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On July 13, 2006, Stormy Daniels says, she had sex with former President Donald Trump in his suite at the Harrah’s Lake Tahoe Hotel and Casino, where he was staying during the American Century Celebrity Golf Championship. At the time, Daniels was a 27-year-old porn star who had started writing and directing adult films, and Trump was a 60-year-old billionaire real estate developer who had gained renewed celebrity as the star of the NBC reality TV show The Apprentice. He had married his third wife, former model and future First Lady Melania Trump, the previous year, and their son was four months old.

A decade later, shortly before the 2016 presidential election, Daniels agreed to keep quiet about that alleged 2006 encounter in exchange for a $130,000 payment from Michael Cohen, Trump’s personal lawyer. That agreement is at the center of Trump’s first and possibly last criminal trial, in which Daniels testified this week at the New York County Criminal Courthouse in Manhattan. In trying to peddle her story to the press as Trump was running against Hillary Clinton, Daniels told the jury, “My motivation wasn’t money. It was to get the story out.”

That implausible claim illustrates a broader problem that the prosecution faces in trying to establish that Trump committed 34 felonies by disguising his 2017 reimbursement of Cohen’s payment to Daniels as legal fees. Even leaving aside the convoluted, legally dubious theory underlying those charges, prosecutors are relying on the testimony of several key witnesses who do not seem trustworthy.

Daniels said she decided to go public with her story in early October 2016, when The Washington Post published a 2005 video in which Trump bragged to Access Hollywood host Billy Bush about what he could get away with as a celebrity. “You know, I’m automatically attracted to beautiful [women],” Trump said. “I just start kissing them. It’s like a magnet. Just kiss. I don’t even wait. When you are a star, they let you do it. You can do anythinggrab them by the pussy. You can do anything.”

Prosecutors have emphasized the importance of that recording in understanding why Trump was eager to silence Daniels. His motivation, in turn, is crucial to the argument that the hush payment was a campaign expenditure, that Cohen therefore made an excessive campaign contribution by fronting the money, and that Trump falsified business records to cover up that crime.

“Those were Donald Trump’s words on a video that was released one month before Election Day,” lead prosecutor Matthew Colangelo said in his opening statement. “And the impact of that tape on the campaign was immediate and explosive. Prominent allies withdrew their endorsements; they condemned Donald Trump’s language….The Republican National Committee even considered whether it was too late to replace their own nominee and find another candidate for the election a month before Election Day.”

Trump and his campaign staff “were deeply concerned that the tape would irreparably damage his viability as a candidate and reduce his standing with female voters in particular,” Colangelo told the jury. So the next day, when Cohen learned from David Pecker, then the CEO of the company that owned theNational Enquirer, that Daniels was pitching her story, Trump “was adamant that he did not want the story to come out. Another story about sexual infidelity, especially with a porn star, on the heels of the Access Hollywood tape, could have been devastating to his campaign.”

As Daniels tells it, she was equally determined to tell her story. Yet she ultimately decided that was less important than reaping a windfall from her silence. Daniels did not publicly discuss her relationship with Trump until March 2018, when she appeared on 60 Minutes after unsuccessfully trying to get out of her nondisclosure agreement. This was two months afterThe Wall Street Journal revealed that Cohen had paid Daniels not to do what she eventually did anyway.

In April 2018, Daniels sued Trump for defamation after he called her account of what happened in Lake Tahoe a “fraud.” A federal judge dismissed that lawsuit on First Amendment grounds that October, and Daniels lost her appeal. She was ultimately ordered to cover more than $600,000 in Trump’s legal fees, which she said she would not do.

Since going public, The New York Times notes, Daniels “has leaned into her Trump-adjacent fame. She has sold merchandise, filmed a documentary, sat for high-profile interviews and written a book that was so tell-all it included detailed descriptions of the former president’s genitalia.”

Daniels’ testimony on Tuesday likewise was a bit too graphic for Judge Juan Merchan’s taste. “At one point,” theTimes reports, “he even issued his own objection, interrupting her testimony as she began to describe the sexual position she and Mr. Trump assumed.” During a sidebar discussion, Merchan remarked that Daniels’ testimony included “some things better left unsaid” and “suggested that Ms. Daniels might have ‘credibility issues.'”

Trump lawyer Susan Necheles highlighted what she said were inconsistencies between Daniels’ testimony and the account she gave in her 2018 memoir, Full Disclosure. Necheles also suggested that Daniels had invented an encounter in which she said a Trump supporter had threatened her and her baby daughter in a Las Vegas parking lot, noting that Daniels had not told the girl’s father about it.

More generally, the defense team argues that Daniels has financial and personal reasons to lie about Trump. Cohen paid Daniels “in exchange for her agreeing to not publicly spread false claims about President Trump,” Trump’s lead defense attorney, Todd Blanche, said in his opening statement. “When Ms. Daniels threatened to go public with her false claim of a sexual encounter with President Trump,” Blanche told the jury, “it was almost an attempt…to extort President Trump….It was sinister, and it was an attempt to try to embarrass President Trump, to embarrass his family….President Trump fought back, like he always does and like he’s entitled to do, to protect his family, his reputation, and his brand. And that is not a crime.”

None of this means that Daniels fabricated her account of a sexual encounter with Trump, which is completely consistent with his character and history. And strictly speaking, it does not matter whether Daniels is telling the truth about what she and Trump did in 2006, or even whether her story would been “devastating to his campaign,” which is doubtful for the same reasons: Voters knew about his adultery and his disregard for sexual consent, and they elected him anyway. They may very well do so again, even after a jury found him civilly liable for sexual assault. But under the prosecution’s theory, all that matters is that Trump was worried that Daniels’ story might hurt his chances; that he arranged the payoff for that reason, recognizing that he was thereby violating federal campaign finance rules; and that he tried to hide that crime with phony business records.

Daniels’ “credibility issues” nevertheless are apt to affect the weight that jurors give her testimony. Likewise with Pecker, who testified that he agreed to pay off two other people with potentially damaging stories about Trumpformer Trump Tower doorman Dino Sajudin and former Playboy Playmate Karen McDougalas part of an arrangement that included notifying Cohen about such threats, running positive stories about Trump in the National Enquirer, and running negative stories about his opponents. Pecker said he had similar, mutually beneficial arrangements with other celebrities, including politicians, and that he sometimes used dirt about them as leverage to obtain access and information.

In addition to those unsavory details about Pecker’s style of journalism, jurors heard that he and his company avoided federal prosecution by agreeing that the McDougal payoff qualified as an unlawful corporate campaign contribution. The legal pressure that resulted in Pecker’s cooperation casts doubt on that characterization and on his testimony that Trump was mainly worriedabout the election when he arranged the nondisclosure agreements with Sajudin, McDougal, and Daniels.

Cohen, the source of crucial links between the Daniels payment and the charges that Trump faces, has yet to testify. But Trump’s lawyers argue that he is a vindictive former loyalist who “cannot be trusted.”

Cohen “cheated on his taxes, he lied to banks, [and] he lied about side businesses he had with taxi medallions, among other things,” Blanche told the jury. He was “disbarred as an attorney, he’s a convicted felon, and he also is a convicted perjurer.” According to Blanche, Cohen had a grudge against Trump, because he “wanted a job in the administration” and “didn’t get one.” He therefore decided to “blame President Trump for virtually all of his problems.” Cohen is “obsessed with Trump,” Blanche said. He “rants and raves” about his former boss on podcasts and social media and “has talked extensively about his desire to see President Trump go to prison.”

Even Pecker, who had a relationship with Cohen that long predated the 2016 election, portrayed him as difficult, badgering, hotheaded, and extremely unpleasant. While all that may be legally irrelevant, Pecker’s testimony also suggested that Cohen was dishonest and unreliable, repeatedly promising to reimburse Pecker for the Sajudin and McDougal payments, which he never did.

This is the guy that prosecutors will be presenting as their star witness. Blanche claimed that “Mr. Cohen has misrepresented key conversations where the only witness who was present for the conversation was Mr. Cohen and, allegedly, President Trump.” Whether or not that’s true, establishing reasonable doubt about the veracity of Cohen’s account should not be difficult.

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Business

Record profits at Ryanair after costs rise – but ticket price cuts could be on the way

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Record profits at Ryanair after costs rise - but ticket price cuts could be on the way

Ryanair has reported another year of record profits and passenger numbers.

The average fare at the airline, which is Europe’s largest by passenger numbers, was 21% more expensive than 12 months earlier, its annual results showed.

But the company suggested a cut in ticket prices could be on the way after this summer when prices will either be the same or more expensive than last year.

Annual profits reached €1.92bn (£1.64bn), surpassing the previous record of €1.45bn (£1.26bn) made in the year ending March 2018.

Passenger numbers also outpaced previous all-time highs and are now well above pre-pandemic numbers at 184 million – a rise of 23% on the pre-COVID year of 2019.

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Ticket prices

Those passengers paid fares costing an average of 21% more than the year up to March 2023 but Ryanair’s chief executive Michael O’Leary said if the company has to cut fares to have planes 94% full next April, May and June “then so be it”.

While demand is “strong” for summer flights and its summer schedule will operate over 200 new routes, the low-cost carrier said it remained “cautiously optimistic that peak summer 2024 fares will be flat to modestly ahead of last summer”.

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Boeing headwinds

The passenger increase has come despite Boeing‘s delays in delivering new planes to the airline.

Ryanair had staked a large part of its financial success on expansion through 300 new 737 MAX 10 aircraft.

But the plane manufacturer has been beset by delays amid regulatory and media scrutiny of safety at its manufacturing sites after a door blew off an Alaska Airlines Boeing 737 MAX 9 jet.

There’s a risk those delays “could slip further”, Mr O’Leary said.

But Ryanair said it would receive “modest compensation” from Boeing for the delays.

The no-frills carrier also said its fuel bill rose 32% to €5.14bn (£4.4bn).

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Technology

$9 billion travel tech firm Navan on track to hit profitability this year and ‘not far’ from IPO, CEO says

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 billion travel tech firm Navan on track to hit profitability this year and 'not far' from IPO, CEO says

TripActions CEO Ariel Cohen

TripActions

The boss of travel and expense management platform Navan told CNBC he’s preparing the company to get its business into shape for an eventual initial public offering this year, in another sign leaders of privately-held startups are getting more optimistic about their prospects in the public markets.

Asked about when Navan would choose to go public, the firm’s CEO and co-founder Ariel Cohen said the company is close to reaching that milestone. “We can see the signals,” he said, adding that Navan has been adjusting its leadership structure and making changes to its board in a signal of maturity.

Last month saw Navan announce the return of Rich Liu, formerly Navan’s chief revenue officer and “an expert on scaling companies from seed to IPO and beyond,” to the business as CEO of Navan Travel, the company’s travel division.

Amy Butte, the former chief financial officer of the New York Stock Exchange who oversaw the U.S. exchange operator’s transition to a public company in 2006, was also appointed to Navan’s board of directors as audit committee chair.

“I don’t want to give a date,” Cohen told CNBC, adding that he’s not even told his own family a date for when he expects Navan to go public — let alone his board and Navan employees. “At the end of the day, there are things that are out of my control.”

“The market can collapse. There are elections in the U.S. There are wars. So I never actually promise things to people if I don’t know that the delivery is in my control,” he added.

While Cohen wouldn’t commit to a date for Navan’s eventual IPO, he said the business was “not far” from being ready for a stock market listing. The company is on track to become cash-flow positive and achieve profitability for the first time this year, he said.

“The timing will need to include several things,” he said. “Today, in this market, to be public, you need to be profitable. We are not far from that, but we are not there. We’re going to be there this year. And it’s not easy to do it while you’re growing fast.”

Cohen said he’s also keeping a wary eye on the market — but added that although, previously, investors would have seen a company like his as dependent on buoyant market sentiment surrounding technology, today he sees the firm as “mature enough” to go public independent of the market backdrop.

Navan CEO Ariel Cohen talks partnering with Citi

Navan is now growing revenues by around 40% on average, according to Cohen, with the company’s fintech business seeing faster growth (100%) than its travel business (30%).

Founded in 2015 as TripActions, Navan began life as a travel management platform for businesses, seeking to provide a smoother experience to travel agents and incumbent players like American Express, BCD Travel, and SAP Concur. The company counts the likes of Unilever and Christie’s as clients.

The firm subsequently expanded into expensing and payments with solutions for automating linking credit cards to a single platform and automating expenses.

Navan is backed by major investors including Andreessen Horowitz, Coatue, Goldman Sachs, and Lightspeed. Navan has raised more than $1.5 billion in venture funding to date and was last valued at $9.2 billion. It competes with Spanish startup TravelPerk, which was most recently valued at $1.4 billion.

Navan introduced a big evolution of that product last year with the arrival of Navan Connect, a new expensing product.

Most corporate card startups, like Brex and Ramp, offer users their own branded corporate smart cards. But Navan’s Connect feature, which it’s rolled out in partnership with Citi, lets businesses offer automated expense management and reconciliation without having to change corporate card provider.

Like other tech firms, Navan has been making a big investment into artificial intelligence. The company rolled out its own AI personal assistant, called Ava, last year. The tool uses generative AI to help travelers, travel admins, and finance managers make travel plans and budget effectively.

Ava — which stands for automated virtual assistant — now processes around 150,000 monthly chats, more than 35% of which are managed to completion as of April 2024, according to Navan.

Cohen said Navan is planning to roll out an even more personalized version of Ava’s AI assistant, which can generate travel plans for someone based on their past behavior, to even greater accuracy in six months’ time.

Navan was named on the 2024 edition of CNBC’s Disruptor 50 list.

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World

President Raisi’s death a perilous moment for Iran regime – but don’t expect a change to foreign policy

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President Raisi's death a perilous moment for Iran regime - but don't expect a change to foreign policy

This is a delicate time for Iran. President Raisi was the second most important man in Iran, after Supreme Leader Ayatollah Ali Khamenei.

His death, now confirmed, will have far-reaching consequences.

Although Khamenei has tried to reassure the country in recent hours, the regime will know this is a perilous moment that must be handled carefully.

Live updates – Iranian president killed in crash

There are mechanisms to protect the regime in events like this and the Revolutionary Guard, which was founded in 1979 precisely for that purpose, will be a major player in what comes next.

In the immediate term, vice-president Mohammed Mokhber will assume control and elections will be held within 50 days.

Mokhber isn’t as close to the supreme leader as Raisi was, and won’t enjoy his standing, but he has run much of Khamenei’s finances for years and is credited with helping Iran evade some of the many sanctions levied on it.

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Drone footage of helicopter crash site

Raisi’s successor will most likely be the chosen candidate of the supreme leader and certainly another ultra-conservative hardliner – a shift back to the moderates is highly unlikely.

Likewise, we shouldn’t expect any significant change in Iran’s foreign activities or involvement with the war in Gaza. It will be business as usual, as much as possible.

However, after years of anti-government demonstrations following the death of Mahsa Amini in 2022, this might be a moment for the protest movement to rise up and take to the streets again.

Read more:
Who was hardliner Iranian president Ebrahim Raisi?
‘Butcher of Tehran’ had fearsome reputation – many will fear instability
Hardline cleric Ebrahim Raisi wins landslide victory

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Islamic State may seek to take advantage

There are also many dissident groups inside Iran, including an off-shoot of Islamic State – they might seek to take advantage of this situation.

Raisi became president in 2021 at the second time of asking and only with a turnout of 41%, the lowest since the 1979 revolution.

The president is seen as a frontrunner to replace Iran's Supreme Leader Ayatollah Ali Khamenei (pictured) when he dies. Pic: Reuters
Image:
The president was considered one of the two frontrunners to succeed Ayatollah Ali Khamanei (pictured). Pic: Reuters

He was not a universally popular figure and many inside Iran will celebrate his death.

Consequences for supreme leader

Longer term, Raisi’s death will have consequences for the supreme leader.

He was considered one of the two frontrunners to succeed Ayatollah Ali Khamanei on his death – the other being Khamanei’s son Mojtaba.

For religious and conservative Iranians, Raisi’s death will be mourned; for many though, it will be the passing of a man who had blood on his hands.

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