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Donald Trump’s lawyers on Monday tried to shift the Senate impeachment trial away from John Bolton’s upcoming book in which the former national security adviser accused the US president of directly linking military aid to Ukrainian investigations and floating favours to autocrats.
“We deal with transcript evidence, we deal with publicly available information,” Jay Sekulow told senators on Monday. “We do not deal with speculation, allegations that are not based on evidentiary standards at all.”
But pressure is mounting on Senate Republican leaders to include new testimony. At least two Republican senators — Mitt Romney of Utah and Susan Collins of Maine — indicated on Monday that they would consider voting to call witnesses, such as Mr Bolton, in the trial, where Mr Trump faces charges of abuse of power and obstruction of Congress.
“At this stage it’s pretty fair to say that John Bolton has a relevant testimony,” Mr Romney said.
Mitch McConnell, Republican of Kentucky and the majority leader, was reportedly angry with the White House at having been blindsided by Mr Bolton’s manuscript, which aides there have had since late December.
The FT View is that the timing of these revelations could not be worse for Mr Trump — and Mr Bolton must be allowed to testify. (FT, WSJ, NYT)
In the news
Coronavirus deaths rise
The death toll from the coronavirus outbreak rose to more than 100 on Tuesday and infections leapt above 4,500 as foreign governments prepared to evacuate their nationals on Tuesday from Wuhan, the quarantined city at the heart of the outbreak. Hong Kong closed its high-speed rail link to mainland China and suspended permits for Chinese tourists visiting the territory. Meanwhile big US companies, including Microsoft, Dell and Cargill, pledged more than $1m to help China cope with the crisis. (FT)
Britain backs Huawei in ‘momentous’ 5G decision
Boris Johnson’s government has approved the use of Huawei technology in the UK’s 5G telecoms network. The UK prime minister has limited the Chinese company to a market share of 35 per cent and will exclude its equipment from the sensitive network “core” after repeated warnings from the US that Britain was at risk from spying by the Chinese company. (FT)
WhatsApp flaws
WhatsApp disclosed 12 security vulnerabilities last year, seven classified as “critical”, according to the US National Vulnerabilities Database. The number of reported vulnerabilities is a sharp escalation from past years and raises fresh questions about the security of an app that has often been hailed for safe private messaging. (FT)
Airbus to settle corruption probes
Airbus is on the brink of settling a bribery and corruption probe with regulators in the UK, France and the US, with analysts forecasting fines of more than €3bn. Boeing, meanwhile, has secured a $12bn loan from lenders, including Bank of America, Citigroup, JPMorgan Chase, Wells Fargo and Morgan Stanley, to help the aircraft maker’s financial flexibility following the worldwide grounding of the 737 Max. (FT)
European banking sector red flags
Six banks have fallen below the European Central Bank’s capital requirements and been told to take action to fix the shortfalls. Last year just one bank fell short of their main capital requirements, prompting Andrea Enria, chair of the ECB’s supervisory board, to flag up concerns over “the business models, internal governance and operational risks in [eurozone] banks”. (FT)
Prince Andrew ‘provided zero co-operation’
The US prosecutor investigating Jeffrey Epstein’s co-conspirators said Prince Andrew had “provided zero co-operation” despite being asked for an interview. After a disastrous BBC interview in November, the prince indicated that he would help law enforcement. (FT)
Ukraine’s richest man buys €200m French villa
Billionaire Rinat Akhmetov has bought a €200m 19th-century Palladian villa on the French Riviera from the Campari group. The purchase adds to a property portfolio that already includes a £137m flat in London’s One Hyde Park, one of the UK’s most expensive apartments. (FT)
Auschwitz survivors warn of rising anti-Semitism
Holocaust survivors and the leaders of Israel and Poland called for a redoubling of the global fight against anti-Semitism on Monday as delegations gathered to commemorate the 75th anniversary of the liberation of Auschwitz. Yet, there’s something unsatisfactory about modern efforts to raise public awareness of the Holocaust, our editorial board writes. (FT)
The day ahead
Apple earnings
The US tech group is expected to report revenues up almost 5 per cent to $88.1bn — just shy of its record high two years ago — when it releases first-quarter results on Tuesday. The iPhone maker is also set for a clash with Brussels over a proposed universal phone charger. (FT)
Trump’s Middle East plan
The Trump administration is set to unveil its Middle East peace plan on Tuesday, after Donald Trump met separately with Israel’s prime minister Benjamin Netanyahu and opposition leader Benny Gantz on Monday. But the plan, developed without Palestinian consultation, may have more impact on Israel’s March 2 election and Mr Netanyahu’s legal and political fate. (Times of Israel, AP)
It is a fair bet that as Davos corporate delegates return home after last week’s World Economic Forum, many will tell their colleagues that they need to raise their ESG game. Moral Money will be watching closely to see what happens.
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Were you at World Economic Forum’s annual gathering of world leaders, chief executives, celebrities (and hangers on) in Davos last week? Do you have a great tip for getting around, what to wear or where to stay? We want to hear from you. A selection will be published in FT Globetrotter, our new digital city guides for business travellers.
What else we’re reading
Steyer sets out his presidential stall in South Carolina
Tom Steyer, the billionaire hedge fund manager turned Democratic presidential candidate, has become a household name in South Carolina. While his rivals have focused on Iowa and New Hampshire ahead of next week’s caucuses, Mr Steyer has spent more than $100m of his own money building a grassroots campaign beyond the first two states to include Nevada, and South Carolina. According to the latest polls his gamble appears to be paying off.
An EU ambassador suspected of spying
Flamboyant diplomat Gerhard Sabathil touched down in Seoul in late 2015 for what should have been a plum posting: EU envoy to South Korea. Yet 15 months later, Germany had revoked his security clearance, as authorities in Berlin suspected Mr Sabathil — who is in a relationship with a Chinese academic — of spying for China’s intelligence agency. (FT)
Could fish derail Brexit trade talks?
If Brexit Britain were to close its waters to foreign vessels, the impact would be severe — and not only on fishing communities. Brussels could retaliate in trade negotiations covering everything from trade in goods to financial services. In the European parliament, departing British MEPs expressed grief and relief, while in Westminster, here are 20 MPs to watch in 2020. (FT, BBC, Politico)
Sunderland on edge ahead of Brexit
The north-east city of Sunderland voted heavily to Leave but its manufacturing base, which lent locals the name of mackems, or make ’ems, could be hit hardest after the UK leaves the EU on Friday. Sunderland’s business leaders fear being cut out of open trade with the European bloc on which they rely. (FT)
China will decide the fate of the planet
Donald Trump has become the pantomime villain of climate change, denouncing climate activists as “prophets of doom” in Davos last week. But the battle to control climate change now depends much more on what happens in China, Gideon Rachman writes. (FT)
Economic contrarians
This past summer, 40 thinkers and activists gathered to challenge a core economic orthodoxy: that growth is the critical measure of human achievement. Free trade is becoming more managed — will it stay that way? A private equity investor wonders if economists have productivity all wrong. (New Republic, Bloomberg, FT)
Language learning in the age of Google Translate
Language tools have improved enormously, feeding fantasies of simultaneous computer-driven translation that will allow people to communicate without speaking the same language. But learning another language is also worthwhile for its insights into new ways of thinking, Michael Skapinker writes. (FT)
Video of the day
What can horses teach us about leadership?
Janina Conboye attends an equine leadership development course and — despite some initial scepticism — discovers that horses can teach us valuable lessons for the workplace: how to set personal boundaries, improve productivity, and build respect and trust. (FT)
Source: Economy - ft.com
