Trump administration moves to make tougher U.S. visa vetting permanent

FILE PHOTO: A sign warns of surveillance at the International Arrival area, on the day that U.S. President Donald Trump's limited travel ban, approved by the U.S. Supreme Court, goes into effect, at Logan Airport in Boston, Massachusetts, U.S., June 29, 2017. REUTERS/Brian Snyder

By Yeganeh Torbati

WASHINGTON (Reuters) – The Trump administration moved on Thursday to make permanent a new questionnaire that asks some U.S. visa applicants to provide their social media handles and detailed biographical and travel history, according to a public notice.

The questionnaire was rolled out in May as part of an effort to tighten vetting of would-be visitors to the United States, and asks for all prior passport numbers, five years’ worth of social media handles, email addresses and phone numbers and 15 years of biographical information including addresses, employment and travel history. (See: http://bit.ly/2v0qsR2)

A State Department official declined to provide data on how many times the form had been used or which nationalities had been asked to fill it out since May, only stating that it estimates 65,000 visa applicants per year “will present a threat profile” that warrants the extra screening.

President Donald Trump ran for office in 2016 pledging to crack down on illegal immigration for security reasons, and has called for “extreme vetting” of foreigners entering the United States. On Wednesday, he threw his support behind a bill that would cut legal immigration to the United States by 50 percent over 10 years.

The Office of Management and Budget, which must approve most new federal requests of information from the public, initially approved the form on an “emergency” basis, which allowed its use for six months rather than the usual three years.

The State Department published a notice in the Federal Register on Thursday seeking to use the form for the next three years. The public has 60 days to comment on the request. (See: http://bit.ly/2uZNXJD)

The questions are meant to “more rigorously evaluate applicants for terrorism, national security-related, or other visa ineligibilities,” the notice said.

While the questions are voluntary, the form says failure to provide the information may delay or prevent the processing of a visa application.

Trump ordered a temporary travel ban in March on citizens of Iran, Libya, Somalia, Sudan, Syria and Yemen. After months of legal wrangling, the Supreme Court in June allowed the travel ban to go forward with a limited scope.

The form does not target any particular nationality.

Seyed Ali Sepehr, who runs an immigration consultancy in California serving Iranian clients applying for U.S. visas, said that since late June, all of his clients who have been referred for extra security checks have also been asked to fill out the new form.

Kiyanoush Razaghi, an immigration attorney based in Maryland, said he knows of Iraqis, Libyans and Iranians who have been asked to fill out the form.

Immigration attorney Steve Pattison said one of his clients, who is not from one of the six travel ban countries, had been asked to fill out the new form when applying for a visitor visa, indicating that consular officers are using it broadly.

“It could be that everyone is missing another consequence of the use of the form – its deployment in a far wider sense to cover all sorts of individuals,” Pattison said.

(Reporting by Yeganeh Torbati; editing by Sue Horton and Grant McCool)

Top Senate Democrat urges Trump to block China deals over North Korea

Senate Minority Leader Chuck Schumer, accompanied by Senator Patty Murray (D-WA) and Senator Debbie Stabenow (D-MI), speaks with reporters following the successful vote to open debate on a health care bill on Capitol Hill in Washington, U.S., July 25, 2017. REUTERS/Aaron P. Bernstein

WASHINGTON (Reuters) – The top Democrat in the U.S. Senate called on President Donald Trump on Tuesday to block some Chinese investments in the United States to pressure China “to help rein in North Korea’s threatening and destabilizing behavior.”

In a letter to Trump, Senate Democratic leader Chuck Schumer urged him to use his authority through the Committee on Foreign Investment in the United States, or CFIUS, to pressure Beijing by suspending approval of “all mergers and acquisitions in the U.S. by Chinese entities.”

Schumer’s request comes amid concern about North Korea, which fired a missile Friday that experts said was capable of hitting Los Angeles. Trump has repeatedly urged China to rein in its ally North Korea, and Schumer agreed.

“It is my assessment that China will not deter North Korea unless the United States exacts greater economic pressure on China,” Schumer wrote to Trump, a Republican. “The U.S. must send a clear message to China’s government.”

Senator John Cornyn, a Republican on the Senate Intelligence Committee, was unconvinced that CFIUS was the right tool.

“That’s not specifically the purpose of CFIUS. CFIUS is a national security vehicle to try to make sure that high-tech investments by foreign countries don’t steal our cutting-edge technology,” Cornyn said outside his Senate office.

“I’m happy to work with Senator Schumer to figure out what his concerns are,” added Cornyn, who has urged changes at CFIUS because of China. His worry, however, was not North Korea but that China would close the technology gap between the U.S. and Chinese militaries.

Led by the U.S. Department of Treasury, CFIUS reviews foreign acquisitions of U.S. companies on national security grounds and can take action on its own or refer cases to the president.

In an interview with Reuters Friday, the top U.S. counter-intelligence official suggested the Trump administration was already working on a plan to toughen CFIUS.

“We’re making significant progress on that, working with both sides of Pennsylvania Avenue,” said William Evanina, National Counterintelligence Executive, referring to the White House and Congress. “I think it’s going to look a lot different than it does now.”

Evanina, whose office oversees U.S. government efforts to counter spying and industrial espionage, declined to be more specific but noted that China’s direct investment in the United States quadrupled from 2015 to 2016, to $48 billion annually.

China’s UN ambassador, on the other hand, has said that it was up to Washington and Pyongyang to work toward talks on North Korea’s weapons programs.

“(The United States and North Korea) hold the primary responsibility to keep things moving, to start moving in the right direction, not China,” China’s U.N. Ambassador Liu Jieyi told reporters on Monday. “No matter how capable China is, China’s efforts will not yield practical results.”

While China worries about North Korea’s nuclear and missile programs, and the U.S. reaction to them, its overriding concern, U.S. officials say, is to avoid a North Korean collapse, which could send millions of refugees fleeing toward China and lead to a reunified Korea allied with Washington.

Schumer’s plan to prohibit CFIUS from approving Chinese deals would be technically legal but would stretch CFIUS’ mandate, CFIUS experts said.

“What sounds like effectively a bar on Chinese investment that is being suggested is probably legal but quite different than the case-by-case process that CFIUS has used in the past,” said Stephen Heifetz of the law firm Steptoe & Johnson LLP who represents clients before CFIUS. “The U.S. government should consider the potential for a Chinese response.”

The task force this year faces what could well be a record number of deals, many of them controversial as Chinese firms scout U.S. targets as varied as hotels and film studios to hedge against a weaker yuan <CNY=>.

(Additional reporting by Diane Bartz, Susan Cornwell and Warren Strobel; Writing by Susan Heavey; Editing by Bill Trott and James Dalgleish)

Trump administration sends conflicting signals on Russia sanctions

U.S. Vice President Mike Pence (L) arrives with Secretary of State Rex Tillerson (R) to attend a joint press conference held by U.S. President Donald Trump and Colombian President Juan Manuel Santos at the White House in Washington, U.S., May 18, 2017. REUTERS/Yuri Gripas

By Yeganeh Torbati

WASHINGTON (Reuters) – President Donald Trump grudgingly accepted new congressional sanctions on Russia, the top U.S. diplomat said on Tuesday, remarks in contrast with those of Vice President Mike Pence, who said the bill showed Trump and Congress speaking “with a unified voice.”

The U.S. Congress voted last week by overwhelming margins for sanctions to punish the Russian government over interference in the 2016 presidential election, annexation of Crimea and other perceived violations of international norms.

U.S. Secretary of State Rex Tillerson told reporters that he and Trump did not believe the new sanctions would “be helpful to our efforts” on diplomacy with Russia.

Trump has been clear that he wants to improve relations with Russia, a desire that has been hamstrung by findings of U.S. intelligence agencies that Russia interfered to help the Republican against Democrat Hillary Clinton. U.S. congressional panels and a special counsel are investigating. Moscow denies any meddling and Trump denies any collusion by his campaign.

Tillerson, who did business in Russia when he was chief executive of Exxon Mobil, has said repeatedly that the world’s two major nuclear powers cannot have such a bad relationship.

“The action by the Congress to put these sanctions in place and the way they did, neither the President nor I were very happy about that,” Tillerson said. “We were clear that we didn’t think it was going to be helpful to our efforts, but that’s the decision they made, they made it in a very overwhelming way. I think the president accepts that.”

Tillerson stopped short of saying definitively that Trump would sign the sanctions, saying only that “all indications are he will sign that bill.”

Vice President Mike Pence, at a press conference in Georgia with Prime Minister Giorgi Kvirikashvili, said unequivocally that “President Trump will sign the Russia sanctions bill soon.”

Pence acknowledged that the administration objected to earlier versions of the sanctions bill because it did not grant enough flexibility to the administration, but said it “improved significantly” in later versions.

“And let me say that in signing the sanction, our President and our Congress are speaking with a unified voice,” Pence said.

White House spokeswoman Sarah Sanders said on Tuesday the sanctions bill was under review and would be signed.

“There’s nothing holding him back,” Sanders said at a news briefing. Trump has until Aug. 9 to sign the bill, or veto it, or it will automatically become law.

In retaliation for the sanctions, Russian President Vladimir Putin said on Sunday that the U.S. diplomatic mission in Russia must reduce its staff by 755 people. Russia is also seizing two properties near Moscow used by American diplomats.

Tillerson said Putin probably believes his response was a symmetrical action to Washington seizing two Russian properties in the United States and expelling 35 diplomats last December.

“Of course it makes our lives more difficult,” he said.

Tillerson said he and Russian Foreign Minister Sergei Lavrov would meet in Manila on the margins of next weekend’s meetings of the Association of Southeast Asian Nations.

(Reporting by Yeganeh Torbati; additional reporting by Ayesha Rascoe and Patricia Zengerle; editing by Grant McCool)

Wray confirmed by Senate to lead FBI after Comey firing

Wray confirmed by Senate to lead FBI after Comey firing

By Julia Edwards Ainsley

WASHINGTON (Reuters) – The U.S. Senate on Tuesday confirmed former Justice Department lawyer Christopher Wray as FBI chief, nearly three months after the agency’s previous director, James Comey, was fired by President Donald Trump.

Wray, who was confirmed by vote of 92-5, will take charge of the country’s top domestic law enforcement agency during a federal probe into allegations of collusion between the Trump presidential campaign and Russia.

Since the dismissal of Comey on May 9, the Justice Department has appointed Robert Mueller as special counsel to oversee the investigation with the help of the FBI. Russia denies any interference, and Trump has denied collusion with Russia.

Wray vowed in his confirmation hearing last month to remain independent and not be swayed by politics or pressure from the president. He also praised Muller as the “consummate straight shooter.”

He also worked with Comey on the government’s case in the Enron Corp fraud scandal in the early 2000s.

During the confirmation hearing, Republican Senate Judiciary Committee Chairman Chuck Grassley said Wray’s background showed he was committed to independence, an attribute he said was “vitally important” in the next FBI director.

Wray served as assistant attorney general in charge of the criminal division at the Justice Department under former Republican President George W. Bush.

Former Attorney General Eric Holder and former Deputy Attorney General Sally Yates, both Democrats who served under President Barack Obama, endorsed Wray.

(Reporting by Julia Edwards Ainsley; Editing by Peter Cooney)

Trump signs Russia sanctions law, but slams it as ‘flawed’

U.S. President Donald Trump meets with Russian President Vladimir Putin during their bilateral meeting at the G20 summit in Hamburg, Germany July 7, 2017. REUTERS/Carlos Barria

By Roberta Rampton and Patricia Zengerle

WASHINGTON (Reuters) – U.S. President Donald Trump grudgingly signed into law on Wednesday new sanctions against Russia that Congress had approved overwhelmingly last week, criticizing the legislation as having “clearly unconstitutional” elements.

After signing a bill that runs counter to his desire to improve relations with Moscow, and which also affects Iran and North Korea, the Republican president laid out a lengthy list of concerns.

“While I favor tough measures to punish and deter aggressive and destabilizing behavior by Iran, North Korea, and Russia, this legislation is significantly flawed,” Trump said in a statement announcing the signing.

The Republican-controlled Congress approved the legislation by such a large margin on Thursday that it would have thwarted any effort by Trump to veto the bill.

The legislation has already provoked countermeasures by Russian President Vladimir Putin, who has ordered big cuts to the number of staff at the U.S. diplomatic mission to Russia.

Congress approved the sanctions to punish the Russian government over interference in the 2016 presidential election, annexation of Ukraine’s Crimea and other perceived violations of international norms.

Trump said he was concerned about the sanctions’ effect on work with European allies, and on American business.

“My administration … expects the Congress to refrain from using this flawed bill to hinder our important work with European allies to resolve the conflict in Ukraine, and from using it to hinder our efforts to address any unintended consequences it may have for American businesses, our friends, or our allies,” he said.

The president also complained about what he said were “clearly unconstitutional provisions” in the legislation relating to presidential powers to shape foreign policy.

The new sanctions measure, the first major foreign policy legislation approved by Congress since Trump took office in January, includes a provision allowing Congress to stop any effort by the president to ease existing sanctions on Russia.

Trump has long said he would like improved ties with Russia. But any such efforts by his administration have been hamstrung by findings by U.S. intelligence agencies that Russia interfered to help the Republican against Democratic presidential candidate Hillary Clinton. U.S. congressional committees and a special counsel are investigating. Moscow denies any meddling and Trump denies any collusion by his campaign.

In a second statement on the legislation, Trump said that, “Despite its problems, I am signing this bill for the sake of national unity.”

“It represents the will of the American people to see Russia take steps to improve relations with the United States,” he added.

The legislation will affect a range of Russian industries and might further hurt the Russian economy, already weakened by 2014 sanctions imposed after Russia annexed Crime from Ukraine.

It also cracks down on Iran and North Korea for activities that include their missile development programs and human rights abuses, including seeking to punish foreign banks that do business with North Korea.

NO FANFARE FOR BILL SIGNING

After Congress approved the sanctions, the Kremlin ordered the United States to cut about 60 percent of its diplomatic staff in Russia. Putin said on Sunday that Russia had ordered the United States to cut 755 of its 1,200 embassy and consulate staff by September, and was seizing two diplomatic properties.

Besides angering Moscow, the legislation has upset the European Union, which has said the new sanctions might affect its energy security and prompt it to act, too.

Trump’s fellow Republicans praised him for signing the bill.

However, one Republican senator, Lindsey Graham, while welcoming the signing, was critical of the low-key way it was done, without the typical array of television cameras and reporters present.

“The fact (that) he does this kind of quietly I think reinforces the narrative that the Trump administration is not really serious about pushing back on Russia. And I think that is a mistake, too, because Putin will see this as a sign of weakness,” Graham said in a CNN interview.

Several provisions of the sanctions target the Russian energy sector, with new limits on U.S. investment in Russian companies. American companies also would be barred from participating in energy exploration projects where Russian firms have a stake of 33 percent or higher.

The legislation includes sanctions on foreign companies investing in or helping Russian energy exploration, although the president could waive those sanctions.

It would give the Trump administration the option of imposing sanctions on companies helping develop Russian export pipelines, such as the Nord Stream 2 pipeline carrying natural gas to Europe, in which German companies are involved.

(Reporting by Roberta Rampton and Patricia Zengerle; Additional reporting by Doina Chiacu, Susan Heavey and Caren Bohan; Writing by Frances Kerry; Editing by Jonathan Oatis)

Trump fires communications director Scaramucci in new White House upheaval

FILE PHOTO: New White House Communications Director Anthony Scaramucci, flanked by White House Press Secretary Sarah Sanders, speaks at the daily briefing at the White House in Washington, U.S. July 21, 2017. REUTERS/Jonathan Ernst/File Photo

By Roberta Rampton and Ayesha Rascoe

WASHINGTON (Reuters) – U.S. President Donald Trump ousted recently hired White House communications chief Anthony Scaramucci on Monday over an obscene tirade, sources familiar with the decision said, in the latest staff upheaval for the six-month-old administration.

The move, coming just 10 days after the Republican president named Scaramucci to the post, took place on the first day of work for Trump’s new chief of staff, retired Marine Corps General John Kelly, who sources said was seeking to impose order on a White House riven with factions and backbiting.

“There’s a new sheriff in town,” said Barry Bennett, a former Trump campaign adviser.

A Republican close to Trump said the president fretted on the weekend over what to do about Scaramucci, calling his advisers to ask their opinion, all of whom told him the tough-talking aide had to go.

Trump was annoyed about Scaramucci’s lewd comments to The New Yorker magazine published last Thursday and at how the abrasive New York financier appeared to inflate the strength of their friendship, since he had started the 2016 presidential election cycle as a fundraiser for two Trump rivals, Scott Walker and Jeb Bush.

Trump decided it was time to cut him loose, the source said.

Kelly, who also wanted him removed, summoned Scaramucci to Kelly’s office on Monday morning and fired him on the spot, the official said. It was one of Kelly’s first acts as chief of staff.

“A great day at the White House!” Trump tweeted on Monday evening.

The departure of Scaramucci followed one of the rockiest weeks of Trump’s presidency in which a major Republican effort to overhaul the U.S. healthcare system failed in Congress and both his spokesman and previous chief of staff left their jobs as White House infighting burst into the open.

Scaramucci’s comments to The New Yorker included a profanity-laced attack against then-White House chief of staff Reince Priebus and Trump’s chief strategist, Steve Bannon.

“The president certainly felt that Anthony’s comments were inappropriate for a person in that position,” spokeswoman Sarah Sanders told reporters.

In a change from previous procedure at the Trump White House, all staff will now report to Kelly, including Trump’s daughter Ivanka and son-in-law Jared Kushner, Sanders said.

A Republican official close to the White House said Kelly had been given wide authority to impose order on the unruly Trump White House.

“Things will run with regular order,” the official said, adding that even the president’s daughter and her husband, who both have senior roles at the White House, are “not above the law.”

At a dinner on Saturday night at Trump’s hotel near the White House, Trump told Treasury Secretary Steven Mnuchin and Commerce Secretary Wilbur Ross to expect some staff changes, the official said. Kelly attended the dinner as well.

INNER CIRCLE

Tensions in Trump’s inner circle erupted last week when Scaramucci assailed Priebus and Bannon, two of the West Wing’s most senior figures. He accused Priebus of leaking information to the media. Priebus later resigned.

Trump appeared on Monday with Kelly in the Oval Office and in a Cabinet meeting where he predicted the new chief of staff would do a “spectacular job.” He praised Kelly for his tenure overseeing border security issues at the Department of Homeland Security.

“With a very controversial situation, there’s been very little controversy, which is really amazing by itself,” Trump said.

Republicans fear that staff chaos at the White House could derail any attempt to revive efforts to repeal and replace the Obamacare healthcare law and a plan to overhaul the U.S. tax system.

The U.S. dollar hit a more than 2-1/2-year low against the euro on Monday on month-end portfolio adjustments and uncertainty over the U.S. political outlook after Scaramucci’s departure.

Aside from domestic challenges, Trump is weighing how to respond to North Korea’s latest missile test – a sore point between Washington and Beijing. Trump has been critical of China, North Korea’s closest ally, saying it should do more to rein in Pyongyang.

He is also dealing with several investigations into allegations of Russian meddling in the 2016 U.S. presidential election, and has been frustrated that the probes are also looking into potential collusion by his campaign. Moscow rejects the charge it tried to swing the election in Trump’s favor, and Trump denies his campaign had anything to do with such interference.

(Additional reporting by Steve Holland and Mark Hosenball; Writing by Alistair Bell and Steve Holland; Editing by Peter Cooney)

Trump replaces chief of staff Priebus with retired General Kelly

U.S. President Donald Trump talks to reporters about the departure of his Chief of Staff Reince Priebus as he arrives aboard Air Force One at Joint Base Andrews, Maryland, U.S. July 28, 2017. REUTERS/Jonathan Ernst TPX IMAGES OF THE DAY

By Steve Holland and Roberta Rampton

WASHINGTON (Reuters) – President Donald Trump replaced his beleaguered White House chief of staff, Reince Priebus, after only six months on the job on Friday, installing retired General John Kelly in his place in a major shake-up of his top team.

Trump announced the move in a tweet a day after his new communications director, Anthony Scaramucci, accused Priebus of leaking information to reporters in a profanity-laced tirade.

Kelly, 67, a retired four-star Marine Corps general, is currently secretary of the Department of Homeland Security and will assume the chief of staff post on Monday. He was hired with the goal of bringing more discipline to the White House, a senior White House official said.

Trump issued his decision just as he landed aboard Air Force One after a visit to Long Island and hours after Republican efforts to repeal Obamacare failed in the Senate.

Priebus was on the plane with the Republican president and made no comment. Reporters had noticed no sign of stress from Priebus during the day.Priebus told CNN he had been talking to Trump for some time about exiting the White House, and is the latest in a long line of officials to leave or not take a job at the White House.

“The president has a right to hit a reset button. I think it’s time to hit the reset button,” Priebus said in a televised interview from the White House. “He intuitively determined that it was time to do something different, and I think he’s right.”

Trump had lost confidence in Priebus, privately questioning his competence after major legislative items failed to pass the U.S. Congress, a Trump confidant said.

A source close to Priebus said the former Republican National Committee chairman turned in his resignation on Thursday night, after Scaramucci’s rant against him was published by the New Yorker magazine.

A senior White House official said Trump had informed Priebus two weeks ago that he would be replacing him and that the move had no connection to Scaramucci, whose hiring a week ago prompted Sean Spicer, a Priebus ally, to abruptly resign as press secretary.

After frequent conversations with Kelly, Trump recently warmed up to the idea of naming Kelly chief of staff to more effectively manage personnel and offered it to him earlier this week, a senior White House official said.

KELLY ‘A STAR’

Carrying an umbrella, Trump approached reporters as he stepped off Air Force One, with rain storming down.

“Reince is a good man. John Kelly will do a fantastic job. General Kelly has been a star, done an incredible job thus far, respected by everybody. He’s a great, great American. Reince is a good man,” Trump said.

Priebus’ 189-day tenure was the shortest in modern history for a White House chief of staff. He had hoped to stay on at least a year but struggled to manage his unpredictable boss and was unable to get a handle on conflicting factions in the White House who have frequently squabbled.

In a statement, Priebus said it had been one of the great honors of his life to serve Trump and the country.

“I will continue to serve as a strong supporter of the president’s agenda and policies. I can’t think of a better person than General John Kelly to succeed me and I wish him God’s blessings and great success,” he said.

Trump loyalists had chafed at Priebus, feeling he had installed his RNC allies at the White House and overlooked the people close to Trump who helped get him elected president in November.

But Priebus allies felt he was an important link to establishment Republicans in Washington as the capital attempted to adjust to the anti-establishment style of the president.

“He has served the president and the American people capably and passionately,” House of Representatives Speaker Paul Ryan said of his close friend in a statement. “He has achieved so much, and he has done it all with class. I could not be more proud to call Reince a dear friend.”

White House spokeswoman Sarah Sanders said she did not think Priebus’ exit would affect the White House’s relationship with the Republican Party.

“I think we’ve still got a good relationship. We’re going to continue working with the party and doing what we came here to do,” she said.

Homeland Security Deputy Secretary Elaine Duke will become the acting chief of the department on Monday, DHS said in a statement.

U.S. Representative Michael McCaul, a Texas Republican who chairs the House Homeland Security Committee, is among those being considered for Homeland Security secretary, a DHS official said.

(Additional reporting by Ayesha Rascoe and David Shepardson; Editing by Lisa Shumaker)

Kansas governor tapped as religious ambassador reflects on legacy

FILE PHOTO: Republican Governor Sam Brownback of Kansas, speaks during the Conservative Political Action Conference (CPAC) in National Harbor, Maryland, U.S., February 23, 2017. REUTERS/Joshua Roberts/File Photo

By Timothy Mclaughlin

(Reuters) – Kansas Governor Sam Brownback on Thursday shrugged off the political backlash and budget woes stirred by his aggressive tax-cutting policies at home as he looked forward to a new role as the Trump administration’s chief defender of global religious tolerance.

The two-term Republican addressed both topics at a news conference in Topeka a day after the White House announced that he would soon be nominated as U.S. ambassador at large for international religious freedom, a State Department post.

Brownback, who previously represented his home state in the U.S. House of Representatives and Senate, was a sponsor of the 1998 law that created the diplomatic post he now aspires to fill.

“International religious freedom is going the wrong way. It’s getting worse around the world, not better,” Brownback told reporters. “It affects all faiths, it affects all religions.”

One of Brownback’s most notable forays into the realm of faith as governor came in 2015, when he issued an executive order to protect the religious convictions of clergy as Kansas began to comply with the landmark ruling of the U.S. Supreme Court legalizing same-sex marriage.

His gubernatorial legacy, however, has been largely defined by 2012 legislation he championed to roll back tax rates to help stimulate Kansas’ economy.

The deep cuts shrank state coffers and caused Kansas to miss revenue targets, turning the state into a cautionary tale of fiscal mismanagement.

“It’s amazed me, too, that a tax cut done in a Midwestern state in 2012 has been the dominant tax discussion in America the last five years,” Brownback said on Thursday. He mostly defended his tax strategy, though conceded some resulting spending cuts could have been carried out “more artfully.”

More than a dozen conservative allies in the state legislature lost their seats in the November election in what was seen as a political repudiation of Brownback’s fiscal policies.

Earlier this year, both chambers of the Republican-controlled legislature voted to raise taxes and overrode Brownback’s attempt to veto that measure.

Republican state Representative Melissa Rooker, in a separate interview with Reuters, called Brownback’s tax policy “an unmitigated disaster.”

Lieutenant Governor Jeff Colyer, a physician who previously served in the legislature, would succeed Brownback if he resigned to assume the diplomatic post. It was unclear how soon Brownback might move to Washington, D.C.

In the meantime, his standing at home is low. Brownback ranks as the second-least popular governor in the United States, with a 66 percent disapproval rating, according to the nonpartisan political research company Morning Consult.

(Reporting by Timothy Mclaughlin in Chicago)

Exclusive: Moscow lawyer who met Trump Jr. had Russian spy agency as client

Russian lawyer Natalia Veselnitskaya speaks during an interview in Moscow, Russia November 8, 2016. REUTERS/Kommersant Photo/Yury Martyanov

By Maria Tsvetkova and Jack Stubbs

MOSCOW (Reuters) – The Russian lawyer who met Donald Trump Jr. after his father won the Republican nomination for the 2016 U.S. presidential election counted Russia’s FSB security service among her clients for years, Russian court documents seen by Reuters show.

The documents show that the lawyer, Natalia Veselnitskaya, successfully represented the FSB’s interests in a legal wrangle over ownership of an upscale property in northwest Moscow between 2005 and 2013.

The FSB, successor to the Soviet-era KGB service, was headed by Vladimir Putin before he became Russian president.

There is no suggestion that Veselnitskaya is an employee of the Russian government or intelligence services, and she has denied having anything to do with the Kremlin.

But the fact she represented the FSB in a court case may raise questions among some U.S. politicians.

The Obama administration last year sanctioned the FSB for what it said was its role in hacking the election, something Russia flatly denies.

Charles Grassley, Republican chairman of the Senate Judiciary Committee, has raised concerns about why Veselnitskaya gained entry into the United States. Veselnitskaya represented a Russian client accused by U.S. prosecutors of money laundering in a case that was settled in May this year after four years.

Veselnitskaya did not reply to emailed Reuters questions about her work for the FSB. But she later posted a link to it on her Facebook page on Friday.

“Is it all your proof? You disappointed me,” she wrote in a post.

“Dig in court databases again! You’ll be surprised to find among my clients Russian businessmen… as well as citizens and companies that had to defend themselves from accusations from the state…”

Veselnitskaya added that she also had U.S. citizens as clients.

The FSB did not respond to a request for comment.

Reuters could not find a record of when and by whom the lawsuit – which dates back to at least 2003 – was first lodged. But appeal documents show that Rosimushchestvo, Russia’s federal government property agency, was involved. It did not immediately respond to a request for comment.

Veselnitskaya and her firm Kamerton Consulting represented “military unit 55002” in the property dispute, the documents show.

A public list of Russian legal entities shows the FSB, Russia’s domestic intelligence agency, founded the military unit whose legal address is behind the FSB’s own headquarters.

Reuters was unable to establish if Veselnitskaya did any other work for the FSB or confirm who now occupies the building at the center of the case.

‘MASS HYSTERIA’ OVER MEETING

President Donald Trump’s eldest son eagerly agreed in June 2016 to meet Veselnitskaya, a woman he was told was a Russian government lawyer who might have damaging information about Democratic White House rival Hillary Clinton, according to emails released by Trump Jr.

Veselnitskaya has said she is a private lawyer and has never obtained damaging information about Clinton. Dmitry Peskov, a spokesman for the Kremlin, has said she had “nothing whatsoever to do with us.”

Veselnitskaya has also said she is ready to testify to the U.S. Congress to dispel what she called “mass hysteria” about the meeting with Trump Jr.

The case in which Veselnitskaya represented the FSB was complex; appeals courts at least twice ruled in favor of private companies which the FSB wanted to evict.

The FSB took over the disputed office building in mid-2008, a person who worked for Atos-Component, a firm that was evicted as a result, told Reuters, on condition of anonymity.

The building was privatized after the 1991 Soviet collapse, but the Russian government said in the lawsuit in which Veselnitskaya represented the FSB that the building had been illegally sold to private firms.

The businesses were listed in the court documents, but many of them no longer exist and those that do are little-known firms in the electric components business.

Elektronintorg, an electronic components supplier, said on its website that it now occupied the building. Elektronintorg is owned by state conglomerate Rostec, run by Sergei Chemezov, who, like Putin, worked for the KGB and served with him in East Germany.

When contacted by phone, an unnamed Elektronintorg employee said he was not obliged to speak to Reuters. Rostec, responding to a request for comment, said that Elektronintorg only had a legal address in the building but that its staff were based elsewhere.

When asked which organization was located there, an unidentified man who answered a speakerphone at the main entrance laughed and said: “Congratulations. Ask the city administration.”

(Reporting by Maria Tsvetkova and Jack Stubbs; additional reporting by Polina Nikolskaya, Gleb Stolyarov and Darya Korsunskaya in Moscow; Editing by Andrew Osborn, Mike Collett-White and Grant McCool)

U.S. investigators seek to turn Manafort in Russia probe: sources

FILE PHOTO: Paul Manafort of Republican presidential nominee Donald Trump's staff listens during a round table discussion on security at Trump Tower in the Manhattan borough of New York, U.S., August 17, 2016. REUTERS/Carlo Allegri/File Photo

By Julia Edwards Ainsley and John Walcott

WASHINGTON (Reuters) – U.S. investigators examining money laundering accusations against President Donald Trump’s former campaign manager Paul Manafort hope to push him to cooperate with their probe into possible collusion between Trump’s campaign and Russia, two sources with direct knowledge of the investigation said.

Special Counsel Robert Mueller’s team is examining Manafort’s financial and real estate records in New York as well as his involvement in Ukrainian politics, the officials said.

Between 2006 and 2013, Manafort bought three New York properties, including one in Trump Tower in Manhattan. He paid for them in full and later took out mortgages against them. A former senior U.S. law enforcement official said that tactic is often used as a means to hide the origin of funds gained illegally. Reuters has no independent evidence that Manafort did this.

The sources also did not say whether Mueller has uncovered any evidence to charge Manafort with money laundering, but they said doing so is seen by investigators as critical in getting his full cooperation in their investigation.

“If Mueller’s team can threaten criminal charges against Manafort, they could use that as leverage to convince him to cooperate,” said one of the sources.

Manafort’s spokesman, Jason Maloni, said, “Paul Manafort is not a cooperating witness. Once again there is no truth to the disinformation put forth by anonymous sources and leakers.”

Manafort is seen as a key figure in the investigation because of his senior role in the campaign and his participation in a June 2016 meeting that included the president’s son, Donald Trump Jr., close adviser Jared Kushner and Russian lawyer Natalia Veselnitskaya.

The meeting was called after the lawyer offered damaging information about Democratic presidential candidate Hillary Clinton.

Mueller’s team asked the White House on Friday to preserve all of its communications about that meeting. Mueller is examining contacts between Russian officials and Trump associates during and after the Nov. 8 presidential election as part of a broader investigation into whether Russia tried to sway the election in favor of Trump.

Manafort became Trump’s campaign manager in June 2016 but was forced to resign two months later amid reports of his business relationship with the Kremlin-backed former Ukrainian leader, Viktor Yanukovich.

Manafort previously worked as a consultant to a pro-Russia political party in Ukraine and helped support Yanukovich. According to a financial audit reported by the New York Times, he also once owed $17 million to Russian shell companies.

Former Southern District of New York U.S. Attorney Preet Bharara was investigating Manafort’s real estate dealings before he was fired by Trump in March, and Mueller has now assumed control of that investigation, one of the sources said.

Bharara was not available for comment on his investigation on Friday.

(Writing by Julia Ainsley; Editing by Yara Bayoumy, Kieran Murray and Ross Colvin)