Tag Archives: United States

After weeks of secrecy, U.S. Senate to unveil healthcare bill

FILE PHOTO - U.S. President Donald Trump (C) acknowledges House Speaker Paul Ryan (3rdL) as he gathers with Congressional Republicans in the Rose Garden of the White House after the House of Representatives approved the American Healthcare Act, to repeal major parts of Obamacare and replace it with the Republican healthcare plan, in Washington, U.S., May 4, 2017. REUTERS/Carlos Barria

By Susan Cornwell and Richard Cowan

WASHINGTON (Reuters) – U.S. Senate Republicans plan to unveil the text of their draft healthcare bill on Thursday as senators struggle over issues such as the future of the Medicaid program for the poor and bringing down insurance costs.

Republicans in the chamber have been working for weeks behind closed doors on legislation aimed at repealing and replacing major portions of the Affordable Care Act, former Democratic President Barack Obama’s signature healthcare law, popularly known as Obamacare.

The effort has been plagued from the start by tensions between moderates and conservatives, which surfaced again on Tuesday. Democrats have also criticized the behind-the-scenes meetings, staging a protest on the Senate floor on Monday.

“Republicans are writing their healthcare bill under the cover of darkness because they are ashamed of it,” Senate Democratic leader Chuck Schumer charged.

President Donald Trump campaigned on a promise to repeal Obamacare. The 2010 law extended insurance coverage to millions of Americans through both subsidized private insurance and an expansion of Medicaid.

The Republican-controlled House of Representatives narrowly approved its version of repeal last month.

Trump has urged the Republican-led Senate to pass a more “generous” bill than that approved by the House, whose version he privately called “mean,” according to congressional sources.

An estimated 23 million people could lose their healthcare under the House plan, according to the non-partisan Congressional Budget Office. Senate Majority Leader Mitch McConnell said on Tuesday the Senate healthcare bill would be different from the House version, but he did not elaborate.

In the Senate, moderates including Senator Shelley Moore Capito have argued for a long, seven-year phase-out to the Medicaid expansion that happened under Obamacare. But Senator John Thune, a member of the Republican leadership, said on Tuesday the phase-out in the bill might just be three years.

Capito said on Tuesday she was also concerned the Senate healthcare plan might cap Medicaid spending and shift it to a lower growth rate in 2025. “That’s an issue,” she said.

CONSERVATIVES WARY

Senate conservatives also seemed wary of the emerging bill. Ted Cruz, a member of a core group of 13 Republicans who have been working on the legislation, told reporters the bill did not yet do enough to lower health insurance premiums. “If it is going to pass, the bill is going to have to make meaningful steps to reduce premiums,” he said.

Given the opposition of all Senate Democrats to repealing Obamacare, Republican leaders will need the support of at least 50 of the chamber’s 52 Republicans to ensure passage.

McConnell announced a discussion draft would be laid out on Thursday. The bill will be brought to the Senate floor once the CBO has assessed its cost and impact, “likely next week,” McConnell said.

Thune said the bill was not yet finalized, saying: “We’re trying to get definitive determinations” on a range of issues.

Vice President Mike Pence predicted that new healthcare legislation would be enacted this summer.

“I want to assure you, before this summer is over … President Donald Trump and this Congress will keep their promise to the American people, and we will repeal and replace Obamacare,” Pence told a meeting of the National Association of Manufacturers.

(Editing by Caren Bohan and Peter Cooney)

Fed’s Fischer says more to be done to prevent future crises

FILE PHOTO: U.S. Federal Reserve Vice Chair Stanley Fischer addresses The Economic Club of New York in New York, U.S. on March 23, 2015. REUTERS/Brendan McDermid/File Photo

(Reuters) – Federal Reserve Board Vice Chair Stanley Fischer on Tuesday warned that while the U.S. and other countries have taken steps to make their housing finance systems stronger, more needs to be done to prevent a future crisis.

Fischer did not address the outlook for U.S. monetary policy or the economy in remarks prepared for delivery to the DNB-Riksbank Macroprudential Conference Series in Amsterdam.

Instead he focused on preventing financial instability, arguing that since the 2007-2009 financial crisis in the United States, “the core of the financial system is much stronger, the worst lending practices have been curtailed, much progress has been made in processes to reduce unnecessary foreclosures,” and a 2008 law helped clarify the status of government support for housing agencies Fannie Mae and Freddie Mac.

But to prevent a new crisis, he said, governments ought to do more, including stress tests for banks on their resilience should house prices decline dramatically, and making it easier to avoid foreclosures, which hurt both lenders and borrowers.

“(T)here is more to be done, and much improvement to be preserved and built on, for the world as we know it cannot afford another pair of crises of the magnitude of the Great Recession and the Global Financial Crisis,” he said.

(Reporting by Ann Saphir; editing by Diane Craft)

Democrats protest Senate Republican healthcare secrecy

FILE PHOTO - U.S. President Donald Trump (C) turns to House Speaker Paul Ryan (3rdL) as he gathers with Congressional Republicans in the Rose Garden of the White House after the House of Representatives approved the American Healthcare Act, to repeal major parts of Obamacare and replace it with the Republican healthcare plan, in Washington, U.S., May 4, 2017. REUTERS/Carlos Barria

By Susan Cornwell

WASHINGTON (Reuters) – U.S. Democrats took to the Senate floor on Monday to throw a spotlight on behind-the-scenes efforts by the Republican majority to repeal former President Barack Obama’s healthcare law, known as Obamacare.

In a series of floor motions, inquiries and lengthy speeches, Democrats criticized the closed-door meetings that Republicans have been holding to craft a replacement for Obamacare, formally known as the Affordable Care Act. They called for open committee hearings and more time to consider the bill before a Senate vote, which Republicans say could come in the next two weeks, although a draft bill has yet to emerge publicly.

Lacking the votes to derail or change the Republican process, the maneuvers by the Democratic minority seemed more aimed at highlighting Republican efforts on a controversial issue. Polls have said that a majority of Americans disapprove of the Obamacare replacement that has passed the House of Representatives and that Senate Republicans are now considering.

Senate Democratic Leader Chuck Schumer said that the closed-door Republican meetings on healthcare amounted to “the most glaring departure from normal legislative procedure that I have ever seen.”

“Republicans are writing their healthcare bill under the cover of darkness because they are ashamed of it,” Schumer charged. The resulting legislation would likely throw millions out of health insurance, he said, while granting “a big fat tax break for the wealthiest among us.”

Senators are not obligated to hold meetings in the open, but Democrats pointed out that there were lengthy committee meetings and many days of floor debate on Obamacare before it passed in 2010.

Several Democrats moved for the healthcare legislation to be referred to Senate committees for hearings, but Senate Majority Leader Mitch McConnell refused.

McConnell said all Republican senators have been involved to some degree in healthcare meetings and that Democrats would have a chance to amend the legislation they produce, once it is brought to the Senate floor.

“We’re going to have a meeting on the Senate floor, all hundred of us, with an unlimited amendment process,” McConnell said. “So there will be no failure of opportunity.”

Senate Republican leaders would like a vote on healthcare legislation in July, before the July 4 recess if possible. But Republicans have struggled to coalesce around a bill, with moderates and conservatives pushing in different directions.

Senate Republicans also face pressure from the right. In the House, conservatives have written to McConnell to express concern about reports that say the Senate may water down the House bill.

(Reporting by Susan Cornwell; Editing by Jonathan Oatis and Leslie Adler)

U.S. urges bigger Chinese role to combat global terrorism

China's President Xi Jinping waits to greet Brazil's Foreign Minister Aloysio Nunes (not seen), Russia's Foreign Minister Sergey Lavrov (not seen), South Africa's Foreign Minister Maite Nkoana-Mashabane (not seen) and Indian Minister of External Affairs Vijay Kumar Singh (not seen) as he meets with foreign affairs officials from the BRICS countries at the Great Hall of the PeopleÕs Fujian Room in Beijing on June 19, 2017. REUTERS/Nicolas Asfouri/Pool

By David Brunnstrom

WASHINGTON (Reuters) – The United States wants China to become more involved in supporting the global fight against terrorism and efforts to defeat Islamic State, including in Iraq, a senior U.S. official said on Monday ahead of high-level security talks with Beijing.

Susan Thornton, the U.S. acting assistant secretary of state for East Asia, said that China has taken only a limited role in counter-terrorism efforts, although it appeared to be becoming more interested.

“We would like to see them step up and take more responsibility,” Thornton told reporters as Washington and China’s diplomatic and defense chiefs prepared for a meeting in the U.S. capital on Wednesday.

“They have a lot of interests, for example in Iraq, and we think they should be doing to more to contribute to the efforts of the international coalition to defeat ISIS (Islamic State),” she said.

Thornton said Beijing, which is not a member of the 68-member coalition, was increasingly affected by terrorism, as was seen by the recent killing of two Chinese nationals in Pakistan.

Beijing has sent out “early feelers” about getting more involved, Thornton said.

“We’d like to have a good discussion with them about what more we think they can do, certainly in the way of providing resources to governments that are battling against terrorism and trying to help with capacity-building for governments and security forces in various places,” she added.

Chinese Foreign Ministry spokesman Geng Shuang told a regular press briefing in Beijing on Tuesday that China and the United States were both victims of terrorism.

“Cooperation is in the interests of both sides,” he said, without elaborating.

Wednesday’s talks will involve U.S. Secretary of State Rex Tillerson, Secretary of Defense Jim Mattis as well as China’s top diplomat, State Councilor Yang Jiechi, and General Fang Fenghui, chief of state of the People’s Liberation Army.

The State Department says they will focus on ways to step up pressure on North Korea to give up its nuclear and missile programs, but also cover areas such as counter-terrorism and territorial rivalries in the strategic South China Sea.

The United States has been at odds with China over the latter’s building and fortifying of islands in the disputed waterway.

Thornton said now that there were moves towards agreeing a code of conduct over the South China Sea, Washington would like to see a freeze on all such construction activity.

She reiterated a call on China to fully implement U.N. sanctions on North Korea and, while praising Beijing for imposing a ban on North Korean coal imports, added: “We would like to see China do more.”

(Reporting by David Brunnstrom; Additional reporting by David Alexander in Washington and Christian Shepherd in Beijing; Editing by Paul Simao and Nick Macfie)

Supreme Court to hear major case on political boundaries

FILE PHOTO - A general view of the U.S. Supreme Court building in Washington, U.S., November 15, 2016. REUTERS/Carlos Barria/File Photo

By Andrew Chung

WASHINGTON (Reuters) – The U.S. Supreme Court agreed on Monday to decide whether the U.S. Constitution limits how far lawmakers can go to redraw voting districts to favor one political party over another in a case that could have huge consequences for American elections.

The high court has been willing to invalidate state electoral maps on the grounds of racial discrimination, as it did on May 22 when it found that Republican legislators in North Carolina had drawn two electoral districts to diminish the statewide political clout of black voters.

But the justices have not thrown out state electoral maps drawn simply to give one party an advantage over another.

The justices will take up Wisconsin’s appeal of a lower court ruling last November that state Republican lawmakers violated the Constitution when they created state legislative districts with the partisan aim of hobbling Democrats in legislative races. The case will be one of the biggest heard by the Supreme Court during its term that begins in October.

The case involves a long-standing practice known as gerrymandering, a term meaning manipulating electoral boundaries for an unfair political advantage. The lower court ruled that the Republican-led legislature’s redrawing of state legislative districts in 2011 amounted to “an unconstitutional partisan gerrymander.”

A panel of three federal judges in Madison ruled 2-1 that the way the Republicans redrew the districts violated the U.S. Constitution’s guarantees of equal protection under the law and free speech by undercutting the ability of Democratic voters to turn their votes into seats in Wisconsin’s legislature.

In a possible sign of deep ideological divisions among the nine justices over the issue, the court’s conservative majority granted Wisconsin’s request, despite opposition from the four liberal justices, to put on hold the lower court’s order requiring the state to redraw its electoral maps by Nov. 1.

That means Wisconsin will not need to put in place a new electoral map while the justices consider the matter.

A Supreme Court ruling faulting the Wisconsin redistricting plan could have far-reaching consequences for the redrawing of electoral districts due after the 2020 U.S. census. State and federal legislative district boundaries are reconfigured every decade after the census so that each one holds about same number of people, but are sometimes draw in a way that packs voters who tend to favor a particular party into certain districts so as to diminish their statewide voting power.

Wisconsin Republican Attorney General Brad Schimel welcomed the justices’ decision to hear the state’s appeal and called the state’s redistricting process “entirely lawful and constitutional.”

The case in the short term could affect congressional maps in about half a dozen states and legislative maps in about 10 states, before having major implications for the post-2020 redistricting, according to the New York University School of Law’s Brennan Center for Justice.

‘POLITICS GOING HAYWIRE’

“Wisconsin’s gerrymander was one of the most aggressive of the decade, locking in a large and implausibly stable majority for Republicans in what is otherwise a battleground state,” said Brennan Center redistricting expert Thomas Wolf. “It’s a symptom of politics going haywire and something that we increasingly see when one party has sole control of the redistricting process.”

Justice Anthony Kennedy, a conservative who sometimes sides with the court’s liberals in major cases, could cast the decisive vote. Kennedy, writing in a 2004 case, indicated he may be open to the idea that racial gerrymanders could violate the Constitution. Though a “workable standard” defining it did not exist, he suggested one might emerge in a future case.

Democrats have accused Republicans of taking improper actions at the state level to suppress the turnout of minority voters and others who tend to support Democrats and maximize the number of party members in state legislatures and the U.S. House of Representatives. Republicans call their actions lawful.

Republicans control the U.S. Congress. They also have majorities in an all-time high of 69 of 99 state legislative chambers, according to the Republican State Leadership Committee.

After winning control of the state legislature in 2010, Wisconsin Republicans redrew the statewide electoral map.

They were able to amplify Republican voting power, gaining more seats than their percentage of the statewide vote would suggest. In 2012, Republicans received about 49 percent of the vote but won 60 of the 99 state Assembly seats. In 2014, the party garnered 52 percent of the vote and 63 Assembly seats.

A dozen Wisconsin Democratic Party voters in 2015 sued state election officials, saying the redistricting divided Democratic voters in some areas and packed them in others to dilute their electoral clout and benefit Republican candidates.

The lower court found that redistricting efforts are unlawful partisan gerrymandering when they seek to entrench the party in power, and have no other legitimate justification.

The state argues recent election results favoring Republicans were “a reflection of Wisconsin’s natural political geography,” with Democrats concentrated in urban areas like Milwaukee and Madison.

(Reporting by Andrew Chung; Editing by Will Dunham)

Iran’s supreme leader criticizes U.S. policies toward Tehran

FILE PHOTO: Iran's Supreme Leader Ayatollah Ali Khamenei delivers a speech during a ceremony marking the death anniversary of the founder of the Islamic Republic Ayatollah Ruhollah Khomeini, in Tehran, Iran, June 4, 2017. TIMA via REUTERS

BEIRUT (Reuters) – Iranian Supreme Leader Ayatollah Ali Khamenei lashed out on Sunday at U.S. President Donald Trump’s administration and what he characterized as its hostility to the Islamic Republic.

“This inexperienced group has not recognized the people and leaders of Iran,” he said, according to the website for state TV. “When they get hit in the mouth, at that time they’ll know what’s going on.”

Khamenei and other senior Iranian officials have ramped up their criticism of the United States in recent weeks after Trump went on an official visit last month to Saudi Arabia, Iran’s main regional rival.

During that visit, Trump singled out Iran as a key source of funding and support for militant groups. He has also criticized the nuclear deal between Iran and six major powers, including the United States, that led to the lifting of most sanctions against Iran, in return for curbs on its nuclear programme. Trump has said Washington would review the deal but stopped short of pledging to scrap it.

Iran and the United States cut diplomatic ties shortly after Iran’s 1979 Islamic revolution and enmity to Washington has long been a rallying point for hardline supporters of Khamenei in Iran.

Khamenei has accused the United States and its regional ally Saudi Arabia of funding hardline Sunni militants, including Islamic State, which carried out its first attack in Iran earlier this month, killing 17 people.

Riyadh has denied involvement in the suicide bombings and gun attacks on Iran’s parliament and the mausoleum of the Islamic Republic’s founder, Ayatollah Ruhollah Khomeini.

Khamenei said in his speech on Sunday that any efforts to destabilize the Islamic Republic would not succeed.

“In the past 38 years, when has there been a time when you haven’t wanted to change the Islamic system?” Khamenei said, according to Fars News. “Your head has hit the rock each time and always will.”

(Reporting by Babak Dehghanpisheh; Editing by Peter Cooney)

Exclusive – U.S. investigators in Russia probe look at role of Flynn partner

FILE PHOTO - U.S. National Security Adviser Michael Flynn walks along the West Wing colonnade at the White House in Washington, U.S., February 10, 2017. REUTERS/Jim Bourg/File Picture

By Nathan Layne and Julia Edwards Ainsley

NEW YORK (Reuters) – Federal investigators probing the lobbying work of ousted national security adviser Michael Flynn are focused in part on the role of Bijan Kian, Flynn’s former business partner, according to a person interviewed by the FBI.

Investigators are also looking at whether payments from foreign clients to Flynn and his company, the now-inactive Flynn Intel Group, were lawful, according to two separate sources with knowledge of the broad inquiry into Flynn’s business activities. That includes payments by three Russian companies and a Netherlands-based company, Inovo, controlled by Turkish businessman Ekim Alptekin, they said.

The FBI’s interest in Kian has not been previously reported. Kian played a central role in securing and overseeing the Inovo contract, two people with knowledge of that project said.

It is not clear whether Kian is a target of the criminal investigation or whether investigators are trying to build a fuller understanding of how Flynn’s company operated.

A person recently interviewed by the FBI in connection with the Flynn investigation said agents from the bureau’s criminal division had asked as much about Kian and his work on the project with Alptekin as they had about Flynn.

Kian did not respond to repeated requests for comment, nor did the lawyer he recently hired, Robert Trout. The FBI declined to comment.

Flynn’s lawyer, Robert Kelner, did not respond to requests for comment. Alptekin declined to comment for this story but last month told Reuters that he was satisfied with the work done by Flynn Intel Group and denied any wrongdoing.

The FBI has been investigating whether Flynn’s consulting firm lobbied on behalf of Turkey – after being paid $530,000 by Inovo – without making the proper disclosure, Reuters reported earlier this month.

The federal investigation is being run by special counsel Robert Mueller. Mueller has a mandate to investigate contacts between Russia and Trump’s 2016 election campaign team and any related matters. Flynn was fired by the Trump administration in February after officials said he mischaracterized a series of phone calls with Russia’s ambassador last December.

The top Democrat on the House Committee on Oversight and Government Reform, which has separately been looking into whether Flynn made false statements in applying for security clearance, said he was also scrutinizing Kian.

“I have an interest in Bijan Kian and his interactions with General Flynn based on specific documents already obtained by the Committee,” Elijah Cummings told Reuters in an email.

Kelner has sought immunity for Flynn in exchange for his testimony, saying his client “certainly has a story to tell.”

FAILED COUP OPENS A DOOR

In private conversations with potential clients, Kian portrayed himself as a rainmaker for Flynn, tapping into connections cultivated during a five-year tenure as a director at the U.S. Export-Import Bank, according to one person who worked with the firm.

Alptekin told Reuters in May that his firm hired Flynn Intel Group to research Gulen’s activities in the United States, which he suspected were “poisoning” relations between the United States and Turkey. Like Turkey President Tayyip Erdogan, Alptekin blamed the coup on followers of Gulen.

Gulen has denied any role in the coup and dismisses Turkey’s allegations that he heads a terrorist organization.

Kian oversaw key elements of the project that emerged, including a still-unfinished documentary on Gulen, according to two people involved in the project.

Inovo paid Flynn Intel Group a total of $530,000, starting in September, according to a Justice Department filing by the company in March. Flynn Intel Group paid $80,000 to Inovo in “consultancy fees,” according to the filing, which does not provide more detail on why payments were made in both directions.

On Sept. 19, Kian and Flynn met in New York with Turkey’s foreign minister and energy minister, who is Erdogan’s son-in-law, according to a person with knowledge of the meeting.

In late October Kian invited staff of the House Homeland Security Committee to Flynn Intel Group’s headquarters in Virginia. The meeting was called to show off new mobile phone security technology, but Kian also used the opportunity to try to get a congressional hearing on Gulen, according to a person at the meeting.

At that point, the Flynn Intel Group had only disclosed its work for Alptekin’s Inovo in a filing with Congress. It had not mentioned Inovo’s ties to Turkey.

When Justice Department officials became aware months later that Kian and other Flynn Intel Group officials had met with Turkish officials they insisted on a fuller disclosure, people involved in those discussions said.

The Flynn Intel Group made the more detailed disclosure in its March filing with the Justice Department under the Foreign Agents Registration Act that said the work that Flynn and Kian did for Inovo “could be construed to have principally benefited the Republic of Turkey.”

(Reporting by Nathan Layne; Additional reporting by John Walcott, Julia Harte and Jonathan Landay in Washington; Editing by Kevin Krolicki and Ross Colvin)

Exclusive: Trump seen hardening line toward Pakistan after Afghan war review

U.S. President Donald Trump walks to the White House in Washington, U.S. following his arrival from Camp David June 18, 2017. REUTERS/Eric Thayer

By Phil Stewart and Idrees Ali

WASHINGTON (Reuters) – President Donald Trump’s administration appears ready to harden its approach toward Pakistan to crack down on Pakistan-based militants launching attacks in neighboring Afghanistan, U.S. officials tell Reuters.

Potential Trump administration responses being discussed include expanding U.S. drone strikes, redirecting or withholding some aid to Pakistan and perhaps eventually downgrading Pakistan’s status as a major non-NATO ally, the officials said, speaking on condition of anonymity.

Some U.S. officials, however, are skeptical of the prospects for success, arguing that years of previous U.S. efforts to curb Pakistan’s support for militant groups have failed, and that already strengthening U.S. ties to India, Pakistan’s arch-enemy, undermine chances of a breakthrough with Islamabad.

U.S. officials say they seek greater cooperation with Pakistan, not a rupture in ties, once the administration finishes a regional review of the strategy guiding the 16-year-old war in Afghanistan.

Precise actions have yet to be decided.

The White House and Pentagon declined to comment on the review before its completion. Pakistan’s embassy in Washington did not immediately respond to a request for comment.

“The United States and Pakistan continue to partner on a range of national security issues,” Pentagon spokesman Adam Stump said.

But the discussions alone suggest a shift toward a more assertive approach to address safe havens in Pakistan that have been blamed for in part helping turn Afghanistan’s war into an intractable conflict.

Experts on America’s longest war argue that militant safe havens in Pakistan have allowed Taliban-linked insurgents a place to plot deadly strikes in Afghanistan and regroup after ground offensives.

Although long mindful of Pakistan, the Trump administration in recent weeks has put more emphasis on the relationship with Islamabad in discussions as it hammers out a the regional strategy to be presented to Trump by mid-July, nearly six months after he took office, one official said.

“We’ve never really fully articulated what our strategy towards Pakistan is. The strategy will more clearly say what we want from Pakistan specifically,” the U.S. official said, speaking on condition of anonymity.

Other U.S. officials warn of divisions within the government about the right approach and question whether any mix of carrots and sticks can get Islamabad to change its behavior. At the end of the day, Washington needs a partner, even if an imperfect one, in nuclear-armed Pakistan, they say.

The United States is again poised to deploy thousands more troops in Afghanistan, an acknowledgment that U.S.-backed forces are not winning and Taliban militants are resurgent.

Without more pressure on militants within Pakistan who target Afghanistan, experts say additional U.S. troop deployments will fail to meet their ultimate objective: to pressure the Taliban to eventually negotiate peace.

“I believe there will be a much harder U.S. line on Pakistan going forward than there has been in the past,” Hamdullah Mohib, the Afghan ambassador to the United States, told Reuters, without citing specific measures under review.

Kabul has long been critical of Pakistan’s role in Afghanistan.

Pakistan fiercely denies allowing any militants safe haven on its territory. It bristles at U.S. claims that Pakistan’s spy agency, the Inter-Services Intelligence (ISI) directorate, has ties to Haqqani network militants blamed for some of the deadliest attacks in Afghanistan.

“What Pakistan says is that we are already doing a lot and that our plate is already full,” a senior Pakistani government source told Reuters, speaking on condition of anonymity.

The source doubted the Trump administration would press too hard, saying: “They don’t want to push Pakistan to abandon their war against terrorism.”

Pakistani officials point towards the toll militancy has taken on the country. Since 2003, almost 22,000 civilians and nearly 7,000 Pakistani security forces have been killed as a result of militancy, according to the South Asia Terrorism Portal, which tracks violence.

Experts say Pakistan’s policy towards Afghanistan is also driven in part by fears that India will gain influence in Afghanistan.

IS PAKISTAN AN ALLY?

Nuclear-armed Pakistan won the status as a major non-NATO ally in 2004 from the George Bush administration, in what was at the time seen in part as recognition of its importance in the U.S. battle against al Qaeda and Taliban insurgents.

The status is mainly symbolic, allowing limited benefits such as giving Pakistan faster access to surplus U.S. military hardware.

Some U.S. officials and experts on the region scoff at the title.

“Pakistan is not an ally. It’s not North Korea or Iran. But it’s not an ally,” said Bruce Riedel, a Pakistan expert at the Brookings Institution.

But yanking the title would be seen by Pakistan as a major blow.

“The Pakistanis would take that very seriously because it would be a slap at their honor,” said a former U.S. official, speaking on condition of anonymity.

Lisa Curtis, senior director for South and Central Asia at the National Security Council, co-authored a report with Husain Haqqani, Pakistan’s former ambassador to Washington, in which they recommended the Trump administration warn Pakistan the status could be revoked in six months.

“Thinking of Pakistan as an ally will continue to create problems for the next administration as it did for the last one,” said the February report.

It was unclear how seriously the Trump administration was considering the proposal.

The growing danger to Afghanistan from suspected Pakistan-based militants was underscored by a devastating May 31 truck bomb that killed more than 80 people and wounded 460 in Afghanistan’s capital, Kabul.

Afghanistan’s main intelligence agency said the attack – one of the deadliest in memory in Kabul – had been carried out by the Haqqani network with assistance from Pakistan, a charge Islamabad denies.

Washington believes the strikes appeared to be the work of the Haqqani network, U.S. officials told Reuters.

U.S. frustration over the Haqqani’s presence in Pakistan has been building for years. The United States designated the Haqqani network as a terrorist organization in 2012. U.S. Navy Admiral Mike Mullen, then the top U.S. military officer, told Congress in 2011 that the Haqqani network was a “veritable arm” of the ISI.

The potential U.S. pivot to a more assertive approach would be sharply different than the approach taken at the start of the Obama administration, when U.S. officials sought to court Pakistani leaders, including Army chief General Ashfaq Kayani.

David Sedney, who served as Obama’s deputy assistant secretary of defense for Afghanistan, Pakistan and Central Asia from 2009 to 2013, said the attempt to turn Islamabad into a strategic partner was a “disaster.”

“It didn’t affect Pakistan’s behavior one bit. In fact, I would argue it made Pakistan’s behavior worse,” Sedney said.

MORE DRONES, CASH CUT-OFF

Pakistan has received more than $33 billion in U.S. assistance since 2002, including more than $14 billion in so-called Coalition Support Funds (CSF), a U.S. Defense Department program to reimburse allies that have incurred costs in supporting counter-insurgency operations.

It is an important form of foreign currency for the nuclear-armed country and one that is getting particularly close scrutiny during the Trump administration review.

Last year, the Pentagon decided not to pay Pakistan $300 million in CSF funding after then-U.S. Secretary of Defense Ash Carter declined to sign authorization that Pakistan was taking adequate action against the Haqqani network.

U.S. officials said the Trump administration was discussing withholding at least some assistance to Pakistan.

Curtis’ report also singled out the aid as a target.

But U.S. aid cuts could cede even more influence to China, which already has committed nearly $60 billion in investments in Pakistan.

Another option under review is broadening a drone campaign to penetrate deeper into Pakistan to target Haqqani fighters and other militants blamed for attacks in Afghanistan, U.S. officials and a Pakistan expert said.

“Now the Americans (will be) saying, you aren’t taking out our enemies, so therefore we are taking them out ourselves,” the Pakistan expert, who declined to be identified, said.

Pakistan’s army chief of staff last week criticized “unilateral actions” such as drone strikes as “counterproductive and against (the) spirit of ongoing cooperation and intelligence sharing being diligently undertaken by Pakistan”.

(Additional reporting by Josh Smith in Kabul, Drazen Jorgic in Islamabad and John Walcott in Washington; Editing by Yara Bayoumy and Howard Goller)

U.S. student held prisoner by North Korea dies days after release

FILE PHOTO - Otto Frederick Warmbier, a University of Virginia student who has been detained in North Korea since early January, attends a news conference in Pyongyang, North Korea, in this photo released by Kyodo February 29, 2016. Mandatory credit REUTERS/Kyodo/File Photo

By Steve Gorman

(Reuters) – An American university student held prisoner in North Korea for 17 months died at a Cincinnati hospital on Monday, just days after he was released from captivity in a coma, his family said.

Otto Warmbier, 22, who was arrested in North Korea while visiting as a tourist, had been described by doctors caring for him last week as having extensive brain damage that left him in a state of “unresponsive wakefulness.”

“Unfortunately, the awful torturous mistreatment our son received at the hands of the North Koreans ensured that no other outcome was possible beyond the sad one we experienced today,” the family said in a statement after Warmbier’s death at 2:20 p.m. EDT (1820 GMT).

His family has said that Warmbier lapsed into a coma in March 2016, shortly after he was sentenced to 15 years of hard labor in North Korea.

Physicians at the University of Cincinnati Medical Center, where he died, said last Thursday that Warmbier showed no sign of understanding language or awareness of his surroundings, and had made no “purposeful movements or behaviors,” though he was breathing on his own.

There was no immediate word from Warmbier’s family on the cause of his death.

The circumstances of his detention in North Korea and what medical treatment he may have received there remained a mystery, but relatives have said his condition suggested that he had been physically abused by his captors.

The University of Virginia student and Ohio native was arrested, according to North Korean media, for trying to steal an item bearing a propaganda slogan.

North Korea released Warmbier last week and said he was being freed “on humanitarian grounds.” [nL3N1JC1ZB]

The North Korean mission to the United Nations was not available for comment on Monday.

U.S. President Donald Trump issued a statement offering condolences to the Warmbier family and denouncing “the brutality of the North Korean regime as we mourn its latest victim.”

The president drew criticism in May when he said he would be “honored” to meet North Korean leader Kim Jong Un.

“If it would be appropriate for me to meet with him, I would absolutely, I would be honored to do it,” Trump said in an interview. “If it’s under the, again, under the right circumstances. But I would do that.”

The student’s father, Fred Warmbier, said last week that his son had been “brutalized and terrorized” by the Pyongyang government and that the family disbelieved North Korea’s story that his son had fallen into a coma after contracting botulism and being given a sleeping pill.

Doctors who examined Otto Warmbier after his release said there was no sign of botulism in his system.

Warmbier was freed after the U.S. State Department’s special envoy on North Korea, Joseph Yun, traveled to Pyongyang and demanded the student’s release on humanitarian grounds, capping a flurry of secret diplomatic contacts, a U.S. official said last week.

Tensions between the United States and North Korea have been heightened by dozens of North Korean missile launches and two nuclear bomb tests since the beginning of last year in defiance of U.N. Security Council resolutions. Pyongyang has also vowed to develop a nuclear-tipped intercontinental ballistic missile capable of hitting the U.S. mainland.

China, North Korea’s main ally, lamented Warmbier’s death.

“It really is a tragedy. I hope that North Korea and the United States can properly handle the issue,” Chinese Foreign Ministry spokesman Geng Shuang told a regular press briefing.

Asked if the death would have an impact on high-level U.S.-China talks on Wednesday likely to focus on North Korea, Geng said China “remains committed to resolving the Korean Peninsula issue through dialogue and consultation”.

Secretary of State Rex Tillerson said the United States holds North Korea accountable for Warmbier’s “unjust imprisonment” and demanded the release of three other U.S. citizens still held by Pyongyang – Korean-Americans Tony Kim, Kim Dong Chul and Kim Hak Song.

Offering condolence to the Warmbiers, South Korean President Moon Jae-in urged Pyongyang to swiftly return the foreign detainees including six South Koreans. [nL3N1JH1F0]

A spokesman for the family of one South Korean detainee sentenced to hard labor for life for spying in 2013 said the Warmbier’s death was “shocking and upsetting”.

“I thought American citizens might be treated better than South Koreans but looking at Otto’s case it is shocking. It also concerns us even more regarding the missionary Kim’s situation,” Joo Dong-sik, spokesman for the family of South Korean missionary Kim Jung-wook who remains in custody, told Reuters.

Korean-American missionary Kenneth Bae, who spent two years in North Korean captivity before his release in 2014, expressed sadness at Warmbier’s death, calling it an “outrage”.

“I cannot understand what the Warmbier family is feeling right now. But I mourn with them, and I pray for them,” Bae said in a statement.

Young Pioneer Tours, the group with which Warmbier traveled to North Korea, will no longer be organizing tours for U.S. citizens to the isolated country, Troy Collings, a company director, said in a statement.

Two of the other largest agencies to take Western tourists to North Korea also said they were reconsidering taking U.S. tourists.

Uri Tours, which is based in New Jersey, said on its website it was “reviewing its position on DPRK travel for American citizens”. DPRK is short for the Democratic People’s Republic of Korea, North Korea’s official title.

Beijing-based Koryo Tours said it was also reviewing whether or not to take U.S. citizens on tours to North Korea.

“This young man did not deserve the disproportionate sentence given to him,” the company said in a statement.

“What followed was a disgrace, which we categorically condemn – from the paucity of information provided during his detention, and the worrying lack of consular visits, to the distressing and horrifying condition in which he was returned to his family.”

(Reporting by Steve Gorman in Los Angeles; Additional reporting by David Alexander and David Brunnstrom in Washington, and Christian Shepherd in Beijing, Ju-min Park and James Pearson in Seoul, Jon Herskovitz in Austin, Texas; Timothy Mclaughlin in Chicago; and Michelle Nichols in New York; Editing by Lisa Shumaker and Toni Reinhold)

White House says it retains right to self-defense in Syria; Moscow warns Washington

A U.S. Navy F/A-18E Super Hornet launches from the flight deck of the aircraft carrier USS Dwight D. Eisenhower (CVN 69) in the Mediterranean Sea June 28, 2016. U.S. Navy/Mass Communication Specialist 2nd Class Ryan U. Kledzik/Handout via Reuters

By Steve Holland, Phil Stewart and Andrew Osborn

WASHINGTON/MOSCOW (Reuters) – The White House said on Monday that coalition forces fighting Islamic State militants in Syria retained the right to self-defense as Russia warned it viewed any planes flying in its area of operations as potential targets.

Tensions escalated on Sunday as the U.S. military brought down a Syrian military jet near Raqqa for bombing near U.S.-allied forces on the ground, the first time Washington had carried out such an action in the multi-pronged civil war.

It was also the first time the U.S. Air Force had shot down a manned aircraft since May 1999.

In a move that will fan tensions between Washington and Moscow, Russia made clear it was changing its military posture in response to the U.S. downing of the jet.

Russia, a staunch ally of Syrian President Bashar al-Assad, said it would treat U.S.-led coalition aircraft flying west of the Euphrates River in Syria as potential targets and track them with missile systems and military aircraft. It stopped short of saying it would shoot them down.

The Russian Defence Ministry said it was also immediately scrapping a Syrian air safety agreement with Washington designed to avoid collisions and dangerous incidents.

Moscow accused Washington of failing to honor the pact by not informing it of the decision to shoot down the Syrian plane despite Russian aircraft being airborne at the same time.

Washington hit back, saying it would “do what we can to protect our interests.”

“The escalation of hostilities among the many factions that are operating in this region doesn’t help anybody. And the Syrian regime and others in the regime need to understand that we will retain the right of self-defense, of coalition forces aligned against ISIS,” White House spokesman Sean Spicer said.

The U.S. military said it was repositioning its aircraft over Syria to ensure the safety of American air crews targeting Islamic State.

The White House also said it would work to keep lines of communication open with Russia amid the new tensions. The chairman of the Joint Chiefs of Staff said the United States was working to restore a “deconfliction” communications line with Russia meant to avoid an accidental clash over Syria.

Marine General Joseph Dunford said there were still communications between a U.S. air operations center in Qatar and Russian forces on the ground in Syria, adding: “We’ll work diplomatically and military in the coming hours to re-establish deconfliction.”

The U.S. Central Command had issued a statement saying the downed Syrian military jet had been dropping bombs near U.S.-backed SDF forces, which are seeking to oust Islamic State from the city of Raqqa.

It said the shooting down of the plane was “collective self-defense” and the coalition had contacted Russian counterparts by telephone via an established “de-confliction line to de-escalate the situation and stop the firing.

Russia is supporting Assad militarily with air power, advisers and special forces as he tries to roll back Islamic State and other militant groups. Unlike the United States, it says its presence is sanctioned by the Syrian government.

Adding to the tension, Iran launched missiles at Islamic State targets in eastern Syria on Sunday, a strike seen as a projection of military power into part of Syria identified as a top priority by Damascus and its allies.

(Writing by Yara Bayoumy; Editing by Peter Cooney)