U.S. student, said to be in coma, released by North Korea

Otto Frederick Warmbier (C), a University of Virginia student who was detained in North Korea since early January, is taken to North Korea's top court in Pyongyang, North Korea, in this photo released by Kyodo March 16, 2016. Mandatory credit REUTERS/Kyodo

By Eric Walsh

WASHINGTON (Reuters) – Otto Warmbier, a U.S. university student held captive in North Korea for 17 months, has been released, but a former U.S. official said on Tuesday he is in a coma and in urgent need of medical care.

Warmbier, 22, a University of Virginia student from suburban Cincinnati, was on his way back to the United States, Secretary of State Rex Tillerson said in a statement.

“Otto has been in a coma for over a year now and urgently needs proper medical care in the United States,” said Bill Richardson, a veteran former diplomat and politician who has played a role in past negotiations with North Korea, said after speaking to Warmbier’s parents.

The family said they were told by North Korean officials, through contacts with American envoys, that Warmbier fell ill from botulism sometime after his March 2016 trial and lapsed into a coma after taking a sleeping pill, the Washington Post reported.

“In no uncertain terms North Korea must explain the causes of his coma,” Richardson, whose Center for Global Engagement had directly sought Warmbier’s release with the North Korean government, said in a statement.

Tillerson, at a U.S. Senate hearing on Tuesday, declined to comment on Warmbier’s condition. A person who answered the phone at Warmbier’s family’s Ohio residence said: “No comment, thank you” and hung up.

Warmbier’s release came as former U.S. basketball star Dennis Rodman arrived in North Korea on Tuesday, returning to the increasingly isolated nuclear-armed country where he has previously met leader Kim Jong Un.

U.S. officials appeared to brush aside any speculation of a connection between Rodman’s controversial visit and Warmbier’s release.

A senior administration official said the Trump administration did not authorize Rodman’s trip. “This is him freelancing,” the official told Reuters.

The State Department is continuing to discuss the situation of three other detained Americans with North Korea, Tillerson said.

Since taking office in January, U.S. President Donald Trump has faced growing tensions with North Korea, which has conducted a series of ballistic missile tests in defiance of U.S. and international sanctions.

Warmbier was detained in January 2016 and sentenced to 15 years of hard labor in March last year for trying to steal an item with a propaganda slogan, according to North Korean media.

“At the direction of the president, the Department of State has secured the release of Otto Warmbier from North Korea,” Tillerson said.

Richardson, a former Democratic congressman, U.N. Ambassador, U.S. energy secretary and ex-governor of New Mexico, welcomed Warmbier’s release but said “we are deeply concerned regarding his health.”

U.S. Senator Rob Portman of Ohio said: “Otto’s detainment and sentence was unnecessary and appalling, and North Korea should be universally condemned for its abhorrent behavior. Otto should have been released from the start.”

“Our son is coming home,” Fred Warmbier told the Washington Post. “At the moment, we’re just treating this like he’s been in an accident. We get to see our son Otto tonight.”

(Reporting by Eric Walsh; Additional reporting Steve Holland and Mark Hosenball; Writing by Matt Spetalnick; Editing by Marguerita Choy and James Dalgleish)

U.S. Congress negotiators set spending plan to avert shutdown, bolster defense

The U.S. Capitol Dome is seen before dawn in Washington.

By Richard Cowan

WASHINGTON (Reuters) – Negotiators in the U.S. Congress reached a deal late on Sunday on around $1 trillion in federal funding that would avert a government shutdown later this week, while handing President Donald Trump a down payment on his promised military build-up.

The full House of Representatives and Senate must still approve the bipartisan pact, which would be the first major legislation to clear Congress since Trump became president on Jan. 20.

Prompt passage of the legislation was expected this week.

The funds, which should have been locked into place seven months ago with the start of fiscal 2017 on Oct. 1, would pay for an array of federal programs from airport and border security operations to soldiers’ pay, medical research, foreign aid, space exploration, and education.

“The agreement will move the needle forward on conservative priorities and will ensure that the essential functions of the federal government are maintained, said Jennifer Hing, a spokeswoman for Republicans on the House Appropriations Committee.

If it is not enacted by midnight Friday, federal agencies would have to lay off hundreds of thousands of workers and require many others to continue on the job providing law enforcement and other essential operations without pay until the funding dispute in Congress is resolved.

“This agreement is a good agreement for the American people  and takes the threat of a government shutdown off the table,” Senate Democratic leader Chuck Schumer said in a statement.

He said the measure would increase federal investments in medical research, education, and infrastructure.

House and Senate appropriators worked into the night to draft the legislation for lawmakers to review.

Republican Representative Jim Jordan, chairman of the conservative House Freedom Caucus, said he and other conservatives likely would not back the measure because it does not fulfill their promises to voters.

“I’m disappointed,” Jordan told CNN. “We’ll see how it plays out this week but I think you’re going to see conservatives have some real concerns with this legislation.”

A senior congressional aide said the Pentagon would win a $12.5 billion increase in defense spending for the fiscal year that ends on Sept. 30, with the possibility of an additional $2.5 billion contingent on Trump delivering a plan to Congress for defeating the Islamic State militant group.

Trump had requested $30 billion more in military funds for this year after campaigning hard on a defense build-up during the 2016 election campaign.

NO WALL MONEY

Several other important White House initiatives were rejected by the Republican and Democratic negotiators, including money for a wall on the U.S.-Mexico border that Trump has argued is needed to stop illegal immigrants and drugs.

Instead, congressional negotiators settled on $1.5 billion more for border security, including more money for new technology and repairing existing infrastructure, the aide said.

Trump, in excerpts from a CBS News interview to air later on Monday, said a separate infrastructure plan would come within three weeks.

The Trump administration had earlier backed away from a threat to end federal subsidies for low-income people to get health insurance through Obamacare, the program that Trump had pledged to repeal.

Republicans are struggling over a repeal and replacement plan for former President Barack Obama’s landmark healthcare law and it was unclear whether they would be able to bring such legislation to the House floor soon.

While Republicans control the House, Senate and White House, Democrats scored other significant victories in the deal.

Puerto Rico would get an emergency injection of $295 million in additional funding for its Medicaid health insurance program for the poor, according to the aide who asked not to be identified. The impoverished island, which is a U.S. territory, is facing a severe Medicaid funding shortfall.

Democrats also fended off potential cuts to women’s healthcare provider Planned Parenthood, while House Democratic leader Nancy Pelosi applauded a nearly $2 billion hike in funds for the National Institutes of Health this year.

Coal miners and their families facing the loss of health insurance next month would get a permanent renewal under the spending bill.

While Trump has urged Congress to impose deep cuts to the Environmental Protection Agency, most of its programs would be continued for at least the remainder of this year, according to the aide.

The House is likely to vote first on the package, probably early in the week, and send the measure to the Senate for approval before Friday’s midnight deadline.

If the legislation is enacted by week’s end, Congress would then have to begin focusing on a series of bills to fund the government at the start of the next fiscal year on Oct. 1.

(Additional reporting by Susan Heavey; Editing by Paul Tait and Chizu Nomiyama)

Tycoon Slim says ready to help Mexico negotiate with Trump

Mexican billionaire Carlos Slim shows the book "Crippled America: How to make America great again" by Donald Trump during a news conference in Mexico City, Mexico

MEXICO CITY (Reuters) – Mexican billionaire Carlos Slim said on Friday he is willing to help the government negotiate with Donald Trump, and called on Mexicans from all political parties to unite behind President Enrique Pena Nieto in his discussions with the U.S. president.

In a rare news conference by the generally media-shy mogul, Slim said Mexico needed to negotiate from a position of strength, noting that Trump, who he called a “great negotiator,” represented a major change in how politics is conducted.

(Reporting by Christine Murray)

Iran warns of retaliation if U.S. breaches nuclear deal

Iran Supreme Leader

By Bozorgmehr Sharafedin

BEIRUT (Reuters) – Extending U.S. sanctions on Iran for 10 years would breach the Iranian nuclear agreement, Iran Supreme Leader Ayatollah Khamenei said on Wednesday, warning that Tehran would retaliate if the sanctions are approved.

The U.S. House of Representatives re-authorized last week the Iran Sanctions Act, or ISA, for 10 years. The law was first adopted in 1996 to punish investments in Iran’s energy industry and deter Iran’s pursuit of nuclear weapons.

The Iran measure will expire at the end of 2016 if it is not renewed. The House bill must still be passed by the Senate and signed by President Barack Obama to become law.

Iran and world powers concluded the nuclear agreement, also known as JCPOA, last year. It imposed curbs on Iran’s nuclear program in return for easing sanctions that have badly hurt its economy.

“The current U.S. government has breached the nuclear deal in many occasions,” Khamenei said, addressing a gathering of members of the Revolutionary Guards, according to his website.

“The latest is extension of sanctions for 10 years, that if it happens, would surely be against JCPOA, and the Islamic Republic would definitely react to it.”

The U.S. lawmakers passed the bill one week after Republican Donald Trump was elected U.S. president. Republicans in Congress unanimously opposed the agreement, along with about two dozen Democrats, and Trump has also criticized it.

Lawmakers from both parties said they hoped bipartisan support for a tough line against Iran would continue under the new president.

President-elect Trump once said during his campaign that he would “rip up” the agreement, drawing a harsh reaction from Khamenei, who said if that happens, Iran would “set fire” to the deal.

The House of Representatives also passed a bill last week that would block the sale of commercial aircraft by Boeing <BA.N> and Airbus <AIR.PA> to Iran.

The White House believes that the legislation would be a violation of the nuclear pact and has said Obama would veto the measure even if it did pass the Senate.

(Reporting by Bozorgmehr Sharafedin, editing by Larry King)

U.S., Israel narrow differences for new talks on defense aid

Israeli Prime Minister Benjamin Netanyahu

By Patricia Zengerle and Dan Williams

WASHINGTON/JERUSALEM (Reuters) – The United States and Israel have narrowed their differences over what could be decisive negotiations this week to seal a multibillion-dollar military aid package for Washington’s top Middle East ally, officials said on Monday.

Raising hopes for removal of a key sticking point, Israel has signaled it may accept the Obama administration’s demand that U.S. military funds, until now spent partly on Israeli arms, will eventually be spent entirely on U.S.-made weapons, according to congressional sources.

It would mark a major concession by Israeli Prime Minister Benjamin Netanyahu after months of tense negotiations over the 10-year aid pact.

But Netanyahu, who has had a fraught relationship with President Barack Obama, has apparently decided it would be best to forge a deal with him rather than hoping for better terms from the next U.S. president, according to officials on both sides. Obama leaves office in January.

Differences on the package have underscored continuing friction over last year’s U.S.-led nuclear deal with Iran, Israel’s regional archfoe. The United States and Israel have also been at odds over the Palestinians. The State Department last week criticized Israel for planned Jewish settlement expansion on occupied land.

Netanyahu sent Jacob Nagel, acting head of Israel’s national security council, to Washington on Monday to lead three days of talks. A person briefed by Netanyahu said the prime minister expressed hope that Nagel would be able to “finalize” negotiations on a new memorandum of understanding and that it would mean increased funding.

A senior U.S. official reiterated the Obama administration’s pledge to sign a new MOU that would “constitute the largest single pledge of military assistance to any country in U.S. history.”

The current pact, signed in 2007 and due to expire in 2018, gave Israel around $30 billion in so-called foreign military financing.

U.S. negotiators are believed to have stuck to a previous offer of $3.5 billion to $3.7 billion annually for Israel under the new MOU, substantially less than the $4 billion a year Netanyahu has sought but still a substantial increase.

EASING OF DISAGREEMENT

A key disagreement has been over Washington’s insistence on ending a special arrangement that has allowed Israel to spend 26.3 percent of its U.S. defense aid on its own military industries rather than on American products.

Israeli officials argue that the provision, which is given to no other country receiving U.S. military assistance, was needed to maintain Israel’s “qualitative military edge” against sometimes hostile neighbors such as Iran, and that its removal would mean the loss of thousands of Israeli defense jobs.

But a congressional source briefed by the Obama administration said Israel had signaled its willingness to phase out the provision. The Israeli newspaper Yedioth Ahronoth said the White House was prepared to let Israel keep the arrangement for the first five years of the new MOU but it would be gradually phased out in the second five years, except for joint U.S.-Israeli military projects.

Another sticking point has been Washington’s desire to end a provision allowing Israel to spend around $400 million annually from the package on military fuels.

The congressional source said Nagel was expected to try to work out final details but not actually sign an agreement.

U.S. officials said progress was likely, but were reluctant to predict a breakthrough.

The Obama administration wants a new deal before the president leaves office. Republican critics accuse him of not being attentive enough to Israel’s security, which the White House strongly denies.

Netanyahu angered the White House in February when he suggested the agreement could wait for the next president.

But officials on both sides believe he prefers to get the deal before Obama leaves office. They see Netanyahu seeking to avoid uncertainties surrounding the policies of the next president, whether Democrat Hillary Clinton or Republican Donald Trump, and wanting to give Israel’s defense establishment the ability to plan ahead.

(Additional reporting and writing by Matt Spetalnick; Editing by Dan Grebler)

Colombia to agree bilateral ceasefire with rebels this week: president

Colombia President

BOGOTA (Reuters) – Colombia will reach agreement on a bilateral ceasefire at peace talks with leftist FARC rebels this week, President Juan Manuel Santos said on Tuesday, in what he said would mark a key advance in the negotiations to end 50 years of war.

Santos said this week the government and the Revolutionary Armed Forces of Colombia (FARC) rebels will complete the more than three-year-old negotiations by July 20.

“If the negotiators make a final effort to finish the definitive point that is a ceasefire and the end to hostilities, we will have taken a fundamental step in attaining peace,” Santos said in a speech at an education event in Bogota.

“I appeal to God that he gives us the strength to finish these accords this very week, because we have almost completed them.”

Government sources said the agreement would likely not mean the ceasefire would begin right away, but rather that the announcement would lay out the details of a ceasefire set to begin when a final peace deal is signed.

A ceasefire accord will likely include details on how the rebels will demobilize, the sources said, and FARC leader Rodrigo Londono, better known by his nom de guerre Timochenko, may sign the accord with Santos on Thursday or Friday.

The two sides have reached agreements on more than half a dozen topics but have yet to agree terms for the ceasefire or on how exactly a referendum for Colombians to approve the peace deal will be organized.

The FARC called a unilateral ceasefire nearly a year ago and the government responded by halting air strikes on rebel camps.

Negotiators missed a self-imposed deadline for signing a deal in March, and Santos has come under fire over the past week for comments about the referendum he has promised will take place to approve a deal.

Timochenko took to Twitter earlier on Tuesday to say he was against announcing a date by which the talks would finish.

“Practice has demonstrated that setting dates hurts the process, even more when there isn’t an accord,” the rebel leader tweeted. “Although we are advancing, we aren’t there yet.”

Latin America’s longest war has killed some 220,000 people and displaced millions of others since 1964. Tens of thousands have gone missing.

(Reporting by Julia Symmes Cobb, additional reporting by Monica Garcia; Editing by Marguerita Choy)

Netanyahu Says He Will Immediately Negotiate with Palestinians

Israeli Prime Minister Benjamin Netanyahu surprised many observers during his trip to London when he announced he would be willing to have immediate peace talks with Palestinian leader Mahmoud Abbas.

“I want to say here in 10 Downing Street, and reaffirm again, that I am ready to resume direct negotiations with the Palestinians with no conditions whatsoever to enter negotiations, and I’m willing to do so immediately,” Netanyahu said.

Netanyahu said he would meet and enter negotiations “without any preconditions, any preconditions whatsoever, to sit down with President Abbas and negotiate this peace.”

The talks between Israel and Palestinian officials have been essentially stagnant since April 2014.

The statement by Netanyahu comes as rumors are getting persistent that Abbas is considering stepping down from his position because of the lack of movement in the peace talks and the path for Palestinian statehood.

Several members of the British parliament used the visit by Netanyahu to call for the nation to put immediate sanctions on Israel, citing the stalled peace process.

U.S. Considers Negotiations With Extreme Islamists

The U.S. State Department has said for the first time they’re willing to hold discussions with Islamic extremist groups fighting the Syrian government.

State Department spokeswoman Marie Harf said that the possibility of talks with the Islamic Front could not be ruled out.

We can engage with the Islamic Front, of course, because they’re not designated terrorists,” Harf told reporters. “We’re always open to meeting with a wide range of opposition groups. Obviously, it may make sense to do so at some point soon, and if we have something to announce, we will.”

Sources told Reuters that the U.S. is planning to meet with the commanders of the Islamic Front in an attempt to get them under a coalition with the Free Syrian Army.

The Islamic Front, while not called a terrorist group by the Obama Administration, has members with openly anti-American views and beliefs. The group has said they do not plan to bring a democracy to Syria but rather to install a state run by Sharia law.

Kentucky Republican Senator Rand Paul warned the administration working with the Islamic Front would be “funding allies of al-Qaeda.”

Obama Administration Abandons American Pastor In Negotiations

The wife of an American pastor imprisoned in Iran for being a Christian is outraged that the Obama Administration did nothing to secure her husband’s release while in talks over that country’s nuclear program.

The White House confirmed over the weekend that they made no efforts at all to secure the release of Saeed Abedini during the nuclear negotiations.

“It’s unbearable,” Naghmeh Abedini said to Fox News, “to think of another Christmas without him and see my kids not have him home for Christmas.”

Abedini’s supporters say the deal with Iran takes America’s best leverage off the table for the release of the persecuted pastor.

Jay Sekulow of the American Center for Law And Justice said that President Obama and Secretary of State John Kerry have “turned their backs on a U.S. citizen.”

Iran’s Supreme Leader Attacks Israel in Speech

As world powers meet with Iranian negotiators over that country’s nuclear program, Iran’s supreme leader has made some strong anti-Semitic declarations against the nation of Israel.

Ayatollah Ali Khamenei said Tehran will only make limited concessions during the negotiations and then blasted Israel saying they were “the rabid dog of the region.”

“The Zionist regime is a regime whose pillars are extremely shaky and is doomed to collapse,” Khamenei said to AFP news agency.

French President Francois Hollande said that the comments by Khamenei were “unacceptable” but did not think they would derail the negotiations.

Israel and Saudi Arabia have both expressed concerns that the western nations negotiating with Iran would rush to ease sanctions without actually getting Iran to give up anything of significance.