Thursday Reads

Good Morning!!

U.S. President Joe Biden's first address to a joint session of Congress

Michael Reynolds/Pool via REUTERS

Last night President Biden gave his first speech to a joint session of Congress. For the first time, two women sat behind the president, Vice President Kamala Harris and Speaker of the House Nancy Pelosi. A couple of reactions to the speech:

Philip Bump at The Washington Post: In his first speech to Congress, Biden rejects autocracy — including from Trump.

There were two moments during President Biden’s address to the nation on Wednesday in which he obviously, if only indirectly, referred to the man who preceded him in his position.

The first came near the beginning.

“America is rising anew,” Biden said, “choosing hope over fear, truth over lies, and light over darkness.”

Only the second of those three pairings is immediately and obviously about Donald Trump; the former president’s indifference to accuracy is unparalleled. But by stringing the three together, Biden was similarly positioning Trump as the target of the other pejoratives. America under Trump, he’s saying, was a place of fear, dishonesty and darkness. That tracks with Biden’s past rhetoric and, frankly, Trump’s own: Biden warned the country last autumn that a dark winter was coming because of the pandemic (and Trump’s leadership failures), and Trump himself made fear a central part of his reelection bid.\But now, Biden argued on Wednesday night, all of that was swept aside.

“After 100 days of rescue and renewal, America is ready for takeoff, in my view,” he said. “We’re working again, dreaming again, discovering again and leading the world again. We have shown each other and the world that there’s no quit in America.”

From there, Biden turned his attention to an exhaustive list of policy priorities, one that, in its own way, differentiated his speech from any of Trump’s. Not only were his proposals robust and detailed in a way that was never Trump’s style, they were also progressive in a way that no Republican’s would be. It was an obvious difference and, of course, the most important one in terms of governance.

But it was also a reminder that Biden always ran on being a president who just sort of quietly went about presidenting, a promise that he has fulfilled in spades.

A CNN poll found that public reaction to the speech was positive: CNN Poll: 7 in 10 who watched say Biden’s speech left them feeling optimistic.

About half of Americans who watched President Joe Biden’s address to Congress had a very positive reaction to the speech, and 71% said they walked away feeling more optimistic about the country’s direction, according to a CNN Poll conducted by SSRS.

E0Gxo1TVEAQFpzCBy a wide margin, speech-watchers said that Biden’s policy proposals would move the country in the right direction (73%) rather than the wrong direction (27%). In a survey conducted before the speech, the same people were a bit less bullish that Biden would lead in the right direction (67% right direction, 33% wrong direction), and that movement came from the independents and Republicans who watched the speech. Among Republicans, the share saying Biden’s policies would move the country in the right direction grew from 13% pre-speech to 27% post-speech, while among independents, that percentage rose from 61% to 73%.

That perception carries through to the major issues covered in the speech. More than 8 in 10 said Biden’s proposals on the coronavirus pandemic would move in the right direction (86%), and 74% said the same about racial injustice. Around 7 in 10 said the President’s policies on the economy (72%), gun laws (70%) and taxes (70%) were steps in the right direction. Slightly fewer said the same about immigration (65%).

And Biden’s focus on those issues appeared to hit the right mark for speech-watchers. Overall, 68% said Biden has had the right priorities so far as president, while 32% said he has not paid enough attention to the most important problems.

The other big news yesterday was that Rudy Giuliani’s home and office were searched by Federal agents. Some reactions:

From The Week, via Yahoo News: Federal investigators search Giuliani’s home and office, and experts say it means he’s in real trouble.

Federal investigators searched Rudy Giuliani’s home and office in Manhattan on Wednesday, executing search warrants as part of an investigation into his business dealings in Ukraine, reports The New York Times.

The former New York City mayor and personal lawyer to former President Donald Trump is being investigated over possible illegal lobbying on behalf of Ukrainian officials and his efforts to dig up dirt on Trump’s political rivals. “Executing a search warrant is an extraordinary move for prosecutors to take against a lawyer, let alone a lawyer for a former president,” writes the Times. “While the warrants are not an explicit accusation of wrongdoing against Mr. Giuliani, it shows that the investigation has entered an aggressive new phase.”

e9oxrHhCExperts agreed the search represented very serious stakes for Giuliani. Former U.S. attorney Harry Litman wrote that “this means that a magistrate judge has found probable cause to believe that [Giuliani’s actions in Ukraine] were criminal.” As the Times writes, “to obtain a search warrant, investigators need to persuade a judge they have sufficient reason to believe that a crime was committed and that the search would turn up evidence of the crime.”

Federal prosecutor and legal analyst Shanlon Wu called the search an “extraordinary step,” and wrote that “no amount of hot air and ranting is going to help Rudy Giuliani now.”

Litman continued: “I don’t know offhand the percentage of people whose [apartments] are searched by warrant who are then indicted … but it’s high, and given Giuliani’s profile, it has to be higher [because] they would be more careful and get lots of approvals.”

The search warrant was reportedly a long time coming, and politics may have slowed it down. The process was delayed for the presidential election so as not to sway voters, and Trump appointees at the DOJ reportedly managed to temporarily block the warrant while Trump was still in office.

Former U.S. Attorney Preet Bharara agrees. Benjamin Hart at New York Magazine: Preet Bharara Thinks Rudy Giuliani Is in ‘Deep Trouble.’

I spoke with Preet Bharara, who served as the U.S. Attorney for the district from 2009 to 2017 — and whose podcast, Stay Tuned, was recently acquired by Vox Media — about Giuliani’s predicament and where the investigation might go next.

28d18330dd2ee5d27239b46eb62eb5ebc5633101How significant is this move by the Feds from your perspective? How much legal danger does Giuliani face here?
I think it’s extremely significant. I’m not one to say that when routine subpoenas are issued or interviews are conducted, but here you have a very prominent person — not just the former lawyer to the president of the United States but also the former U.S. Attorney of the office that’s involved in the investigation. The fact that you execute a warrant on someone’s residence does not necessarily mean there will be a charge, but given the circumstances, given the identity of Mr. Giuliani, given what you have to show to get a judge to authorize the warrant and the search — that’s a sign that he’s in deep trouble. We saw this play out with respect to Michael Cohen and to Paul Manafort. Very prominent targets, very sensitive cases. Both of those men were charged.

The two people you just cited also both went to prison. Is that where this could be going?

I used to head that office, and there are search warrants that get executed on people’s premises and their offices, and no charges follow. That happens, and Giuliani is presumed to be innocent. But what’s likely is that there has already been substantial investigation. The reporting was that they tried to execute these searches when Trump was in office, and they were stymied by higher-ups in the Justice Department. Bear in mind, they’re probably far along, given what showing they have to make of probable cause to do these searches in the first place. They likely already have a lot of Rudy Giuliani’s communications. You don’t need to have his devices in your possession to have email records; those are obtained from third parties, and they probably have all of that. It’s anyone’s guess what the charges will be and when they will come. But in my experience, when you do something like this, that you know will have a reputational effect on the subject, you’re usually thinking there’s a good likelihood of a charge.

It hasn’t been as widely reported, but it’s also significant that the Feds searched the home of another Trump-associated attorney, Victoria Toensing. Nicholas Reimann at Forbes: Feds Search Giuliani’s, Toensing’s Properties As Part Of Ukraine Investigation.

Federal investigators searched Rudy Giuliani’s Manhattan apartment on Wednesday and later searched the home of attorney Victoria Toensing as part of a probe into whether Giuliani acted on behalf of Ukrainian oligarchs to illegally lobby the Trump Administration, according to multiple reports, with investigators said to have seized electronic devices.

A bit more from The New York Times

26dc-Digenova-superJumbo-v2F.B.I. agents also executed a search warrant on Wednesday morning at the Washington-area home of Victoria Toensing, a lawyer close to Mr. Giuliani who had dealings with several Ukrainians involved in the hunt for information on the Bidens, according to people with knowledge of that warrant. The warrant was for her cellphone.

Ms. Toensing, a former Justice Department official, has also represented Dmitry Firtash, a Ukrainian oligarch under indictment in the United States whose help Mr. Giuliani sought.

More stories to check out:

Susan Glasser at The New Yorker: Biden’s Speech Offers an Alternate Reality for Democrats to Love, After Four Years of Trumpian Fantasy.

Wall Street Journal: Stocks Are Off to Best Start to a Presidential Term Since Great Depression.

Newsweek: Rudy Giuliani Voicemail Hints at Cause of Federal Search Warrant.

The Los Angeles Times: FBI director says Capitol riot was ‘domestic terrorism.’

The Washington Post: Trump supporter found guilty of threatening to kill members of Congress after Jan. 6 insurrection.

Politico: Trump’s Battle to Win the First 100 Days.

CNN: US investigating possible mysterious directed energy attack near White House.

Minneapolis Star Tribune: Feds plan to indict Chauvin, other three ex-officers on civil rights charges.

CBS News: In India, a scramble for scarce vaccines as COVID deaths top 200,000.

CNN: India’s Covid-19 crisis is a problem for the world.

That’s it for me today. What’s on your mind?


Lazy Saturday Reads: Big Steps Forward in Russia Investigation

Coffee and Donuts, Scott Moore

Good Morning!!

It appears that Special Prosecutor Robert Mueller is getting closer to finding crimes committed foreign persons and by Trump’s closest advisers; and Jared Kushner may be at the center of it all. For Trump, the shit is about to get real.

It all centers around Facebook and microtargeting. As I’m sure you know, Mueller recently obtained a warrant for the content of ads that Facebook sold to a Russian source. CNN has the latest this morning: Facebook handed Russia-linked ads over to Mueller under search warrant.

Facebook gave Mueller and his team copies of ads and related information it discovered on its site linked to a Russian troll farm, as well as detailed information about the accounts that bought the ads and the way the ads were targeted at American Facebook users, a source with knowledge of the matter told CNN.

The disclosure, first reported by the Wall Street Journal, may give Mueller’s office a fuller picture of who was behind the ad buys and how the ads may have influenced voter sentiment during the 2016 election.

Facebook did not give copies of the ads to members of the Senate and House intelligence committees when it met with them last week on the grounds that doing so would violate their privacy policy, sources with knowledge of the briefings said. Facebook’s policy states that, in accordance with the federal Stored Communications Act, it can only turn over the stored contents of an account in response to a search warrant.

Clark Kent Breakfast, Dave Seguin

“We continue to work with the appropriate investigative authorities,” Facebook said in a statement to CNN.

Facebook informed Congress last week that it had identified 3,000 ads that ran between June 2015 and May 2017 that were linked to fake accounts. Those accounts, in turn, were linked to the pro-Kremlin troll farm known as the Internet Research Agency.

This is significant, because it indicates that Mueller has evidence of crimes related to the Facebook data. Business Insider: Mueller just obtained a warrant that could change the entire nature of the Russia investigation.

FBI Special Counsel Robert Mueller reportedly obtained a search warrant for records of the “inauthentic” accounts Facebook shut down earlier this month and the targeted ads these accounts purchased during the 2016 election.

The warrant was first disclosed by the Wall Street Journal on Friday night and the news was later confirmed by CNN.

Legal experts say the revelation has enormous implications for the trajectory of Mueller’s investigation into Russia’s election interference, and whether Moscow had any help from President Donald Trump’s campaign team.

“This is big news — and potentially bad news for the Russian election interference ‘deniers,'” said Asha Rangappa, a former FBI counterintelligence agent.

Rangappa, now an associate dean at Yale Law School, explained that to obtain a search warrant a prosecutor needs to prove to a judge that there is reason to believe a crime has been committed. The prosecutor then has to show that the information being sought will provide evidence of that crime….

by Victor Ostrovsky

“The key here…is that Mueller clearly already has enough information on these accounts — and their link to a potential crime to justify forcing [Facebook] to give up the info,” she said. “That means that he has uncovered a great deal of evidence through other avenues of Russian election interference.”

It also means that Mueller is no longer looking at Russia’s election interference from a strict counterintelligence standpoint — rather, he now believes he may be able to obtain enough evidence to charge specific foreign entities with a crime.

Read more in this Twitter thread–click to read the rest:

And who was in charge of the data operation for the Trump campaign? Jared Kushner. He revealed a lot about how he did it in a Forbes article back in May 2017: Jared Kushner In His Own Words On The Trump Data Operation The FBI Is Reportedly Probing. A couple of excerpts:

— “We found that Facebook and digital targeting were the most effective ways to reach the audiences. After the primary, we started ramping up because we knew that doing a national campaign is different than doing a primary campaign. That was when we formalized the system because we had to ramp up for digital fundraising. We brought in Cambridge Analytica. I called some of my friends from Silicon Valley who were some of the best digital marketers in the world. And I asked them how to scale this stuff. Doing it state by state is not that hard. But scaling is a very, very hard thing. They gave me a lot of their subcontractors and I built in Austin a data hub that would complement the RNC’s data hub. We had about 100 people in that office, which nobody knew about, until towards the end. We used that as the nerve center that drove a lot of the deployment of our ground game resources….

Fabio Hurtado Spanish, b. 1960

— “We played Moneyball, where we were asking, ‘Which states are will be the most cost effective—ROI per electoral vote.’ We used a lot things to get much more bang for the buck… We got rid of a lot of the political people. That’s not who we hired. Our best people were mostly people who volunteered pro bono, people from the business world, people from nontraditional fields. We could squeeze the margin so that nobody was getting rich on it. And we only had people who were doing it for the right reasons, not because they wanted to go onto the next campaign, but because they felt passionately about getting Donald Trump elected.”

Yesterday Vanity Fair published a piece by Chris Smith that connects a lot of dots: Did Jared Kushner’s Data Operation Help Select Facebook Targets for the Russians?

Kushner’s chat with Forbes has provided a veritable bakery’s worth of investigatory bread crumbs to follow. Brad Parscale, who Kushner hired to run the campaign’s San Antonio-based Internet operation, has agreed to be interviewed by the House Intelligence Committee.

Bigger questions, however, revolve around Cambridge Analytica. It is unclear how Kushner first became aware of the data-mining firm, but one of its major investors is billionaire Trump backer Robert Mercer. Mercer was also a principal patron of Breitbart News and Steve Bannon, who was a vice president of Cambridge Analytica until he joined the Trump campaign. “I think the Russians had help,” said Congresswoman Jackie Speier, a California Democrat who is a member of the House Intelligence Committee. “I’ve always wondered if Cambridge Analytica was part of that.” (Cambridge Analytica did not respond to a request for comment.) ….

by PJ Crook

No evidence has emerged to link Kushner, Cambridge Analytica, or Manafort to the Russian election-meddling enterprise; all have denied colluding with foreign agents. (Kushner’s representatives declined to comment for this article. Manafort’s spokesman could not be reached.) Yet analysts scoff at the notion that the Russians figured out how to target African-Americans and women in decisive precincts in Wisconsin and Michigan all by themselves. “Could they have hired a warehouse full of people in Moscow and had them read Nate Silver’s blog every morning and determine what messages to post to what demographics? Sure, theoretically that’s possible,” said Mike Carpenter, an Obama administration assistant defense secretary who specialized in Russia and Eastern Europe. “But that’s not how they do this. And it’s not surprising that it took Facebook this long to figure out the ad buys. The Russians are excellent at covering their tracks. They’ll subcontract people in Macedonia or Albania or Cyprus and pay them via the dark Web. They always use locals to craft the campaign appropriately. My only question about 2016 is who exactly was helping them here.”

Click on the Vanity Fair link to read the rest.

More on the Cambridge Analytica piece of this at CNBC:

Darren Bolding, chief technology officer of Cambridge Analytica, told the crowd at the third annual Internet Summit in San Francisco on Thursday that “algorithms will find the worst in us if you let them go nuts.”

His comments came during an interview onstage with Harvard University law professor Lawrence Lessig in front of several hundred people gathered to hear him discuss the campaign. The interview was led by Matthew Prince, the CEO of internet service provider Cloudflare, which removed a white supremacist website from its network in the wake of Trump’s comments after a deadly rally in Charlottesville, Virginia.

Arjona, Rafael-Lectora

Bolding — who worked at the Republican National Committee before joining Cambridge in January of 2017 — said that the RNC used 15 “issue models” to target political ads at Facebook users during the 2016 U.S. election campaign….The event came as Facebook faces growing criticism to release more details on the ads it sent to users that it says were bought by Russians looking to influence U.S. voters.

The ads were targeted using the same automated Facebook system used by Cambridge Analytica, and for the same purpose — to influence the U.S. presidential election.

And that’s not the only Russia Investigation story that broke yesterday.

Bloomberg: Russia Laundering Probe Puts Trump Tower Meeting in New Light. The Russian lawyer who met with Don Jr., Kushner and Paul Manafort in June 2016 was also involved in a huge money laundering case–could getting rid of that case have been the quid pro quo for Russian help in getting Trump elected?

when she stepped into Trump Tower, [Natalia] Veselnitskaya was also representing a client ensnared in a long-running U.S. investigation into an alleged web of Russian money-laundering. That criminal inquiry, opened by federal prosecutors in New York in 2013 and previously unreported, is still active, according to people familiar with the probe. There was no mention of an ongoing criminal inquiry when the U.S. settled a related civil lawsuit against Veselnitskaya’s client in May.

The outline of the criminal investigation, stretching from Switzerland to Cyprus, is laid out deep within the 734 filings in the civil case. Several countries have supplied documents to the U.S., as have Deutsche Bank AGCitigroup Inc. and other global banks that aren’t targets. U.S. prosecutors in the case are seeking to track parts of more than $200 million they say left Russia after a massive fraud, and to identify who was involved in the scheme.

The revelation adds a new element to the Trump Tower meeting, which has emerged as a focus of congressional investigators and a U.S. special counsel inquiry into Russian meddling in the 2016 U.S. presidential election.

Recall that Trump fired former Manhattan U.S. Attorney Preet Bharara, who had brought the case in 2013 and later the Justice Department settle the case for peanuts:

After years of court wrangling over the civil case, the Prevezon matter was set for trial in May 2017, promising a public view of prosecutors’ full allegations about the Russian money flows. But just days before opening arguments, the U.S. announced it had settled the case for $5.9 million.

Ana Maria Leão

The prosecutors called it a victory. So did Prevezon lawyer Gay, who called the U.S. settlement “almost an apology by the government.”

Several Democratic lawmakers looked at the Prevezon settlement in a new light two months later, when news emerged about the Veselnitskaya meeting in Trump Tower. In a letter, they asked whether the Russian lawyer, or members of the Trump team, may have put pressure on prosecutors in the matter.

Natasha Bertrand has more at Business Insider: New details about major Russian money-laundering investigation raise the stakes of Trump Tower meeting.

The criminal investigation had not yet been disclosed when Attorney General Jeff Sessions fired Bharara in March, and there was no mention of it when the civil case was settled in May for $5.9 million.

Veselnitskaya has staunchly denied discussing the Prevezon case during the Trump Tower meeting. But the developments suggest the stakes for her client were higher than previously known.

In September 2016, Bharara had issued a grand-jury subpoena to Andrei Alekseevich Pavlov — a person “central to the Government’s case against Prevezon,” according to an emergency appeal filed at the time by Prevezon counsel Michael Mukasey, who wanted to depose him.

Citigroup, Deutsche Bank AG, UBS AG, and TD Bank were also issued grand-jury subpoenas, according to Bloomberg, which did not provide further details.

Grand-jury testimonies are a key stage in a federal criminal investigation. The subpoena issued by Bharara to Pavlov, and provided to Business Insider on Friday, ordered him to hand over documents related to a series of cases connected to the Prevezon investigation.

The subpoena also asked Pavlov to provide “all non-privileged correspondence” with Veselnitskaya and others relevant to the case.

This was all short-circuited when the DOJ settled the case. Read more details at BI.

In the days leading up to Donald Trump’s presidential inauguration, when his soon-to-be national security adviser Michael Flynn was reportedly pushing a multibillion-dollar deal to build nuclear reactors in Jordan and other Middle East nations, Flynn and two other top Trump advisers held a secret meeting with the king of Jordan.

Karin Jurick

meeting — details of which have never been reported — is the latest in a series of secret, high-stakes contacts between Trump advisers and foreign governments that have raised concerns about how, in particular, Flynn and senior adviser Jared Kushner handled their personal business interests as they entered key positions of power. And the nuclear project raised additional security concerns about expanding nuclear technology in a tinderbox region of the world. One expert compared it to providing “a nuclear weapons starter kit.”

On the morning of Jan. 5, Flynn, Kushner, and former chief strategist Steve Bannon greeted Mi at the Four Seasons hotel in lower Manhattan, then took off in a fleet of SUVs and a sedan to a different location.

People close to the three Trump advisers say that the nuclear deal was not discussed. But a federal official with access to a document created by a law enforcement agency about the meeting said that the nuclear proposal, known as the Marshall Plan, was one of the topics the group talked about.

Read the rest at the link. It sure looks like Mueller is getting closer to nailing Trump and his gang.

What stories are you following today?