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Socialism, Capital, and Venezuela’s Oil

Amidst the current social and political turmoil in Venezuela, a discussion over what could drive a foreign military intervention in the country has been making headlines lately.

To my surprise, Venezuela’s oil reserves ( the largest in the world ) are among the top reasons people believe the US Government would be after. However, the current shape of the oil industry and the way the market is behaving suggest otherwise.

No matter how large, Venezuela’s oil reserves are economically unattractive, at least under the current state of both the industry and the South American nation.

Fortunately, we live no longer in the 70’s or 80’s, where oil was used as a pretext (a rather immoral one) for sending troops to oil-rich countries in the Middle East. In 2019, conversely, OPEC has lost geopolitical power , thus has less influence on the market; oil prices are somewhat stable, and the shale-oil producers in the US have managed to lower their breakeven, which has made them stronger global challengers.

Any sensible investor would bet their money where it likely yields profit. Moreover, in Venezuela, existing capital has fled the country, and new investments are unlikely to land on a place with no rule of law and where people struggle to get food and other basic goods.

But even if the decision came down to either adding a rig on a Texan field or starting an oil exploration project in Venezuela, it would be much wiser to improve the efficiency of what’s currently being produced —and working well— rather than going for the long shot amid blindness.

To assess the relative economic importance of each option, we must think like investors. Let’s start with the basics: BP provides a clear and simple disclaimer for the definition of “oil reserves”, it reads:

“Nobody knows or can know how much oil exists under the earth’s surface or how much it will be possible to produce in the future”.

The above confirms a maxim of business: risk and uncertainty. Now, to understand the extend of both in our exercise, have in mind that some oil reserves are buried under virgin, unexploited fields, which in turn will demand a massive investment. You’d have to start from scratch. In the same way, consider this additional challenge: drilling for oil is one thing, but securing a place for all those barrels in the refining market is another. Think 2019, not 1980.

Now let’s compare the historical production of both nations. From 2007 to 2017 (note that Venezuela’s socialist regime started in 1998), oil production in Venezuela plunged. Daily production declined about one million barrels if we compare 2017’s output to that from 2007. Conversely, OPEC’s oil production increased in four million barrels along the same period.

When the so-called owner of the largest proven oil reserves of the planet is unable to keep up with oil demand, that should raise a red flag.

Oil output brings us to look at the efficiency of each party. While Venezuela’s state-owned oil company has been struggling to meet production objectives , failing to honor contractual commitments with buyers, the shale-oil producers in the US have managed to re-design their business strategies and business models, and succeeded in adapting to the new “lower-for-longer” trade prices.

Given these facts, where would you invest? What scenario is more attractive —or less risky for that matter—: Venezuela with the largest oil reserves, or the United States, the largest oil producer? Well, it all comes down to a cost-benefit analysis. On one side there are indeed 300B barrels of oil underground , but even if only a fraction of that was extracted, an investor would have to incur huge costs and bear risks that go beyond the industry-related ones. On the American side, in contrast, you have much fewer reserves to exploit, but there’s already existing working capital, technology, know-how and even the option of dealing directly with the owner of the land (mineral rights play a decisive role).

In short, American producers are exploiting their reserves while Venezuela’s reserves are idle and buried. It’s a no-brainer.

It’s also important to note that the socialist regime in Venezuela disregards the fact that capital needs to be renewed. Instead, they believe that printing money will keep the nation afloat. This is one of the original mistakes of a central planner. Paper money itself does not attract investors.

Fiat money is not capital.

To better understand the role of capital, let me use a hypothetical situation to explain it. Imagine that a certain amount of oil has been found in Mars. For the sake of the example, assume that you have been chosen to decide what to send on the very first cargo ship to the Red Planet. The goal is to ensure that oil is extracted in the most efficient way. Be aware that the room inside the ship is limited. What would you rather send? Hundreds of suitcases full of the currency of your choice, or drills with their bits, computers with top-notch software, pumps, a kit for setting up an internet connection and as much knowledge as possible (books, manuals, drawings, etc.)?

No matter how much oil there is underground. If capital is absent, “proven reserves” are nothing more than a number on a chart. As Mises pointed out: “ In a socialist economy there are capital goods, but no capital “.

One can hardly think of a single legitimate reason to use tax dollars for invading a nation. Though among the silliest, “the-largest-oil-reserves-in-the-planet” argument is on top of the list.



It’s clear the “Jussie Smollett hoax” benefits the globalists’ false flag agenda. Alex calls in from the road to expose those that actually want to divide America.

Source: InfoWars

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Texas stifles TCU, Lipscomb dumps Wichita State to reach NIT finals

NCAA Basketball: NIT Semifinal-Texas vs TCU
Apr 2, 2019; New York, NY, USA; Texas Christian Horned Frogs center Kevin Samuel (21) and Texas Longhorns guard Courtney Ramey (3) fight for a loose ball in the first half of the NIT semifinals at Madison Square Garden. Mandatory Credit: Wendell Cruz-USA TODAY Sports

April 3, 2019

Kerwin Roach came off the bench to score a game-high 22 points Tuesday night and Texas’ defense did the rest as it avenged two regular-season losses to Big 12 Conference rival TCU with a 58-44 win in the NIT semifinals at Madison Square Garden in New York City.

The second-seeded Longhorns (20-16) will meet fifth-seeded Lipscomb on Thursday night for the championship. The Bisons rallied from an eight-point deficit in the last six minutes to dump Wichita State 71-64 in Tuesday night’s first semifinal.

Garrison Mathews pumped in 34 points for Lipscomb, including the tie-breaking 3-pointer with 1:07 left. Mathews, who scored 44 points in an NIT quarterfinal win at N.C. State, and the high-powered Bisons could have their hands full with the Texas defense.

After stifling Colorado on Wednesday night in a quarterfinal rout, the Longhorns were in shutdown mode again against their in-state rivals. They established a 31-17 halftime lead, holding the top-seeded Horned Frogs (23-14) to their lowest first-half point total of the year.

Desmond Bane’s jumper with 9:08 left in the first half drew TCU within 16-14, but it managed just one field goal after that, a Kendric Davis lane jumper at the 5:13 mark. The Horned Frogs experienced four scoring droughts of at least three minutes in the half.

Meanwhile, Roach and Texas did just enough offensively to establish a working margin that held up over the second half. His consecutive layups gave it a 29-16 advantage with 2:14 remaining, and TCU spent the game’s remainder chasing to no avail.

The Horned Frogs closed within 38-33 with 11:24 left in the game when Kouat Noi stuck back RJ Nembhard’s missed 3-pointer, but Roach and Dylan Osetkowski combined for the next six points. That gave the Longhorns a 44-33 lead with 7:19 remaining.

Osetkowski added 13 for Texas, which won despite hitting only 42.6 percent from the field.

Alex Robinson scored 12 points in his final college game for TCU, which was shooting for its second NIT title in three years. Bane tallied 11.

–Field Level Media

Source: OANN

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Kansas agency finds abuse and neglect in Wichita boy’s death

Kansas child welfare authorities investigated two reports of possible abuse or neglect involving a Wichita couple in the 17 months before their 3-year-old son was found dead in his crib.

The Kansas Department of Children and Families on Thursday completed its investigation into the April 12 death of Zaiden Javonovich, who authorities believe was dead days before his body was discovered.

In a report summary obtained by The Associated Press through an open records request, the agency said it found physical abuse and neglect in the case but provided no other details.

Zaiden's mother, Brandi Marchant, 22, and his father, Patrick Javonovich, 28, are charged with felony murder and child abuse in Zaiden's death. His body was found April 11 when police went to the home after receiving a call about a domestic disturbance. Zaiden's 4-month-old brother, who is Marchant's son, was found injured and hospitalized in critical condition.

In November 2017, the Department of Children and Families investigated possible emotional abuse after a report that Marchant made homicidal and suicidal statements in front of the children. One child who reported a homicidal statement mentioned Zaiden, according to the report. Several people were interviewed but investigators could not substantiate the claim.

A year later, the department was told the younger boy tested positive for marijuana at birth. The case could not be investigated as an abuse/neglect case because medical officials did not indicate the boy's health was hurt by marijuana use, the summary states.

Instead, a Family in Need of Assessment case was started. A social worker who met with the couple found both children appearing healthy, with all necessary supplies for the infant, according to the report. The parents, who are not married, completed a federally required plan of safe care and in another visit, Marchant completed a Department of Children and Families safety plan. The case was closed Jan. 14.

The Wichita Eagle reported the agency rejected a request for information about the younger boy. Spokesman Eric Smith confirmed the department received a report of alleged abuse and is investigating.

Source: Fox News National

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Rep. Collins: Dems Should Be Upset Over Spying on Campaign

Democrats are upset by Attorney General William Barr's comments that members of the FBI were spying on the Trump campaign when they should be more upset that a presidential administration was "intruding" into the 2016 election, Rep. Doug Collins, ranking member of the House Judiciary Committee, said Friday.

"We've seen that political bias," the Georgia Republican told Fox News' "America's Newsroom." "He is being honest here and moving on to the (special counsel Robert) Mueller report, and we'll confirm what we already know."

Collins said he does think that Mueller reset the story when he spoke of spying and it's a "good thing, (as) we've been talking about this from day one, not simply what the reports are."

Meanwhile, Democrats who wanted to get the Mueller report finished are not happy with it because they don't like its conclusions, so "they are trying everything else."

Former FBI Director James Comey said on Thursday he did not know what Barr was talking about with comments about spying, because the FBI and Department of Justice were conducting court-ordered surveillance. Collins said it is "getting old for Comey" to continue to pop up.

"He is getting scrutinized for something he is a part of," said Collins. "He doesn't like the term of what was happening. He has to answer those questions again. His light will continue to fade."

Collins added that he thinks the difference between the words surveillance and spying are "a matter of wording."

"(Bill Barr) wanted to make sure he said it was spying," said Collins. "They were looking into a campaign and what was going on here."

Source: NewsMax Politics

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Trump to Skip White House Correspondents Dinner — Hold MAGA Rally Instead!

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Source: InfoWars

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Coalition Of 500 Cities, Counties And Tribes Sues Pharma Billionaire Family For Racketeering

Evie Fordham | Politics and Health Care Reporter

  • A coalition of 500 cities, counties and Native American tribes is suing OxyContin maker Purdue Pharma and some members of the billionaire family that controls it over the country’s deadly opioid crisis.
  • “This nation is facing an unprecedented opioid addiction epidemic that was initiated and perpetuated by the Sackler defendants for their own financial gain,” attorneys representing the communities wrote in the filing.
  • A spokesperson for certain members of the Sackler family denied the allegations and called them “baseless.”

A coalition of 500 cities, counties and Native American tribes is suing OxyContin maker Purdue Pharma and some members of the billionaire family that controls it over the country’s deadly opioid crisis.

The suit against Purdue Pharma and at least eight members of the Sackler family was filed earlier in March in a southern New York federal court, reported The Guardian Friday.

“This nation is facing an unprecedented opioid addiction epidemic that was initiated and perpetuated by the Sackler defendants for their own financial gain,” attorneys representing the communities wrote in the filing, according to CBS News. (RELATED: Prestigious London Art Museum Says It Won’t Be Taking Donation Linked To Purdue Pharma’s Sackler Family)

The suit is being brought by communities in 26 states and eight tribes, CBS reported. It accuses the parties of racketeering.

The suit alleges that while the Sackler family has an estimated net worth of $13 billion, the opioid crisis cost the U.S. over $504 billion as of 2015. The suit also links the opioid crisis to allegedly aggressive and even deceptive marketing of prescription opioids by Purdue Pharma and members of the Sackler family.

A pharmacist holds prescription painkiller OxyContin, 40mg pills, made by Purdue Pharma L.D. at a local pharmacy, in Provo, Utah, U.S., April 25, 2017. REUTERS/George Frey

A pharmacist holds prescription painkiller OxyContin, 40mg pills, made by Purdue Pharma L.D. at a local pharmacy, in Provo, Utah, U.S., April 25, 2017. REUTERS/George Frey

A spokesperson for the Dr. Mortimer and Dr. Raymond Sackler families issued the following statement to The Daily Caller News Foundation:

These baseless allegations place blame where it does not belong for a complex public health crisis, and we deny them. The company our fathers and grandfathers founded manufactures an FDA-approved medicine that has always represented a tiny portion of the opioid market — never more than four percent of nationwide opioid prescriptions and currently less than two percent — while providing life-changing relief for the millions of pain patients who need it. While we have always acted properly, we remain committed to making a meaningful contribution to solutions that save lives by preventing diversion and abuse of prescription medicines and treating those who are suffering from addiction.

Purdue Pharma issued a statement to TheDCNF that read in part:

This complaint is part of a continuing effort by contingency fee counsel to single out Purdue, blame it for the entire opioid crisis in the United States, and try the case in the court of public opinion rather than the justice system. … Instead, the plaintiffs are seeking to publicly vilify Purdue, its executives, employees and former directors while unfairly undermining the important work we have taken to address the opioid crisis. The complaint is riddled with inaccurate allegations. Absent from the complaint is any acknowledgement of the fact that most opioid overdoses now result from heroin and illicit fentanyl. In fact, rates of overdoses from illegal fentanyl have skyrocketed.

This suit is the latest in a litany of legal action against Purdue Pharma and members of the Sackler family in multiple states. Massachusetts Attorney General Maura Healey has gotten press for filing a suit in June 2018 alleging the parties misled doctors and patients about the risks of opioids to increase prescriptions.

“They don’t want to accept blame for this. They blame doctors, they blame prescribers and worst of all, they blame patients,” Healey told CBS News.

Some critics blame the way Purdue Pharma promoted OxyContin for the roughly 200,000 prescription opioid-related overdose deaths since 1999.

One of London’s most prestigious art institutions will not be accepting a grant worth roughly $1.3 million dollars from the Sackler Trust, an organization connected to the late Mortimer Sackler.

Other prescription opioid makers are starting to face lawsuits like the ones brought against Purdue Pharma. An Oklahoma suit against several drugmakers will paint Johnson & Johnson as an opioid “kingpin,” according to media reports in mid-March.

Follow Evie on Twitter @eviefordham.

Send tips to evie@dailycallernewsfoundation.org.

Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact licensing@dailycallernewsfoundation.org.

Source: The Daily Caller

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Dershowitz: Expanding Supreme Court 'Terrible Idea'

Expanding the Supreme Court is a "terrible idea" that only serve to increase the high court's politicization, Harvard Law professor emeritus Alan Dershowitz said Wednesday, but he does agree adding term limits might be a good way to go.

"The highest court is supposed to be a neutral, objective, nonpartisan institution, as the chief justices said there are no Republican justices or Democratic justices," Dershowitz told Fox News' "America's Newsroom" about the growing calls from Democratic presidential candidates to add more justices. "That's really a wish rather than a reality."

Both parties are at fault for the current standoff, he added.

"Republicans are at fault for not letting Merrick Garland's nomination come to the floor," said Dershowitz. "The Democrats are at fault for the way they treated President [Donald] Trump's nominees."

Term limits could help with the court's politicization problems, said Dershowitz.

"The framers [of the Constitution] didn't intend for justices to sit on the Supreme Court for 40 or 50 years," said Dershowitz. "Life expectancy was in the 40s and 50s and people were appointed when they were 50. Now they're serving for lifetimes."

Dershowitz added he's concerned about the repercussions of tampering with the Supreme Court, as it raises political risks.

"There are some who say there should be five Republican justices, five Democratic justices and five Independent justices picked by the 10 partisan justices," said Dershowitz. "Every idea seems worse than previous ideas and worse than the status quo. We may, in the end, have to struggle to maintain the current law because fixing it may produce more problems than the problems that currently exist."

Source: NewsMax America

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Representatives of Russian Transneft, Ukranian Ukrtransnafta, Polish Pern and Belarusian Belneftekhim gather to hold talks on fixing tainted oil supplies to Europe, in Minsk
Representatives of Russian Transneft, Ukranian Ukrtransnafta, Polish Pern and Belarusian Belneftekhim gather to hold talks on fixing tainted oil supplies to Europe, in Minsk, Belarus April 26, 2019. REUTERS/Vasily Fedosenko

April 26, 2019

By Katya Golubkova and Andrei Makhovsky

MOSCOW/MINSK (Reuters) – Russia is confident it can soon resolve a problem of polluted Russian oil contaminating a major pipeline serving Europe and affecting supplies as far west as Germany, a senior official said on Friday at talks with importers about the issue.

Russian Deputy Energy Minister Pavel Sorokin did not give a precise timeframe but Moscow has previously said it would pump clean oil to the border with Belarus from April 29, seeking to end a crisis hitting the world’s second-largest crude exporter.

Sorokin was speaking at talks with officials from Belarus, Poland and Ukraine in Minsk on the issue. Belarus said the issue had cost it $100 million, while analysts say alternative supply routes for refiners cannot fully fill the gap.

Poland, Germany, Ukraine and Slovakia have suspended imports of Russian oil via the Druzhba pipeline. Halting those supplies has knock-on effects further along the network.

The problem arose last week when an unidentified Russian producer contaminated oil with high levels of organic chloride used to boost oil output but which must be separated before shipment as it can destroy refining equipment.

Russia’s Energy Ministry said pipeline monopoly Transneft and other Russian companies had a plan to mitigate the effects of the contaminated oil. It did not give details.

Russian officials have said contaminated oil has already been pumped into storage in Russia and Friday’s talks would focus on how to partially withdraw the tainted crude from the Druzhba pipeline running via other countries.

The suspension cuts off a major supply route for Polish refineries owned by Poland’s PKN Orlen and Grupa Lotos, as well as plants in Germany owned by Total, Shell, Eni and Rosneft.

Some refiners have outlined plans for alternative supplies, but analysts say other routes cannot meet the shortfall.

OIL PRICES

Ukraine’s Ukrtransnafta suspended the transit of oil through the pipeline on Thursday, closing supplies via Druzhba’s southern route to Slovakia, the Czech Republic and Hungary.

The pipeline issue, which has supported global oil prices, lifted Russian Urals crude differentials to an all-time high on Thursday.

With pipeline supplies to Europe shut, Russia faces a challenge of how to divert about 1 million barrels per day (bpd) that was meant to be shipped through the network to other destinations at the time when export capacity is at its limits.

State-run Russian Railways held talks with energy firms on using up to 5,000 rail tankers to transport crude, RIA news agency reported on Friday.

Concerns about the quality of Urals crude also caused delays in loadings at the Baltic port of Ust-Luga, when buyers refused to lift cargoes, resulting in a brief shutdown of the port on Wednesday and Thursday. An Ust-Luga official and traders said on Friday loadings had resumed.

Russian loading plans indicate it aims to boost Urals exports in May before the expiry of a deal on output cuts agreed with the Organization of the Petroleum Exporting Countries and its allies, Reuters calculations and Energy Ministry data show.

The provisional loading plan for Russia’s Baltic Sea ports and Novorossiisk in May show exports rising to 10.7 million tonnes, the highest level in half a decade.

Minsk estimated its loss from lower oil product exports due to contaminated Russian oil at around $100 million, Russia’s Interfax news agency reported on Thursday, citing Belarusian state oil company Belneftekhim.

Russian Deputy Prime Minister Dmitry Kozak, in charge of government energy policy, said this week that those found responsible for contaminating the oil could be fined. He did not provide names.

(Reporting by Agnieszka Barteczko in WARSAW, Sandor Peto in BUDAPEST, Jason Hovet in PRAGUE, Matthias Williams and Natalia Zinets in KIEV, Katya Golubkova, Olesya Astakhova, Gleb Gorodyankin, Olga Yagova and Maxim Rodionov in MOSCOW, Andrei Makhovsky in MINSK; writing by Katya Golubkova; editing by Michael Perry and Edmund Blair)

Source: OANN

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FILE PHOTO - A worker sits on a ship carrying containers at Mundra Port in the western Indian state of Gujarat
FILE PHOTO: A worker sits on a ship carrying containers at Mundra Port in the western Indian state of Gujarat April 1, 2014. REUTERS/Amit Dave/File Photo

April 26, 2019

(Reuters) – India has once again delayed the implementation of higher tariffs on some goods imported from the United States to May 15, a government official said on Friday.

The new tariff structure was to come into force from May 2, the spokeswoman said without citing reasons for the delay.

Angered by Washington’s refusal to exempt it from new steel and aluminum tariffs, New Delhi decided in June last year to raise the import tax from Aug. 4 on some U.S. products including almonds, walnuts and apples.

But since then, New Delhi has repeatedly delayed the implementation of the new tariff.

Trade friction between India and the U.S. has escalated after U.S. President Donald Trump announced plans earlier this year to end preferential trade treatment for India that allows duty-free entry for up to $5.6 billion worth of its exports to the United States.

In a further blow, U.S. on Monday demanded buyers of Iranian oil stop purchases by May or face sanctions, ending six months of waivers which allowed Iran’s eight biggest buyers including India to continue importing limited volumes.

(Reporting by Manoj Kumar in New Delhi and Kanishka Singh in Bengaluru; Editing by Anil D’Silva and Raissa Kasolowsky)

Source: OANN

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One of Joe Biden’s newly-hired senior advisers has seemingly had a very recent change of heart.

Symone Sanders, a prominent Democratic strategist and Sen. Bernie Sanders, I-Vt., staffer in 2016, was announced as one of the big-name members of Team Biden on Thursday.

But Sanders, who has also served as a CNN contributor, is seen in resurfaced footage from November 2016 expressing her opposition to a white person leading her party after Donald Trump’s election.

“In my opinion, we don’t need white people leading the Democratic party right now,” Sanders told host Brianna Keilar during a discussion on Howard Dean potentially becoming DNC chairman.

BIDEN HIRES FORMER BERNIE SANDERS’ SPOKESPERSON AS SENIOR ADVISER

“The Democratic party is diverse, and it should be reflected as so in leadership and throughout the staff, at the highest levels. From the vice chairs to the secretaries all the way down to the people working in the offices at the DNC,” she said.

Sanders wrapped up her remarks by saying: “I want to hear more from everybody. I want to hear from the millennials and the brown folks.”

Footage of the interview was resurfaced by RealClearPolitics.

After news of her hiring broke on Thursday, Sanders backed her new boss on Twitter.

TRUMP ASSESSES 2020 DEMS; TAKES SWIPES AT BIDEN, SANDERS; DISMISSES HARRIS, O’ROURKE; SAYS HE’S ROOTING FOR BUTTIGIEG

“@JoeBiden & @DrBiden are a class act. Over the course of this campaign, Vice President Biden is going to make his case to the American ppl. He won’t always be perfect, but I believe he will get it right,” she wrote.

The hiring of Sanders has been viewed as another indication of the expected tough fight that Biden and Sanders are in for as the two frontrunners battle a deep Democratic field.

While Sanders himself didn’t torch Biden as he jumped into the race, it’s clear that many of his progressive supporters view the former vice president as a threat.

Biden’s entry into the race – at least in the early going – sets up a battle between himself and Sanders, who thanks to his fierce fight with eventual nominee Hillary Clinton for the 2016 Democratic nomination, enjoys name ID on the level of the former vice president.

BIDEN VOWS THAT ‘AMERICA IS COMING BACK,’ SPARKING ‘MAGA’ COMPARISONS

Justice Democrats — who also called Biden “out-of-touch” – is an increasingly influential group among the left of the party. They’ve championed progressive Rep. Alexandria Ocasio-Cortez of New York as well as Sanders. The group was founded by members of Sanders 2016 presidential campaign.

Biden has pushed back against the perception that he’s a moderate in a party that’s increasingly moving to the left. Earlier this month he described himself as an “Obama-Biden Democrat.”

And Biden said he’d stack his record against “anybody who has run or who is running now or who will run.”

Former Democratic National Committee chair Donna Brazile – a Fox News contributor – highlighted that “Joe Biden can occupy his own lane in large part because he’s earned it. He’s earned the right to call himself whatever.”

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But she emphasized that “elections are not about the past, they’re about the future…I do believe he has the right ingredients. The question is can he find enough people to help him stir the pot.”

Fox News Andrew O’Reilly contributed to this report.

Source: Fox News Politics

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Baltimore Mayor Catherine Pugh, who is facing increased calls for her immediate resignation, remains in poor health and is not “lucid” enough to decide whether to step down, her attorney told reporters late Thursday.

Steve Silverman, speaking outside one of Pugh’s residences which was raided by the FBI and IRS earlier in the day, said the embattled city leader could make a decision as early as next week.

“She is leaning toward making the best decision in the best interest in the citizens of Baltimore City,” he said, adding that Pugh has “several options” to consider.

“She just needs to be physically and mentally sound and lucid enough to make appropriate decisions.”

BALTIMORE MAYOR CATHERINE PUGH, ON LEAVE AMID BOOK PROBE, HAS HOMES AND CITY HALL OFFICE RAIDED BY FEDS

Silverman said Pugh met with a doctor at home Thursday and plans to do so again Friday, the Baltimore Sun reported.

In the latest image-tarnishing scandal for struggling Baltimore, the first-term Democratic mayor faces accusations that she used children’s book deals to cover up kickbacks for favorable treatment as a state lawmaker and city leader that earned her roughly $800,000 over several years.

BALTIMORE’S ACTING MAYOR SAYS HE ‘WOULD HATE TO SEE’ EMBATTLED MAYOR RETURN AFTER BOOK SCANDALS

As a state senator, 69-year-old Pugh sold $500,000 worth of her self-published “Healthy Holly” illustrated paperbacks to the University of Maryland Medical System, a major state employer whose board she sat on for nearly 20 years.

Baltimore police officers stand outside the house of Baltimore Mayor Catherine Pugh in Baltimore, MD., Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Pugh and also in City Hall. (AP Photo/Jose Luis Magana)

Baltimore police officers stand outside the house of Baltimore Mayor Catherine Pugh in Baltimore, MD., Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Pugh and also in City Hall. (AP Photo/Jose Luis Magana)

UMMS reportedly paid Pugh for 100,000 copies of her books between 2011 and 2018 with the stated intention of distributing the books to schools and day care centers. But some 50,000 copies remain unaccounted for and officials are probing if they were even printed.

Pugh also made $300,000 in bulk sales to other customers including health carriers that did business with the city of Baltimore.

BALTIMORE CITY COUNCIL CALLS ON EMBATTLED MAYOR CATHERINE PUGH TO RESIGN IMMEDIATELY

The politically isolated Pugh slipped out of sight on April 1 after a hastily organized press conference where she called her no-contract book deals a “regrettable mistake.” That same day, Maryland’s governor called on the state prosecutor to investigate allegations of “self-dealing.”

Pugh took an indefinite leave of absence, citing her health deteriorating intensely after a bout with pneumonia.

Federal agents arrive at the Maryland Center for Adult Training in Baltimore. MD, Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Baltimore Mayor Catherine Pugh and in City Hall, as well as the office of her lawyer and the home of a top aide.

Federal agents arrive at the Maryland Center for Adult Training in Baltimore. MD, Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Baltimore Mayor Catherine Pugh and in City Hall, as well as the office of her lawyer and the home of a top aide. (Loyd Fox/Baltimore Sun via AP)

On Thursday morning, agents with the FBI and IRS searched her two Baltimore homes, her City Hall offices, and a nonprofit organization she once led. The home of at least one of Pugh’s aides was also scoured.

Silverman said federal agents also served a subpoena at his law firm, retrieving Pugh’s original financial records. They did not seek any attorney-client privileged communications, he said.

Pugh’s attorney said she was “emotionally extremely distraught” following the searches by FBI and IRS agents.

“There was nothing incriminating that came out of her home,” Silverman said.

UMMS spokesman Michael Schwartzberg told reporters that the medical system received a grand jury witness subpoena seeking documents and information related to Pugh.

Other probes against Pugh include a review by the city ethics board and the Maryland Insurance Administration.

BALTIMORE MAYOR’S $500G DEAL FOR ‘HEALTHY HOLLY’ CHILDREN’S BOOKS DRAWS SCRUTINY

In recent weeks, the calls for Pugh’s resignation have intensified with the strongest voice coming from Republican Gov. Larry Hogan, who did not mince words after Thursday’s early morning raids.

“Now more than ever, Baltimore City needs strong and responsible leadership. Mayor Pugh has lost the public trust,” he said. “She is clearly not fit to lead. For the good of the city, Mayor Pugh must resign.”

Federal Bureau of Investigation, and Internal Revenue Service agents search the home of Baltimore Mayor Catherine Pugh in Baltimore, MD., Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Baltimore Mayor Catherine Pugh and in City Hall.

Federal Bureau of Investigation, and Internal Revenue Service agents search the home of Baltimore Mayor Catherine Pugh in Baltimore, MD., Thursday, April 25, 2019. Agents with the FBI and IRS are gathering evidence inside the two homes of Baltimore Mayor Catherine Pugh and in City Hall. (Jerry Jackson/Baltimore Sun via AP)

Many of her fellow Democrats, including those on Baltimore’s demoralized City Council and state lawmakers, are also insisting that Pugh put the citizens’ interests above any attempt to preserve her political career.

City Council member Brandon Scott called the Thursday raids “an embarrassment to the city.”

However, only a conviction can trigger a mayor’s removal from office, according to the city solicitor. Baltimore’s mayor-friendly City Charter currently provides no options for ousting its executive.

Six of Pugh’s staffers joined her on paid leave earlier this month; three of them were fired this week by the acting mayor.

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Pugh came to office in late 2016 after edging out ex-Mayor Sheila Dixon, who had spent much of her tenure fighting corruption charges before being forced to depart office in 2010 as part of a plea deal connected to the misappropriation of about $500 in gift cards meant for needy families.

She would certainly face a bruising 2020 Democratic primary if she were to return and run for reelection. Veteran City Council leader Bernard “Jack” Young, who is serving as acting mayor, said as she went on leave that he would merely be a placeholder. But this week, before the raids, he said “it could be devastating for her” if she tried to return.

The Associated Press contributed to this report.

Source: Fox News National

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Syria’s ambassador to the United Nations has blasted the United State and the European Union for imposing sanctions on his country, describing them as “economic terrorism.”

Bashar Ja’afari made his comments Friday in the Kazakh capital of Astana where Russia, Turkey and Iran held a new round of talks with the Syrian government and the opposition on steps to bring peace to the country.

His comments came as government-held parts of Syria are witnessing widespread fuel shortages that are largely the result of Western sanctions on Syria and its key ally Iran.

Ja’afari says: “This is economic terrorism that is escalating through unilateral economic measures.”

A final statement issued at the end of Astana’s 12th round rejected President Donald Trump’s formal recognition of Israel’s sovereignty over Syria’s occupied Golan Heights.

Source: Fox News World

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