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close video South Carolina wants new residents ‘to pay their fair share’: Sen. Stephen Goldfinch

Sen. Stephen Goldfinch, R-S.C., says the state’s ‘Yankee Tax’ would help pay for necessary infrastructure to accommodate a rising number of new residents.

South Carolina lawmakers began efforts Thursday to fire Comptroller General Richard Eckstrom after a $3.5 billion accounting blunder. The move comes one day after Eckstrom was strongly advised to quit or be fired.

The 74-year-old seasoned public accountant told senators in March he unintentionally exaggerated the state's cash position by $3.5 billion by overstating the amount sent to colleges and universities for approximately a decade, according to The Associated Press.

Eckstrom has been in his position for 20 years and spent four years during the 90s as the state treasurer.

Though the error was not in actual cash, it affects the way the state reports its balance sheets and could negatively impact South Carolina's credit rating. The error has also eroded confidence that many lawmakers across party lines had in the seasoned accountant, The AP reported.

ACCOUNTING ERRORS TO COST EXECUTIVES THEIR BONUSES UNDER SEC RULE

FILE – South Carolina Comptroller General Richard Eckstrom holds up a book he wanted to present to his new Chief of Staff James Holly during his introduction at the Budget and Control Board meeting, Aug. 13, 2009, in Columbia, S.C. (AP Photo/Mary Ann Chastain, File)

"At least for a decade we know that he has signed his name, Richard Eckstrom, CPA, on our state's closing financial document and every year he has been wrong," said Republican Sen. Larry Grooms.

Grooms is the sponsor of a resolution introduced in the state legislature Thursday seeking a two-thirds vote from the House and Senate to trigger a state constitutional provision that would allow Gov. Henry McMaster to remove Eckstrom for "willful neglect of duty."

Of the state's 46 senators, 38 of them signed on to sponsor the proposal – and only 30 are needed to hit the two-thirds threshold. In the House, 83 out of 124 representatives need to sign on for the resolution to pass.

Grooms said the legislature needs to act because Eckstrom is not doing the "honorable thing" by refusing to resign.

According to The AP, McMaster said last week Eckstrom should be held accountable by voters instead of being impeached by lawmakers. His office said Thursday he had not changed his mind.

FIRST REPUBLIC BANK EXECUTIVES SOLD $12 MILLION IN STOCK IN MONTHS BEFORE CRASH

South Carolina Lt. Gov. Pamela Evette, left, administers the oath of office to state officers, from left, Secretary of State Mark Hammond, Treasurer Curtis Loftis, Attorney General Alan Wilson, Comptroller General Richard Eckstrom, Education Superint (AP Photo/Meg Kinnard, File)

The constitution allows Eckstrom a hearing in his own defense if that is what he wants, though the exact procedure isn't clear. Several senators also could not remember the process being used since it was added more than 50 years ago.

"We're consulting… right now to ensure we do the correct procedures," Grooms said. "He'll have an opportunity to rebut."

Eckstrom responded to the Wednesday Senate report by stating he isn't quitting, adding that his office worked "tirelessly" to find and fix the problem in 2013. The AP said the problem wasn't reported to lawmakers or government officials until months ago.

The error started as a $12 million coding error in 2007 and was compounded when the state switched accounting systems four years later in 2011, according to what Eckstrom has told senators at recent hearings.

It was discovered that state cash transferred to colleges and universities was being counted twice and Eckstrom allegedly ignored repeated warnings from auditors. He is also accused of waiting five years to conduct a full review of accounts that eventually assisted in uncovering the problem about a year ago.

Grooms said once Eckstrom is dealt with, he expects the Senate will take up other matters his subcommittee recommended like dismantling his agency and sending duties to other offices.

South Carolina Sen. Larry Grooms, R-Bonneau, introduces a resolution calling for the governor to remove state Comptroller General Richard Eckstrom from office if the House and Senate approve with a two-thirds vote. (AP Photo/Jeffrey Collins)

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Eckstrom has run unopposed in the past two elections. He last had a challenger in the Republican primary in 2010.

He said he would support a constitutional amendment making his job one appointed by the governor, but in the meantime, he will be focusing on the job he was elected to do, adding that he will not be "distracted by anyone."

The Associated Press contributed to this report.

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World

Trump warns Hamas – and claims Israel has agreed to 60-day ceasefire in Gaza

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Trump warns Hamas - and claims Israel has agreed to 60-day ceasefire in Gaza

Analysis: Many unanswered questions remain

In the long Gaza war, this is a significant moment.

For the people of Gaza, for the hostages and their families – this could be the moment it ends. But we have been here before, so many times.

The key question – will Hamas accept what Israel has agreed to: a 60-day ceasefire?

At the weekend, a source at the heart of the negotiations told me: “Both Hamas and Israel are refusing to budge from their position – Hamas wants the ceasefire to last until a permanent agreement is reached. Israel is opposed to this. At this point only President Trump can break this deadlock.”

The source added: “Unless Trump pushes, we are in a stalemate.”

The problem is that the announcement made now by Donald Trump – which is his social-media-summarised version of whatever Israel has actually agreed to – may just amount to Israel’s already-established position.

We don’t know the details and conditions attached to Israel’s proposals.

Would Israeli troops withdraw from Gaza? Totally? Or partially? How many Palestinian prisoners would they agree to release from Israel’s jails? And why only 60 days? Why not a total ceasefire? What are they asking of Hamas in return? We just don’t know the answers to any of these questions, except one.

We do know why Israel wants a 60-day ceasefire, not a permanent one. It’s all about domestic politics.

If Israeli Prime Minister Benjamin Netanyahu was to agree now to a permanent ceasefire, the extreme right-wingers in his coalition would collapse his government.

Itamar Ben-Gvir and Bezalel Smotrich have both been clear about their desire for the war to continue. They hold the balance of power in Mr Netanyahu’s coalition.

If Mr Netanyahu instead agrees to just 60 days – which domestically he can sell as just a pause – then that may placate the extreme right-wingers for a few weeks until the Israeli parliament, the Knesset, is adjourned for the summer.

It is also no coincidence that the US president has called for Mr Netanyahu’s corruption trial to be scrapped.

Without the prospect of jail, Mr Netanyahu might be more willing to quit the war safe in the knowledge that focus will not shift immediately to his own political and legal vulnerability.

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UK

The PM faced down his party on welfare and lost. I suspect things may only get worse

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The PM faced down his party on welfare and lost. I suspect things may only get worse

So much for an end to chaos and sticking plaster politics.

Yesterday, Sir Keir Starmer abandoned his flagship welfare reforms at the eleventh hour – hectic scenes in the House of Commons that left onlookers aghast.

Facing possible defeat on his welfare bill, the PM folded in a last-minute climbdown to save his skin.

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Welfare bill passes second reading

The decision was so rushed that some government insiders didn’t even know it was coming – as the deputy PM, deployed as a negotiator, scrambled to save the bill or how much it would cost.

“Too early to answer, it’s moved at a really fast pace,” said one.

The changes were enough to whittle back the rebellion to 49 MPs as the prime minister prevailed, but this was a pyrrhic victory.

Sir Keir lost the argument with his own backbenchers over his flagship welfare reforms, as they roundly rejected his proposed cuts to disability benefits for existing claimants or future ones, without a proper review of the entire personal independence payment (PIP) system first.

PM wins key welfare vote – follow latest

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Welfare bill blows ‘black hole’ in chancellor’s accounts

That in turn has blown a hole in the public finances, as billions of planned welfare savings are shelved.

Chancellor Rachel Reeves now faces the prospect of having to find £5bn.

As for the politics, the prime minister has – to use a war analogy – spilled an awful lot of blood for little reward.

He has faced down his MPs and he has lost.

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‘Lessons to learn’, says Kendall

They will be emboldened from this and – as some of those close to him admit – will find it even harder to govern.

After the vote, in central lobby, MPs were already saying that the government should regard this as a reset moment for relations between No 10 and the party.

The prime minister always said during the election that he would put country first and party second – and yet, less than a year into office, he finds himself pinned back by his party and blocked from making what he sees are necessary reforms.

I suspect it will only get worse. When I asked two of the rebel MPs how they expected the government to cover off the losses in welfare savings, Rachael Maskell, a leading rebel, suggested the government introduce welfare taxes.

Meanwhile, Work and Pensions Select Committee chair Debbie Abrahams told me “fiscal rules are not natural laws” – suggesting the chancellor could perhaps borrow more to fund public spending.

Read more:
How did your MP vote?
Welfare cuts branded ‘Dickensian’

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Should the govt slash the welfare budget?

These of course are both things that Ms Reeves has ruled out.

But the lesson MPs will take from this climbdown is that – if they push hard in enough and in big enough numbers – the government will give ground.

The fallout for now is that any serious cuts to welfare – something the PM says is absolutely necessary – are stalled for the time being, with the Stephen Timms review into PIP not reporting back until November 2026.

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Tearful MP urges govt to reconsider

Had the government done this differently and reviewed the system before trying to impose the cuts – a process only done ahead of the Spring Statement in order to help the chancellor fix her fiscal black hole – they may have had more success.

Those close to the PM say he wants to deliver on the mandate the country gave him in last year’s election, and point out that Sir Keir Starmer is often underestimated – first as party leader and now as prime minister.

But on this occasion, he underestimated his own MPs.

His job was already difficult enough – and after this it will be even harder still.

If he can’t govern his party, he can’t deliver change he promised.

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Politics

US sanctions crypto wallet tied to ransomware, infostealer host

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US sanctions crypto wallet tied to ransomware, infostealer host

US sanctions crypto wallet tied to ransomware, infostealer host

The US Treasury has sanctioned a crypto wallet containing $350,000 tied to the alleged cybercrime hosting service Aeza Group.

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