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Exclusive: ECB will tailor new loans to reduce demand, sources say

The skyline with its financial district and the headquarters of the European Central Bank (ECB) are photographed in the early evening in Frankfurt
FILE PHOTO - The skyline with its financial district and the headquarters of the European Central Bank (ECB) are photographed in the early evening in Frankfurt, Germany, December 4, 2018. REUTERS/Kai Pfaffenbach

March 12, 2019

By Francesco Canepa

FRANKFURT (Reuters) – European Central Bank policymakers want to reduce banks’ reliance on central bank cash and will tailor a fresh loan facility to curb appetite, four sources familiar with the discussion have told Reuters.

With growth slowing and business confidence fading, the ECB announced new stimulus measures last week to prop up a still- fragile economy, promising to put off raising interest rates and to give banks access to more multi-year loans from the central bank.

But the sources, who asked not to be named, said the economy was still far stronger than a few years ago, so any support should be less generous, reflecting healthier fundamentals.

One of the key questions still on the table is just how cheap the ECB cash should be and whether the ECB should restrict access to its multi-year credit, commonly known at targeted longer-term refinancing operations, or TLTROs.

An ECB committee working on the design of the TLTRO proposed setting the rate at a premium of 25 basis points above the ECB’s main refinancing rate, now at zero. Then, as now, that rate could be reduced progressively to encourage banks to meet, or then exceed, their lending quotas.

But doves from the EU’s periphery considered such a rate too high, not giving banks enough support, and asked staff to prepare a proposal with more favorable terms, the sources said. They noted that even at a zero percent rate, it would be 40 basis points more expensive than the previous TLTRO.

An ECB spokesman declined to comment.

The sources added that, for now, the main refinancing rate is considered the lowest achievable rate on the TLTROs. But they said the discussion remains open and, if the economy performed worse than expected, they could opt for an even lower, possibly negative, figure.

The need to assess the growth outlook also provided an argument for the Governing Council to take more time to decide the terms of the loan, suggesting that the June 6 meeting is the likeliest opportunity for the ECB to publish the final terms, the sources said.

(Graphic: Depositors and borrowers at the ECB – https://tmsnrt.rs/2UpDLEM)

ADDICTED

A key argument for providing the loans is to roll over a previous TLTRO facility and avoid a sudden reduction in the ECB’s balance sheet. But policymakers also want to reduce banks’ reliance on ECB cash, the sources said.

Options under discussion include more stringent collateral rules on the new loans and more ambitious targets for lending volumes for those granted the knock-down rate.

While demand for the loans will depend on conditions, ECB calculations suggested the take-up of the new facility could be below 500 billion euros ($564 billion), compared with more than 700 billion in the previous round, with many northern European banks not rolling over previous facilities as they can borrow on the market on better terms.

The sources added that the question of tiering the ECB’s deposit rate to shield banks from negative rates had not been discussed.

“Any TLTRO-III rate at, or above the refi rate would lead to very low demand on top of TLTRO-II rollover (which could be a feature, not a bug, if growth picks up),” Frederik Ducrozet, an economist at Pictet Wealth Management, wrote on Twitter after Reuters’ article was originally published.

($1 = 0.8868 euros)

(Graphic: TLTRO II holdings by country – https://tmsnrt.rs/2F6e1rV)

(Additional reporting by Balazs Koranyi; editing by Kevin Liffey, Larry King)

Source: OANN

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Trump denies telling White House counsel to fire Mueller

U.S. President Trump speaks at the Rx Drug Abuse & Heroin Summit in Atlanta, Georgia
U.S. President Donald Trump departs after delivering remarks at the Rx Drug Abuse & Heroin Summit in Atlanta, Georgia, U.S., April 24, 2019. REUTERS/Leah Millis

April 25, 2019

WASHINGTON (Reuters) – U.S. President Donald Trump on Thursday said he had never ordered his White House counsel at the time, Donald McGahn, to fire Special Counsel Robert Mueller, as described in the report Mueller wrote about the investigation into Russian meddling in the 2016 U.S. election and whether the Trump campaign colluded with Russia.

“As has been incorrectly reported by the Fake News Media, I never told then White House Counsel Don McGahn to fire Robert Mueller, even though I had the legal right to do so. If I wanted to fire Mueller, I didn’t need McGahn to do it, I could have done it myself,” Trump wrote on Twitter.

The Democratic chairman of the House judiciary panel has issued a subpoena for McGahn to testify and provide documents to the committee, but it is not clear whether the White House will comply. Trump has vowed to fight every subpoena from House Democrats probing his administration.

(Reporting by Makini Brice; Editing by Chizu Nomiyama)

Source: OANN

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Politico: Trump Inner Circle Not Safe From Other Probes

Even if members of President Donald Trump’s inner circle end up escaping charges stemming from special counsel Robert Mueller’s investigation, they still won’t be in the clear, Politico is reporting.

As Mueller’s probe reportedly winds down, federal prosecutors in New York are looking into Trump’s 2016 campaign, businesses and inauguration. And dozens of hearing transcripts that could contain lies told under oath have been turned over to the Justice Department by Congress. In addition, sealed indictments sit in a federal courthouse in Washington -- raising the possibility some Trump associates may already have been charged and haven’t been informed yet, Politico noted.

“If anyone in Trump world is breathing easy right now, I’d say they are very foolish,” said Shanlon Wu, a defense lawyer who previously represented Trump’s former deputy campaign chairman, Rick Gates. “Even if Mueller’s report were to appear and didn’t implicate the president, all these other criminal investigations will continue.”

Politico noted Trump remains at high risk from the multiple investigations.

“Any one of us who had so many people investigating everything you’ve ever done, you know, is in jeopardy,” said Jon Sale, a former prosecutor from the Southern District of New York 

Politico noted 17 cases filed this year in the same federal court district where others in the Mueller probe were charged remain under seal. It is unknown whether any relate to the Mueller probe.

Multiple news sources have reported that Mueller is expected to submit his report to Attorney General William Barr very soon, although it is not anticipated this week.

Source: NewsMax Politics

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Dice: Trump Plan to Release Illegals in Sanctuary Cities ‘Pure Genius’

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Source: InfoWars

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Latvia violated EU law in removing ECB policymaker, court rules

FILE PHOTO: Latvia's central bank governor Rimsevics arrives at the news conference in Riga
FILE PHOTO: Latvia's central bank governor Ilmars Rimsevics arrives at the news conference in Riga, Latvia February 20, 2018. REUTERS/Ints Kalnins

February 26, 2019

LUXEMBOURG (Reuters) – Latvia violated European Union law by barring from office its central bank governor, who is also a European Central Bank policymaker, the European Court of Justice ruled on Tuesday in a widely expected decision.

Ilmars Rimsevics was suspended early last year on charges of corruption, leaving Latvia without a vote at ECB policy meetings and challenging a key plank of central bank independence.

“The Court annuls the decision suspending the Governor of the Central Bank of Latvia from office,” the Court said in a statement. “Latvia has not adduced evidence of the serious misconduct imputed to the governor of its central bank.”

The court’s decision comes after Advocate General Juliane Kokott argued in December that Latvia had failed to provide evidence of corruption — which Rimsevics denies — and that suspending him from office during the investigation amounted to his removal.

In a case without precedent for the ECB, Rimsevics was detained last February on accusations of soliciting a bribe and was even prevented for months from appointing a deputy to represent Latvia in ECB policy meetings.

Rimsevics and the ECB both took Latvia to court, arguing that removing a central bank chief without proving guilt in the case of serious misconduct violates central bank independence.

While the ruling is a win for Rimsevics, he is unlikely to be reinstated and Deputy Governor Zoja Razmusa will represent Latvia at ECB meetings until the Governor’s term ends later this year.

(Reporting by Michele Sinner; Writing by Balazs Koranyi; Editing by Catherine Evans)

Source: OANN

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WTA roundup: Anisimova wins all-teen quarterfinal

Tennis: Miami Open
FILE PHOTO: Mar 20, 2019; Miami Gardens, FL, USA; Amanda Anisimova of the United States reaches for a backhand against Andrea Petkovic of Germany (not pictured) in the first round of the Miami Open at Miami Open Tennis Complex. Mandatory Credit: Geoff Burke-USA TODAY Sports

April 13, 2019

Sixth-seeded Amanda Anisimova won a quarterfinal battle of 17-year-olds, beating Maria Camila Osorio Serrano 6-2, 1-6, 6-3 in the Claro Open Colsanitas on Friday in Bogota, Colombia.

Anisimova, an American, disappointed the home crowd rooting for Osorio Serrano, who is Colombian. One more win would move the New Jersey native into her second career WTA Tour final. She lost the title match last year at Hiroshima, Japan.

In the semifinals, Anisimova will meet Brazil’s Beatriz Haddad Maia, who topped Spain’s Sara Sorribes Tormo 6-7 (6), 6-2, 6-3.

Eleventh-seeded Lara Arruabarrena of Spain, the 2012 Bogota champion who has reached the event’s finals three times, will oppose Australia’s Astra Sharma in the other semifinals. Arruabarrena beat fifth-seeded Tamara Zidansek of Slovenia 6-4, 6-2, and Sharma got past Italy’s Sara Errani 6-1, 7-5.

Samsung Open

The last remaining seeded player in the draw at Lugano, Switzerland, fell as Poland’s Iga Swiatek upset eighth-seeded Vera Lapko of Belarus 4-6, 6-4, 6-1 in the quarterfinals.

Swiatek’s semifinal opponent will be the Czech Republic’s Kristyna Pliskova, who defeated Russia’s Svetlana Kuznetsova 4-6, 6-3, 7-5.

Fiona Ferro of France edged Switzerland’s Stefanie Voegele 7-5, 7-6 (5). Ferro will match up in the semifinals with Slovenia’s Polona Hercog, who beat Russia’s Veronika Kudermetova 6-4, 6-1.

–Field Level Media

Source: OANN

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As pope visits Morocco, tiny Jewish community looks on with quiet pride

Pope Francis visits Morocco
Pope Francis attends a meeting with representatives of other Christian denominations at Saint Peter's Cathedral in Rabat, Morocco, March 31, 2019. REUTERS/Youssef Boudlal

March 31, 2019

By Ahmed Eljechtimi and Philip Pullella

RABAT (Reuters) – Suzanne Harroch speaks and sings in Judeo-Moroccan, a language of a once-thriving Jewish community that numbered about 300,000 – one of the largest in the Muslim world.

Today, she and her husband are two of only 2,500 Jews left in Morocco, a community that is aging and dwindling even as it enjoys constitutional recognition and protection.

“I identify myself as Moroccan first, then Jewish,” the mother of three said in her house in Rabat ahead of Pope Francis’ visit, which Jews have welcomed as an opportunity to highlight a status they say is unique in the Muslim world.

On Saturday, Jewish leaders joined Christian representatives in the front row at two events presided over by the pope and King Mohammed VI on interfaith dialogue.

Morocco’s 2011 constitution recognizes the “Hebraic” constituent as a component of the national identity. Jews in the north African Kingdom have their own courts, family code and schools and even a state-supported Jewish heritage museum.

Unlike many Moroccan Jews, who left for Israel, Europe and America in the past six decades because of grinding poverty and political uncertainty, Harroch and her husband decided to stay.

“Morocco is where I belong. I feel safe here,” said Harroch, who worked as hotel director until her recent retirement. Her husband is also Jewish and works as a doctor serving the Muslim community.

She now dedicates her time to singing in Judeo-Moroccan as part of a musical group made up of Muslim musicians who help her delve deep into the country’s ancient Jewish heritage.

The Moroccan Jewish community dates back to Roman times and for centuries Jews served the royal court as ambassadors, diplomats, ministers and advisors.

During the French colonial era, King Mohammed V refused to apply the anti-Semitic measures imposed by the collaborationist French Vichy regime during the Nazi occupation of France in World War Two.

In 2010, his grandson, the current king, launched a program to restore hundreds of synagogues, Jewish cemeteries and heritage sites across the country, and reinstated the original names of some Jewish neighborhoods that had been changed during and after the colonial era.

The king also paid for the restoration of the Jewish cemetery in the island nation of Cape Verde, more than 2,000 miles away, as it contains the graves of Moroccan Jews who emigrated there.

Moroccan Jews say they feel protected by the king.

“He is the head of all the faithful, both Muslims and Jews,” said Davide Toledano, head of Rabat’s Jewish community, which now has less than 200 members.

Morocco’s 23,000 Roman Catholics – most of them expatriate Europeans, mainly French, and sub-Saharan African migrants – make up less one percent of the population of about 35 million.

Addressing the pope on Saturday, the king, who is also Morocco’s top religious authority, said: “I cannot speak of the land of Islam as if only Muslims lived there …. I protect Moroccan Jews as well as Christians from other countries who are living in Morocco.”

Zhor Rehihel, director of the museum of Moroccan Judaism in Casablanca, is a Muslim.

“Jewish heritage is part of our collective and diverse Moroccan identity that we should preserve,” she said.

(Reporting by Ahmed Eljechtimi; Editing by Philip Pullella and Raissa Kasolowsky)

Source: OANN

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An employee looks up at goods at the Miniclipper Logistics warehouse in Leighton Buzzard
FILE PHOTO: An employee looks up at goods at the Miniclipper Logistics warehouse in Leighton Buzzard, Britain December 3, 2018. REUTERS/Simon Dawson

April 26, 2019

LONDON, April 26 – British factories stockpiled raw materials and goods ahead of Brexit at the fastest pace since records began in the 1950s, and they were increasingly downbeat about their prospects, a survey showed on Friday.

The Confederation of British Industry’s (CBI) quarterly survey of the manufacturing industry showed expectations for export orders in the next three months fell to their lowest level since mid-2009, when Britain was reeling from the global financial crisis.

The record pace of stockpiling recorded by the CBI was mirrored by the closely-watched IHS Markit/CIPS purchasing managers’ index published earlier this month.

(Reporting by Andy Bruce, editing by David Milliken)

Source: OANN

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Malaysian Prime Minister Mahathir Mohamad speaks at the opening ceremony for the second Belt and Road Forum in Beijing
Malaysian Prime Minister Mahathir Mohamad speaks at the opening ceremony for the second Belt and Road Forum in Beijing, China April 26, 2019. REUTERS/Florence Lo

April 26, 2019

KUALA LUMPUR (Reuters) – Fewer than half of Malaysians approve of Prime Minister Mahathir Mohamad, an opinion poll showed on Friday, as concerns over rising costs and racial matters plague his administration nearly a year after taking office.

The survey, conducted in March by independent pollster Merdeka Center, showed that only 46 percent of voters surveyed were satisfied with Mahathir, a sharp drop from the 71 percent approval rating he received in August 2018.

Mahathir’s Pakatan Harapan coalition won a stunning election victory in May 2018, ending the previous government’s more than 60-year rule.

But his administration has since been criticized for failing to deliver on promised reforms and protecting the rights of majority ethnic Malay Muslims.

Of 1,204 survey respondents, 46 percent felt that the “country was headed in the wrong direction”, up from 24 percent in August 2018, the Merdeka Center said in a statement. Just 39 percent said they approved of the ruling government.

High living costs remained the top most concern among Malaysians, with just 40 percent satisfied with the government’s management of the economy, the survey showed.

It also showed mixed responses to Pakatan Harapan’s proposed reforms.

Some 69 percent opposed plans to abolish the death penalty, while respondents were sharply divided over proposals to lower the minimum voting age to 18, or to implement a sugar tax.

“In our opinion, the results appear to indicate a public that favors the status quo, and thus requires a robust and coordinated advocacy efforts in order to garner their acceptance of new measures,” Merdeka Center said.

The survey also found 23 percent of Malaysians were concerned over ethnic and religious matters.

Some groups representing Malays have expressed fear that affirmative-action policies favoring them in business, education and housing could be taken away and criticized the appointments of non-Muslims to key government posts.

Last November, the government reversed its pledge to ratify a UN convention against racial discrimination, after a backlash from Malay groups.

Earlier this month, Pakatan Harapan suffered its third successive loss in local elections since taking power, which has been seen as a further sign of waning public support.

Despite the decline, most Malaysians – 67 percent – agreed that Mahathir’s government should be given more time to fulfill its election promises, Merdeka Center said.

This included a majority of Malay voters who were largely more critical of the new administration, it added.

(Reporting by Rozanna Latiff; Editing by Nick Macfie)

Source: OANN

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The German share price index DAX graph at the stock exchange in Frankfurt
The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, April 25, 2019. REUTERS/Staff

April 26, 2019

By Medha Singh and Agamoni Ghosh

(Reuters) – European shares slipped on Friday after losses in heavyweight banks and Glencore outweighed gains in healthcare and auto stocks, while investors remained on the sidelines ahead of U.S. economic data for the first quarter.

The pan-European STOXX 600 index was down 0.1 percent by 0935 GMT, eyeing a modest loss at the end of a holiday-shortened week. Banks-heavy Italian and Spanish indices were laggards.

The banking index fell for a fourth day, at the end of a heavy earnings week for lenders.

Britain’s Royal Bank of Scotland tumbled after posting lower first quarter profit, hurt by intensifying competition and Brexit uncertainty, while its investment bank also registered poor returns.

Weakness in investment banking also dented Deutsche Bank’s quarterly trading revenue and sent its shares lower a day after the German bank abandoned merger talks with smaller rival Commerzbank.

“The current interest rate environment makes it challenging for banks to make proper earnings because of their intermediary function,” said Teeuwe Mevissen, senior market economist eurozone, at Rabobank.

Since the start of April, all country indexes were on pace to rise between 1.8 percent and 3.4 percent, their fourth month of gains, while Germany was strongly outperforming with 6 percent growth.

“For now the current sentiment is very cautious as markets wait for the first estimates of the U.S. GDP growth which could see a surprise,” Mevissen said.

U.S. economic data for the first-quarter is due at 1230 GMT. Growth worries outside the United States resurfaced this week after South Korea’s economy unexpectedly contracted at the start of the year and weak German business sentiment data for April also disappointed.

Among the biggest drags on the benchmark index in Europe were the basic resources sector and the oil and gas sector, weighed down by Britain’s Glencore and France’s Total, respectively.

Glencore dropped after reports that U.S authorities were investigating whether the company and its subsidiaries violated certain provisions of the commodity exchange act.

Energy major Total said its net profit for the first three months of the year fell compared with a year ago due to volatile oil prices and debt costs.

Chip stocks in the region including Siltronic, Ams and STMicroelectronics lost more than 1 percent after Intel Corp reduced its full-year revenue forecast, adding to concerns that an industry-wide slowdown could persist until the end of 2019.

Meanwhile, healthcare, which is also seen as a defensive sector, was a bright spot. It was helped by French drugmaker Sanofi after it returned to growth with higher profits and revenues for the first-quarter.

Luxembourg-based satellite operator SES led media stocks higher after it maintained its full-year outlook on the back of the company’s Networks division.

Automakers in the region rose 0.4 percent, led by Valeo’s 6 percent jump as the French parts maker said its performance would improve in the second half of the year.

Continental AG advanced after it backed its outlook for the year despite reporting a fall in first-quarter earnings.

Renault rose more than 3 percent as it clung to full-year targets and pursues merger talks with its Japanese partner Nissan.

(Reporting by Medha Singh and Agamoni Ghosh in Bengaluru; Editing by Gareth Jones and Elaine Hardcastle)

Source: OANN

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U.S. President Donald Trump hosts Take Our Daughters and Sons to Work Day at the White House in Washington
U.S. President Donald Trump gives a thumbs up to his audience as he hosts Take Our Daughters and Sons to Work Day at the White House in Washington, U.S., April 25, 2019. REUTERS/Kevin Lamarque

April 26, 2019

By Jan Wolfe and Richard Cowan

(Reuters) – The “i word” – impeachment – is swirling around the U.S. Congress since the release of Special Counsel Robert Mueller’s redacted Russia report, which painted a picture of lies, threats and confusion in Donald Trump’s White House.

Some Democrats say trying to remove Trump from office would be a waste of time because his fellow Republicans still have majority control of the Senate. Other Democrats argue they have a moral obligation at least to try to impeach, even though Mueller did not charge Trump with conspiring with Russia in the 2016 U.S. election or with obstruction of justice.

Whether or not the Democrats decide to go down this risky path, here is how the impeachment process works.

WHAT ARE GROUNDS FOR IMPEACHMENT?

The U.S. Constitution says the president can be removed from office by Congress for “treason, bribery, or other high crimes and misdemeanors.” Exactly what that means is unclear.

Before he became president in 1974, replacing Republican Richard Nixon who resigned over the Watergate scandal, Gerald Ford said: “An impeachable offense is whatever a majority of the House of Representatives considers it to be at a given moment in history.”

Frank Bowman, a University of Missouri law professor and author of a forthcoming book on the history of impeachment, said Congress could look beyond criminal laws in defining “high crimes and misdemeanors.” Historically, it can encompass corruption and other abuses, including trying to obstruct judicial proceedings.

HOW DOES IMPEACHMENT PLAY OUT?

The term impeachment is often interpreted as simply removing a president from office, but that is not strictly accurate.

Impeachment technically refers to the 435-member House of Representatives approving formal charges against a president.

The House effectively acts as accuser – voting on whether to bring specific charges. An impeachment resolution, known as “articles of impeachment,” is like an indictment in a criminal case. A simple majority vote is needed in the House to impeach.

The Senate then conducts a trial. House members act as the prosecutors, with senators as the jurors. The chief justice of the U.S. Supreme Court presides over the trial. A two-thirds majority vote is required in the 100-member Senate to convict and remove a president from office.

No president has ever been removed from office as a direct result of an impeachment and conviction by Congress.

Nixon quit in 1974 rather than face impeachment. Presidents Andrew Johnson in 1868 and Bill Clinton in 1998 were impeached by the House, but both stayed in office after the Senate acquitted them.

Obstruction of justice was one charge against Clinton, who faced allegations of lying under oath about his relationship with White House intern Monica Lewinsky. Obstruction was also included in the articles of impeachment against Nixon.

CAN THE SUPREME COURT OVERTURN?

No.

Trump said on Twitter on Wednesday that he would ask the Supreme Court to intervene if Democrats tried to impeach him. But America’s founders explicitly rejected making a Senate conviction appealable to the federal judiciary, Bowman said.

“They quite plainly decided this is a political process and it is ultimately a political judgment,” Bowman said.

“So when Trump suggests there is any judicial remedy for impeachment, he is just wrong.”

PROOF OF WRONGDOING?

In a typical criminal court case, jurors are told to convict only if there is “proof beyond a reasonable doubt,” a fairly stringent standard.

Impeachment proceedings are different. The House and Senate “can decide on whatever burden of proof they want,” Bowman said. “There is no agreement on what the burden should be.”

PARTY BREAKDOWN IN CONGRESS?

Right now, there are 235 Democrats, 197 Republicans and three vacancies in the House. As a result, the Democratic majority could vote to impeach Trump without any Republican votes.

In 1998, when Republicans had a House majority, the chamber voted largely along party lines to impeach Clinton, a Democrat.

The Senate now has 53 Republicans, 45 Democrats and two independents who usually vote with Democrats. Conviction and removal of a president would requires 67 votes. So that means for Trump to be impeached, at least 20 Republicans and all the Democrats and independents would have to vote against him.

WHO BECOMES PRESIDENT IF TRUMP IS REMOVED?

A Senate conviction removing Trump from office would elevate Vice President Mike Pence to the presidency to fill out Trump’s term, which ends on Jan. 20, 2021.

(Reporting by Jan Wolfe and Richard Cowan; Editing by Kevin Drawbaugh and Peter Cooney)

Source: OANN

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New England Patriots owner Robert Kraft attends a conference at the Cannes Lions Festival in Cannes
FILE PHOTO: New England Patriots owner Robert Kraft attends a conference at the Cannes Lions Festival in Cannes, France, June 23, 2017. REUTERS/Eric Gaillard

April 26, 2019

(Reuters) – New England Patriots owner Robert Kraft’s lawyers on Friday are set to ask a Florida judge to toss out hidden-camera videos that prosecutors say show the 77-year-old billionaire receiving sexual favors for money inside a Florida massage parlor.

The owner of the reigning Super Bowl champions plans wants the video to not be used as evidence against him as he contests two misdemeanor counts of soliciting prostitution at the Orchids of Asia Spa in Jupiter, Florida, along with some two dozen other men.

His legal team is fresh off a win on Tuesday, when they successfully persuaded Palm Beach County Judge Leonard Hanser to block prosecutors from releasing the hidden-camera footage to media outlets, which had requested copies under the state’s robust open records law.

Kraft, who has owned the franchise since 1994, pleaded not guilty, but has issued a public apology for his actions.

His attorneys have argued in court papers that the surreptitious videotaping of customers, including Kraft, inside a massage parlor was governmental overreach and the result of an illegally obtained search warrant.

The warrant, Kraft’s lawyers claim, was secured under false pretenses because police officers cited human trafficking as a potential crime in their application. Prosecutors have since acknowledged that the investigation yielded no evidence of trafficking.

Palm Beach County prosecutors in a court filing on Wednesday said Kraft’s motion should be rejected because he could not have had any expectation of privacy while visiting a commercial establishment to engage in criminal activity.

That prompted an indignant response from Kraft’s attorneys, who said the prosecution’s position on privacy was “unhinged.”

“It should go without saying that Mr. Kraft and everyone else in the United States have a reasonable expectation that the government will not secretly spy on them while they undress behind closed doors,” they wrote.

(Reporting by Joseph Ax, editing by G Crosse)

Source: OANN

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