Justin Amash Votes Against Resolution Urging FBI To Investigate QAnon Conspiracy Theory

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Today the U.S. House of Representatives passed a resolution condemning the QAnon conspiracy theory and encouraging federal law enforcement and intelligence agencies to take a more proactive role in monitoring its adherents.

Dissenting from the widely supported bipartisan measure, which passed 371-18, were a small minority of Republican representatives—and Rep. Justin Amash (L–Mich.). The latter argued the resolution posed serious free speech concerns and could be counterproductive.

“The resolution threatens protected speech (absurd as that speech may be), and its prescriptions for addressing QAnon aren’t appropriate for what we know about them,” said Amash on Twitter following the vote. “These are conspiracy theorists who believe in a deep state that’s fighting against them, so Congress’s declaring that the intelligence community and FBI should be sent after them just confirms their fears.”

QAnon is a conspiracy theory that the American government is dominated by a secret cabal of deep state elites who operate, according to some adherents, a Satanic child sex trafficking ring. The conspiracy theory has earned endorsements from some Republican congressional candidates, who view said Satanic deep state cabal as working against President Donald Trump.

The House resolution includes five clauses. The first condemns QAnon and associated conspiracies. A second catchall provision condemns all groups and ideologies “from the far left to the far right, that contribute to the spread of unfounded conspiracy theories” and promote vandalism and attacks on law enforcement.

More troubling is a third plank that encourages the FBI and other federal law enforcement agencies to “strengthen their focus on preventing violence, threats, harassment, and other criminal activity by extremists motivated by fringe political conspiracy theories.”

The resolution also encourages “the intelligence community to uncover any foreign support, assistance, or online amplification QAnon receives, as well as any QAnon affiliations, coordination, and contacts with foreign extremist organizations or groups espousing violence.”

Amash’s “no” vote earned him scorn from people who dismissed his expressed civil liberties concerns as insincere given the non-binding nature of the resolution.

The controversy mirrors one from earlier in the year over Congress’ anti-lynching bill, which expanded the number of federal crimes that could be punished with the death penalty. Amash voted “no” on that bill because of his opposition to capital punishment, but his stance earned him criticism for being insufficiently anti-lynching.

It’s true that people who’ve expressed support for QAnon conspiracies have committed acts of violence, some of which are referenced in the House resolution. Treating it like a national security threat, however, is wildly disproportionate to any supposed threat that the movement—if it can even be described that way—poses. And siccing the security state on believers of a conspiracy that the security state is out to get them seems tailor-made to validate and inflame the fears of QAnon adherents.

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As Airlines Begin Layoffs, Nancy Pelosi Promises Bailout

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Two major American airlines are threatening to cut roughly 32,000 jobs in the coming weeks unless Congress delivers another taxpayer-funded bailout—and Speaker of the House Nancy Pelosi (D-Calif.) is preparing to clear the runway.

In a statement on Friday, Pelosi called on airlines to delay planned layoffs that were scheduled to begin after a previous round of federal support expired. Pelosi said House Democrats were working to extend another round of emergency aid to airlines in a stand-alone bill after the passage of a larger coronavirus relief package stalled in the Senate.

American Airlines and United Airlines announced plans this week to slash 19,000 and 13,000 jobs, respectively, after the expiration of a $32 billion aid package passed in March. That bailout, part of the $3 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act, allowed airlines to tap into federal assistance as long as they kept at least 90 percent of their staff on payroll through the end of September.

With that deadline now passed and air travel still suffering due to the COVID-19 pandemic—passenger air traffic is running at roughly 30 percent of 2019 levels, Reuters reported on Friday—airlines are expected to cut unnecessary staff. But those layoffs create a political problem for congressional leaders and the Trump administration, neither of which want to see unemployment climb again in advance of the election. The airlines are seeking another $25 billion.

“An airline bailout is bad policy and bad use of taxpayers’ money,” says Iain Murray, vice president of the Competitive Enterprise Institute, a free market think tank.

Congress is trying to protect what Murray calls “legacy carriers,” whose business models are anchored in business travel that no longer makes sense. A bailout, he says, obscures the simple truth that “air travel is not going to ‘return to normal’ anytime soon.”

Despite that, even Republicans are trying to present the possible bailout as a fiscally prudent step. As Reason‘s Christian Britschgi highlighted last month, White House Chief of Staff Mark Meadows, the former chairman of the supposedly fiscally conservative House Freedom Caucus, has been pushing for more aid to airlines. Sen. John Cornyn (R–Texas) has also voiced support for an airline bailout bill—perhaps because he’s running for reelection next month and represents a state where both American Airlines and Southwest Airlines are based.

But even if a bailout did make some degree of sense, the amount of money Congress is considering handing over to America’s airline industry is far more than what should be needed to keep workers on the payroll.

Do the math, says Veronique de Rugy, an economist at George Mason University and Reason contributor. Even if the 32,000 workers getting furloughed each earned $100,000 annually, supporting their wages for six months would require about $1.75 billion—far less than the $25 billion bailout Congress is considering.

“In other words, the airlines are demanding more than 10 times more than is necessary to support 35,000 employees,” writes de Rugy in an analysis published by the Mercatus Center, a right-of-center think tank.  “These circumstances suggest that the proposed bailout would benefit largely shareholders and creditors, despite its ostensible purpose to help workers.”

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As Airlines Begin Layoffs, Nancy Pelosi Promises Bailout

sfphotosfour740550

Two major American airlines are threatening to cut roughly 32,000 jobs in the coming weeks unless Congress delivers another taxpayer-funded bailout—and Speaker of the House Nancy Pelosi (D-Calif.) is preparing to clear the runway.

In a statement on Friday, Pelosi called on airlines to delay planned layoffs that were scheduled to begin after a previous round of federal support expired. Pelosi said House Democrats were working to extend another round of emergency aid to airlines in a stand-alone bill after the passage of a larger coronavirus relief package stalled in the Senate.

American Airlines and United Airlines announced plans this week to slash 19,000 and 13,000 jobs, respectively, after the expiration of a $32 billion aid package passed in March. That bailout, part of the $3 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act, allowed airlines to tap into federal assistance as long as they kept at least 90 percent of their staff on payroll through the end of September.

With that deadline now passed and air travel still suffering due to the COVID-19 pandemic—passenger air traffic is running at roughly 30 percent of 2019 levels, Reuters reported on Friday—airlines are expected to cut unnecessary staff. But those layoffs create a political problem for congressional leaders and the Trump administration, neither of which want to see unemployment climb again in advance of the election. The airlines are seeking another $25 billion.

“An airline bailout is bad policy and bad use of taxpayers’ money,” says Iain Murray, vice president of the Competitive Enterprise Institute, a free market think tank.

Congress is trying to protect what Murray calls “legacy carriers,” whose business models are anchored in business travel that no longer makes sense. A bailout, he says, obscures the simple truth that “air travel is not going to ‘return to normal’ anytime soon.”

Despite that, even Republicans are trying to present the possible bailout as a fiscally prudent step. As Reason‘s Christian Britschgi highlighted last month, White House Chief of Staff Mark Meadows, the former chairman of the supposedly fiscally conservative House Freedom Caucus, has been pushing for more aid to airlines. Sen. John Cornyn (R–Texas) has also voiced support for an airline bailout bill—perhaps because he’s running for reelection next month and represents a state where both American Airlines and Southwest Airlines are based.

But even if a bailout did make some degree of sense, the amount of money Congress is considering handing over to America’s airline industry is far more than what should be needed to keep workers on the payroll.

Do the math, says Veronique de Rugy, an economist at George Mason University and Reason contributor. Even if the 32,000 workers getting furloughed each earned $100,000 annually, supporting their wages for six months would require about $1.75 billion—far less than the $25 billion bailout Congress is considering.

“In other words, the airlines are demanding more than 10 times more than is necessary to support 35,000 employees,” writes de Rugy in an analysis published by the Mercatus Center, a right-of-center think tank.  “These circumstances suggest that the proposed bailout would benefit largely shareholders and creditors, despite its ostensible purpose to help workers.”

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Turkey Releases Grisly Crime Scene Footage Of Khashoggi Killing On 2nd Anniversary

Turkey Releases Grisly Crime Scene Footage Of Khashoggi Killing On 2nd Anniversary

Tyler Durden

Fri, 10/02/2020 – 16:39

Turkey’s Anadolu Agency has released gruesome never-before-seen footage related to journalist Jamal Khashoggi’s brutal murder. It is the second anniversary of his killing at the hands of a hit team believed sent by crown prince Mohammed bin Salman (MbS) at the Saudi consulate in Istanbul on October 2, 2018. 

No less than 15 men were sent to kill one individual who ran afoul of MbS, which included a bone saw used to dismember his body as he entered the consulate to do paperwork related to his impending marriage. Now for the first time police footage has been published of Turkish forensics investigators showing up to document what they found.

The police footage appears to show scattered clothing, as well as fluids on the walls – likely blood – revealed through crime scene UV blacklight.

It also shows a drainage pipe to a sewage area below, possibly used to dispose of the remains; however, Khashoggi’s body was never found.

Recall that the Turks released to the world a slow drip of damning information meant to put immense pressure on the Saudis over the killing, and which proved politically embarrassing in the weeks and months after the Oct. 2018 murder. It appears they are at it again now with this previously classified crime scene footage.

On Friday Turkish President Recep Tayyip Erdogan’s office called for the true killers who ordered and executed the hit to be punished.

“Jamal’s killers have since been exfiltrated. Harboured. Brought to a show trial. Allowed to walk free,” Fahrettin Altun, Erdogan’s communications director, said in a tweet.

We all know Jamal’s killers. Let’s make them pay: Send the Saudi henchmen to Turkey. Let them appear in a public court with international observers. Cooperate with the criminal investigation in Turkey – the only investigation that was ever intended to shed light on what happened.”

Saudi Arabia announced early last month that eight of its citizens have been convicted by a Saudi court for the grizzly slaying, and were given 20 years each. A prior 2019 trial had sentenced five to execution, but was later overturned.

Since the killing Riyadh has issued multiple conflicting narratives – all of which appear crafted to shield MbS and the royal family from any ultimate blame.

Indeed the 35-year old crown prince appears to have gotten off scot-free, and is soon due to become king given his father’s continued ill health.

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Short Circuit: A Roundup of Recent Federal Court Decisions

Please enjoy the latest edition of Short Circuit, a weekly feature from the Institute for Justice.

Wildfires are raging across the West, and California is grappling with a record-breaking season. Why, then, does the state tell qualified firefighters that they can’t earn a living fighting fires? The state’s irrational law barring people like IJ’s client Dario Gurrola from working isn’t the only one of its kind on the books. Learn more about this and other collateral consequences laws in the latest episode of IJ’s Deep Dive.

  • Pro tip: When drafting criminal laws, try to avoid language that the First Circuit is forced to call “a jumble of words.”
  • Two-thirds of this Third Circuit panel says that the First Amendment protects the public’s right to access off-the-record bail hearings but that right does not extend to recording or transcribing those hearings. Which, a dissent notes, seems like a pretty cruddy kind of right.
  • Fifth Circuit: We’re not saying a criminal defendant can never successfully establish a “trial penalty” claim, but the sentencing judge would pretty much have to say, “I’m imposing a trial penalty.”
  • Allegation: In 1987 and 1988, U.S. chemical manufacturer exports 538 tons of thiodiglycol to Western Europe, knowing that the shipments are likely to be diverted to Iraq for the manufacture of mustard gas. In 1994, veterans of the Gulf War sue, alleging they suffered injuries from exposure to mustard gas. After removal to federal court, district judge rules for chemical manufacturer. Fifth Circuit: Correctly. The Justice Against Sponsors of Terrorism Act does not apply to injury caused by acts of war, which this would be.
  • On September 25, just 18 days before early voting begins in Texas, a district court enjoined enforcement of a 2017 Texas law that eliminated straight-ticket voting. Fifth Circuit: Can’t be doing that so close to an election; the state has already mailed out thousands of ballots without straight-ticket voting. The ruling is stayed.
  • Michigan man drives drunk, sideswipes a car, runs from police into the woods, but eventually gives up. Even though he lies down and attempts to surrender, officer beats and chokes him, saying something like “that’ll teach you to run.” Jury awards $1 in actual damages and $200,000 in punitive damages. Sixth Circuit (over a dissent): Sure, punitive damages can be more than actual damages. But not that much more. $50,000, tops.
  • Michigan man falls $1,100 behind on his property taxes, leading the state to foreclose on his home, sell it at auction for about half its fair market value, and keep all the proceeds. Sixth Circuit: And he shall have his day in court. Neither the Tax Injunction Act nor the now-repudiated Williamson County doctrine bar his claim.
  • The Democratic National Committee challenges Wisconsin election statutes, contending that, although constitutional in principle, the laws will abridge voters’ rights during the pandemic. District court orders that some deadlines be extended. Intervenors, the Republican National Committee and the Republican Party of Wisconsin, seek a stay from the Seventh Circuit. Seventh Circuit: And how are you injured by this?
  • California churches challenge the constitutionality of the governor’s COVID-19 executive orders as they apply to in-person worship services. District court denies a preliminary injunction, and the churches seek an emergency injunction pending appeal. Ninth Circuit: Denied. Dissent: Attending church is at least as important as going to the mall or getting a pedicure, both of which are allowed.
  • Is it a problem when a prosecutor repeatedly tells the jury that the presumption of innocence no longer applies to the defendant? Two-thirds of this Ninth Circuit panel is quite sure it is.
  • Allegation: Suspecting drugs, Nevada prison officials strip-search a woman visiting her incarcerated boyfriend (including having her take out a tampon; she is not provided with a replacement). Ninth Circuit: She should’ve been given the option to leave rather than be searched. It’s a Fourth Amendment violation—but not a clear one. Qualified immunity!
  • California man gets a call from the police, who are investigating a burglary at his home. He leaves work to talk to them and—TWIST—there was no burglary. The “cops” are FBI agents investigating the man’s alleged child-porn possession. They lured him home to search him and his car, which weren’t covered by their warrant. Ninth Circuit (over a dissent): There are ruses, and there is exploiting government trust. Confession suppressed.
  • Proving once again that the “best evidence rule” does not actually refer to the helpfulness of evidence, the Tenth Circuit (over a dissent) vacates a drug conviction because the government offered translated transcripts of incriminating Spanish-language conversations instead of offering the original recordings.
  • And in en banc news, the Fourth Circuit will sit en banc to consider its stay of a district court order restraining South Carolina’s enforcement of its witness signature requirements for absentee ballots during the pandemic.

Friends, last year, Sylvia Gonzalez—a 72-year-old retiree—was elected to the Castle Hills, Texas city council on the promise that she’d work to make the city more responsive to citizens’ needs. But Gonzalez’s reform agenda did not sit well with the incumbents—representing the city’s entrenched interests—including the mayor and city manager, who residents complained did little to address their concerns. Rather than listening to Gonzalez’s concerns, officials abused their power to retaliate against her. Now she has joined with IJ to fight back. Click here to learn more.

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Luongo: “What’s Coming Next Will Not Be Pretty”

Luongo: “What’s Coming Next Will Not Be Pretty”

Tyler Durden

Fri, 10/02/2020 – 16:21

Authored by Tom Luongo via Gold, Goats, ‘n Guns blog,

While we were all distracted by the Kabuki Theater of the first ‘debate’ between Donald Trump and Joe Biden on Tuesday the bigger event was simply the turning of the calendar from September to October.

What is painful about so much market commentary is that it is focused on price. The Dow went up, huzzah! The dollar fell, huzzah?!

But prices are nothing without time. And most prices are meaningless. The only ones that truly matter are the ones we know definitively for any given period of time — Open, High, Low, Close.

Everything else is noise and errata.

So, the calendar shifting from September to October creates another opportunity to aggregate all the noise of two different time periods, one month and one quarter-year, and assess what people actually thought of the Dow or the dollar or Tesla or a micro-cap furniture company in Saigon.

Given the extreme political landscape, central bankers who have no answers and the obvious push for a remaking of society through the fear-mongering over COVID-19 this quarterly close may be one of the most important in the history of financial markets.

And the fight over important closing prices didn’t disappoint.

Last week I talked about what happens if the dollar really starts to rise, citing a massively bearish monthly chart pattern in the euro. To pull off one of the most bearish signals possible all the euro had to do was close below $1.1696 on Wednesday.

It didn’t. $1.1718 was the close. Bearish engulfing one-bar reversal avoided. Whew!

But for how long?

Germany slipped into deflation last quarter. The ECB can’t allow the euro to fall lest it begin putting upward pressure on rates as carry trades unwind. Right now the only thing keeping any of the markets afloat is insane levels of sovereign debt buying by central banks.

They are going through the motions that there are actual markets for these bonds and we are going through the motions that we actually want to own them.

If not for trillions in liquidity sloshing around looking for a home this whole system would collapse overnight. And yet there is no escape from it collapsing at some point anyway.

This is why the WEF’s Great Reset is happening. Those in power want to stay in power and remake the world in a different image. It’s becoming increasingly clear that COVID-19 is an excuse to introduce draconian lock downs to minimize the public’s outrage when they pull the plug on the current system.

Dividing the population into those that submit to this state of affairs and those who don’t was useful data for them. They now know how much push back they will get from the people and how many newly-minted brown shirts and Karens they will have to help them remake the world for the ‘common good.’

And whether anyone is aware of what is going on always shows up in the capital markets. The strong close by U.S. equity markets on Wednesday in the wake of Trump’s debate performance was your first clue.

As I noted in Wednesday’s post, “Elephants vote.”

Trump spoke to people’s elephants loudly and clearly amidst the calls from Chris Wallace and Joe Biden to, “Just shut up.” And those elephants realize that Trump is the only positive force in politics for the future of any vestige of capitalism.

Well, elephants also manage money.

And that’s why the subtle cues that happen in important markets after significant events are more important than 99% of all the price moves we see. It’s why obsessive ticker watching can easily lead you astray unless you are day-trading.

With the news that Donald Trump has COVID-19 and it’s not an asymptomatic post-hoc positive but rather a real diagnosis, the markets reacted badly to the news.

They want to believe there is a stimulus compromise coming from D.C. but as I’ve explained before, Pelosi and the Democrats work for the WEF and want the Great Reset to wipe us all out so they can remake the world and make it safe for their planned technocratic oligarchy.

But, the reality is that traders know this. That’s why the euro is weak today, stocks are closing the week with a whimper but U.S. markets look a helluva lot stronger than European ones.

Case in point. Here are the monthly charts for both the Dow Jones and the German DAX indexes.

The DAX is stuck below the 13,300 level and there is simply no appetite to take it higher. Look at the last four bars of the chart. It’s a strange pattern of higher highs and higher lows, which should be bullish but they are all, at the close, down bars — closing lower than the open.

That kind of non-committal action should be viewed as insider distribution rather than any kind of expression of strength. Powerful people trading the German markets are bailing on German stocks selling into the post-Coronapocalypse reaction rally high.

And they’ve been doing it for months.

Now, here’s the Dow Jones Industrials monthly chart. As Martin Armstrong routinely observes, the Dow is the best proxy for international capital movements into U.S. markets.

The Dow surged into the close on Wednesday (black arrow). It was the second-highest monthly close on record. That is remarkable given the state of the U.S. economy and the political desire to watch it burn.

Now I’m no fan of the larger bullhorn-like chart pattern stretching back four years and that signifies a potential crash in the future.

The differences between the DAX and the Dow Jones tell you that the smart people in Europe are moving their money out ahead of whatever is on the horizon.

But, right now, international equity markets are trading on the hope that Donald Trump wins re-election while the whole of the political class is expending every erg of capital they have to stop him and destroy the capital markets.

In spite of that, he is absolutely the odds-on favorite to win the election. Now whether or not he’ll be allowed to take office is a different story.

And the truth of it is all of what’s happening is their fault. They created this mess with moronic post-Keynesian economics, late-stage corporatist corruption and maleducating two generations into the believing Communism didn’t kill 200+ million people in the 20th century.

This is what undermined the structures built post-WWII as they’ve worked assiduously to weaken all social bonds, sow division and hide behind their minions in governments and the media.

Remember folks it’ll all be better when we embrace the Green New Deal Biden is confused about supporting and over throw everything good and decent in the world because there’s too much freedom in our first-world police states.

That’s the messaging of the Great Reset.

And if you don’t like what is planned well, they’ll be sending a bunch of UBI-sotted, fat-assed and tattooed BLM/Antifa thugs to your house to denounce you as racist while burning it down and taking your stuff while telling themselves their ‘fighting the power.’

What’s coming next will not be pretty regardless of Trump surviving COVID and getting re-elected. Deflation is here because it couldn’t be stopped. Now there is only oceans of money to print to throw into the abyss.

And that why there’s a plan in place and it will unfold because the people driving it have painted themselves into a corner if they want to retain power.

And they do at all costs.

*  *  *

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Short Circuit: A Roundup of Recent Federal Court Decisions

Please enjoy the latest edition of Short Circuit, a weekly feature from the Institute for Justice.

Wildfires are raging across the West, and California is grappling with a record-breaking season. Why, then, does the state tell qualified firefighters that they can’t earn a living fighting fires? The state’s irrational law barring people like IJ’s client Dario Gurrola from working isn’t the only one of its kind on the books. Learn more about this and other collateral consequences laws in the latest episode of IJ’s Deep Dive.

  • Pro tip: When drafting criminal laws, try to avoid language that the First Circuit is forced to call “a jumble of words.”
  • Two-thirds of this Third Circuit panel says that the First Amendment protects the public’s right to access off-the-record bail hearings but that right does not extend to recording or transcribing those hearings. Which, a dissent notes, seems like a pretty cruddy kind of right.
  • Fifth Circuit: We’re not saying a criminal defendant can never successfully establish a “trial penalty” claim, but the sentencing judge would pretty much have to say, “I’m imposing a trial penalty.”
  • Allegation: In 1987 and 1988, U.S. chemical manufacturer exports 538 tons of thiodiglycol to Western Europe, knowing that the shipments are likely to be diverted to Iraq for the manufacture of mustard gas. In 1994, veterans of the Gulf War sue, alleging they suffered injuries from exposure to mustard gas. After removal to federal court, district judge rules for chemical manufacturer. Fifth Circuit: Correctly. The Justice Against Sponsors of Terrorism Act does not apply to injury caused by acts of war, which this would be.
  • On September 25, just 18 days before early voting begins in Texas, a district court enjoined enforcement of a 2017 Texas law that eliminated straight-ticket voting. Fifth Circuit: Can’t be doing that so close to an election; the state has already mailed out thousands of ballots without straight-ticket voting. The ruling is stayed.
  • Michigan man drives drunk, sideswipes a car, runs from police into the woods, but eventually gives up. Even though he lies down and attempts to surrender, officer beats and chokes him, saying something like “that’ll teach you to run.” Jury awards $1 in actual damages and $200,000 in punitive damages. Sixth Circuit (over a dissent): Sure, punitive damages can be more than actual damages. But not that much more. $50,000, tops.
  • Michigan man falls $1,100 behind on his property taxes, leading the state to foreclose on his home, sell it at auction for about half its fair market value, and keep all the proceeds. Sixth Circuit: And he shall have his day in court. Neither the Tax Injunction Act nor the now-repudiated Williamson County doctrine bar his claim.
  • The Democratic National Committee challenges Wisconsin election statutes, contending that, although constitutional in principle, the laws will abridge voters’ rights during the pandemic. District court orders that some deadlines be extended. Intervenors, the Republican National Committee and the Republican Party of Wisconsin, seek a stay from the Seventh Circuit. Seventh Circuit: And how are you injured by this?
  • California churches challenge the constitutionality of the governor’s COVID-19 executive orders as they apply to in-person worship services. District court denies a preliminary injunction, and the churches seek an emergency injunction pending appeal. Ninth Circuit: Denied. Dissent: Attending church is at least as important as going to the mall or getting a pedicure, both of which are allowed.
  • Is it a problem when a prosecutor repeatedly tells the jury that the presumption of innocence no longer applies to the defendant? Two-thirds of this Ninth Circuit panel is quite sure it is.
  • Allegation: Suspecting drugs, Nevada prison officials strip-search a woman visiting her incarcerated boyfriend (including having her take out a tampon; she is not provided with a replacement). Ninth Circuit: She should’ve been given the option to leave rather than be searched. It’s a Fourth Amendment violation—but not a clear one. Qualified immunity!
  • California man gets a call from the police, who are investigating a burglary at his home. He leaves work to talk to them and—TWIST—there was no burglary. The “cops” are FBI agents investigating the man’s alleged child-porn possession. They lured him home to search him and his car, which weren’t covered by their warrant. Ninth Circuit (over a dissent): There are ruses, and there is exploiting government trust. Confession suppressed.
  • Proving once again that the “best evidence rule” does not actually refer to the helpfulness of evidence, the Tenth Circuit (over a dissent) vacates a drug conviction because the government offered translated transcripts of incriminating Spanish-language conversations instead of offering the original recordings.
  • And in en banc news, the Fourth Circuit will sit en banc to consider its stay of a district court order restraining South Carolina’s enforcement of its witness signature requirements for absentee ballots during the pandemic.

Friends, last year, Sylvia Gonzalez—a 72-year-old retiree—was elected to the Castle Hills, Texas city council on the promise that she’d work to make the city more responsive to citizens’ needs. But Gonzalez’s reform agenda did not sit well with the incumbents—representing the city’s entrenched interests—including the mayor and city manager, who residents complained did little to address their concerns. Rather than listening to Gonzalez’s concerns, officials abused their power to retaliate against her. Now she has joined with IJ to fight back. Click here to learn more.

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What Happens if Trump Becomes too Incapacitated to Serve, Drops Out of the Election, or Both?

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Donald Trump and First Lady Melania Trump.

 

Last night, President Trump announced that he and his wife Melania have both tested positive for the Coronavirus. This has led to speculation about what might happen if Trump becomes too incapacitated to continue serving as president, has to drop out of the election, or both. The former issue is governed by the Twenty-Fifth Amendment. Legal scholar Brian Kalt, who literally wrote the book on this subject, addressed the relevant issues in a recent Washington Post op ed:

The law is mostly clear about how to handle a president who falls seriously ill, but it’s not hard to envision a legal scenario that spins out of control quickly.

The key provision is the 25th Amendment…. Enacted in the 1960s after John F. Kennedy was assassinated and at the height of the Cold War, the 25th Amendment finally provided a clear process, with the aim of ensuring that there is always a hand at the helm.

Section 3 of the amendment allows the president to transfer power voluntarily to the vice president. To do this, Trump would send formal notice to the speaker of the House and president pro tempore of the Senate, declaring that he is “unable to discharge the powers and duties of his office.” Upon transmitting this declaration, Vice President Pence would become acting president — those powers and duties would all go to him. Whenever Trump felt able again, he would send a new declaration and immediately take back control…..

Recognizing that the president might be incapacitated but unwilling to admit it — or, more problematically, unable to admit it because he is unconscious — the 25th Amendment also includes Section 4, which transfers power without the president’s consent. Instead of Trump transmitting his declaration declaring he is “unable,” Pence and a majority of the core members of the Cabinet do so…. As in Section 3, power immediately transfers to the vice president. If Pence and the Cabinet members did invoke Section 4, then whenever Trump felt able enough to resume his duties, he would send a declaration to that effect, kicking off a four-day waiting period during which Pence would stay in control. If Pence and a majority of the Cabinet did not disagree with Trump’s declaration within those four days, Trump would retake his powers. If Pence and the Cabinet did disagree, the question would get kicked to Congress, with Pence in charge in the interim. Unless both chambers agreed by a two-thirds majority, within 21 days, that Trump was unable to serve, Trump would retake power. But even if Trump lost the congressional vote, he would not be removed from office, and he could try again and again to retake his powers using the same process.

Section 4 thus stacks the deck heavily in the president’s favor in a contested case — impeachment requires far fewer ducks to be aligned in a row against him….

The 25th Amendment has an important limit: It operates only when the president is incapacitated and when there is a vice president. The drafters of the amendment recognized that they were leaving a big hole — what if the president and vice president are both incapacitated? — but they believed that the amendment was too long and complicated as it was.

In sum, things are relatively clear unless either there is a disagreement between the president and VP/majority of the cabinet over whether the president is incapacitated, or if the vice president is also incapacitated, in which case the Speaker of the House of Representatives might potentially step in, but the process for determining when that is appropriate is murky, at best.

By contrast, things are pretty simple if  the president dies. In that event, the VP takes over, and if he cannot, then the Speaker of the House succeeds to the office.

What about the fate of the election if Trump dies or has to withdraw from the race, due to illness or incapacity? That is murky, as well. Rick Hasen, one of the nation’s leading election law scholars runs through the possibilities in this article:

The problem here is that ballots are already out and millions of people have already voted. At this point it seems impossible for the parties to come up with a new name to replace Trump or Biden on the ballot without starting the whole election process over. This is not practically possible about a month before Election Day, and becomes less possible by the day. Congress could pass a bill delaying the election, but it is almost impossible to believe they would.

While things are far from certain, what’s most likely is that the election would take place on time with the deceased or incapacitated candidate’s name on the ballot. Then there would be a question if legislatures would allow presidential electors of each state to vote for someone other than the deceased candidate, such as that candidate’s vice presidential selection, depending on who won the state. Only some state laws provide for this eventuality, allowing the votes for a named replacement to be counted. Some states have adopted the Uniform Faithful Presidential Electors Act, which leaves the question open…

Another alternative is that individual state legislatures would seek to appoint electors directly. Here’s where it gets especially tricky. Article 2 of the Constitution gives state legislatures the power to set the “manner” for choosing presidential electors. States have given that power to voters to vote, but they can take it back. It’s probably too late to take it back now that voters have started voting, but there’s a provision of the federal Electoral Count Act that lets state legislators choose electors when voters have not made a choice (for whatever reason). Could a Republican legislature—for example, Pennsylvania’s—say that an election with one deceased candidate on the ballot is not really an election where voters have made a choice, and try to appoint electors directly? They could try, though it is quite uncertain whether the courts and Congress would let them succeed…..

In short, there would be a ton of uncertainty if we faced such a tragedy as a presidential candidate dying or becoming incapacitated during this period.

Hasen’s analysis is, to say the least, far from entirely reassuring. There should be better and more clear procedures for handing this kind of situation.

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Tech Turmoils After ‘Positive’ POTUS, Jobs Jolts, And SoftBank Squeeze

Tech Turmoils After ‘Positive’ POTUS, Jobs Jolts, And SoftBank Squeeze

Tyler Durden

Fri, 10/02/2020 – 16:01

An ugly week for ‘hard’ real data in the US but ‘hope’ hit a two year high as ‘soft’ data outperformed…

Source: Bloomberg

Small Caps exploded higher this week (pumped-up 6 of last 7 days) and best week in 2 months as Nasdaq lagged (but all were higher on the week)…

It’s not the economy or fundamentals, it’s the stimulus handouts, stupid!

Source: @AWMCheung

Because, COVID or not, Jobs or not, Fiscal stimulus or not, Biden or not, you gotta look on the bright side of life, right?

Of course today’s market action was Trump Virus fears dueling with Pelosi’s false hopes for fiscal help…(but look at that divergence between Nasdaq and Small Caps at the open)…ugly close today too

Nasdaq underperformed Russell 2000 by the most since May today as we suspect market-makers stomped on the throat of Softbank’s gamma-squeezers…

Source: Bloomberg

And we note that Nasdaq VIX spiked hardest at the open and was the most aggressively bid today…

Source: Bloomberg

Notably, Nasdaq spec shorts collapsed by 40% but the index only managed marginally positive gains on the week (was Softbank trying to ignite a short-squeeze?)…

Source: Bloomberg

“Most Shorted” Stocks are up 6 days in a row (squeezed)

Source: Bloomberg

Some spurious comments from Pelosi on Airlines bailouts sparked a bid in that sector, but it faded somewhat as details were missing…

Source: Bloomberg

FANG Stocks were lower today but up on the week…

Source: Bloomberg

Treasury yields ended the week higher, driven by two rather notable spikes, seemingly sparked by stimulus optimism (and refused to unwind on reality)…

Source: Bloomberg

10Y Yields spiked up to 70bps and stalled again…

Source: Bloomberg

The Dollar erased about half of last week’s gains this week…

Source: Bloomberg

Cryptos were lower this week…

Source: Bloomberg

Real yields fell this week, helping send gold higher…

Source: Bloomberg

WTI was clubbed like a baby seal this week but Silver surged…

WTI ended with a $36 handle on the week, erasing all of the recent rebound gains…

 

Finally, the 1930s analog remains in place…

Source: Bloomberg

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After Climbing 3 Years in a Row, U.S. Pot Busts Fell by 18% Last Year

cannabis-leaves-6-MIS-Photography

After rising for three years in a row, marijuana arrests in the United States fell by 18 percent in 2019, according to the FBI’s latest numbers. Police made about 545,600 marijuana arrests last year, compared to about 663,400 in 2018. As usual, the vast majority of those arrests—92 percent—were for possession rather than manufacture or sale. The National Organization for the Reform of Marijuana Laws reports that “much of the national decline resulted from a drop-off in marijuana arrests in Texas in 2019, which experienced over 50,000 fewer marijuana-related arrests last year” than in 2018.

Nationwide, marijuana arrests peaked at nearly 873,000 in 2007; last year’s number was 37 percent lower. While the odds that any given cannabis consumer will be arrested have always been low, they are getting lower. Possession arrests in 2007 represented about 3 percent of marijuana users that year, judging from survey data. That risk last year, when there were more marijuana users and fewer arrests, was down to about 1 percent.

As the above graph above indicates, marijuana arrests are down 27 percent since Colorado and Washington became the first states to legalize the drug for recreational use in 2012, but the decline has not been smooth. After dropping in 2013, pot busts rose in 2014, fell in 2015, then rose slightly for three consecutive years before dropping substantially in 2019. During that period, nine other states and the District of Columbia legalized recreational marijuana, although Vermont and D.C. do not allow commercial distribution.

Since possession had been legalized in eight states—including California, the most populous—by 2017, it may seem surprising that marijuana arrests continued to rise until last year. But in California, possession of an ounce or less for personal use had been treated as a citable offense punishable only by a $100 fine since 2011. So while California accounts for 12 percent of the U.S. population, it accounted for less than 2 percent of marijuana arrests in 2016.

Four of the other jurisdictions that legalized marijuana in 2012, 2014, or 2016—D.C., Maine, Massachusetts, and Oregon—likewise had already decriminalized possession of small amounts. In Alaska, Nevada, and Washington, possession was still a misdemeanor, while Colorado treated it as a “petty offense.” Another thing to keep in mind: Public marijuana use remains an arrestable offense even in states that have legalized possession, cultivation, and distribution. Still, the increases in marijuana arrests after these jurisdictions legalized recreational use suggest that other states picked up the slack.

Three more states—Illinois, Michigan, and Vermont—legalized recreational use in 2018 or 2019. Illinois and Vermont had already decriminalized possession, as had many cities in Michigan. In 2016, Michigan’s share of marijuana arrests was about the same as its share of the national population. As you would expect, Vermont, which has a tiny population (about 0.2 percent of the national total), accounted for an even tinier share of marijuana arrests (about 0.02 percent). But Illinois accounted for about 12 percent of marijuana arrests that year—three times its share of the U.S. population.

In 2014, Washington Post reporter Aaron Blake found that Illinois had more marijuana arrests per capita than any other state. The rate in Illinois was 80 percent higher than the rate in New York, which was the runner-up even though it supposedly had decriminalized possession of up to 25 grams (nearly an ounce) in 1977. New York’s law still allowed arrests for possessing marijuana that was “burning or open to public view,” a loophole that the New York Police Department used to launch a cannabis crackdown during Michael Bloomberg’s administration, when low-level pot busts in the city skyrocketed. The state legislature closed that loophole last year.

As New York’s experience shows, “decriminalization” is not necessarily as meaningful as it sounds. Even after Illinois decriminalized possession of less than 10 grams (about a third of an ounce) in 2016, people caught with more than that amount could still be arrested. Yet decriminalization, perhaps combined with a reassessment of police priorities, seems to have had a dramatic impact in Illinois. According to the Chicago Sun-Times, police in that city made 129 arrests and wrote 300 tickets for marijuana possession in 2017, compared to 21,000 arrests in 2011. Legalization had an additional effect: The Associated Press reports that marijuana arrests in the Chicago area plummeted after legalization last year.

While the risk of arrest is small and getting smaller, it is not evenly distributed across the population. This year the American Civil Liberties Union (ACLU) reported that blacks are 3.6 times as likely to be arrested for marijuana possession as whites, even though rates of cannabis consumption in the two groups are similar. That was about the same as the ratio that the ACLU reported in 2013.

Racial disparities persist even after decriminalization and legalization. In 2017, the Sun-Times reports, four-fifths of the people busted for marijuana possession in Chicago were African Americans, who account for about a third of the city’s population. After states legalize marijuana, the ACLU found, the black-white gap shrinks but does not disappear. In Colorado, for example, public use remains illegal, and blacks are almost twice as likely to be arrested for such offenses as whites.

As with New York City’s anti-cannabis crusade, which overwhelmingly targeted blacks and Hispanics, there are possible explanations for these disparities that do not involve racist intent. If police concentrate their resources in high-crime neighborhoods or if people with smaller living spaces are more likely to use marijuana outside, for instance, those factors would be apt to increase the risk of legal trouble for black cannabis consumers. But the fact remains that skin color predicts how likely a pot smoker is to be arrested, which is a troubling state of affairs, regardless of intent, for a country that aspires to equal treatment under the law.

While people arrested for marijuana possession generally do not spend much time behind bars, they suffer long-lasting ancillary penalties. A marijuana arrest or conviction makes it harder to get an education, make a living, and find housing. That’s why clearing the records of marijuana users (and growers and sellers) who were unlucky enough to be caught is an important, although frequently overlooked, part of reversing, or at least ameliorating, the injustice inflicted by pot prohibition.

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