that the subcontractors could falsely provide proof of insurance when placing bids with contractors. Mayorga also provided false documents to insurance companies auditing them.

Alvarez and Mayorga will be sentenced at a later date. They each face a maximum penalty of five years in prison, 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 Gregory W. Kehoe for the Middle District of Florida made the announcement.

IRS Criminal Investigation and Homeland Security Investigations are investigating.

Senior Litigation Counsel Sean Beaty and Trial Attorneys Kavitha Bondada and Rebecca A. Caruso of the Tax Division and Assistant U.S. Attorney Amanda Daniels for the Middle District of Florida are prosecuting the case.

MIL Security OSI –

May 27, 2025
MIL-OSI USA: Rep. Scholten Fights to Protect Health Care for Millions During All Night Rules Committee Hearing

Source: United States House of Representatives – Congresswoman Hillary Scholten – Michigan

WASHINGTON, DC – Today, during a Rules Committee hearing that began at 1 a.m., U.S. Congresswoman Hillary Scholten (MI-03) introduced several critical amendments, including to protect affordable health care for millions of Americans and funding for the Great Lakes Restoration Initiative. As House Republicans push forward a budget proposal that would slash nearly a trillion dollars from Medicaid, gut food assistance, threaten our Great Lakes and drive up costs for hard-working families, Scholten offered a starkly different approach–one focused on protecting coverage and lowering premiums.

“There’s so much that’s harmful in this bill–but let’s focus on health care. Republicans are trying to take health care away from people while they sleep and they are hoping no one notices,” said Rep. Scholten. “But I am paying attention, and I’m offering a better path forward–one that protects families and ensures affordable health care is not just a luxury for the wealthy.”

WATCH: Rep. Scholten delivers remarks at all night Rules Committee Hearing

Her amendment would make the enhanced Affordable Care Act subsidies permanent. These subsidies, which have helped drive the uninsured rate to historic lows, are set to expire on December 31, 2025–putting more than 4.2 million people at risk of losing coverage, according to the nonpartisan Congressional Budget Office.

Scholten’s amendment eliminates the income cap that currently cuts off eligibility at 400% of the federal poverty line and maintains a cap on premium contributions so that no family pays more than 8.5% of their income toward health insurance. These provisions help ensure that working-class and middle-class Americans, including small business owners, self-employed workers, and families in the coverage gap, can continue to access affordable care.

In Michigan, over 374,000 people rely on these enhanced subsidies for their coverage. If allowed to expire, many of these families would face unaffordable premium hikes or lose insurance altogether. Scholten emphasized that while Republicans are focused on ripping coverage away from children, seniors, and people with disabilities, she’s focused on keeping and expanding coverage. Her amendment offers a responsible, proven solution to keep people covered.

In addition to her health care amendment, Scholten introduced three others focused on protecting Michigan jobs, clean water, and American clean energy leadership. One amendment would protect Michigan’s intercity passenger rail project between Grand Rapids and Chicago by preventing the Secretary of Transportation from prematurely removing projects from the Bipartisan Infrastructure Law’s Corridor Identification and Development Program.

Scholten also introduced an amendment that would fund the Environmental Protection Agency’s regional clean water programs–including the Great Lakes Restoration Initiative–which is vital to Michigan’s economy and environment and yields more than triple the return on investment.

Finally, Scholten proposed extending the Section 48 Investment Tax Credit for clean energy projects through the end of 2025 to ensure regulatory certainty and continued investment in renewable natural gas systems, especially those critical to rural and agricultural communities.

Through all of these efforts, Rep. Scholten reaffirmed her commitment to fighting for hard-working families.

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MIL OSI USA News –

May 27, 2025
MIL-OSI USA: Grothman Introduces Bill to End Housing Tax Program That Enriches Developers and Fails Tenants

Source: United States House of Representatives – Congressman Glenn Grothman (R-Glenbeulah 6th District Wisconsin)

Congressman Glenn Grothman (R-WI), joined by Congressman Paul Gosar (R-AZ), introduced the Low-Income Housing Tax Credit Elimination Act, which will repeal the Low-Income Housing Tax Credit (LIHTC), an outdated, costly, and ineffective program that has primarily enriched politically-connected developers and banks, while doing little to reduce housing costs for low-income Americans.

Currently, LIHTC provides tax credits to developers to subsidize the construction and rehabilitation of affordable housing units. These subsidies cover around 70% of a project’s cost. However, rather than benefiting tenants, the program has become a cash grab for developers and banks. The elimination of LIHTC will save taxpayers a staggering $69.1 billion over a ten-year period.

“The Low-Income Housing Tax Credit is another way for developers to get rich, while hardworking taxpayers foot the bill,” said Grothman. “It’s absurd that the federal government is paying 70% of construction costs to private developers, who often use these funds to build lavish and costly housing units. We need to stop throwing money at a broken system and instead focus on reducing supply constraints that make it so difficult to build affordable housing in the first place.

“Despite its original intent, LIHTC fails to effectively serve low-income tenants. The primary beneficiaries are rich developers, banks, law firms, and state bureaucracies. Only 24% of the programs’ costs benefit low-income households in the form of rent savings. Its elimination will save taxpayer dollars, end the funneling of money to corrupt developers, and allow us to refocus on solutions that work for hardworking Americans.”

“Unfortunately, the government subsidy meant to ease the financial burden of tenants is ripe with abuse. Instead of creating affordable housing for those who need it most, the program produces costly low-income housing and lines the pockets of greedy developers and banks,” said Congressman Paul Gosar.

“The Low-Income Housing Tax Credit is a textbook case of good intentions gone wrong. After nearly four decades and billions in federal subsidies, the Low-Income Housing Tax Credit has done more for banks and developers than for struggling renters. It’s time Congress ended this inefficient corporate welfare program,” said Adam Michel, Director of Tax Policy Studies at the Cato Institute.

“Since its inception in 1986, the Low-Income Housing Tax Credit (LIHTC) has been plagued by the Five Cs: crowding out, cost, complexity, corruption, and cartel,” said Edward Pinto and Tobias Peter, Co-Directors AEI Housing Center. “LIHTC developments often displace housing that the private market would have produced without subsidies, creating a crowding-out effect. The cost to taxpayers is staggering, with the average LIHTC unit priced at approximately $450,000—compared to zero for private developments that would have otherwise been built. The program’s excessive complexity has given rise to a cartel-like ecosystem dominated by a small cadre of developers and nonprofits, who have profited handsomely, while calling for even more subsidies. This has bred corruption and inefficiency. At its core, LIHTC reflects a misguided emphasis on the futile task of building ever more expensive subsidized housing, rather than on policies that allow for the building of housing that is affordable. We applaud Representative Grothman for taking this step to sunset this fundamentally flawed program.”

Background Information

Currently, the federal government provides a tax credit, the Low-Income Housing Tax Credit (LIHTC), to developers to subsidize the construction and rehabilitation of housing units with income limits and rent caps for eligible tenants. These LIHTC tax credits subsidies cover roughly 70% of the cost of qualified housing projects.

A 2009 study found for a large sample of projects that the construction costs per square foot of LIHTC projects were 20 percent higher than for average industry projects.

Because of the complex structure of the program, most of the LIHTC benefits go to the developers and banks, rather than the tenants. A 2017 study found that “tenants capture at most 24% of the [LIHTC] development subsidies.” The ability for states and localities to dole out these lucrative tax credits breeds corruption and funneling subsidies to politically connected developers.

The Low-Income Housing Tax Credit Elimination Act would end this costly, inefficient, and corrupt program. To lower housing costs, policymakers should focus on reducing supply constraints on housing, not funneling tax dollars to politically connected developers.

According to the Congressional Budget Office, repealing LIHTC would save taxpayers $69.1 billion over ten years.

-30-

U.S. Rep. Glenn Grothman (R-Glenbeulah) is serving his fifth term representing Wisconsin’s 6th Congressional District in the U.S. House of Representatives.

MIL OSI USA News –

May 27, 2025
MIL-OSI Security: Former President of Palmetto Railways Sentenced for Role in Conspiracy to Commit Honest Services Fraud

Source: Office of United States Attorneys

CHARLESTON, S.C. — Jeffrey McWhorter, 63, of Mount Pleasant, has been sentenced to five years of probation with 12 months of home confinement for conspiracy to commit honest services fraud.

Evidence obtained in the investigation revealed that McWhorter and an individual named Kevin Newkirk agreed to accept a payment from Tony Berenyi of Berenyi Construction should he be awarded a construction bid for the company Newkirk worked for, which is a Texas-based logistics company. The Texas Company went to McWhorter for contractor recommendations and McWhorter facilitated an introduction to Berenyi. Through the bidding process, McWhorter, Newkirk, and Berenyi discussed the payment and when the Texas Company awarded the contract to Berenyi Construction, payments began from Berenyi. Ultimately, through the course of the conspiracy, Berenyi paid a total of $420,000 that was wired to a bank account in the name of Newkirk’s wife. Newkirk agreed to pay McWhorter his portion in cash and the evidence revealed that McWhorter received $136,500 in total payments. McWhorter did not disclose these payments on the required filings for public officials.

United States District Judge David C. Norton sentenced McWhorter to five years of probation with 12 months of home confinement and electronic monitoring. There is no parole in the federal system. There is no parole in the federal system. McWhorter was ordered to pay restitution in the amount of $75,198.02 and was fined $4,000. He must also complete 300 hours of community service. He must also complete 300 hours of community service. Kevin Newkirk was also charged and sentenced in April to five years of probation by United States District Judge David C. Norton.

This case was investigated by the FBI Columbia field office and Internal Revenue Service Criminal Investigation. Assistant U.S. Attorney Amy Bower is prosecuting the case.

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MIL Security OSI –

May 27, 2025
MIL-OSI USA: House of Representatives Passes One Big Beautiful Bill; James Votes Yes
Source: United States House of Representatives – Congressman John James (Michigan 10th District)

WASHINGTON, D.C. – Today, the House of Representatives passed H.R. 1, the One Big Beautiful Bill Act. Representative John James (MI-10) voted yes. The passage of this bill signifies a critical step in codifying President Donald Trump’s America First Agenda.

Rep. James issued the following statement regarding the bill passage:

“In November, the American people gave Donald Trump and Republicans a mandate to secure the border, lower costs, fuel economic growth, and put America First. The One Big Beautiful bill restores fiscal responsibility to Washington while safeguarding vital programs like Social Security, Medicare, and Medicaid. It strengthens border security, including at our Northern border, and fosters a pro-growth, pro-family economy that prioritizes working-class Americans. This is a huge win for Michigan and the entire country. President Trump and House Republicans are delivering on our promises to usher in a new American Golden Age where all Americans can thrive.”

Specifically, the One Big Beautiful Bill:
- Makes the 2017 Trump tax cuts permanent – protecting the average taxpayer from a 22 percent tax hike.
- Delivers on President Trump’s priorities of no tax on tips, overtime pay, and car loan interest, and provides additional tax relief for seniors by allowing middle- and low-income seniors to deduct an additional $4,000.
- Locks in and boosts the doubled Child Tax Credit for more than 40 million families and provides additional tax relief for American families.
- Strengthens Medicaid for children, expectant mothers, individuals with disabilities, and the elderly, while stopping illegal immigrants, deceased beneficiaries, and ineligible recipients from draining Medicaid funds.
- Requires colleges to have skin in the game by paying a portion of their students’ unpaid loans based on how much of a return on investment the degree provided.
- Requires that to be eligible for SNAP, an individual must be a U.S. Citizen or green card holder, ending taxpayer funded subsidies for mass migration.
- Appropriates $46.5 billion for construction of border barriers through September 2029, as well as $5 billion for CBP facilities and checkpoints on the southern, northern and maritime borders and $813 million for border patrol vehicles.
- Includes $4.1 billion to hire and train additional CBP and other personnel.
The legislation is endorsed by over 1000 businesses and organizations, including National Federation of Independent Businesses (NFIB), National Taxpayers Union, 60 Plus Association, and Concerned Veterans for America. To read more about the bill, click here.

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MIL OSI USA News –
May 27, 2025
MIL-OSI Global: Ukraine: it’s clear right now there are no serious plans for peace

Source: The Conversation – UK – By Jonathan Este, Senior International Affairs Editor, Associate Editor

When it comes to the sincerity, or otherwise, of Vladimir Putin’s apparent willingness to talk peace with Ukraine, the Russian leader has given us plenty of hints. He may insist he wants to see a deal done and an end to the killing. But his insistence that any agreement would have to address the “root causes” of the war is a clear indication that he hasn’t rowed back from his original maximalist war aims. To whit: no Nato membership, a Kremlin-friendly government in Kyiv, ownership of Crimea and control – preferably annexation – of the four provinces of Ukraine presently under Russian occupation.

Meanwhile his great ally Dmitry Medvedev continues to insist that there are at present no Ukrainian officials who legitimately qualify as partners for negotiation. The Russian national security council secretary claims that Ukraine is a “failed state” whose leaders’ lack of legitimacy, meanwhile, raise “serious questions” about who Russia can conclude any agreement with.

So when Donald Trump said this week after a two-hour chat with Putin that Russia and Ukraine would “immediately start negotiations” toward a ceasefire, it’s not clear who he thought the Russian president was planning to talk to if, as Putin and his cronies insist, Zelensky and his team are not legitimate. And, from what he had to say about his recent phone call with Putin, it appears that Trump has his eyes more on the sorts of deals that might be done with Russia once this is all cleared up.

As he posted on his Truth Social platform after talking with Putin: “Russia wants to do largescale [sic] TRADE with the United States when this catastrophic ‘bloodbath’ is over, and I agree. There is a tremendous opportunity for Russia to create massive amounts of jobs and wealth. Its potential is UNLIMITED.”

Accordingly, he has backed away from his previous willingness to join Europe in imposing fresh sanctions on Russia. Meanwhile Russia continues to hammer Ukraine both on the battlefield and via ever larger drone and missiles attacks against its civilian population.

Sign up to receive our weekly World Affairs Briefing newsletter from The Conversation UK. Every Thursday we’ll bring you expert analysis of the big stories in international relations.

The real clue to Trump’s attitude, writes Stefan Wolff, is the order of phone calls on Monday. Before settling down to talk with Putin, the US president put in a call to the Ukrainian president, Volodymyr Zelensky. Reporting back on the call, Zelensky said he had urged Trump that he mustn’t make any decisions about Ukraine “without us”. Having subsequently spoken at length with Putin, Trump emerged saying in his Truth Social post that Russia and Ukraine will “immediately start negotiations” towards a ceasefire and an end to the war.

The state of the conflict in Ukraine, May 21 2025.
Institute for the Study of War

But Wolff, professor of international security at the University of Birmingham who has written regularly here about the conflict, believes that the fact that Trump added the conditions for peace “will be negotiated between the two parties, as it can only be” suggests he is indeed planning to abandon his peacemaking ambitions. The whole deal was taking far longer than the 24 hours he boasted of during the election campaign last year.

Where this leaves Europe is unclear, writes Wolff. If it can no longer rely on Washington as a security partner (and the signs aren’t good), then this will require a substantial rethink. Indeed there are signs, with the UK’s recent agreement over security and defence, that minds are increasingly focused on a more self-reliant future. In turn, this has implications for US security. If Europe is compelled to rethink its security relationship with the US it could cut both ways as Washington pivots to face an increasingly aggressive China.

Read more:
After another call with Putin, it looks like Trump has abandoned efforts to mediate peace in Ukraine

Of course, it should have been clear to all concerned not to take Putin at face value over his apparent willingness to talk peace with Zelensky when he failed to turn up to talks in Istanbul at the end of last week. As Natasha Lindstaedt writes here, none of the main players attended the talks, despite plans for Putin, Zelensky and Trump to all meet face-to-face.

Lindstaedt, an expert in international relations at the University of Essex, describes what for all the world seemed like a bizarre game of bluff – certainly as far as Putin and Trump are concerned. All three leaders had promised to be there, but in the end they all sent intermediaries with the result that nothing of any consequence was agreed. Trump’s aides insisted that if Putin attended he would be there. Then the US president said the reason that Putin hadn’t turned up was because he knew Trump wasn’t going to be there.

“It’s certainly hard to take peace talks seriously when there is an awkward back-and-forth just about who is going to attend,” Lindstaedt concludes. “And while Trump thinks peace is only possible through bilateral meetings between himself and Putin, it’s clear he can’t even influence Putin to show up to peace talks that the Russian president himself suggested.”

Read more:
Putin is testing how far he can push Trump by not turning up for Istanbul talks

Pie in the sky?

The US president, meanwhile, has announced plans for an ambitious missile defence system to be called “Golden Dome”. It’s a next-generation system, says Trump, “capable even of intercepting missiles launched from the other side of the world, or launched from space”.

The plan, for which US$25 billion (£18.6 billion) has been set aside in the US president’s “one big beautiful bill”, presently before the US Congress, calls for a network of surveillance satellites complemented by a separate fleet of offensive satellites that would shoot down offensive missiles soon after lift-off. Trump has estimated this will cost US$175 billion and will be completed by the end of his current four-year term. But other estimates are that it will be much more expensive and take far longer to complete.

“There has never been anything like this”, the US president said. And indeed there hasn’t, writes Matthew Powell, an expert in air power from the University of Portsmouth. In fact, Powell is deeply sceptical that the technology to enable such an ambitious defence system exists at present. He points to Ronald Reagan’s Strategic Defense Initiative, which became known by critics, with their tongues in their cheeks, as “Star Wars”, which never really got any further than the drawing board.

It did, however, have the effect of signalling to the Kremlin and the Soviet leader, Mikhail Gorbachev, that the sky would be the limit in terms of US willingness to push the boundaries of defence spending. Powell believes it significantly changed the calculations when it came to the feasibility of continuing the nuclear arms race and may have been responsible for the end of the cold war.

Read more:
Golden Dome: what Trump should learn from Reagan’s ‘Star Wars’ missile defence system plan

Incidentally, the US president’s funding bill scraped through the House of Representatives with 215 votes for and 214 against. In addition to setting aside funds for Golden Dome, the bill, which in its current form adds trillions of dollars to the US debt, has been described by Democrat critics as a “tax scam”. A statement from Democrat leaders said: “This fight is just beginning, and House Democrats will continue to use every tool at our disposal to ensure that the GOP Tax Scam is buried deep in the ground, never to rise again.”

But how much stomach do the Democrats have for the fight? They’ve had a pretty terrible few months since the election. Their approval rating in March was at 29%, the worst since polling began in 1992. Fernando Pizarro, a lecturer in journalism at City St Georges, University of London, who has several Emmys under his belt for his work on US politics, has cast his eye over some of the leading Democrats who he thinks will spearhead the opposition to the Republicans over the next few years and identifies a few players who could vie for the presidential nomination in 2028.

Read more:
The top Democrats leading the fight against Trump’s agenda

Gaza: situation increasingly desperate

Meanwhile, after 11 weeks of Israeli blockade of aid to the people of Gaza, limited deliveries have now recommenced in the face of pressure from both the US and increasingly outspoken interventions from the likes of the UK, France and Canada.

But despite reports that up to 100 trucks are now being allowed into the Gaza Strip, human rights agencies and aid organisations have said that there is a desperate threat of widespread starvation unless the amount of food, fuel and medicine getting through increases exponentially. And fast.

There is talk of a US-administered programme, the Gaza Humanitarian Foundation (GHF), which could be up and running by the end of May and could accelerate the delivery of vital supplies to the civilian population while ensuring it does not does not get into the hands of militants or black marketeers.

But this scheme has its critics, write Sarah Schiffling and Liz Breen, experts in humanitarian logistics and health service operations at Hanken School of Economics and the University of Bradford respectively. They point to a number of flaws, including the plan to concentrate the secure distribution points in southern and central Gaza, forcing large numbers of people to travel considerable distances for supplies.

The GHF plan also calls for aid distribution to be coordinated with the Israel Defense Forces, which humanitarian organisations says is a “humanitarian cover for a military strategy of control and dispossession”.

Schiffling and Breen point out that humanitarian organisations have 160,000 pallets of supplies and almost 9,000 aid trucks ready to be dispatched across the border “as soon as Israel allows it”. Whether Israel will allow it is, of course, another question entirely.

Read more:
Israel allows a ‘limited’ amount of aid back into Gaza, where the humanitarian situation is desperate

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– ref. Ukraine: it’s clear right now there are no serious plans for peace – https://theconversation.com/ukraine-its-clear-right-now-there-are-no-serious-plans-for-peace-257388

MIL OSI – Global Reports –

May 27, 2025
MIL-OSI Security: Fort Wayne Woman Ordered to Repay Funds From PPP Loan Fraud

Source: Office of United States Attorneys

FORT WAYNE – Dashanae Hamlet-Davis, 26 years old, of Fort Wayne, Indiana, was sentenced by United States District Court Chief Judge Holly A. Brady after pleading guilty to a federal felony for wire fraud, announced Acting United States Attorney Tina L. Nommay.

Hamlet-Davis was sentenced to 18 months of probation and ordered to pay $23,431.53 in restitution to the Small Business Administration.

According to documents in the case, Hamlet-Davis falsely claimed gross income for a business that did not exist when she applied for a Paycheck Protection Program (PPP) loan. The PPP program provided loans to small businesses for job retention and other expenses as part the CARES Act and for emergency financial assistance to Americans suffering from the economic impact of the COVID-19 pandemic. Hamlet-Davis falsely claimed that she was the sole proprietor of a retail business when in reality, no such business existed. As a result of her fraudulent representations, Hamlet-Davis received PPP funds which she used for her own benefit on personal items such as clothing, jewelry, electronics, and a vacation.

“This sentencing demonstrates the commitment of the Treasury Inspector General for Tax Administration (TIGTA) to investigate and bring to justice those who victimize the American taxpayer,” said Kelly Moening, TIGTA Special Agent-in-Charge. “Fraudulently applying for loans through a federal program meant to assist Americans in need will be met with aggressive investigation and prosecution. I want to thank our law enforcement partners and the U.S. Attorney’s Office for their commitment to this goal.”

This case was investigated by the United States Treasury Inspector General for Tax Administration with assistance from IRS Criminal Investigation. The case was prosecuted by Assistant United States Attorney Justin C. Sheridan.

MIL Security OSI –

May 27, 2025
MIL-OSI Security: Three Individuals Sentenced in Conspiracy Involving Bribery of Government Contracting Officer

Source: Office of United States Attorneys

HUNTSVILLE, Ala. – Three men have been sentenced for their respective roles in a conspiracy to bribe a public official, announced United States Attorney Prim F. Escalona.

U.S. District Court Judge Liles C. Burke sentenced Coogan Preston, 56, of Columbia, South Carolina, to 64 months in prison, Francisco Guerra, 56, of Lexington, Alabama, to 60 months in prison, and Jason Ingram, 48, of Rogersville, Alabama, to 24 months in prison. In December 2024, Guerra, Preston, and Ingram pleaded guilty to conspiracy to bribe a public official.

According to the plea agreements, the scheme began in 2016 and continued until 2021. As part of the scheme, Guerra agreed to provide money and other items of value to Preston, a government contracting official working at Redstone Arsenal in Huntsville, Alabama. In exchange for these bribes, Preston identified subcontracting opportunities for companies owned and operated by Guerra and convinced the prime contractor to use one of Guerra’s companies as a subcontractor.

“The government officials and contractors working on Redstone Arsenal play a critical role in supporting the United States military,” U.S. Attorney Escalona said. “The individuals sentenced today chose personal gain over their professional duty. These sentences were the result of that choice and should serve as a warning to others.”

“As a government contracting official, Preston traded the public’s trust given to him for greed,” said Demetrius Hardeman, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “Using their investigative and forensic accounting skills, IRS Criminal Investigation special agents were able to follow the money—bringing Preston and his conspirators to justice.”

“In collaboration with its investigative partners, the Department of Defense (DoD) Office of Inspector General’s Defense Criminal Investigative Service (DCIS) vigorously pursues fraud and corruption that threaten the integrity of the DoD, particularly when such crimes impact the well-being of our Nation’s Warfighters,” said Jason Sargenski, Special Agent-in-Charge of DCIS’s Southeast Field Office. “DCIS remains steadfast in working with our law enforcement partners to ensure those who commit fraud against the U.S. Government are held accountable.”

The Department of the Army’s Criminal Investigation Division investigated the case with assistance from U.S. Immigration and Customs Enforcement, Homeland Security Investigations, Internal Revenue Service – Criminal Investigation, and the United States Department of Defense Office of Inspector General – Defense Criminal Investigative Service. Assistant U.S. Attorney Lloyd Peeples prosecuted the cases.

MIL Security OSI –

May 27, 2025
MIL-OSI Canada: G7 Finance Ministers and Central Bank Governors conclude productive meeting in Banff
Source: Government of Canada News (2)

May 22, 2025 – Banff, Alberta – Department of Finance Canada

Today, G7 Finance Ministers and Central Bank Governors concluded their meeting in Banff, Alberta, which is part of Canada’s 2025 G7 Presidency. The Honourable François-Philippe Champagne, Minister of Finance and National Revenue, and Tiff Macklem, Governor of the Bank of Canada, co-chaired the meeting.

Ministers and Governors reached agreement on a communiqué which emphasized, above all, the the importance of G7 unity in the face of complex global challenges. In advance of the Leaders’ Summit next month in Kananaskis, Alberta, the meeting included a productive and frank exchange on the global economy, unsustainable global imbalances, and ways to promote growth and productivity.

Ministers and Governors agreed to:
- a G7 Financial Crime Call to Action to spur further concrete progress in tackling financial crime, including money laundering and terrorist financing. Canada will contribute $4.8 million in new technical assistance to developing economies so they can contribute to this effort;
- support the expansion of the World Bank-led Resilient and Inclusive Supply-Chain Enhancement (RISE) Partnership to strengthen the integration of developing countries into critical minerals supply chains. Canada will contribute $20 million to support the expansion of the RISE Partnership, including in Latin America and the Caribbean;
- address risks stemming from the large increase in low-value shipments imported into G7 markets; and
- continued unwavering support to Ukraine, an agreement to continue to explore all possible options to hold Russia to account, including further ramping up sanctions, as well as efforts to foster private sector participation in the recovery and reconstruction of Ukraine.
Canada is a stable, reliable, and innovative partner with a wealth of natural resources and expertise. Through our G7 Presidency, we will shape the global agenda – working with allies and partners to grow our economies, defend Canadians’ interests, and address the most pressing global challenges.

MIL OSI Canada News –
May 27, 2025
MIL-OSI USA: Letlow Statement on House Passage of Trump Agenda

Source: United States House of Representatives – Congresswoman Julia Letlow (LA-05)

WASHINGTON, D.C. – Congresswoman Julia Letlow released the following statement on House passage of a budget reconciliation bill extending the Trump Tax Cuts and adding further tax relief.

“This budget measure supports Louisiana workers, parents, farmers, and seniors through tax relief. We are implementing President Trump’s America First agenda by putting money into the pockets of the middle class. I voted yes because of the lower taxes this bill provides to Louisiana’s working families – specifically a higher standard tax deduction, a more generous child tax credit, and an elimination of taxes on both tips and overtime. The Senate should follow the House and send President Trump’s agenda across the finish line.”

MIL OSI USA News –

May 27, 2025
MIL-OSI United Kingdom: FMQs: Polluters must pay to prevent climate breakdown

Source: Scottish Greens

22 May 2025 Climate

Climate breakdown already costs households in Scotland over £3,000 a year on average.

More in Climate

Climate inaction will cost Scottish households and the economy unless big polluters are made to pay, says Scottish Greens Co-Leader Lorna Slater MSP at First Minister’s Questions.

Research by Global Witness has revealed that the costs of climate breakdown in the UK amount to an estimated £3,000 per household over the course of 2025.

The cost of wildfires, flooding, crop losses, and more, means higher bills for households, such as insurance and everyday essentials, warns Tax Justice UK.

Scottish Greens have long called for a windfall tax on the fossil fuel sector to pay for a Just Transition for North East workers, and to fund urgent climate action.

In the Holyrood chamber, Ms Slater asked the First Minister:

“Your Government has spent the last year ripping up policies designed to tackle the climate emergency. And I know the First Minister knows that delaying action on climate, actually costs a lot more in the long run.

“Analysis from Global Witness shows that climate damage is already costing Scottish households £3,000 every year, on average, while multinational fossil fuel giants are still raking in billions of pounds of profit.

“Unless polluters pay, communities will be worse off and the super rich will keep getting richer.

“So that we can invest more now, not only to save money later, but to create green jobs and opportunities that we know will benefit Scotland, will the First Minister support policies to tax polluters?”

Responding to Ms Slater, the First Minister did not set out any clear examples of climate action or attempts to make polluters pay his government would take.

MIL OSI United Kingdom –

May 27, 2025
MIL-OSI USA: Rep. Estes, House Passes One Big, Beautiful Bill

Source: United States House of Representatives – Congressman Ron Estes (R-Kansas)

This morning, Rep. Ron Estes and the House of Representatives passed H.R. 1 – the One Big Beautiful Bill Act. As a senior member of the House Ways and Means Committee, Rep. Estes was instrumental in crafting the tax provisions in the legislation that lower taxes for working families and support small businesses. Before the vote, Rep. Estes spoke in support of the bill during debate.

“[The bill] ends benefits for illegal immigrants. Instead of giving Medicaid to able-bodied adults, it prioritizes the benefit for children, seniors and low-income Americans. It provides a tax credit for seniors, exceeding President Trump’s plan to end taxes on Social Security. It provides funding for more border security to keep our country safe,” said Rep. Estes. “And perhaps more importantly, it extends the pro-family, pro-growth policies from the Tax Cuts and Jobs Act that even the New York Times and Washington Post admitted gave tax cuts to middle class Americans.”

Watch video of Rep. Estes’ remarks here.

Full Remarks

Mr. Speaker, I rise today to urge my colleagues to support our One Big, Beautiful Bill.

First, let me outline what this bill doesn’t do. It doesn’t take away Medicare, Medicaid or Social Security from Americans who need it. And it doesn’t give lavish tax breaks to millionaires and billionaires.

Here’s what it does do. It ends benefits for illegal immigrants. Instead of giving Medicaid to able-bodied adults, it prioritizes the benefit for children, seniors and low-income Americans. It provides a tax credit for seniors, exceeding President Trump’s plan to end taxes on Social Security. It provides funding for more border security to keep our country safe.

And perhaps more importantly, it extends the pro-family, pro-growth policies from the Tax Cuts and Jobs Act that even the New York Times and Washington Post admitted gave tax cuts to middle class Americans.

And how do we know this will work? Because we saw TCJA boost wages, job growth and tax revenue, despite the CBO’s biased and inaccurate scoring in 2017.

Mr. Speaker, I urge our colleagues to vote in favor of One Big, Beautiful Bill.

MIL OSI USA News –

May 27, 2025
MIL-OSI USA: LaLota Brokers SALT Deal

Source: US Representative Nick LaLota (NY-01)

Delivers Full Relief to 92% of Constituents
Quadruples Deduction Cap for Long Island Families

Washington, D.C. — Rep. Nick LaLota (NY-01) announced a significant win for Long Island taxpayers following successful negotiations to quadruple the cap on the State and Local Tax (SALT) deduction. The change, included in the House-passed version of the One Big Beautiful Bill, now heads to the Senate and awaits the President’s signature. If enacted, the measure would provide long-overdue relief—saving many Suffolk County families as much as $8,000 on their 2026 federal tax returns.

The deal raises the SALT deduction cap to $40,000 for households earning under $500,000, with both thresholds indexed to grow by about 1% annually—reaching roughly $44,000 and $552,000 by year ten. A household earning $333,000 and paying $20,000 in property taxes would now be fully covered under the new cap. The provision is valued at $344 billion over ten years.

LaLota secured the breakthrough after resisting heavy internal party pressure and rejecting a weaker proposal that would have capped deductions at $30,000 for households earning under $400,000—with no indexing and a reset to $10,000 after a decade. That rejected proposal, worth $225 billion, might have covered a household earning $250,000 with $15,000 in property taxes—but it would have fallen far short for many Long Islanders.

“This was a years-long battle, and I’m proud my colleagues finally came around to a plan that fixes the unfair $10,000 cap from 2017,” said LaLota. “Raising it to $40,000 means 92% of the families I represent will finally be made whole. For too long, Suffolk County’s middle class has been punished by double taxation. That ends now.”

According to the Tax Foundation, median property taxes in Nassau and Suffolk Counties far exceed $10,000, meaning most homeowners have long been penalized under the current $10,000 cap. Only 16.3% of NY-01 taxpayers currently claim a SALT deduction—evidence of just how narrow and inequitable the benefit has been.

“Securing this deal took months of pressure, standing firm, and refusing to settle,” LaLota added. “I meant what I said: No SALT, no deal—for real. That wasn’t a slogan—it was a promise to Suffolk County families. And today, we delivered.”

LaLota also highlighted his consistent opposition to tax packages that failed to fix the SALT deduction.

“In 2021 and 2022, Democrats controlled Washington and broke their promise to fix SALT. In 2024, when the Smith/Wyden tax plan ignored it again, I voted no. And when a $30,000 cap was floated, I pushed back. That wasn’t a compromise—it was an insult.”

LaLota credited Speaker Mike Johnson and Chairwoman Elise Stefanik for working with him to deliver meaningful reform.

“This is a major win for Long Island—but we’re not done yet. I’ll keep fighting until this provision is signed into law and middle-class families get the relief they deserve. I didn’t come to Washington to play politics—I came to fight for Suffolk County. And I’m just getting started.”

Background:

Timeline of LaLota Actions

January 25, 2023 – First SALT Caucus Meeting

February 8, 2023 – First SALT press conference

April 10, 2023 – LaLota cosponsors SALT Deductibility Act

April 14, 2023 – SALT press conference in Franklin Square, NY

May 10, 2023 – LaLota introduces SALT Fairness and Deficit Reduction Act

May 10, 2023 – LaLota cosponsors SALT Marriage Penalty Elimination Act

May 17, 2023 – Meeting w/ RSC Chairman Kevin Hern re SALT

May 18, 2023 – Meeting w/ Rep. Mario Diaz Balart re SALT

May 24, 2023 – Meeting w/ Rep. Gottheimer re SALT

May 24, 2023 – First meeting w/ House Ways and Means Committee Chairman Jason Smith

May 30, 2023 – LaLota introduces amendment to Fiscal Responsibility Act to address unfair SALT deduction cap

June 6, 2023 – Meeting w/ Senator Gillibrand re SALT

June 14, 2023 – Meeting w/ Majority Leader Steve Scalise and Chairman Smith re SALT

June 22, 2023 – Meeting w/ SALT Caucus

July 12, 2023 – Meeting w/ Democratic Leader Chuck Schumer re SALT

July 27, 2023 – Meeting w/ House Budget Committee re SALT

January 31, 2024 – LaLota introduces SALT Marriage Penalty Elimination Act alongside Rep. Mike Lawler

January 31, 2024 – LaLota votes against Wyden-Smith tax bill due to lack of SALT fix

January 31, 2024 – LaLota forces vote on SALT Marriage Penalty Elimination Act

February 14, 2024 – House Democrats block vote on SALT Marriage Penalty Elimination Act

April 10, 2024 – LaLota highlights unfair SALT deduction cap at Small Business Committee hearing

May 14, 2024 – LaLota House floor speech on House Democrats blocking SALT Marriage Penalty Elimination Act

June 7, 2024 – Meeting w/ SALT Caucus

August 12, 2024 – Publishes Op-Ed entitled, “Relief for New York: Increasing the SALT Deduction to Protect Our Communities”

September 24, 2024 – Meeting w/ Ways and Means Committee Working Families Tax Team re SALT

December 12, 2024 – LaLota rejects idea of raising SALT deduction cap to $20,000

January 7, 2025 – Meeting w/ SALT Caucus

January 8, 2025 – Meeting w/ Ways and Means Committee Working Families Tax Team re SALT

January 11, 2025 – Meeting w/ President Trump at Mar-a-Lago re SALT

January 14, 2025 – LaLota publishes Op-Ed entitled, “Fighting for Long Island’s Future”

January 14, 2025 – Meeting w/ SALT Caucus

January 23, 2025 – LaLota testifies in front of Ways and Means Committee re unfair SALT deduction cap

January 24, 2025 – LaLota House floor speech on unfair SALT deduction cap

January 30, 2025 – SALT press conference in Smithtown, NY

February 26, 2025 – LaLota votes for House Budget Resolution & vows to get SALT fix done

February 27, 2025 – LaLota meets w/ President Trump in Oval Office and talks SALT fix

March 1, 2025 – LaLota reiterates his promise to vote against reconciliation bill if it doesn’t include meaningful increase to SALT deduction cap

March 3, 2025 – LaLota publishes Op-Ed entitled, “A Responsible Budget That Puts Long Island First”

April 6, 2025 – Phone Call w/ Speaker Johnson re Budget Resolution and SALT

April 7, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

April 29, 2025 – Meeting w/ White House Legislative Affairs re SALT

April 30, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

May 6, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

May 8, 2025 – Joint Statement from SALTy Five re Ways and Means proposed SALT language

May 8, 2025 – SALTy Five reject Ways and Means offer on proposed SALT fix

May 12, 2025 – Conference Call w/ Speaker Johnson and Chairman Smith

May 13, 2025 – Meeting w/ Speaker Johnson re SALT

May 15, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

May 19, 2025 – Phone Call w/ Speaker Johnson re SALT

May 19, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

May 20, 2025 – Small Group Meeting w/ Speaker Johnson re SALT

May 20, 2025 – Joint Statement from SALTy Five re President Trump’s comments during House Republican Conference Meeting

New York currently holds the unenviable position of having the highest effective tax burden in the nation, a direct consequence of the ballooning state budget under single-party Democratic rule since 2018. The current New York State budget, growing at a rate double that of inflation, surpasses Florida’s despite New York’s smaller population. The repercussions are stark: New York leads the country in residents relocating to more economically-prudent states like Florida, North Carolina, and South Carolina.

This fiscal mismanagement by New York Democrats has resulted in an excessive dependence on the federal State and Local Tax (SALT) deduction. This deduction permits taxpayers to offset their federal taxable income with the amount paid in state and local taxes. However, the 2017 tax reform, spearheaded by President Trump, capped these deductions at $10,000, intensifying the tax burden for New Yorkers. This cap underscores the urgent need for fiscal reform in the state to alleviate the pressures on its taxpayers.

In 2022, despite their initial pledge of “No SALT, no deal,” House Democrats did not follow through before the final vote on the Inflation Reduction Act. Throughout 2021 and 2022, Democrats controlled both chambers of Congress as well as the White House. Nevertheless, they did not address the $10,000 cap on the State and Local Tax (SALT) deduction, missing a crucial opportunity to fulfill their promises to alleviate the tax burdens on their constituents. This inaction occurred even as they held the legislative power to potentially make significant changes to the policy.

Since being sworn into office in January 2023, LaLota has been explicitly clear on his support for restoring the SALT deduction. LaLota joined the bipartisan SALT Caucus and, in March 2023, introduced the SALT Fairness and Deficit Reduction Act to effectively bring the deduction to pre-2017 levels for the overwhelming majority of taxpayers while at the same time reducing the federal deficit by raising and extending the SALT deduction cap to $60,000 for single filers and $120,000 for joint filers beginning in 2023 and lasting until December 31, 2032.

In January 2024, LaLota voted against the Wyden-Smith tax bill because it failed to include an increase on the cap to the State and Local Tax (SALT) deduction. In February 2024, LaLota introduced the SALT Marriage Penalty Elimination Act to the floor of the House. Unfortunately, 18 Republicans, together with every single House Democrat, blocked further consideration, debate, and a final vote on the measure. The SALT Marriage Penalty Elimination Act would remove the marriage penalty and raise the SALT deduction cap to $20,000 for joint filers and cap adjusted gross income at $500,000.

In January 2025, LaLota met with President Donald Trump at Mar-A-Lago to address critical issues impacting Long Island, including the SALT cap, and continue the conversation on available options for a reconciliation tax package. During that meeting, President Trump renewed his campaign pledge to ‘fix’ the SALT cap and support LaLota’s constituents who suffer under the nation’s most burdensome state and local taxes, a direct result from ineffective and incompetent Democratic governance in New York.

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MIL OSI USA News –

May 27, 2025
MIL-OSI USA: Rep. Young Kim Secures SALT Cap Increase, Tax Cuts in Historic Package
Source: United States House of Representatives – Representative Young Kim (CA-39)

Washington, DC – Today, U.S. Representative Young Kim (CA-40) voted in favor of H.R. 1, which takes historic steps to uplift working families and small businesses, get our country back on the right fiscal track, and streamline and strengthen our federal government to better serve the American people.

Rep. Kim, who serves as Republican co-chair of the State and Local Tax (SALT) Caucus, secured a 400% increase in the cap on SALT deductions, allowing hardworking California families to keep more money in their pockets and providing vital relief for her constituents hurt by the current $10,000 SALT cap.

“Californians I represent have been bearing the brunt of persistent inflation due to wasteful spending from Washington and Sacramento. It’s past time for relief. Increasing the SALT cap 400% is a huge win that allows middle-class families I represent to keep more hard-earned money in their pockets,” said Rep. Young Kim.

“This bill takes important steps to ensure federal dollars are stretched as far as possible and strengthen Medicaid for our most vulnerable citizens. I will keep working to get our country back on the right track and protect the American dream for future generations,” she continued.

In addition to providing much-needed SALT relief, H.R. 1 supports the American people through initiatives such as:
- Protecting Medicaid for future generations of our most vulnerable citizens, including seniors, women, children, and disabled Americans;
- Extending middle-class tax cuts and the child tax credit originally enacted in the 2017 Tax Cuts and Jobs Act; and,
- Promoting financial literacy and opportunity by creating a pilot program where newborns receive $1,000 in a tax advantaged investment account.
According to the U.S. Chamber of Commerce, nearly 25,000 small and pass-through businesses across Rep. Kim’s district will see an increase of approximately $21,906,300 in their qualified business income deduction through the bill’s passage.

MIL OSI USA News –
May 27, 2025
MIL-OSI USA: JOINT DEMOCRATIC LEADERSHIP STATEMENT ON PASSAGE OF THE GOP TAX SCAM

Source: United States House of Representatives – Congressman Hakeem Jeffries (8th District of New York)

Democratic Leader Hakeem Jeffries, Whip Katherine Clark and Caucus Chair Pete Aguilar released the following statement:

Today, every single House Democrat voted to stop the largest cuts to Medicaid and food assistance in American history. The GOP Tax Scam rips healthcare and food assistance away from millions of people in order to provide tax cuts to the wealthy, the well-off and the well-connected.

House Republicans promised to lower costs. Instead, Donald Trump’s One Big Ugly Bill will mean millions of families will pay higher premiums, copays and deductibles. Hospitals will close, nursing homes will shut down and communities will suffer. It will take food out of the mouths of children, seniors and veterans at a time when too many families are already struggling to live paycheck to paycheck.

The GOP Tax Scam is deeply unpopular, which is why Republicans made every effort to advance it during the dead of night. For more than 28 hours, beginning with Rules Committee Ranking Member Jim McGovern, Democrats forced Republicans to debate this toxic legislation before the American people. This fight is just beginning, and House Democrats will continue to use every tool at our disposal to ensure that the GOP Tax Scam is buried deep in the ground, never to rise again.

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MIL OSI USA News –

May 27, 2025
MIL-OSI USA: Smith: House Passage of Reconciliation Bill Historic Win Years in the Making

Source: United States House of Representatives – Congressman Adrian Smith (R-NE)

Washington, DC — Today Congressman Adrian Smith (R-NE) released the following statement after the House of Representatives passed, with his support, a legislative package to advance President Trump’s priorities to enact tax relief, secure the border, promote energy abundance, and expand economic growth.

“Passage of this legislation is a hard-fought win for the American people and years in the making. Through unprecedented coordination and collaboration across numerous committees, House Republicans have fulfilled our commitments to bring tax relief and certainty to American families, seniors, small businesses, and our hardworking agriculture producers. I am pleased the package includes measures I have led to drive major investment empowering parental choice in education and end the IRS’s unlawful, unfair, and expensive Direct File program. The bill prevents a more than $2 trillion tax increase on middle- and low-income Americans and opens the door to an historic era of American prosperity. I urge my colleagues in the Senate to swiftly pass it so President Trump can sign it into law.”

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MIL OSI USA News –

May 27, 2025
MIL-OSI USA: House Passes President Trump’s America First Agenda
Source: United States House of Representatives – Congressman Rick Allen (R-GA-12)

Today, the U.S. House of Representatives passed H.R. 1, the One Big Beautiful Bill Act. After voting in support of the bill, Congressman Rick W. Allen (GA-12) issued the following statement:

“House Republicans have met the moment before us with passage of today’s historic legislation. Through months of hard work, valuable input from all Members of our conference, and a clear mandate from 77 million Americans—the House has delivered the people’s agenda,” said Congressman Allen. “The One Big Beautiful Bill Act codifies President Trump’s priorities by providing resources to secure the border, making a generational investment in America’s defense, bolstering domestic energy dominance, avoiding the largest tax hike in history, and protecting our most vulnerable communities. My colleagues in the Senate must move expeditiously in passing our bill and sending it to President Trump’s desk. The sooner this legislation is signed into law, the sooner our economy will experience record growth and American families, workers, and businesses will see the relief they have long deserved.”

THE ONE BIG BEAUTIFUL BILL ACT:
- Makes the 2017 Trump tax cuts permanent – protecting the average taxpayer from a 22% tax hike.
  - The average taxpayer in GA-12 would see a 24% tax hike if the Trump Tax Cuts expire.
  - A family of 4 making $60,966, the median income in GA-12, would see a $1,160 tax increase if the Trump Tax Cuts expire.
  - Over 6,000 family-owned farms in GA-12 would have their death tax exemption slashed in half next year if the Trump Tax Cuts expire.
- Delivers on President Trump’s priorities of no tax on tips, overtime pay, and car loan interest, and provides additional tax relief for seniors.
- Provides funding for 10,000 new Immigration and Customs Enforcement (ICE) personnel.
- Provides an effective border wall system, specifically:
  - Completion of 701 miles of primary wall.
  - Construction of 900 miles of river barriers.
  - 629 miles of secondary barriers.
  - Replacement of 141 miles of vehicle and pedestrian barriers.
- Rescinds wasteful Inflation Reduction Act (IRA) spending which led to runaway inflation.
- Streamlines processes for developing energy infrastructure which will unleash American energy, help secure affordable and reliable energy for Americans, and support exporting energy to aid our allies.
- Ensures that Medicaid only pays for American citizens and legal immigrants by strengthening citizenship verifications to determine eligibility, saving tens of billions of dollars.
- Increases personal accountability to help lift Americans out of poverty by establishing work requirements in Medicaid for able-bodied adults who do not have dependent children or elderly parents in their care.
- Strengthens accountability for students and taxpayers, streamlines student
  loan options, and simplifies student loan repayment.
BACKGROUND: The One Big Beautiful Bill Act, otherwise known as the reconciliation bill, is a combination of individual bills advanced by 11 House committees as instructed by the Republican Budget Framework. Congressman Allen sits on two of the 11 committees, the House Energy and Commerce Committee and the House Education and Workforce Committee, in which he played an integral role in crafting and advancing the language under each committee’s jurisdiction. Legislation brought to a vote under the reconciliation process in the United States Senate only requires a simple majority vote.

MIL OSI USA News –
May 27, 2025
MIL-OSI USA: House Republicans Pass President Trump’s ‘Big Beautiful Bill’ – U.S. Representative Barry Loudermilk

Source: United States House of Representatives – Representative Barry Loudermilk (R-GA)

Rep. Barry Loudermilk (GA-11) issued the following statement on the House of Representatives passage of the One Big, Beautiful Bill Act.

“Today, my Republican colleagues and I passed President Trump’s One Big, Beautiful Bill Act — a historic win for the American people. An extensive amount of work went into this legislation, which will extend tax cuts for hard-working Americans, unleash American energy stifled by the Democrats’ Green New scam, and provide much-needed support for our brave Border Patrol agents. This bill also gives the administration the tools to investigate, expose and cut fraud, waste, and abuse within federal government agencies, while protecting the core services that many Americans rely upon.

“This is an historic bill aimed at delivering on the mandate the American people gave us in November. Republicans have ensured that Americans can keep more of what they earn, and pay lower prices for food and gas, as a result of our pro-energy approach. Americans can also expect a return to a safer nation, as we equip Border Patrol and Homeland Security with the tools needed to expel foreign terrorists and criminals — and to keep them from returning. The Big, Beautiful Bill is the pro-family, pro-America policy needed to restore American excellence at home and abroad.”

Background

Border Security

• Provides funding for 10,000 new Immigration and Customs Enforcement personnel.
• Provides funding for detention capacity sufficient to maintain an average daily population of at least 100,000 aliens.
• Provides funding for at least one million annual removals.
• Introduces a new series of fees that provide funding and resources to various agencies.
• Funds the hiring of 10,000 new ICE agents and Homeland Security Investigations (HSI) criminal investigators
• Codifies permanent fees for immigration services, to ensure cost recovery and reduce the federal deficit.

• Provides $12 billion to reimburse states for actions taken to deter, mitigate, or prevent unlawful or illicit activities related to border security.

Permanent Extension of Tax Cuts and Jobs Act

• Makes the 2017 Trump-era tax cuts permanent – protecting the average taxpayer from a 22 percent tax hike.
• Saves the average American family $1,700 – the equivalent of 9 weeks of groceries.
• Increases real annual take-home pay for a median-income household with two children by roughly $4,000 to $5,000.
• Raises annual real wages by $2,100 to $3,300 per worker.
• Delivers on President Trump’s priorities of no tax on tips, overtime pay, or car loan interest, and provides additional tax relief for our seniors.

• Repeals the requirement for firearm silencers and takes the manufacturer tax on silencers to $0
• Locks in and boosts the doubled Child Tax Credit for more than 40 million families, and provides additional tax relief for American families.
• Supports working families by expanding access to childcare and making the paid leave tax credit permanent.
• Puts American families in control of their health care by expanding health savings accounts and cementing into law a Trump Administration policy that offers more choice and flexibility for health coverage options.
• Starts building financial security for America’s children, at birth, with the creation of new savings accounts.

Unleashes American Energy

• Reinstates quarterly onshore oil and gas lease sales, generating $12 billion in revenue.
• Mandates at least thirty lease sales in the Gulf of America over the next fifteen years, and six in the Cook Inlet, generating billions of dollars in new revenue.
• Returns to reasonable oil and natural gas royalty rates.
• Requires geothermal lease sales, generating $23 million in new revenue.
• Resumes leasing for energy production in the National Petroleum Reserve in Alaska and the Arctic National Wildlife Refuge, generating over $1 billion in new revenue and savings.
• Resumes coal leasing on federal lands.
• Increases timber sales on federal lands and requires long-term timber contracts.

MIL OSI USA News –

May 27, 2025
MIL-OSI Security: Former IRS Employee Ordered to Repay Funds From PPP Loan Fraud

Source: Office of United States Attorneys

FORT WAYNE – Rakita Davis, 45 years old, of Fort Wayne, Indiana, was sentenced by United States District Court Chief Judge Holly A. Brady after pleading guilty to federal felonies for wire fraud, announced Acting United States Attorney Tina L. Nommay.

Davis was sentenced to 24 months of probation and ordered to pay $55,213.61 in restitution to the Small Business Administration.

According to documents in the case, Davis falsely claimed gross income for a business that did not exist when she applied for two Paycheck Protection Program (PPP) loans in 2021. The PPP program provided loans to small businesses for job retention and other expenses as part the CARES Act and for emergency financial assistance to Americans suffering from the economic impact of the COVID-19 pandemic. Davis, who was employed by the IRS when she applied for the loans, falsely claimed that she was the sole proprietor of a catering business when in reality, no such business existed. As a result of her fraudulent representations, Davis received PPP funds which she used for her own benefit on personal items such as jewelry, airfare, luxury car rentals, and vacations.

“This sentencing demonstrates the commitment of the Treasury Inspector General for Tax Administration (TIGTA) to investigate and bring to justice those who victimize the American taxpayer,” said Kelly Moening, TIGTA Special Agent-in-Charge. “Fraudulently applying for loans through a federal program meant to assist Americans in need will be met with aggressive investigation and prosecution. I want to thank our law enforcement partners and the U.S. Attorney’s Office for their commitment to this goal.”

This case was investigated by the United States Treasury Inspector General for Tax Administration with assistance from IRS Criminal Investigation. The case was prosecuted by Assistant United States Attorney Justin C. Sheridan.

MIL Security OSI –

May 27, 2025
MIL-OSI Security: Two Money Couriers for Colombian-Based Drug Money Laundering Organization Sentenced

Source: Office of United States Attorneys

BOSTON – Two Jamaican nationals were sentenced yesterday in federal court in Boston for their involvement in a sophisticated international money laundering organization that laundered more than $6 million in drug trafficking proceeds from Colombian cartels through the United States, Caribbean and European banking systems.

St. Devon Anthony Cover, 61, was sentenced by U.S. District Court Judge Richard G. Stearns to 42 months in prison. In January 2025 Cover was convicted of one count of money laundering conspiracy and seven counts of laundering of monetary instruments. Dennis Raymond Rowe, 60, was sentenced by U.S. District Court Judge Richard G. Stearns to 52 months in prison. In January 2025 Rowe was convicted of one count of money laundering conspiracy, one count of money laundering and two counts of laundering of monetary instruments. Both defendants are subject to deportation upon completion of their imposed sentences.

The defendants were among 20 individuals from Colombia, Jamaica and Florida who were indicted by a federal grand jury in May 2022 in connection with the money laundering conspiracy.

Over the course of the investigation, $1 million was seized from corporate bank accounts and other investigative activity. Nearly 3,000 kilograms of cocaine – with a street value of over $90 million – was traced back to the money laundering organization. This includes approximately 1,193 kilograms of cocaine seized at sea 60 miles south of Jamaica in July 2019, as well as 1,555 kilograms of cocaine seized in nine scrap metal shipping containers at the Port of Buenaventura, Colombia in March 2019.

In or about October 2016, law enforcement began an investigation into a sophisticated money laundering organization located primarily in Barranquilla, Colombia. During an extensive five-year investigation, the organization laundered over $6 million in drug proceeds through intermediary banks in the United States, including banks in Massachusetts, as well as additional proceeds through banks in the Caribbean and Europe by use of the Colombian Black Market Peso Exchange (BMPE). By using the BMPE, the defendants and their co-conspirators sought to conceal drug trafficking activity and proceeds from law enforcement as well as evade currency exchange requirements in the United States and Colombia through the illegal currency exchange process. As part of the conspiracy, members of the organization held roles and responsibilities relative to the needs and opportunities of the scheme, such as drug suppliers, peso brokers, money couriers and business owners/dollar purchasers.

Through the BMPE, Colombian drug trafficking organizations with drug proceeds generated in the United States use third parties – generally referred to as “peso brokers” that are also based in Colombia – who agree to exchange Colombian pesos they control for the drug supplier’s dollar proceeds. Peso brokers then use money couriers in the United States and elsewhere to physically secure the drug proceeds, often in suitcases or bags on the street, and transfer the proceeds into the United States banking system. To avoid detection, peso brokers deposit the drug proceeds into bank accounts in company or individual names intended to appear as legitimate business activity, or through multiple small deposits into different bank accounts which are then consolidated into larger accounts. As a result, Colombian peso brokers control a pool of drug-derived proceeds in United States bank accounts. These dollar proceeds are then purchased by individuals or companies in Colombia seeking to exchange pesos for United States dollars at a favorable exchange rate and in a manner that avoids currency exchange and income reporting requirements. The dollar drug proceeds are transferred at the direction of the purchaser, and often end up in bank accounts of individuals or companies who appear to have no direct involvement in drug trafficking crimes.

During the course of the conspiracy, Cover laundered approximately $268,000 and Rowe laundered over $600,000 by delivering bulk cash drug proceeds to undercover law enforcement.

United States Attorney Leah B. Foley; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Thomas Demeo, Acting Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Office; Aura Liliana Trujillo Rojas, Delegate for Criminal Finance for the Colombian Attorney General’s Office; Ricardo Sánchez Silvestre, Brigadier General of the Colombian National Police Anti-Narcotics Directorate; Jervis Moore, Chief of the Narcotics Division for the Jamaica Constabulary Force; and Colonel Geoffrey Noble of the Massachusetts State Police made the announcement. The Justice Department’s Office of International Affairs and the Criminal Division’s Narcotic and Dangerous Drug Section’s Office of the Judicial Attaché in Bogotá, Colombia provided significant assistance in securing the arrests and extraditions of Cover, Rowe, and other co-defendants from Colombia and Jamaica. Assistant U.S. Attorneys Jared C. Dolan and Alathea E. Porter of the Criminal Division are prosecuting the case.

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

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

MIL Security OSI –

May 27, 2025
MIL-OSI: DSS, Inc. Reports Strong Q1 2025 Financial Performance, Setting the Stage for Strategic Growth
Source: GlobeNewswire (MIL-OSI)

NEW YORK, May 22, 2025 (GLOBE NEWSWIRE) — DSS, Inc. (NYSE American: DSS), a multinational company operating across diverse industries including packaging, real estate, and biomedical innovation, today announced financial results for the first quarter of 2025, highlighting meaningful progress in its financial repositioning and a strong foundation for corporate execution in the coming quarters.

In a quarter focused on streamlining operations and financial discipline, DSS delivered significant improvements in key financial metrics:
- 28% Year-Over-Year Revenue Growth: Total revenues rose sharply, fueled by a 30% increase in printed product sales and a nearly doubling of rental income from the company’s real estate segment, which grew from $400,000 to $714,000.
- Strategic Asset Monetization: The Company completed the sale of its Plano, TX facility, for $9.5 million, contributing to $12.88 million in cash from investing activities during the quarter.
- Debt Reduction and Capital Discipline: DSS used proceeds from asset sales and investments to pay down over $8 million in total debt, reflecting a clear commitment to balance sheet optimization.
- Strengthening Shareholder Equity: Through its partner company Impact BioMedical, DSS raised $1.5 million in new equity capital during Q1.
- Improved Operating Cash Flow: Net cash used in operations improved from $2.15 million in Q1 2024 to $1.64 million in Q1 2025, underscoring early operational efficiencies.
“These results show clear, measurable progress in the financial realignment strategy we launched earlier this year,” said Jason Grady, CEO of DSS, Inc. “In my January letter to shareholders, I outlined the urgent need to cut inefficiencies, strengthen our balance sheet, and lay the groundwork for sustained growth. This quarter proves that work is paying off. As we continue to streamline operations, we’re now turning our attention toward execution in our core verticals and identifying smart, accretive opportunities that will drive long-term value. The foundation is in place and now we’re building on it.”

The Company plans to continue to showcase measurable results from initiatives in development, operations, and M&A activity as the year progresses. With a renewed focus on high-potential business units and capital allocation, DSS is positioning itself for a dynamic second half of 2025 and beyond.

To read the 2025 CEO shareholder letter, visit: investors.dssworld.com

Forward-looking Statements:

The foregoing material may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company’s product development and business prospects, and can be identified by the use of words such as “may,” “will,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “potential,” “should,” “continue” or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the security laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.

About DSS, Inc.:

DSS, Inc. (NYSE American: DSS) is a multinational company operating businesses across multiple high-growth sectors. DSS focuses on creating, acquiring, and investing in innovative companies that drive sustainable value for its shareholders.

For investor and media inquiries or additional information, please contact:

DSS, Inc. Investor Relations
Email: IR@dssworld.com
Phone: +1 (585) 565-2422

The MIL Network –
May 27, 2025
MIL-OSI USA: Malliotakis Celebrates House Passage of One Big Beautiful Bill
Source: United States House of Representatives – Congresswoman Nicole Malliotakis (NY-11)

Legislation Builds on 2017 Tax Cuts, Delivers Border Security and Energy Independence for American Families
(WASHINGTON, DC) – Congresswoman Nicole Malliotakis released the following statement after the House passage of the One Big Beautiful Bill calling it “a big win for hardworking taxpayers.”

“Today marks a historic victory for Staten Islanders, Brooklynites, and families across the nation who have been calling for tax relief. Our legislation builds on the success of President Trump’s 2017 tax cuts by making those tax provisions permanent, while delivering additional tax relief for senior citizens, increasing the SALT and Standard Deductions, and expanding the Child Tax Credit to ensure hardworking Americans keep more of their hard-earned money.

We also included key provisions to root out waste, fraud, and abuse in the Medicaid program so tax dollars go to protect our seniors, disabled, and the most vulnerable citizens who rely on it. We also strengthen our national security, fund border barriers and the deportation of criminals, and boost domestic energy production. The Senate must now act without delay as failure to do so would let key provisions of the 2017 Tax Cuts and Jobs Act expire, leading to a $4 trillion tax hike on American families and businesses. It’s time to deliver real results and tax relief and fulfill our commitments to America.”

WATCH MALLIOTAKIS’ REMARKS HERE

Highlights of the House Passed “One, Big, Beautiful Bill”

Increases SALT & Standard Deductions:
- Quadruples the State and Local Tax (SALT) deduction to $40,000 and raises the Standard Deduction to $16,300 for individuals and $32,600 for married couples building on the 2017 Tax Cuts and Jobs Act, which originally doubled the standard deduction.
Tax Relief for Seniors:
- Includes a provision mirroring Malliotakis’ legislation to provide a bonus deduction for seniors on Social Security—$4,000 for individuals earning up to $75,000 and $8,000 for married couples earning up to $150,000.
Tax Relief for Working & Middle Class Families:
- Fulfills President Trump’s commitment to eliminate taxes on tips and overtime, stops the return of the Alternative Minimum Tax that crushed middle-income families, makes the 2017 tax cuts permanent, and allows Americans to fully deduct auto loan interest on American-made vehicles.
- The Big Beautiful Bill also makes adoption tax credits more accessible, expands 529 education savings accounts, supports scholarships and school choice, expands the Child Tax Credit to $2,500, and improves access to child care. Malliotakis’ legislation to extend tax-free employer reimbursement for students and college graduates is also included.
Protecting & Strengthening Medicaid:
- Safeguards New York’s most vulnerable Medicaid population by preserving the 50% federal reimbursement match, prevents illegal immigrants from receiving Medicaid benefits, eliminates PBM’s abusive use of spread pricing in Medicaid, and cracks down on fraudsters by targeting waste, fraud, and abuse.
Keeps Our Borders Secure:
- Provides funding for the detention and deportation of criminal illegal immigrants, hiring of 10,000 new Immigration and Customs Enforcement personnel, enforcement of the Remain in Mexico policy and construction of new border barriers.
Revolutionizes Our National Security:
- $12.5 billion to modernize our air traffic control system at Newark Airport and other facilities, funding for the Golden Dome to help protect our homeland, investments in American shipbuilding to strengthen our naval fleet, and upgrades to our military to meet 21st-century threats.
Unleashes American Energy:

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MIL OSI USA News –
May 27, 2025
MIL-OSI Europe: EBA launches consultation on amended disclosure requirements for ESG risks, equity exposures and aggregate exposure to shadow banking entities
Source: European Banking Authority
- The EBA proposes a proportionate ESG disclosure framework aligned with the European Commission’s initiative to simplify sustainability reporting.
- Simplified requirements are proposed for small and medium banks, as well as clarifications and enhancements to streamline reporting. No new obligations are introduced for large-listed banks.
- To support institution’s implementation, the EBA proposes to introduce transitional measures and supervisory flexibility aimed at reducing the compliance burden for institutions.
The European Banking Authority (EBA) today launched a public consultation on proposed amendments to the European Commission’s Implementing Regulation on Pillar 3 disclosures under the CRR3. The proposal specifies enhanced and proportionate disclosure requirements related to ESG-related risks, equity exposures and aggregate exposure to shadow banking entities. It also implements the new codes for the statistical classification of economic activities in the EU (NACE). The. Today’s proposal aims to enhance transparency and consistency of disclosures in a proportionate manner. The consultation runs until 22 August 2025.

This consultation paper finalises the implementation of the Pillar 3 disclosure requirements introduced by the banking package (CRR3), including the extension of the scope of application of ESG risks-related disclosures to all institutions and the disclosure of information on shadow banking and equity exposures.

In line with the European Commission’s omnibus proposal to reduce reporting costs and simplify sustainability reporting, the EBA has designed a proportionate approach for ESG disclosures based on the institution’s type, size and complexity, with simplified disclosures for banks other than large, particularly for those that are small or non-listed.

Furthermore, the consultation does not introduce any new requirement on banks already disclosing ESG related information (large listed banks), but aims to simplify the reporting process by clarifying the existing requirements based on the experience gained. It does this by introducing materiality considerations regarding the frequency of some of the disclosures and by ensuring full and permanent alignment with the Taxonomy Regulation in terms of scope and definition of the Green Asset Ratio (GAR) templates.

Transitional provisions have been introduced to support institutions and facilitate the initial implementation of the new requirements. For ESG disclosures, in particular, consistently with these transitional provisions, in order to clarify expectations, ensure consistency and reduce operational burden, for the period until the ITS now being consulted starts applying, the EBA is encouraging supervisory flexibility. For this purpose, the EBA is considering issuing a no action letter advising competent authorities not to prioritise the enforcement of the disclosure of certain templates related to the Green Asset Ratio and Taxonomy Regulation for large and listed institutions; nor the enforcement of the disclosure of any ESG-related templates for other institutions.

Finally, the EBA is further supporting institutions in their compliance with disclosure requirements by providing an updated mapping tool between Pillar 3 and supervisory reporting.

Consultation process

Responses to the consultation can be sent to the EBA by clicking on the “Submit response” button on the consultation page.

All contributions received will be published after the consultation closes, unless requested otherwise. The deadline for the submission of comments is 22 August 2025

A public hearing on this consultation will take place via conference call on 26 June 2025 from 11:00 to 12:30 CEST. Deadline for registration is 24 June 2025 at 16:00 CEST.

Legal basis and background

Regulation (EU) 2024/1623 of the European Parliament and of the Council amending Regulation (EU) No 575/2013 (CRR3) implements the Basel Committee on Banking Supervision (BCBS)’s December 2017 Basel III post-crisis regulatory reforms in EU, while considering the specific aspects of the EU’s banking sector. The new banking package envisages further harmonisation of supervisory powers and enforcement tools and an increase in transparency and proportionality in the Pillar 3 disclosure requirements.

The EBA’s plan on how to implement the mandates included in the Banking Package is explained in the ‘EBA Roadmap on strengthening the prudential framework’, published in December 2023. Commission Implementing Regulation (EU) 2024/3172 including the new and amended disclosure requirements directly linked to Basel III implementation was published last year as part of step 1 of the EBA roadmap. As part of step 2 of the EBA roadmap, the Pillar 3 disclosure framework is amended to consider the other CRR 3 amendments to Part Eight of the CRR, including disclosure requirements on equity exposures (Article 438(e) of CRR3); new disclosure requirements on the aggregate exposure to shadow banking entities (Article 449b of CRR3); and the extension of the scope of application of disclosure requirements on ESG risks to all institutions (Article 449a of CRR3).

In addition, the Guidelines on disclosure of non-performing and forborne exposures (EBA/GL/2018/10 as amended by EBA/GL/2022/13) are repealed, considering the extension of the disclosure requirements on non-performing exposures and forbearance to listed SNCI and other non-listed institutions in accordance with the CRR 3 Articles 433b and 433c.

On February 26, 2025, the Commission published the Omnibus proposal aimed at simplifying sustainability reporting under the Corporate Sustainability Reporting Directive (CSRD), Corporate Sustainability Due Diligence Directive (CSDDD), and Taxonomy Regulation.
MIL OSI Europe News –
May 27, 2025
MIL-OSI USA: Rutherford Statement on Passing the One Big Beautiful Bill
Source: United States House of Representatives – Congressman John Rutherford (4th District of Florida)

WASHINGTON, D.C. – On Thursday, U.S. Congressman John H. Rutherford (FL-05) released the following statement on the House passage of the One Big Beautiful Bill:

The One Big Beautiful Bill will give Americans a much-needed tax break AND refocus our country on delivering for the American people. That’s why I voted YES.

Contrary to what you are hearing about the One Big Beautiful Bill, it will NOT be a huge deficit bill. In fact, the Congressional Budget Office (CBO) was wrong about the original Tax Cuts and Jobs Act (TCJA) score in 2017. They failed then to account for the tremendous economic growth caused by tax relief for hardworking, middle-class Americans. So, why should we believe them now?

This bill will NOT cut Medicaid and SNAP benefits – it WILL strengthen these programs for future generations.

The Big Beautiful Bill WILL:
- Continue to boost our economy
- Make President Trump’s tax cuts permanent
- Focus resources on permanently closing the Southern Border
- Incentivize Made-In-America cars and manufacturing
- End taxes on tips and overtime pay
- Slash taxes on Social Security, offering historic tax relief to seniors
- Increase the Child Tax Credit
- Secure more than a trillion dollars in mandatory savings
- Cap SALT deductions
- Update air traffic control system to ensure Americans fly safely and efficiently
- Unleash American energy dominance
- Cut Green New Deal policies
- Revolutionize our national security and America’s maritime dominance
MIL OSI USA News –
May 27, 2025
MIL-OSI USA: Pressley’s Statement on House Passage of Cruel Republican Reconciliation Bill
Source: United States House of Representatives – Congresswoman Ayanna Pressley (MA-07)

In Early Morning Floor Speech, Pressley Made Final Appeal to Republicans to Reject Bill That Would Make Millions Poorer, Sicker, Hungrier, and More Vulnerable

Bill Would Rip Away Healthcare and Food Assistance from Millions, Harm Everyone in America to Fund More Tax Breaks for Billionaires Like Elon Musk and Donald Trump

Floor Speech (YouTube)

WASHINGTON – Today, Congresswoman Ayanna Pressley (MA-07) issued the following statement on the House’s passage of Republicans’ cruel reconciliation bill, which would gut Medicaid and SNAP, and rip healthcare and food assistance away from millions of people, including in Massachusetts. In an early morning speech on the House floor, Congresswoman Pressley made a direct, final appeal to her Republican colleagues to oppose this cruel and harmful bill.

“Today, under the cover of night, House Republicans rammed through a cruel, callous, and morally bankrupt bill that would gut Medicaid, slash food assistance, and kick 14 million people off their healthcare—all to shower toy spaceship billionaires like Donald Trump and Elon Musk with hundreds of billions more in tax giveaways. This legislation would make communities in the Massachusetts 7^th and across the country poorer, sicker, hungrier, and more vulnerable.

“This bill would rip food out of the mouths of families already struggling to put meals on the table. It would decimate healthcare in America and worsen our maternal health crisis. It would gut mental health funding under SAMHSA and cut cancer research, putting lives at risk and turning its back on people struggling with addiction, mental health crises, cancer diagnoses, and much, much more.

“This bill is a shameful betrayal of our shared humanity. I urge the Senate to stand with the people and reject this heinous legislation. This is a somber day, but this fight is not over.”

Across Massachusetts, over 955,000 Medicaid enrollees are at risk of losing healthcare coverage under MassHealth, the Commonwealth’s Medicaid program, due to the bill’s work reporting requirements for Medicaid. In the Massachusetts 7^th Congressional District, approximately 135,000 enrollees would lose coverage.

Republicans’ extreme budget plan also threatens the approximately 1,216,000 people in the Commonwealth who depend on SNAP to put food on the table, including 187,000 people in the Massachusetts 7^th Congressional District.

Congresswoman Pressley has been an outspoken critic of this harmful legislation since its inception.
- Rep. Pressley delivered a floor speech in which she slammed the bill’s proposed Medicaid cuts, which would decimate reproductive healthcare in America and worsen maternal health outcomes.
- Rep. Pressley co-hosted a press conference with Color of Change to oppose the Republicans’ cruel and harmful budget reconciliation package, which would gut critical programs like Medicaid and SNAP.
- Rep. Pressley rallied with caregivers, advocates, and fellow lawmakers at a 24-hour vigil to protect Medicaid from Republicans’ cruel budget cuts that would devastate communities across this country.
- In the House Oversight Committee’s markup of the Republican reconciliation bill, Rep. Pressley demanded Republicans answer to the families who would go hungry by way of this reconciliation bill – and she was met with silence.
- In the House Financial Services Committee’s markup of the Republican reconciliation bill, Rep. Pressley condemned the bill’s proposed cuts to Medicaid and shared the story of Mary Marinelli, a 70-year-old hospice nurse from a Republican district in Michigan whose family depends on Medicaid to care for their autistic son.
- In an impassioned speech on the House floor, Rep. Pressley slammed Republicans’ cruel and callous budget resolution that would slash Medicaid and other critical government services to pay for trillions of dollars in tax giveaways for Donald Trump’s billionaire donors.
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MIL OSI USA News –
May 27, 2025

Category: Taxation

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