From Wall Street to K Street, Companies Gauge the Risks of Doing Business With Saudi Arabia

One of the roughly 10 lobbying firms that represent the Saudi government, the Harbour Group, has dropped it as a client, and others are considering following suit, according to people familiar with discussions, as Saudi Arabia struggles with a backlash over allegations that it murdered the journalist, Jamal Khashoggi.

The lobbying firms are privately discussing how to proceed, these people said. But some have already decided that the prospect of continued paychecks from Saudi Arabia — once a prized and profitable client — is not worth the risk to their reputations.

But for financial and technology companies, several of which have multibillion-dollar ties to Saudi Arabia, the calculus is more complicated. Few executives have backed out of the conference, which is called the Future Investment Initiative but is known colloquially as Davos in the Desert.

Uber’s chief executive, Dara Khosrowshahi, was one of the few to announce that they would back out.

.. The Public Investment Fund, a large Saudi sovereign wealth fund, invested $3.5 billion for a 5.6 percent share in Uber in June 2016.

The fund’s managing director, Yasir Al-Rumayyan, took a seat on Uber’s board. Prince Mohammed is the chairman of the Public Investment Fund.

.. Blackstone’s chief executive, Stephen A. Schwarzman, remains an advisory board member and is expected to speak at the conference, which is held at the Ritz-Carlton hotel in Riyadh, where Prince Mohammed locked up hundreds of wealthy Saudis last year in what he called an anti-corruption campaign but critics said was an effort to crush dissent.

.. Jamie Dimon, the chief executive of JPMorgan Chase, is also still planning to attend

.. Peter Thiel, the technology venture capitalist who was once an ally of President Trump and is known for his independent streak, is still a member of the event’s advisory board but had never planned to attend the gathering, according to a person close to Mr. Thiel.

.. Richard Branson, the billionaire British entrepreneur, said that he had suspended his directorship at two tourism projects near the Red Sea and that his space ventures would halt their discussions over proposed investments from the Public Investment Fund.

.. Saudi Arabia has been a coveted client, thanks to its reputation for paying above-market rates and its status as one of the United States’ most reliable allies in an unstable region, which seemed cemented by the ties between Prince Mohammed and the Trump administration.
.. The debates about dropping the Saudi account also reflect the skittishness of the lobbying industry at a time when it has faced mounting scrutiny from federal investigators, including the special counsel Robert S. Mueller III, about how foreign interests try to shape American politics and policy.
.. The highest-paid firms representing the Saudis in Washington are the international public affairs consultancy
  • Qorvis MSLGroup, which is being paid $279,500 a month, and the
  • Glover Park Group, which was started by former Clinton administration officials and is being paid $150,000 a month
.. Another two firms are being paid $125,000 a month —
  • Hogan Lovells, which has Norm Coleman, a former senator of Minnesota, as its point person for Saudi work, and
  • Brownstein Hyatt Farber Schreck, which has a bipartisan team composed of Marc S. Lampkin, a former aide to the former House speaker John A. Boehner of Ohio, and Alfred E. Mottur, a top fund-raiser for Hillary Clinton’s presidential campaign.

.. Not all of these firms will drop the Saudis. Some are leaning toward maintaining their contracts, in part because they predict that if they were to abandon the country en masse, it could lead to reduced cooperation from the Saudi government.

Bombshell: Michael Cohen Talking To Bob Mueller About Collusion | The Beat With Ari Melber | MSNBC

President Trump’s former lawyer, Michael Cohen, has reportedly spoken to prosecutors in the Mueller probe for hours, about collusion, Russia, business and pardons. This reporting suggests he is a cooperating convict, as he awaits sentencing in New York and means that each of the 5 guilty Trump aides, are now working with Bob Mueller.

Why Trump is so frantic right now

I can’t be the only one who thinks he sounds less like an elected official than like the leader of some apocalyptic cult. Look at the way he rails against the news media at his revival-style campaign rallies. In Indiana on Thursday night, he seemed obsessed with news stories that had described empty seats and a subdued crowd at a West Virginia rally several days earlier. He claimed those reports were “fake news,” although they were demonstrably true.

.. Trump is taking a page from the playbook of totalitarian dictators: Believe only me. Reality is what I say it is. Anyone who claims otherwise is an Enemy of the People.

.. Trump’s approval rating having fallen to 36 percent, with disapproval at 60 percent.

.. more than half of those polled — an incredible 53 percent — said they “strongly” disapproved of Trump’s performance.

.. The most immediate threat to Trump from the election is not impeachment, though we may eventually reach that point. Rather, it is the prospect of genuine oversight and serious investigation. Scrutiny is Trump’s kryptonite.

.. The other thing Trump fears, of course, is the Robert S. Mueller III investigation writ large. The probe by the special counsel has now metastasized to involve the Southern District of New York, the New York state attorney general and the Manhattan district attorney

.. Trump desperately wants an attorney general who will shut Mueller down. The incumbent, Jeff Sessions, cannot do so because he is recused from the matter. Republican senators who once warned Trump not to dare fire Sessions now seem resigned to the fact that Trump will do just that.

It makes sense for Trump to make his move after the election. If Republicans still control Congress, he’ll get away with it. If Democrats take charge, he won’t.

This is the new GOP: Angry and afraid

One of the unpleasant surprises of your 50s (among many) is seeing the heroes and mentors of your 20s pass away. I worked for Chuck Colson, of Watergate fame, who became, through his work with prisoners, one of the most important social reformers of the 20th century. I worked for Jack Kemp, who inspired generations of conservatives with his passion for inclusion. I worked against John McCain in the 2000 Republican primaries but came to admire his truculent commitment to principle.

Perhaps it is natural to attribute heroism to past generations and to find a sad smallness in your own. But we are seeing the largest test of political character in my lifetime. And where are the Republican leaders large enough to show the way?

President Trump’s recent remarks to evangelical Christians at the White House capture where Republican politics is heading. “This November 6 election,” Trump said, “is very much a referendum on not only me, it’s a referendum on your religion.” A direct, unadorned appeal to tribal hostilities. Fighting for Trump, the president argued, is the only way to defend the Christian faith. None of these men and women of God, apparently, gagged on their hors d’oeuvres.

.. “It’s not a question of like or dislike, it’s a question that [Democrats] will overturn everything that we’ve done, and they will do it quickly and violently. And violently. There is violence.” Here Trump is preparing his audience for the possibility of bloodshed by predicting it from the other side. Christians, evidently, need to start taking “Onward, Christian Soldiers” more literally.

.. This is now what passes for GOP discourse — the cultivation of anger, fear, grievances, prejudices and hatreds.

.. “the true populist loses patience with the rules of the democratic game.” He comes to view himself as the embodied voice of the people, and opponents as (in Trump’s words) “un-American” and “treasonous.”

.. As Robert S. Mueller III continues his inexorable investigation of Trump’s sleazy business and political world — and if Democrats gain the House and begin aggressive oversight — a cornered president may test the limits of executive power in the attempt to avoid justice. If the GOP narrowly retains control of the House, Trump and others will take it as the vindication of his whole approach to politics. The president will doubtlessly go further in targeting his enemies for investigation and other harm. He will doubtlessly attack the independence of the FBI and attempt to make it an instrument of his will. He will doubtlessly continue his vendetta against responsible journalism and increase his pressure on media companies that don’t please him. On a broad front, Trump’s lunacy will become operational.

.. But at length he was asked to retreat from that final area where he located his self. And there this supple, humorous, unassuming and sophisticated person set like metal, was overtaken by an absolutely primitive rigor, and could no more be budged than a cliff.”

Republican leaders may dread it, but they will eventually be forced to identify that final area where they keep themselves — or find there is no one there.