Stock Markets
US Supreme Court to hear challenge to Biden’s ‘ghost guns’ curbs
By Andrew Chung
WASHINGTON (Reuters) -The U.S. Supreme Court on Monday agreed to decide the legality of a federal regulation aimed at reining in homemade “ghost guns” as President Joe Biden’s administration combats the increasing use of these largely untraceable weapons in crimes nationwide.
The justices took up the administration’s appeal of a lower court’s decision finding that the federal Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) exceeded its authority in issuing the 2022 rule targeting parts and kits for ghost guns, which can be assembled at home in minutes.
The case will be heard during the Supreme Court’s next term, which begins in October.
The ATF rule targeted the rapid proliferation of privately made ghost guns bought online without federal requirements such as serial numbers or a background check for buyers – features that make them especially attractive to criminals and others barred from lawfully purchasing firearms, including minors.
The regulation expanded the definition of a firearm under a 1968 federal law called Gun Control Act to include parts and kits that may be readily turned into a gun. It required serial numbers and mandated that manufacturers and sellers be licensed. Sellers under the rule also must run background checks on purchasers prior to a sale.
Plaintiffs including the parts manufacturers, various gun owners and two gun rights groups – the Firearms Policy Coalition and Second Amendment Foundation – sued to block the rule in federal court in Texas.
Brandon Combs, founder of the Firearms Policy Coalition, praised the court’s decision to hear the case, denouncing the ATF’s “unconstitutional and abusive” rule.
remove ads
.
Eric Tirschwell, executive director of the gun safety legal group Everytown Law, urged the justices to uphold the rule “confirming that ghost guns are to be treated like the deadly firearms they are. These weapons have exacerbated our nation’s gun violence epidemic.”
The Justice Department did not immediately respond to a request for comment.
HARD TO TRACE
According to the administration, police departments nationwide have confronted “an explosion of crimes involving ghost guns,” now recovering tens of thousands of the weapons every year.
Yet ghost guns are almost impossible to trace. The ATF successfully traced to unlicensed purchasers less than 1% of unserialized firearms recovered from crime scenes between 2016 and 2021, court papers showed.
The rule imposes on the sale of parts and kits the same conditions that already govern firearms manufacturers and dealers in millions of other transactions every year, according to the administration.
Even though the New Orleans-based 5th U.S. Circuit Court of Appeals in November sided with the plaintiffs, it remains in effect due to actions taken by the Supreme Court.
The justices twice last year acted against orders issued by Fort Worth, Texas-based U.S. District Judge Reed O’Connor in favor of the plaintiffs. In August, they halted his ruling to block the regulation pending further litigation. In October, they set aside his injunction that would have let two manufacturers continue selling their ghost gun products.
O’Connor issued a 2023 ruling invalidating the rule, finding that the administration exceeded its authority under the Gun Control Act. The congressional definition of a firearm “does not cover weapon parts, or aggregations of weapon parts, regardless of whether the parts may be readily assembled into something that may fire a projectile,” the judge concluded.
remove ads
.
The 5th Circuit upheld O’Connor’s decision faulting the ATF, saying the agency impermissibly rewrote the firearms law while attempting to “take on the mantle of Congress to ‘do something’ with respect to gun control. But it is not the province of an executive agency to write laws for our nation.”
The plaintiffs have portrayed the policy as a threat to the long history of legal private gunsmithing in the United States. Unlike some other gun-related cases, this one goes not center on the U.S. Constitution’s Second Amendment right to “keep and bear arms.”
The United States, with the world’s highest gun ownership rate, remains a nation deeply divided over how to address firearms violence including frequent mass shootings.
In three major rulings since 2008, the Supreme Court has widened gun rights, including a 2022 decision that declared for the first time that the U.S. Constitution protects an individual’s right to carry a handgun in public for self-defense.
In another gun-related case, the court on Feb. 28 heard arguments over the legality of a federal ban on “bump stocks” – devices that enable semiautomatic weapons to fire rapidly like machine guns. A ruling in that case is expected by the end of June.
By Dan Catchpole, Allison Lampert
(Reuters) -Boeing will lay off more than 2,200 workers in the U.S. states of Washington and Oregon, according to filings posted on Monday, as part of the debt-heavy U.S. planemaker’s plan to cut 17,000 jobs, or 10% of its global workforce.
The aerospace giant started telling affected U.S. workers on Wednesday that they will stay on Boeing (NYSE:)’s payroll until Jan. 17, to comply with federal requirements to notify employees at least 60 days prior to ending their employment.
News that Boeing would send out the Worker Adjustment and Retraining Notification (WARN) in mid-November was widely expected. Another round is expected in December.
In October, Boeing’s new CEO Kelly Ortberg said the company does not intend to “take people off production or out of the engineering labs.” Industry watchers have been waiting for the WARNs for some indication of how the layoffs could affect workers in the company’s key manufacturing hubs.
However, several hundred engineers and production workers were among those who received pink slips last week.
The Society of Professional Engineering Employees in Aerospace (SPEEA) said 438 of the union’s members at Boeing received layoff notices last week, including 218 engineers and 220 technicians.
The International Association of Machinists and Aerospace Workers (IAM) District Lodge 837 in St. Louis said Boeing sent notices to 111 members, most of whom made wing components for the 777X.
Who is being laid off seems to vary between sections within Boeing, several non-union workers who received WARNs told Reuters.
One engineer in Boeing Defense, Space & Security said all but two or three members of his 12-person team were let go, while another said she was the only one of her roughly 20-person team to get a WARN. Both said they provide vital support for production and design engineers, but they are not considered to work in production.
Engineers interviewed by Reuters said cutting them means more work for those who remain. However, a Boeing retiree-turned-contractor who was also let go said, “This is probably an opportunity to look around and see who’s not doing anything, who’s dead weight. There are a lot of people like that around Boeing, who are not being productive, who are just not essential.”
The notices come as Boeing tries to restart production of its strongest-selling 737 MAX, after a weeks-long strike by more than 33,000 U.S. West Coast workers halted output of most of its commercial jets.
Boeing declined further comment on Monday.
Boeing shares were up 2.7% at $143.90 on Monday afternoon.
MUSKOGEE, Okla. – Core Scientific Inc. (NASDAQ: CORZ), a company specializing in digital infrastructure for high-performance computing and bitcoin mining, has initiated construction on a new 100-megawatt data center. The facility is set to power CoreWeave’s NVIDIA (NASDAQ:) GPUs for a confidential client and is expected to become operational in 2026.
The Muskogee data center is designed to provide around 70 megawatts of critical IT load to support the latest NVIDIA GPUs, with the remaining 30 megawatts allocated for ancillary systems. This center is part of a larger agreement with CoreWeave, involving a total of 500 megawatts of IT load contracted from Core Scientific for high-performance computing (HPC) hosting operations. The contract’s potential value stands at approximately $8.7 billion over its 12-year span, with options for two additional five-year periods.
Adam Sullivan, CEO of Core Scientific, emphasized the significance of the project for Muskogee, highlighting the collaborative efforts of Port Muskogee’s team, Mayor Patrick Cale, and the state of Oklahoma. Their collective support has been instrumental in establishing Muskogee as a nexus for advanced AI technology, promising economic growth and job creation for the area.
The data center is anticipated to bring substantial economic benefits to Muskogee, with a projected $182 million net impact on the local economy. The facility is expected to support 150 jobs with average salaries surpassing $65,000. The project also promises significant tax revenue, with over $12 million projected in property and sales taxes which will contribute to community development.
Kimbra Scott, Executive Director of Port Muskogee, expressed pride in welcoming Core Scientific and CoreWeave to the community. The partnership is seen as a commitment to economic advancement, with more than $4 billion in capital investment and a considerable net benefit to the local economy over the project’s lifetime.
Core Scientific is a leader in providing dedicated facilities for digital asset mining and digital infrastructure services to third-party customers. The company currently operates eight data centers across various states and is in the process of converting some of these facilities to support AI-related workloads under the new contracts.
This news is based on a press release statement from Core Scientific Inc. and contains forward-looking statements that are subject to risks and uncertainties, which could cause actual results to differ materially from projected outcomes.
In other recent news, Core Scientific has been making significant strides following its post-bankruptcy transformation. Jefferies, a global investment banking firm, has given the company a “Buy” rating, acknowledging Core Scientific’s successful pivot from mining to building artificial intelligence-focused data centers. This shift has been attributed to the company’s skilled data center development team and its strategic utilization of power resources.
In addition to Jefferies, other firms such as Canaccord Genuity and B.Riley have also given Core Scientific a “Buy” rating, reflecting confidence in the company’s future business prospects. Canaccord has even raised its price target for the company to $17.00, highlighting Core Scientific’s successful contract expansion with CoreWeave. This contract is expected to generate an 80% contribution-like margin for Core Scientific and add approximately $2.0 billion to its projected cumulative revenue over a 12-year period.
Core Scientific’s recent developments also include the mining of 345 bitcoins in September and the sale of 370 bitcoins, generating sales proceeds of approximately $22.2 million. However, the company has also announced that CFO Denise Sterling is set to step down by May 2025, and a search for her successor has been initiated. Despite this change, Core Scientific continues to progress, with analysts from Cantor Fitzgerald and H.C. Wainwright giving the company positive ratings based on its recent developments.
InvestingPro Insights
Core Scientific Inc.’s (NASDAQ: CORZ) ambitious data center project in Muskogee aligns with its recent financial performance and market position. According to InvestingPro data, the company’s market capitalization stands at $4.42 billion, reflecting investor confidence in its growth strategy.
The company’s revenue growth of 15.77% over the last twelve months as of Q3 2024 suggests a solid foundation for expansion projects like the Muskogee data center. Moreover, Core Scientific’s EBITDA growth of 200.66% over the same period indicates strong operational efficiency, which will be crucial for managing large-scale projects.
InvestingPro Tips highlight that Core Scientific operates with a moderate level of debt, which is favorable for financing major initiatives such as the new data center. Additionally, the company’s liquid assets exceed short-term obligations, providing financial flexibility to support its growth plans.
The stock has shown remarkable performance, with a 328.42% price return over the last six months and a 360.17% return over the past year. This strong market performance could potentially facilitate easier access to capital for future expansions.
It’s worth noting that InvestingPro offers 15 additional tips for Core Scientific, providing investors with a comprehensive analysis of the company’s prospects. These insights could be particularly valuable given the scale and long-term nature of the Muskogee project.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
LONDON (Reuters) – Ex-Barclays CEO Jes Staley gave misleading answers to Britain’s Financial Conduct Authority about his dealings with Jeffrey Epstein when it was investigating his relationship with the disgraced financier, the FCA’s lawyers alleged on Monday.
The FCA said in October 2023 that it intended to ban Staley from senior roles and fine him 1.8 million pounds ($2.27 million) in relation to a letter sent by Barclays (LON:) to the financial watchdog in 2019.
Staley said then that he was “very disappointed” with the FCA decision, which he is now challenging. His appeal is due to be heard by London’s Upper Tribunal in March next year.
The watchdog found Staley, a former JP Morgan executive, had “recklessly approved” the letter, which the FCA said contained two misleading statements, about his relationship with Epstein and their last contact.
In documents for a preliminary hearing on Monday, the FCA said that Bank of England Governor Andrew Bailey, who was FCA chief executive between 2016 and 2020, and Barclays chairman Nigel Higgins had both given witness statements for the case.
The FCA also argued in court on Monday that material from a lawsuit brought by the U.S. Virgin Islands against JP Morgan suggested Staley had misled the FCA in interviews and in his response to the tribunal case.
Staley’s lawyers said that the FCA is attempting to present an entirely new case and allowing the British regulator to amend its case would be unfair.
Last year, JP Morgan agreed to pay $75 million to settle the U.S. Virgin Islands’ claim that the bank aided in Epstein’s sex trafficking. It also reached a confidential settlement with Staley, who JP Morgan blamed for keeping him as a client.
Epstein killed himself in a New York jail in 2019, while awaiting trial on sex-trafficking charges.
The FCA’s lawyer Leigh-Ann Mulcahy said in court documents that, based on evidence given in the U.S. lawsuit, Staley had “dishonestly or recklessly” misled the watchdog in three interviews between 2019 and 2021.
Staley told the FCA that “I’d had zero contact, any relationship at all, with Jeffrey” while he was at Barclays, where he was chief executive from December 2015 until 2021.
Judge Tim Herrington will give his ruling on whether the FCA can amend its case at a later date.
Forex2 years agoForex Today: the dollar is gaining strength amid gloomy sentiment at the start of the Fed’s week
- Forex2 years ago
How is the Australian dollar doing today?
- Forex2 years ago
Dollar to pound sterling exchange rate today: Pound plummeted to its lowest since 1985
- Forex2 years ago
Unbiased review of Pocket Option broker
- Cryptocurrency2 years ago
What happened in the crypto market – current events today
- World2 years ago
Why are modern video games an art form?
- Commodities2 years ago
Copper continues to fall in price on expectations of lower demand in China
- Forex2 years ago
The dollar is down again against major world currencies
