California couple faces up to 20 years for helping Chinese women give birth in US
A jury convicted a California couple on Friday, Sept. 13, of running a tourism business to help pregnant Chinese women give birth to babies in the United States who would be granted automatic American citizenship. Michael Liu and Phoebe Dong were found guilty of 10 counts of money laundering and one count of conspiracy.
The case against the now-separate couple comes nearly a decade after more than a dozen homes were searched across Southern California as part of a crackdown by authorities on birth tourism operators.
Investigators said that the pair encouraged pregnant women to lie on visa documents and hide their pregnancies, suggesting that clients wear loose fitting clothing and not “waddle like a penguin” in order to hide pregnancies.
The couple ran the company known as “USA Happy Baby,” offering services to hundreds of women from 2012-2015. Tourists reportedly paid as much as $40,000 for services, which included housing.
Liu and Dong were charged in 2019 with more than a dozen other defendants, including a woman who pleaded guilty to running a company known as “You Win USA,” she was sentence to 10 months in prison.
The defense argued that birth tourism is not a crime, and the pair helped women who would have faced punishment under China’s former one-child policy. However, prosecutors said visiting while pregnant is not a crime, but deceiving immigration authorities is a crime.
Elite US Seal Team 6 preparing to defend Taiwan: Report
The U.S. Navy unit that took out 9/11 mastermind Osama Bin Laden is preparing for its next covert mission as reported by the Financial Times on Wednesday, Sept. 11. The commandos of Seal Team 6 are training for the potential invasion of Taiwan by Chinese forces, according to sources familiar with the team’s operations.
U.S. officials maintain that an invasion by China is “neither imminent nor inevitable.” However, the United States apparently isn’t taking any chances as the Chinese People’s Liberation Army rapidly ramps up its military technology, and the U.S Indo-Pacific Commander says that China may be capable of taking over Taiwan by 2027.
Seal Team 6 is one of the most elite forces in the United States military alongside the U.S. Army’s Delta Force.
The U.S. has sent other special forces to Taiwan to provide training to Taiwanese forces in recent years. However, Seal Team 6’s operations are highly classified, and people familiar with the unit’s training did not provide further details on possible operations in Taiwan.
Meanwhile, Beijing warned the U.S. to “stop enhancing military contact with the Taiwan region or arming it,” and accused Washington of heightening tensions along the Taiwan Strait, despite holding military drills of its own earlier this year in the region as a show of force.
China claims it’s committed to a peaceful reunification with Taiwan but has not ruled out the use of force. Beijing has long claimed that Taiwan is part of China while Taiwanese officials maintain that the island is independent from Beijing.
Feds announce crackdown on Russian disinformation campaign in 2024 election
The Biden administration is taking action against Russian disinformation efforts in the 2024 presidential election. Attorney General Merrick Garland announced on Wednesday, Sept. 4, the filing of criminal charges, the seizure of more than two dozen Moscow-linked internet domains and sanctions on a Russian-run media company.
“The Justice Department’s message is clear,” Garland said. “We have no tolerance for attempts by authoritarian regimes to exploit our democratic system of government.”
Garland expanded on the efforts by the U.S. Department of Justice (DOJ) during a meeting of the Election Threats Task Force, announcing the indictment of a pair of Russia-based employees at a state-run media outlet.
“This morning, we unsealed an indictment in the Southern District of New York of Constantine Kalashnikov and Elena [Afanasyeva], two Russian-based employees at RT, a Russian state-controlled media outlet,” Garland said. “They are charged with conspiring to commit money laundering and to violate the Foreign Agents Registration Act.”
Garland said the RT’s employees , otherwise known as Russia Today, had a $10 million plan to funnel money into a Tennessee-based company to publish and spread pro-Russian propaganda, with the goal of sowing divisions in the U.S. and pushing anti-Ukrainian narratives.
The U.S. Treasury Department also imposed sanctions and visa restrictions against RT’s editor-in-chief, Margarita Simonovna Simonyan, and others affiliated with the network, including visa restrictions.
Garland also said the DOJ seized 32 internet domains used by the Kremlin and pro-Russian agents in a “covert campaign” to influence the 2024 election.
Federal investigators say that Russian companies have used domains, some impersonating legitimate publications like the Washington Post and Fox News, to secretly spread false information since at least 2022.
The U.S. attorney general said the plots show the lengths Russia is willing to reach in order to sow distrust in U.S. elections but also warned that it is not the only foreign adversary doing so.
“Unfortunately, we know that Russia is not the only foreign power seeking to interfere in our elections,” Garland said. “As the U.S intelligence community noted two weeks ago, we have observed increasingly aggressive Iranian activity during this election cycle. That includes recently reported activities by Iran to compromise Former President Trump’s campaign.
“Three things are certain in life: death, taxes and RT’s interference in the US elections,” the RT told Reuters.
The media outlet reportedly shuttered operations in the United States after Russia invaded Ukraine.
A Russian lawmaker claimed the accusations by the DOJ were “pure rubbish” and said Russia does not think it matters whether Former President Donald Trump or Vice President Kamala Harris wins the election on Nov. 5.
“The only winner of the U.S. election is the U.S. private military industrial complex,” State Duma deputy Maria Butina told Reuters.
Manila files diplomatic protest after Chinese jets fire flares near patrol plane
The Philippine Navy condemned recent actions by Chinese fighter jets over the disputed Scarborough Shoal as “coercive, aggressive and deceptive.” During an incident on Aug. 8, Chinese aircraft reportedly dropped flares dangerously close to a Philippine Air Force patrol plane, escalating tensions over the strategic South China Sea territory, which both nations claim.
Philippine Rear Adm. Roy Vincent Trinidad described the maneuver as inappropriate and risky under international law, raising the potential for serious incidents. The Scarborough Shoal, crucial for fishing and shelter during storms, lies within the Philippines’ exclusive economic zone but has been under Chinese control for over a decade.
Responding to the flare incident, the Philippine government lodged a diplomatic protest, emphasizing the reckless nature of the action that could have resulted in a tragic outcome. Gen. Romeo Brawner Jr., Philippine military chief, highlighted the significant risk posed to their aircraft if the flares had made contact.
China’s Southern Theater Command retorted that the Philippine aircraft had unlawfully entered airspace over Huangyan Island — known in the Philippines as Scarborough Shoal — disrupting Chinese military drills. The command defended its response as professional and lawful, aimed at safeguarding China’s national security.
Despite this, Philippine officials, including President Ferdinand Marcos Jr., have called for an end to China’s provocative actions, stressing the need to maintain regional peace and safeguard both military and civilian personnel.
US, allies show force in South China Sea amid China’s territorial claims
The United States, Australia, Canada, and the Philippines began a two-day joint air and naval exercise Wednesday, Aug. 7, in the South China Sea to reinforce international law amid China’s territorial expansions. The exercises, which are occurring within Manila’s 200-nautical mile exclusive economic zone, aim to ensure free navigation and enhance coordination among the allied forces, according to a joint statement from the four nations.
In response, China conducted sea and air combat patrols near the contentious Scarborough Shoal, claiming these were necessary to manage “disruptive military activities” in the region.
The South China Sea, through which approximately $3 trillion in trade flows annually, is a heavily contested area with competing claims from Brunei, Malaysia, the Philippines, Taiwan and Vietnam.
In June, tensions heightened when more than eight Chinese motorboats rammed and boarded two Philippine Navy inflatable boats near Second Thomas Shoal, a disputed territory. Philippine officials said the action aimed to block the transfer of supplies to a Philippine outpost.
During the clash, Chinese forces seized the boats and damaged them, confiscating eight M4 rifles, navigation equipment and other supplies. The altercation injured several Filipino navy personnel, with one losing his right thumb, according to Philippine security officials.
Acting Secret Service director to testify on Trump assassination attempt
The new acting director of the Secret Service is set to answer questions from lawmakers about the assassination attempt on former President Donald Trump. And McDonald’s reports its first sales decline in more than three years. These stories and more highlight The Morning Rundown for Tuesday, July 30, 2024.
Secret Service acting director to testify on Trump assassination attempt
The new head of the Secret Service, Ronald Rowe, will be on Capitol Hill Tuesday, July 30, testifying over the assassination attempt on former President Donald Trump, as security questions remain to be answered. It comes one week after the former Director Kimberly Cheatle’s testimony that led her to step down from the position.
According to excerpts of Rowe’s testimony reviewed by news outlets in advance, the new acting director is expected to tell lawmakers what he saw in Butler, Pennsylvania made him “ashamed” and that he “cannot defend why the roof where the gunman opened fire was not secured.”
Tuesday’s hearing comes as newly released police text messages show that officers were aware of the gunman, Thomas Crooks, at least 105 minutes before he opened fire. That’s more than half an hour earlier than previously known.
The local SWAT team also said they never spoke to Secret Service until after the assassination attempt.
Trump will sit down with the FBI on Thursday, Aug. 1, for a victim interview where he will describe what he experienced.
It’s been 17 days since the Republican presidential nominee nearly lost his life at that rally. While Congress will look to learn about security lapses in Tuesday’s testimony, there are long-term efforts to obtain answers, as well, including the newly launched House panel which will also have subpoena power.
Arizona voters head to the polls Tuesday; Tennessee holds primary on Thursday
There are still some high-profile primary races taking place in several states. Voters in Arizona will head to the polls on Tuesday, July 30, and Tennessee will hold its primary on Thursday, Aug. 1.
Arizona Sen. Kyrsten Sinema, who switched from being a Democrat to an independent earlier in 2024, is not running for re-election, so there are new candidates for that highly sought after open seat.
The top Democratic candidate is Rep. Ruben Gallego. That means his House seat is up for grabs, along with several other House seats.
On the Republican side of the Senate race, it’s former TV anchor Kari Lake leading over her opponent.
In Tennessee, controversial Republican Rep. Andy Ogles facing a challenge and potentially close race when voters head to the polls Thursday. Ogles secured a major endorsement from former President Trump ahead of the primary.
Biden proposes Supreme Court changes, end to presidential immunity
The ethics code proposal comes after a review of the justices’ undisclosed personal and business dealings, namely those of conservatives Clarence Thomas and Samuel Alito. It also comes in the wake of some controversial rulings, like the 2022 decision overturning Roe v. Wade and the ruling on presidential immunity.
President Biden is also suggesting a constitutional amendment to change that.
Biden gave his case for reform in a speech at the Lyndon B. Johnson Presidential Library in Austin, Texas on Monday, July 29.
“The Supreme Court established in Trump v. The United States a dangerous precedent,” Biden said. “They ruled, as you know, as the president of the United States has immunity from — for potential crimes he may have committed while in office. Immunity. This nation was founded on the principle there are no kings in America. Each of us is equal before the law. No one is above the law. And for all practical purposes, the court’s decision almost certainly means that a president can violate their oath, flout our laws and face no consequences.”
He added, “This decision is a total affront to the basic expectations we have for those who wield the power of this nation. That they are expected to be wholly accountable under the law.”
The amendment would face a difficult path to become a reality. It would first have to be passed by two-thirds of the House and Senate — which is unlikely, given the Republican majority — then ratified by three-quarters of U.S. states.
Park Fire now 6th largest in California’s history
California’s Park Fire has grown into the sixth largest wildfire in the state’s history. According to Cal Fire, it has now scorched more than 370,000 acres across four counties and is still only 12% contained.
It’s forced thousands to abandon their homes and contributed to poor air quality from coast to coast.
Authorities said the fire started when a man pushed a burning car into a dry ravine. He was officially indicted on arson charges Monday, July 29.
McDonald’s reports first sales slump since 2020
McDonald’s is reconsidering its pricing strategy after the fast-food giant reported its first sales slump since 2020 in the second quarter. Experts said budget-conscious Americans are eating at home more often due to higher prices at fast food chains.
This summer, McDonald’s released a $5 meal promotion to drive more foot traffic, though competitors have also launched similar deals.
The McDonald’s CEO said customers can expect more discounts in an effort to bring more people in and stop the sales decline.
Dragonflies swarm Rhode Island beach like “black cloud”
A swarm of dragonflies overtook a Rhode Island beach on Saturday, July 27, with video being posted online. Local media said the beachgoers reported the insects descending all of a sudden like a “black cloud,” forcing some to pack up and leave.
Experts said this is normal, as dragonflies are starting their annual migration south.
U.S. men’s gymnastics wins first Olympic team medal in 16 years
Olympic officials postponed Tuesday, July 30, morning’s men’s triathlon race after they said the Seine River remains contaminated. They said levels of E. coli are too high for the swimming portion of the competition. The event is now tentatively scheduled for Wednesday, July 31.
Meanwhile, on Tuesday, the big story for Team USA was not about gold medals, but bronze. The U.S. men’s gymnastics team earned the first Olympic team medal in the sport for America in 16 years.
Team USA’s Asher Hong, Paul Juda, Brody Malone, Stephen Nedoroscik and Frederick Richard topped Great Britain for the third spot on the podium. Japan took the gold and China won silver.
The last time the U.S. men’s gymnastics team won a team medal was at the 2008 Beijing games.
CNN hosts first presidential debate between Biden, Trump tonight
Hours away from the first debate between President Joe Biden and former President Donald Trump, we’re breaking down what you need to know about the event hosted by CNN. And two giant pandas from China are on their way to the U.S. in a big step for “panda diplomacy.” These stories and more highlight The Morning Rundown for Thursday, June 27, 2024.
CNN hosting first presidential debate between Biden, Trump tonight
Thursday, June 27, is debate day in the U.S. President Joe Biden and former President Donald Trump will take the stage at CNN’s studios in Atlanta tonight.
The cable news network is hosting the debate with anchors Jake Tapper and Dana Bash moderating.
Join CNN as President Biden and former President Trump meet for their first highly anticipated debate of this election season. Thursday, June 27 at 9p ET on CNN and streaming on Max. pic.twitter.com/TUDfIFiG4B
Both Biden and Trump have agreed to CNN’s rules, including no live audience and muting microphones when it’s the other candidate’s turn to speak.
Podiums are eight feet apart, which is closer than the last time Biden and Trump met on a debate stage in 2020. The podiums were positioned 12 feet apart during the pandemic.
President Biden won the coin toss, choosing to stand “stage left” — which shows as the right side of viewers’ television screen. Biden choosing podium position gave Trump the final word of the night.
The event is 90 minutes long with two commercial breaks. The candidates will not be allowed to speak with their respective teams during the breaks.
Though CNN is the host for the evening, other networks will be allowed to air it at the same time.
This will be the earliest a general election debate has ever been held, with weeks to go before both parties hold their national conventions to officially secure their party nominations.
There will be a second debate in September hosted by ABC on Sept. 10.
Texas man executed for 2001 abduction and murder of 18-year-old
A Texas man who kidnapped, sexually assaulted and fatally shot an 18-year-old woman in 2001 was put to death Wednesday night, June 26, on what would have been his victim, Bridget Townsend’s, 41st birthday. Ramiro Gonzales was pronounced dead just before 7 p.m. at the state prison in Huntsville.
Bridget Townsend was just getting her start in life as a young woman in the small Texas town of Bandera when Ramiro Gonzales raped and killed her. https://t.co/vSsWqIduc8
— Times Record News (@timesrecordnews) June 26, 2024
The Supreme Court denied a defense plea to intervene less than two hours before the execution. Gonzales used his final words to apologize to Townsend’s family.
Gonzales was also serving two life sentences for kidnapping and raping another woman.
This execution was the second this year in Texas and the eighth in the U.S.
It was also the first of two scheduled this week in the U.S. Oklahoma is scheduled to execute Richard Rojem on Thursday for the 1984 abduction, rape and murder of a 7-year-old girl.
U.S. and Israel clear up ‘misunderstandings’ over weapons shipments
The White House said the U.S. and Israel have worked through so-called “misunderstandings” about weapons shipments. Israel’s defense minister, Yoav Gallant, is in the U.S. this week meeting with top defense officials to broker a solution to the war in Gaza.
The meetings come after Israeli Prime Minister Benjamin Netanyahu released a video last week, saying the U.S was slowing weapons shipments promised to Israel. The U.S. denied the accusations.
However, there has been pause on sending large bombs that’s been in place since May, when President Biden voiced concerns about their potential use in populated areas. The concerns are still under review, so those shipments will not be going out yet.
Gallant released a video statement after a meeting on Wednesday, June 26.
— יואב גלנט – Yoav Gallant (@yoavgallant) June 26, 2024
“In every family — and we consider the American people as our family — disagreements may arise,” Gallant said. “Yet, like all families, we discuss our disagreements in-house and remain united. Looking at the future, we stand firmly behind the president’s deal, which Israel has accepted, and now Hamas must accept or bear the consequences. We are committed to bringing the hostages home, with no exception. We are committed to defending our people.”
Also on Wednesday, Sen. John Fetterman, D-Penn., traveled to Israel to meet with Netanyahu. Fetterman has been a vocal supporter of Israel since the war with Hamas began — a position that’s isolated him from many of his progressive supporters.
In a video, Netanyahu thanked Fetterman for his unwavering support saying, “Israel has had no better friend.”
Bolivia defense minister: Situation ‘under control’ after attempted coup
After ramming the doors to Bolivia’s government palace with armored vehicles, soldiers pulled back in the country’s capital of La Paz the night of June 26, and an army general was arrested. Bolivia’s president slammed the “coup” attempt against the government and called for international support.
— PAME Greece International (@PAME_Greece) June 27, 2024
In a rebellion that lasted just three hours, Bolivian troops seemed to take control of the government, until the president named a new army commander who immediately ordered the troops to stand down.
Late Wednesday night, Bolivia’s defense minister said, “everything is now under control.”
The apparent coup attempt came as the country has faced months of tensions and political fights between its president and former president over control of the ruling party and a severe economic crisis.
2 giant pandas from China headed to the U.S.
It’s the beginning of a new era in ‘panda diplomacy.’ The San Diego Zoo’s newest giant pandas are on their way from China, marking the first time Beijing is loaning pandas to the U.S. in two decades.
Chinese state media reported the two pandas left China Wednesday, June 26, night for a chartered flight to their new home in California.
San Diego Zoo Wildlife Alliance leaders joined esteemed dignitaries and conservation leaders in China for a farewell ceremony honoring Yun Chuan and Xin Bao, the two giant pandas coming to San Diego Zoo. pic.twitter.com/u16ujsIjU0
— San Diego Zoo Wildlife Alliance (@sandiegozoo) June 26, 2024
Zoo officials said the pandas won’t be viewable to the public for a few weeks as they get used to their new surroundings.
The panda loan marks a step forward for relations between the U.S. and China as they try to repair ties strained by disputes over trade, technology, the status of Taiwan and other issues between the world’s two largest economies.
French basketball player goes No. 1 for second year in a row
For the second year in the row, a basketball player from France was selected first in the NBA draft. Several other rising stars from the country shortly followed.
“With the first pick in the 2024 NBA draft, the Atlanta Hawks: Zaccharie Risacher from Leon, France and France’s JL Bourg in France,” NBA Commissioner Adam Silver said.
The complete draft board for the 1st round of the 2024 #NBADraft presented by State Farm!
Paris 2024: Behind the Olympic spectacle lies a history of corruption
Every four years, billions of people across the globe tune into the Summer Olympics. The 2024 Games are set to be a spectacle, descending on Paris for the first time in 100 years.
But sometimes, scoring the biggest sporting event on the planet is rife with corruption. And the scandals don’t stop after the winning bid is announced.
Olympic pride and bragging rights
In the United States, polls show the number of people who are extremely proud to be an American is at record lows. But through the Olympics, that sentiment changes. During the Tokyo Games in 2021, 63% of Americans said they had a “very positive” reaction to seeing the American flag.
The reach goes beyond the traditional sports fan. Yes, the Olympics features the world championships in 300 different events, but moments are what make the games memorable.
The legends of athletes like Usain Bolt, Michael Phelps and Simone Biles are born during those two weeks and those legends will live on.
The Olympics also puts the spotlight on the host city and country. The world’s media focuses its cameras on the culture and history of nations that viewers may never have the opportunity to visit.
It’s the host city’s time to shine on a global stage. Paris is seizing that chance with a tradition-breaking opening ceremony. Instead of the pomp and circumstance in a world-class arena, Paris is opting for a parade of nations along the city’s famed Seine River.
The Olympics is a biennial wonder that attracts millions of in-person spectators and many more through broadcast. But behind the scenes, this event can be rife with bribes and other shady deals.
To understand Olympic corruption, you have to go back to its inception. Despite the tradition of swearing an oath to Zeus to play fair, the competition was founded on cheating.
As Greek mythology goes, Pelops won his bride’s hand by sabotaging the chariot of her father King Oenomaus before a race. The king died in the race and Pelops founded the Games to commemorate his victory.
The remnants of the ancient Games’ history with cheating are still visible today in Olympia, Greece. Pedestals that once supported bronze statues of Zeus can be found on the pathway to the entrance of the ancient stadium.
The Zanes, as they were called, were paid for by fines imposed on cheating Olympic athletes. The pedestals had the names of the cheaters inscribed, shaming them and warning other athletes to play fair. But though centuries have passed, some still need to be warned.
Athletes cheating with performance-enhancing drugs, also known as doping, is a very real issue in the Olympics. But that specific type of controversy deserves its own deep dive.
Bid rigging
Olympic corruption can start decades before the cauldron is lit at the opening ceremony. It’s called bid rigging and the Olympic version was a poorly kept secret before Salt Lake City’s scandal busted it wide open.
Salt Lake City tried and failed to secure the Olympics four times before winning the 2002 Winter Games. After the city’s fourth loss, to Nagano, Japan, for the 1998 Winter Games, the Salt Lake organizing committee changed its strategy. Tired of losing, officials took a page from Nagano’s book after learning Japanese officials spent as much as $14 million, or $32 million in today’s dollars, to land the Games.
Nagano, at the time a little-known Japanese city, reportedly gave International Olympic Committee (IOC) officials the five-star treatment during the bidding process. Nagano’s bid committee hosted members in fancy hotels in Tokyo, Nagano and Kyoto. They also entertained them with geishas and helicopter rides. To cover up any corruption, they burned 10 large boxes of documents to incinerate the paper trail.
When there’s money, there’s corruption.
Charlie Battle, Olympic bid consultant
“The Salt Lake City people realize that you had to keep a file on each IOC voting member,” Olympic historian David Wallechinsky told Straight Arrow News. “And then, you do whatever you could to get their vote.”
Wallechinsky fell in love with the Olympics as a kid when his father took him to the 1960 Rome Games. He became so intrigued with the event that he wrote “The Complete Book of the Olympics” and is one of the founding members of the International Society of Olympic Historians.
Wallechinsky said the way Salt Lake City secured the Games was some of the most overt bid rigging in history.
“There was an IOC member from Togo,” he said. “Togo doesn’t compete in the Winter Olympics. That didn’t matter, because the guy still voted. So they kept flying him out to Salt Lake City. Well, that wasn’t good enough, so they had to include a stopover in Paris so his wife could go shopping on the bid committee’s pocketbook. The whole thing was so ridiculous. But they got the Games and that was all they cared about.”
After investigators found out about the Salt Lake City scheme, the IOC expelled 10 members. The U.S. Department of Justice also brought bribery and fraud charges against the president and vice president of the Salt Lake City bid committee. Both officials resigned years before the games came to town. Those charges were dropped after the successful 2002 Winter Olympics in Salt Lake City.
The crackdown didn’t end allegations of bid rigging. In 2021, years after the 2016 Rio de Janeiro Games, Brazilian Olympic Committee President Carlos Arthur Nuzman was sentenced to 30 years in jail for crimes connected to buying votes to secure the Olympics. However, Nuzman is still free after a Brazilian federal court ruled the original judge didn’t have the legal competence to rule in the case.
How to get the Olympics
While the honor of hosting an Olympics has driven some to risk jail time, scoring the global event isn’t always a corrupt process.
“Growing up as a child, I loved to watch the Olympics,” said Charlie Battle, an instrumental member of the team that brought the Olympics to Atlanta in 1996. “I believed in it. I bought into the whole [idea of] bringing the world together through sport.”
Before Battle got involved with Atlanta’s Olympic bid, he was a municipal finance attorney in the city. He said when they started the bidding process, Atlanta was a very different city than it is today.
“We were just in the ’80s, beginning to get international plane service,” he recalled. “But we call ourselves the world’s next great city.”
“Truth be known, when we started this, people wondered if we were going to have blackjack because they got us confused with Atlantic City, New Jersey,” he added.
Before U.S. city organizers can pitch to the IOC, they need to win over the national committee. After Atlanta beat out San Francisco, Nashville and Minneapolis for the U.S. bid, the committee needed to raise money to challenge other nations for the right to host.
“The government doesn’t support the Olympics in this country,” Battle said. “There are a lot of constitutional provisions that prevent cities and counties from pledging money.”
“We couldn’t start building our stadium until we had a TV contract in hand,” Battle continued. “That was a bankable contract. And then when we won the U.S. designation, we were able to get some corporate support.”
Atlanta-based beverage behemoth Coca-Cola put up, at least, tens of millions of dollars to bring the games to their home turf, though they’d been a major Olympic sponsor for years. For the most part, the Atlanta Games was a privately-funded affair.
But selling sponsorships was just a part of the process. Battle said they also had to sell the IOC on Atlanta’s event-hosting prowess.
“There were 88 international members,” he explained. “We had to meet them, try to get them to come to Atlanta, go to see them. And basically, I ended up just on the road for the next couple of years.”
There wasn’t any bribery involved in bringing the Olympics to Atlanta. As far as Battle was concerned, all they needed was southern charm.
“That’s why I went on the road so much to go visit people, visit them in their homes, get to know their families, try to get them to come to Atlanta, show them that we’ve got the people they can trust,” he said. “It’s a marketing deal in the end, but from our perspective, making friends was the key.”
In 1990, the IOC officially awarded the games to Atlanta. At the time, the Atlantic Journal wrote, “Battle’s personal skills at lobbying IOC members were a key to Atlanta’s win.”
Six years later, Atlanta was celebrating a successful start of the games when a bomb detonated at Atlanta’s Centennial Olympic Park, killing one woman and injuring more than 100 others.
Security guard Richard Jewell was initially hailed as a hero for discovering the suspicious backpack and moving Olympic fans out of harm’s way, limiting the bomb’s destruction.
Within days, Jewell was wrongfully targeted as the prime suspect. It took years to catch the real bomber, Eric Rudolph, whom police arrested in 2003. Clint Eastwood directed a film focused on Jewell’s part of the story in the 2019 film, “Richard Jewell.”
Outside the tragedy and some problems with heat and traffic, the ’96 Olympics were mostly seen as a success. Despite that success, in 2013, when the U.S. Olympic Committee asked cities to put names in the ring for the 2024 Games, former Atlanta Mayor Andrew Young, who co-led the ’96 bid, said they shouldn’t make another push.
“I don’t feel like going through it again, and I don’t imagine anyone from 1996 will,” Young told Atlanta Magazine at the time. “It’s a 10-year commitment.”
Still, Young said hosting the Olympics is good for any city, and Battle agreed that Atlanta benefited greatly from the Games.
“There are always people who say, ‘Well, we shouldn’t spend this money, we ought to spend it on something else,’ and there’s no doubt about that,” Young said. “We should, but that isn’t the way the world works. We wouldn’t have had this money. They weren’t going to raise to revitalize [the city or] something else or help build housing, or this, that and the other.”
The winning bid had a lasting effect on the city, specifically on Atlanta’s downtown.
“We built a downtown park in Atlanta called Centennial Olympic Park, which was on nobody’s radar at the time we started, but ended up being, really, the best legacy of our games,” Battle said.
In the three decades that followed the Atlanta Games, the city’s population doubled. Hosting the Olympics helped solidify Atlanta as a premier sporting event destination. Since 1996, it has hosted two Super Bowls, multiple NCAA Final Fours and the College Football National Championship.
The pitfalls of hosting
Not every Olympic host city secures a symbolic gold medal. One of the biggest pitfalls is the budget, which tends to be more aspirational than pegged in reality.
From 1960 to 2016, the Summer Games went over budget by an average of 213%, according to an analysis from the University of Oxford. The 2008 Beijing Olympics only went over budget by 2%, but the city had a significantly higher budget than the average host city. Meanwhile, the 1976 Montreal Games exceeded its budget by 720%.
For the Winter Olympics, the average cost overrun is 142%. The 1980 Lake Placid games went 324% over budget.
Overages can wreck a hosting legacy. There’s no place more “Olympic” than Greece, but the country was in poor shape to handle its most recent hosting duties.
“The only reason Greece was able to put on the Games was the EU, but they borrowed too much money and went into financial [trouble] because they built all kinds of monuments that they didn’t need,” said Battle, who continued consulting on bids following the success of the Atlanta Games.
While some cities like Atlanta reap the benefits of hosting the Olympics, abandoned state-of-the-art venues often become an eyesore in others.
“They build way too much stuff and they build stuff they don’t need and they waste a lot of money,” Battle said.
Atlanta transformed its Olympic track-and-field stadium into Turner Field shortly after the Olympics. The facility became the home of the MLB’s Atlanta Braves for two decades.
Because issues like budget and abandoned facilities continue to come up with each event, the IOC is taking steps to stop it from being a regular part of future Olympic stories.
“What the IOC has done is they’ve introduced a system where you have to — in advance, before you’re even allowed to bid — meet a certain criteria of where you’re going to get the money; what are the venues that are going to be built; the environmental aspects; sustainability,” Wallechinsky told SAN.
Post-bid corruption
For controversy-laden Olympics, the opportunity for bribery doesn’t stop after a city has been named as the host.
The 2014 Games in Sochi, Russia, cost an estimated $55 billion. With all of that money to spend, contracts to support hosting the Games were highly coveted.
A major Sochi beneficiary was Arkady Rotenberg, who Bloomberg described as “the boyhood friend and former judo partner of black-belt President Vladimir Putin.” The publication counted at least 21 contracts awarded to Rotenberg worth more than $7 billion, which totals more than some entire Olympic budgets.
The contracts ranged from a share of the transportation system linking Sochi to ski resorts to a highway along the Black Sea and a $387 million media center.
After the Sochi Games, Putin also quietly handed out medals to his billionaire friends who invested in the Games.
“There were bribes: TV rights bribes, all sorts of bribes, which sponsor would get the rights to this or that,” Wallechinsky said of the Tokyo bribery scandal.
Advertising giant Dentsu, five other companies and seven individuals are charged with colluding in assigning contracts for the Tokyo Games. Organizers also faced allegations that they may have secured the Games in a less-than-honest fashion. But as the world prepares for the next summer spectacle, the most recent is still playing out in Japanese courts.
Paris is in the thick of preparing to host the games.But in October of last year, officials raided the office of the Paris Olympic Committee. A source told Reuters at the time that the raid was part of an investigation into alleged favoritism for some awarded contracts.
IOC’s rule change
While the IOC cleaned house over bid rigging corruption, it has less control over what happens after awarding the games. Paris will be the first Olympics under the IOC’s new anti-corruption clause.
“What we’ve seen now is a real change,” Wallechinsky said. “The IOC under Thomas Bach, who’s the president of the IOC, realized this is not good. We can’t have another Sochi situation, we can’t have another Rio situation.
“So when they got really good bids for the 2024 Summer Olympics from both Paris and Los Angeles, they went, ‘Wait a minute, let’s not pit these people against each other. Let’s give them each an Olympics.’”
Instead of a long, drawn-out bidding process for the Summer and Winter Olympics, which has historically produced corruption, two IOC panels are permanently open to talks with any city that could host the games. These panels can also approach prospective cities they think might be the right fit to host the Olympics.
The idea of eliminating the bidding process altogether and using a handful of rotating sites has come up, but it didn’t gain much traction. Still, cities that have hosted successful games could get multiple chances.
“Salt Lake City is going to get the Winter Olympics again,” Wallechinsky said. “But in a more honest way.”
Salt Lake’s path to 2002 might have been burned by bribery and budget overages, but the city turned it around when Mitt Romney took the reins. The 2002 Winter Games turned a profit when all was said and done and turned Romney into a household name. After snubbing him in 1994, Massachusetts voters elected him to be their governor in 2002 and the rest is history.
Though the Salt Lake City scandal forever tarnished IOC’s history, it’s now the front-runner for the 2034 Winter Games.
Paris scrutiny
Aside from the ongoing investigation into the Paris Organizing Committee, Wallechinsky — who splits his time between the south of France and the U.S. — said there are other hosting concerns.
“There have been some terrible terrorist attacks in France,” he said. “They’ve come up with this opening ceremony, which is going to be in public with hundreds of thousands of people.”
It’s an Olympic first: An opening ceremony outside of a stadium. The Paris pomp and circumstance will take place along the Seine. While it will make for an amazing spectacle, security is top of mind.
“The challenge that the French are facing is not just protecting the Olympic venues, but the entire city and to a certain extent the rest of the country as well, all at the same time,” Wallechinsky said.
But still, he said there isn’t a lot a city can do to avoid scrutiny.
“I always told people from host cities, ‘Everybody’s going to criticize you before the Games,’” Wallechinsky said. “Because as members of the media, if we say, ‘Oh, this is going really well,’ nobody’s going to follow that. They don’t want to read that. It’s not click-friendly.
“And so we’re always looking for something that’s wrong. That’s going to be the story. And then when the competition starts, everybody forgets about that unless it’s really serious.”
While the bombing at Atlanta’s Centennial Park shook the city, Americans still remember the Magnificent Seven taking home gold, or Michael Johnson breaking the 200-meter world record that stood until Usain Bolt burst onto the scene. And that’s why people like Charlie Battle still believe in the Games, despite its flaws.
“I still believe that good athletic competition and good athletic stories can be inspirational to young people,” Battle shared.
The 2024 Paris Summer Olympic Games kicks off with the opening ceremony on July 26 and runs through Aug. 11.
EU announces tariff hike on Chinese EVs amid ongoing anti-subsidy investigation
The European Union is taking steps to support its domestic automakers who are struggling with competition from China’s low-cost electric vehicles (EVs). In an effort to help the continent’s car companies compete, the EU has announced tariff increases of up to 38% on imported Chinese EVs.
“The influx of subsidized Chinese imports at artificially low prices therefore presents a threat of clearly foreseeable and imminent injury to EU industry,” the European Commission said in a statement.
This tariff hike follows the launch of an ongoing anti-subsidy investigation by the European Commission into Chinese EV prices.
Investigators aim to determine whether the prices have been artificially lowered due to financial assistance from Beijing. Companies cooperating with the probe will face a 21% tariff, while those that do not comply will be subjected to the full 38% duty.
The new tariffs will impose billions of dollars in additional costs on Chinese car manufacturers. Western automakers — such as Tesla and BMW, which produce EVs in China — will also be affected by these increased tariffs.
Beijing has criticized the EU’s decision, warning that it could harm relations between Europe and China and threaten the stability of the global automotive supply chain. China’s Ministry of Commerce accused the bloc of “creating and escalating trade tensions” with this move.
Following the tariff announcement, shares of some leading European car manufacturers fell, reflecting fears of potential retaliatory actions from China.
Despite the EU’s measures, car companies in China remain optimistic. The Chinese Passenger Car Association stated that the tariff hike was anticipated and also predicted it would not significantly impact their automakers. The industry group still foresees considerable growth potential for Chinese-made EVs in the European market.
Europe may raise tariffs on Chinese EVs, but Beijing wants to cut a deal instead
The European Commission is expected to announce a new tariff hike on electric vehicle (EV) imports from China, a move that could cost Chinese automakers billions of dollars. However, Beijing may be open to negotiating a compromise in order to soften the blow to its EV sector, which right now stands as the largest in the world.
Currently, Europe’s tariff on Chinese EVs stands at 10% and each additional 10% increment would translate to $1 billion in new expenses for Chinese manufacturers. If Europe follows the precedent set by the United States, where the Biden administration raised tariffs on these vehicles to 100%, the financial repercussions for China could escalate to the $9 billion range.
In retaliation, Beijing is reportedly considering a tariff increase of its own on large-engine car imports from Europe. China has also indicated a willingness to negotiate lowering this duty rate instead if European nations are open to reaching a compromise.
If a significant number of European Union (EU) member states oppose the move within a four month review period, the tariff increase could be nullified and the current duty rate may be reinstated. Should the EU move ahead with this plan to hike duties, the Chinese Foreign Ministry has said it will not “sit back and watch,” as it plans to take “every necessary measure” to protect its interests.
China has been strategically expanding its EV influence across the continent in recent years. Chinese-backed electric vehicle manufacturers have been making substantial investments in Europe, entering markets in countries such as France, Spain, Germany, Italy and Portugal. This growth has positioned China to potentially capture a quarter of the European EV market by the end of 2024.