Biden Signs $886 Billion US Defense Policy Bill Into Law

WASHINGTON — U.S. President Joe Biden on Friday signed into law the U.S. defense policy bill that authorizes a record $886 billion in annual military spending and policies such as aid for Ukraine and push-back against China in the Indo-Pacific.

The National Defense Authorization Act, or NDAA, passed Congress last week. The Democratic-controlled U.S. Senate approved the legislation with a strong bipartisan majority of 87-13 while the House of Representatives voted in favor 310-118.

The bill, one of the few major pieces of legislation Congress passes every year, governs everything from pay raises for service members and purchases of ships and aircraft to policies such as support for foreign partners such as Taiwan.

The act, nearly 3,100 pages long, called for a 5.2% pay raise for service members and increased the nation’s total national security budget by about 3% to $886 billion. It also lists certain Chinese battery companies that it says are ineligible for Defense Department procurement.

The fiscal 2024 NDAA also includes a four-month extension of a disputed domestic surveillance authority, giving lawmakers more time to either reform or keep the program, known as Section 702 of the Foreign Intelligence Surveillance Act.

That provision faced objections in both the Senate and House, but not enough to derail the bill.

The bill extends one measure to help Ukraine, the Ukraine Security Assistance Initiative, through the end of 2026, authorizing $300 million for the program in the fiscal year ending September 30, 2024, and the next one.

However, that figure is small compared to the $61 billion that Biden had asked Congress to approve to help Kyiv combat a Russian invasion that began in February 2022. Republicans had refused to approve assistance for Ukraine without Democrats agreeing to a significant toughening of immigration law.

Giuliani Files for Bankruptcy After Losing $148 Million Defamation Case

NEW YORK — Rudy Giuliani has filed for bankruptcy, days after being ordered to pay $148 million in a defamation lawsuit brought by two former election workers in Georgia who said his targeting of them led to death threats that made them fear for their lives.

In his filing Thursday, the former New York City mayor listed nearly $153 million in existing or potential debts, including close to a million dollars in tax liabilities, money he owes his lawyers and many millions of dollars in potential legal judgments in lawsuits against him. He estimated his assets to be between $1 million and $10 million.

The biggest debt is the $148 million he was ordered to pay a week ago for making false statements about the election workers in Georgia stemming from the 2020 presidential contest.

Ted Goodman, a political adviser and spokesperson for Giuliani, a one-time Republican presidential candidate and high-ranking Justice Department official, said in a statement that the filing “should be a surprise to no one.”

“No person could have reasonably believed that Mayor Giuliani would be able to pay such a high punitive amount,” Goodman said. He said the bankruptcy filing would give Giuliani “the opportunity and time to pursue an appeal, while providing transparency for his finances under the supervision of the bankruptcy court, to ensure all creditors are treated equally and fairly throughout the process.”

But declaring bankruptcy likely will not erase the $148 million in damages a jury awarded to the former Georgia election workers, Ruby Freeman and Wandrea “Shaye” Moss. Bankruptcy law does not allow for the dissolution of debts that come from a “willful and malicious injury” inflicted on someone else.

Last week’s jury verdict was the latest and costliest sign of Giuliani’s mounting financial strain, exacerbated by investigations, lawsuits, fines, sanctions and damages related to his work helping then-President Donald Trump try to overturn the 2020 election he lost to Democrat Joe Biden.

In September, Giuliani’s former lawyer Robert Costello sued him for about $1.4 million in unpaid legal bills, alleging that Giuliani breached his retainer agreement by failing to pay invoices in full and a timely fashion. Giuliani has asked a judge to dismiss the case, claiming he never received the invoices at issue. The case is pending.

Costello represented Giuliani from November 2019 to this past July in matters ranging from an investigation into his business dealings in Ukraine, which resulted in an FBI raid on his home and office in April 2021, to state and federal investigations of his work in the wake of Trump’s 2020 election loss.

In August, the IRS filed a $549,435 tax lien against Giuliani for the 2021 tax year.

Copies were filed in Palm Beach County, Florida, where he owns a condominium, and New York, under the name of his outside accounting firm, Mazars USA LLP. That’s the same firm that Trump used for years before it dropped him as a client amid questions about his financial statements.

Giuliani, still somewhat popular among conservatives in the city he once ran, hosts a daily radio show in his hometown on a station owned by a local Republican grocery store magnate. Giuliani also hosts a nightly streaming show watched by a few hundred people on social media, which he calls “America’s Mayor Live.”

Malawi Bans Maize Imports From Kenya, Tanzania Over Disease

BLANTYRE, MALAWI — Malawi, which already is suffering from food shortages, this week banned the import of unmilled maize from Kenya and Tanzania over concerns that the spread of maize lethal necrosis disease could wipe out the staple food.

The ministry of agriculture announced the ban in a statement that said the disease has no treatment and can cause up to 100% yield loss. The statement said maize can be imported only after it is milled, either as flour or grit.

Henry Kamkwamba, an agriculture expert with the International Food Policy Research Institute, told VOA that if the disease were introduced into the country, it would be difficult to contain.

He used the banana bunchy top virus as an example of the potential danger.

“Think of how we lost all of our traditional bananas in the past and now Malawi is a net importer of bananas … due to our lax policies in terms of imports,” he said.

“There are these similar concerns with maize,” he said, with maize being the nation’s main food crop.

Kamkwamba predicted the ban would help Malawi prevent the disease from spreading.

Kenya and Tanzania have long been primary sources of maize for Malawi during periods of food shortage.

Malawi is facing shortages largely because Cyclone Freddy destroyed thousands of hectares of maize last March.

The World Food Program in Malawi and the Malawi Vulnerability Assessment Committee estimate that 4.4 million people — around a quarter of the population — would face food shortages until March 2024.

Grace Mijiga Mhango, the president of the Grain Traders Association of Malawi, said that while she understands the severity of the impact of the maize disease, banning imports at a time of need would likely result in higher costs.

“If we really don’t have enough food, then we are creating another unnecessary maize [price] increase,” she said.

The next alternative for maize imports is South Africa, she said.

“South Africa is quite a distance,” she said, “and they don’t have enough. … It will be expensive.”

Malawi’s government said the ban will be temporary as it explores other preventive measures to combat the spread of maize lethal necrosis disease.

British Businesses Wait on Sidelines as China’s Economy Struggles

London — Beijing’s hopes for a swift return of foreign investors after it began lifting its harsh COVID-19 restrictions late last year were not answered in 2023.  

A new survey of British businesses released last week is but the latest to confirm that trend. VOA’s Mandarin Service also spoke with British businesspeople who are shifting their investments elsewhere due to uncertainty, global tensions and China’s policies.

Problem is Xi   

One of those people is David Smith, a British businessman who lived in China from 2008 to 2020 and worked with local factories in China’s southern tech hub of Shenzhen. He says he used to be optimistic about investing in China, but Beijing’s zero-COVID policy during the pandemic changed that.    

“The draconian clearing policy after the 2020 outbreak led to the shutdown of many factories in Shenzhen, where I was located, and what was once a boom turned into a bust,” Smith told VOA. “I decided to leave China and also move my supply chain to Southeast Asian countries like Vietnam.”   

It wasn’t just COVID, he added; it was also the direction that Chinese President Xi Jinping is taking the country.

“A lot of British businessmen who left China at the same time as me felt that China’s future would be ruined by Xi Jinping who only cares about power and not about the economy, so we are no longer enthusiastic about investing in China,” Smith said.   

Last week’s survey by the British Chamber of Commerce in China reflects the waning enthusiasm. According to the survey of about 300 companies surveyed between October and November, 55% said they planned to reduce or maintain investment levels in China over the next year, a slight improvement over the previous year but still worse than any other year since the survey began in 2018.   

Expat community shrinks  

The survey said British companies operating in China significantly slowed their investment decisions in 2023 due to economic uncertainty and geopolitical tensions.  

Thirty-four percent of respondents said they now feel less welcome in China than a year ago, citing rising local protectionism, a lack of policy support for foreign companies and a general lack of equal treatment with Chinese companies.     

Over the past few decades, new British companies have continued to enter the Chinese market. However, according to the survey, only 1% of respondents had established a presence in China over the past 12 months, down by 2% from 2021, when COVID restrictions were in place.    

“For businesses, last year there was uncertainty around operations. Now there’s real uncertainty around revenue,” said Julian Fisher, chairman of the British Chamber of Commerce in China, in an interview with Bloomberg TV on December 11.  

While there are no official figures, Fisher said he has heard that the number of British expats in China has dropped to 16,000 from 35,000 before the pandemic, and that many companies have replaced foreign managers at all levels with domestic employees.   

Waiting but not out 

Peter Humphrey, a former journalist who later worked for more than a decade as a fraud investigator for Western firms in China, told VOA that he thinks the main reason for the pause is the downturn in the Chinese economy over the past two years. 

“The British Chamber of Commerce in China has been very pro-Beijing and pro-business for many years, as I recall, and you have to remember that there is a large proportion of businesses in the U.K. that do not want business to be influenced by moral values,” he said.

The figures in the survey “represent a mixed signal,” added Humphrey, who is currently an external researcher at Harvard University’s Fairbank Center for Chinese Studies.   

 

“Economic factors make it inadvisable to make new investments in China right now, and the country is much less attractive than it used to be,” he said. “But British businesses haven’t really realized that it’s not a good idea to do business with China under its leaders.”    

According to the survey, an increasing trend toward local protectionism and self-sufficiency and a lack of policy support for foreign businesses was the biggest factor contributing to foreign businesses feeling less welcome or unwelcome in the market. The next factors were unequal treatment with Chinese companies followed by a lack of channels for communication with the Chinese government.   

The survey also shows that the complexity of cybersecurity and IT regulations adds another layer of uncertainty for U.K. companies operating in China. 

The Chinese government implemented a newly revised counterespionage law on July 1 in the name of strengthening national security. The new version of the law expands the definition of espionage to include any documents, data and materials related to national security interests.

According to the U.S. National Counterintelligence and Security Center, this means any “documents, data, materials, or items could be considered relevant to PRC national security due,” which creates potential “legal risks and uncertainty for foreign companies, journalists, academics, and researchers.”

Although difficulties remain, there is evidence that optimism is slowly emerging. Of the businesses surveyed, about 46% expressed an optimistic outlook for 2024, which could signal a change if the economic and geopolitical climate improves. However, most U.K. investment businesses intend to wait and see how the situation develops before raising or lowering investment levels.

Adrianna Zhang contributed to this report.