Jared Kushner Is China’s Trump Card

How the President’s son-in-law, despite his inexperience in diplomacy, became Beijing’s primary point of interest.

.. Kushner was intent on bringing a businessman’s sensibility to matters of state. He believed that fresh, confidential relationships could overcome the frustrations of traditional diplomatic bureaucracy. Henry Kissinger, who, in his role as a high-priced international consultant, maintains close relationships in the Chinese hierarchy, had introduced Kushner to Cui during the campaign
.. On at least one occasion, they met alone, which counterintelligence officials considered risky. “There’s nobody else there in the room to verify what was said and what wasn’t, so the Chinese can go back and claim anything,”
..  you think your background is going to allow you to be able to outsmart the Chinese Ambassador?
.. Americans are accustomed to reports of Russia’s efforts to influence American politics, but, in the intelligence community, China’s influence operations are a source of equal concern.
.. “The Chinese influence operations are more long-term, broader in scope, and are generally designed to achieve a more diffuse goal than the Russians’ are,”
.. Kushner often excluded the government’s top China specialists from his meetings with Cui, a slight that rankled and unnerved the bureaucracy. “He went in utterly unflanked by anyone who could find Beijing on a map,”
.. Kushner was “their lucky charm,”
.. “It was a dream come true. They couldn’t believe he was so compliant.”
.. By the end of the Obama Administration, seven White House officials were authorized to receive the same version of the P.D.B. that appeared on the President’s iPad. The Trump Administration expanded the number to as many as fourteen people, including Kushner. A former senior official said, of the growing P.D.B. distribution list, “It got out of control. Everybody thought it was cool. They wanted to be cool.”
.. Kushner’s difficulty obtaining a permanent security clearance has become a subject of fascination. Was it his early failure to disclose foreign contacts? Or did it have something to do with the investigations into Russian interference in the 2016 elections?
.. Kushner had established links to China. A Kushner project in Jersey City, which opened in November, 2016, reportedly received about fifty million dollars, nearly a quarter of its financing, from Chinese investors who are not publicly named, through a U.S. immigration program known as EB-5, which allows wealthy foreigners to obtain visas by investing in American projects.
.. Ivanka Trump has her own business endeavors in China, where some of her branded handbags, shoes, and clothes are manufactured.
.. Trump would be “inundated with requests for thousands of calls from around the world,” they warned, through “campaign staff, outside advisers, and other third parties.” He must not accept them. Requests must be “methodically returned” in “a sequence of calls that will not create any diplomatic incidents or negative press stories.”
.. The President-elect must have a classified intelligence briefing before conversations with foreign leaders, and then conduct the meetings only when a note-taker and a national-security aide are present.
The aides suggested that Trump make five “waves” of calls over a number of days, starting with the United Kingdom and ending with Pakistan.

.. “Obviously, all that just got tossed aside,” a senior transition official recalled recently, because Trump was “excited that important people were calling him.”

.. In another break with protocol, Trump was accompanied to the meeting by his daughter and son-in-law, while they were still running their respective businesses.

..  he was urgently seeking an infusion of cash to repay a debt totalling hundreds of millions of dollars.

.. In 2007, the Kushner Companies had bought 666 Fifth Avenue, a forty-one-story office tower, for $1.8 billion, the highest price ever paid for a building in Manhattan at that time. The deal turned out to be a potential disaster for Kushner.

.. he was hunting for investors, in Asia and the Middle East, among other places, to shore up the building’s finances.

.. On November 16, 2016, Kushner had a private dinner with Wu Xiaohui, the chairman of China’s Anbang Insurance Group, to discuss Wu’s possible investment in 666 Fifth Avenue.

.. Months later, when the meeting was revealed, and Bloomberg News reported that the Kushner family stood to make as much as four hundred million dollars from the agreement with Anbang, Democratic lawmakers, including Senator Elizabeth Warren, of Massachusetts, criticized it as a possible conflict of interest. The companies abandoned the negotiations.

.. In some cases, it was unclear whether Kushner was representing the transition or his business. On December 13th, at the recommendation of Sergey Kislyak, the Russian Ambassador, Kushner met with Sergey Gorkov, the head of Vnesheconombank, or V.E.B., a Russian state bank.

.. Schiff pointed to statements by V.E.B. and a spokesman for Russia’s President, Vladimir Putin, which suggest that Kushner held the meeting in his capacity as head of the Kushner Companies.
.. On December 2nd, encouraged by the fiercest anti-China hawks among his advisers, including Steve Bannon, at that time his chief strategist, Trump took a telephone call from the President of Taiwan
.. Chinese officials turned to the man that Kissinger had recommended to them: Jared Kushner. Kushner later told others that he took on the China portfolio reluctantly, after “clamoring” Chinese officials called Trump Tower and asked for him by name.
.. “It was clear that heated arguments were taking place among the President’s advisers.” On one side, hard-liners, including Bannon, who has said he believes that China is “bent on world domination,” advocated a confrontational stance on trade and other issues. On the other, according to Russel, “Jared Kushner was described as adamant that Mar-a-Lago should be exclusively about bonding.” Russel continued, “We were told that the theory was to first establish a warm family friendship, using meals and Trump’s personal charisma.”
..  China overwhelmingly achieved its objectives: a soft-focus summit with regal photo ops and little talk of trade and other touchy subjects. It was also an auspicious occasion for the Kushner family. While Xi met with Trump, Beijing regulators approved three trademark applications from Ivanka’s company, to sell bags, jewelry, and spa services.
.. Somebody with more experience, tied to the old ways, may not have necessarily been able to pull off the Mar-a-Lago summit like we did.” He added that the officials who have criticized his approach to foreign affairs “usually get pretty uncomfortable when they’re not in control of something and it doesn’t go the way they want.”
..  Chinese officials said that Cui and Kushner, in meetings to prepare for the summit at Mar-a-Lago, discussed Kushner’s business interests along with policy. Some intelligence officials became concerned that the Chinese government was seeking to use business inducements to influence Kushner’s views.
.. But the intelligence reports triggered alarms that Chinese officials were attempting to exploit Kushner’s close relationship with the President, which could yield benefits over time.
.. Wendi Deng Murdoch, the ex-wife of Rupert Murdoch. Kushner and Ivanka Trump had known her for about a decade, and she was a regular guest at their Washington home. U.S. diplomats and intelligence officials have long speculated about Wendi Murdoch’s ties to the Chinese government
.. In November, the Chinese Society of Education issued a video quiz for primary-school students, which included the question “What number should you dial when you spot spying activities?”
.. The President’s children resist the argument that their undivested assets, their behavior, and their willingness to mix government service and personal profit present a target to adversaries and allies alike.
.. The senior transition official believes that’s a mistake. “They’re going to slowly, over time, get what they want out of him, and it’s not going to be obvious,”
.. Still, by his own description, he is as confident as ever that his instincts, honed in the family business
.. Porter read aloud from “The Inner Ring,” a 1944 oration by C. S. Lewis. It was Porter’s warning to his ambitious students about the temptations that haunt higher office, and the allure of favor-seekers.
..  “You will be drawn in, if you are drawn in, not by desire for gain or ease, but simply because at that moment, when the cup was so near your lips, you cannot bear to be thrust back again into the cold outer world.”

Russia Renewed Unused Trump Trademarks in 2016

Last year, while hacking Democrats’ emails and working to undermine the American presidential election, the Russian government also granted extensions to six trademarks for Mr. Trump that had been set to expire. The Trump trademarks, originally obtained between 1996 and 2007 for hotels and branding deals that never materialized, each had terms that were coming to an end in 2016.

.. Four of the approvals were officially registered on Nov. 8 — Election Day in the United States.

.. Although Mr. Trump has not managed to develop hotels in Russia despite attempts over the years, and has disclosed no active business ventures there, his intellectual property holdings are a valuable commercial interest. The extension of trademarks such as “Trump International Hotel and Tower” protects his brand in that country and preserves conditions for potential business deals.

.. In a 2015 deposition related to an infringement dispute in the United States, he testified that Mr. Trump’s trademarks generally were “one of his most valuable assets.”

Mr. Trump Plays by His Own Rules (or No Rules)

the very day that two of Ivanka Trump’s and Jared Kushner’s children were serenading the Chinese president, Xi Jinping, at Mar-a-Lago, the People’s Republic of China approved new trademarks allowing Ivanka to peddle jewelry, bags and spa services to a nation of 1.4 billion where she is a role model for aspirational oligarchs.

.. a culture of self-enrichment and self-dealing in which corporate C.E.O.s, lobbyists and foreign officials seeking the first family’s favor hold parties at Mar-a-Lago and at the Trump International Hotel in Washington

.. Mr. Trump struggled for years to close deals across the Middle East; now that he’s president, doors are opening. His family is seeking or holds trademarks in Egypt, Israel, Turkey, Saudi Arabia, and the United Arab Emirates, where the president’s sons just opened a golf course in Dubai, and in Jordan, whose King Abdullah II just visited the White House to discuss joint efforts against ISIS.

.. That leaves Jason Chaffetz, the Utah Republican who is chairman of the House Oversight and Government Reform Committee, which has the legal authority and the resources to investigate and hold the administration to account. Anyone familiar with Mr. Chaffetz’s record of partisan, ineffectual witch-hunting won’t be surprised to learn that he’s done nothing.

.. But that’s hardly a match for an administration filled with people who seem determined to wring every last dollar and ounce of trust from the American people.

A Corporate “Thankyou”? No, Thanks

Citigroup isn’t asserting the right to use “thankyou” in all contexts—just when it comes to loyalty and rewards programs. But what it is asserting is bad enough, since in effect it’s saying that subtracting the space between “thank” and “you” (and using lowercase letters) is enough to make one of the most common phrases in the English language its private property, in this use. As such, the case illustrates just how out of control intellectual-property rights have become in the U.S.

.. Let’s hope the judge’s ruling is a simple “No, thanks, Citigroup.”

.. LinkedIn’s current operating cash flow is a little more than six hundred million dollars a year. Now, obviously, Microsoft did not buy LinkedIn for its current profits.

.. The fundamental economic issue here is that the stock prices of technology companies, with few exceptions, already reflect the market’s often-outsized expectations of fast earnings growth in the future. When you buy a share of Amazon or Facebook, you’re not paying for the company’s current earnings. You’re paying for its earnings over the next twenty-five or thirty or even fifty years, because that’s how far out the market is, in effect, looking.