Sen. John Fetterman’s Former Campaign Staffers Urge Him to Support Israel-Hamas Ceasefire

Sixteen former Campaign staffers of Sen. John Fetterman, D-Pa., have penned a letter urging their onetime boss to back a ceasefire between Israel and Hamas, telling him that “it is not too late to change your stance and stand on the righteous side of history.”

The open letter comes as Fetterman, a consistent supporter of Israel, has defended its war on Gaza and is the latest effort by former or current U.S. government employees urging an end to the violence.

On Thursday, Fetterman joined 35 other senators in pushing for “the swift implementation of sustained access for humanitarian aid, including water and medical supplies, to save innocent civilian lives in Gaza,” yet he has been dismissive of his congressional colleagues’ calls for a ceasefire.

“Now is not the time to talk about a ceasefire,” Fetterman posted a few days after 13 House Democrats introduced a resolution calling for an immediate ceasefire. “We must support Israel in efforts to eliminate the Hamas terrorists who slaughtered innocent men, women, and children. Hamas does not want peace, they want to destroy Israel.” (The ceasefire resolution now has 18 co-sponsors, including Florida Rep. Maxwell Frost, who signed on Friday.)

The former Fetterman campaign staffers, who called for an end to unconditional arms support to Israel and signed the letter as “Fetterman Alumni for Peace,” said they were speaking out because of the role they played in getting Fetterman elected. They published the letter anonymously out of fear of professional reprisal.

“On the trail,” they wrote, “your overarching promise was to ‘Forgotten Communities’ – people and places that get overlooked, written off, and left behind. You can’t be a champion of forgotten communities if you cheerlead this war and the consequent destruction of Palestinian communities at home and abroad.”



The letter is the latest in a spate of objections from official Washington and its orbit. Earlier this week, 411 current congressional staffers and 260 former Elizabeth Warren presidential campaign staffers issued statements demanding support for a ceasefire, while an 11-year State Department official resigned due to his moral disagreements with the Biden administration’s approach to the conflict.

On Thursday, activists staged a protest at Fetterman’s Philadelphia office, calling on him to support a ceasefire. They later said they were expelled from the office, though the senator’s Chief of Staff Adam Jentleson argued that that was not the case.

When asked online whether Fetterman would join the calls for a ceasefire, Jentleson simply responded, “No.” He also derided the letter signed by 411 congressional staff urging their bosses to join the call for a ceasefire. “The thing about being a staffer is that no one elected you to represent them,” Jentleson said

There does, however, appear to be broad public support for a ceasefire. On Friday, the progressive polling firm Data for Progress released the results of a survey that found that 66 percent of all likely voters and 80 percent of Democrats are in favor of a ceasefire. Israel’s assault on Gaza has so far killed nearly 3,800 people, according to the Gaza Ministry of Health.

Fetterman’s staunch support for Israel goes back to his 2022 campaign. During his primary race against Rep. Conor Lamb, as The Intercept previously reported, Fetterman allowed the Democratic Majority for Israel to guide his platform on Israel and Palestine. DMFI had spent the campaign season dropping millions of dollars in opposition to progressive Democrats critical of U.S. support for Israel, and Fetterman succeeded in avoiding their ire.

Speaking with Jewish Insider during the campaign, Fetterman said he wanted to go out of his way “to make sure it’s absolutely clear” that the views he held on Israel “in no way go along the lines of some of the more fringe or extreme wings of our party.”

“I would also respectfully say that I’m not really a progressive in that sense,” Fetterman said, stressing that he supported U.S. aid to Israel “without any additional conditions.”

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Unraveling Democracy: The Corporate Takeover

The new book “Silent Coup: How Corporations Overthrew Democracy” by investigative journalists Claire Provost and Matt Kennard reveals how the world actually works: the international structures and laws that preempt most attempts at any kind of economic democracy in most of the countries around the world. This week on Deconstructed, Provost and Kennard join Jon Schwarz to discuss this “silent coup” by powerful multinational companies.

Transcript coming soon.

The post Unraveling Democracy: The Corporate Takeover appeared first on The Intercept.

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J Street Alumni Condemn “Pro-Peace” Group for Opposing Gaza Ceasefire

While Israel continues its war against the Gaza Strip, over 100 former J Street staffers and representatives from its network of university groups are pushing their former organization to join mounting calls for a ceasefire.

The letter comes in response to J Street’s push for a congressional resolution that pledges unconditional support to Israel’s war in Gaza. The group, according to a report in The Intercept, is threatening to withhold its endorsement from Democrats who refuse to sign on. The resolution — led by Foreign Affairs Committee Chair Michael McCaul, R-Texas, and Ranking Member Gregory Meeks, D-N.Y., and now backed by more than 420 members of Congress — makes no mention of Palestinian civilians, of which Israel has now killed over 2,600, according to the Palestinian Ministry of Health in Gaza.

“As former staff and student representatives of J Street — many of whom are mourning the losses of family and friends in both Israel and Palestine — we condemn the organization’s alignment with pro-war forces in America,” the signatories wrote. “J Street’s mission was to be a bulwark against the forces in American politics that seek to entrench the occupation and blockade, and lack any regard for Palestinian lives.”

“With the imminent threat of mass atrocities and civilian casualties in Gaza, J Street should join leading Israeli and Palestinian civil society groups by immediately calling for a ceasefire and de-escalation,” the former staffers said in the letter, which is below in full, “and urging elected officials to do the same.”

“In this defining moment, we are looking to J Street for leadership and it is failing all of us.”

Some of the former staff worked with J Street as far back as 2008, shortly after its founding as a self-proclaimed “pro-peace, pro-Israel group.” Some were involved with J Street as recently as this year, and many worked with the group for five years, some for more than a decade. 

“In this defining moment, we are looking to J Street for leadership and it is failing all of us,” said Zoe Goldblum, who was the president of the group’s campus branch, J Street U, from 2016 to 2017. “J Street should throw its weight behind calls for an immediate de-escalation and ceasefire, instead of efforts like the McCaul–Meeks resolution which beats the drums of war while Palestinians in Gaza face threats of genocide.” 

Goldblum, who signed the letter, continued, “Intentionally or not, J Street is pushing American political leadership more firmly towards unconditional support for war.”

Progressives Avoid “Ceasefire” Language

On Friday, leading progressives on Capitol Hill put forward a joint letter urging the Biden administration to appeal for Israel to follow international law, minimize civilian casualties, and ensure that Gazans have access to food, water, and electricity, which Israel, which controls the territory’s borders, cut off in advance of its bombing campaign. (Reports suggest that Israel resumed pumping water into Gaza on Sunday.) 

The letter, which was led by Reps. Pramila Jayapal, D-Wash.; Mark Pocan, D-Wis.; and Jan Schakowsky, D-Ill., omitted any call for a ceasefire, sources involved said, because doing so would have reduced the number of signers down from 55 to a dozen or fewer. Progressives were also concerned J Street might oppose even the watered-down version. J Street ultimately supported the letter.

Given vocal opposition from some members of the Congressional Progressive Caucus to even mention Palestinian civilian casualties, the letter was sent from the personal offices of the members instead of under the auspices of the CPC. 

In a 2021 round of violence, J Street struck a different tone. Israel was bombing Gaza after Hamas launched rocket in the wake of protests against the eviction of Palestinians in Jerusalem and the Israeli police storming the city’s Al Aqsa mosque compound. Amid the conflagration, J Street called for an “immediate ceasefire” and addressing of “the root causes of this conflict, including the ongoing occupation.” In that case, the eruption of violence hadn’t been sparked by events like Hamas’s surprise attack last weekend, which killed some 1,300 Israelis, mostly civilians.

At J Street’s December 2022 national convention, Secretary of State Antony Blinken cited President Joe Biden’s push to deescalate the year before. “When hostilities between Israel and militants in Gaza escalated in May 2021, President Biden led intensive behind-the-scenes efforts that helped produce a ceasefire in 11 days,” he said to applause.

Today, Israel’s campaign on Gaza has remained largely unchecked by the United States and the West more broadly — even as it commits alleged war crimes. In its airstrikes, Israel has boasted of its use of 6,000 bombs to raze entire city blocks and was accused by human rights groups of using banned white phosphorus munitions. 

On Thursday, in advance of an expected ground operation, Israel ordered 1.1 million people in northern Gaza to leave the area within 24 hours — a task human rights organizations and the United Nations called dangerous and impossible. Some 70 of the Gazan civilians who heeded the orders to flee, traversing what Israel deemed a “safe route,” were reportedly bombed and killed by Israel. Israel has also killed at least seven journalists and numerous U.N. workers and medics.

Read the full text of the letter:

J Street Alumni Letter October 2023

As former staff and student representatives of J Street — many of whom are mourning the losses of family and friends in both Israel and Palestine — we condemn the organization’s alignment with pro-war forces in America. J Street’s threat to withdraw their endorsement of Congresspeople who refused to support a one-sided and incendiary House resolution represents a turn for the organization, which we cannot abide. J Street’s mission was to be a bulwark against the forces in American politics that seek to entrench the occupation and blockade, and lack any regard for Palestinian lives. J Street was founded to push for diplomatic solutions over military solutions — which time and again endanger both Israeli and Palestinian lives. This move represents an abject and disappointing failure of that mission.

With the imminent threat of mass atrocities and civilian casualties in Gaza, J Street should join leading Israeli and Palestinian civil society groups by immediately calling for a ceasefire and de-escalation and urging elected officials to do the same.


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Whistleblower: The World Bank Helped Cover Up Child Sex Abuse at a Chain of For-Profit Schools It Funded

For Shannon May and her husband Jay Kimmelman, the conference call scheduled with the World Bank on September 12, 2020, was make or break. It had been just over 10 years since the Harvard graduates had launched Bridge International Academies, a chain of for-profit schools that had exploded in Africa and South Asia. With the backing of Silicon Valley’s elite and the support of international financial institutions like the World Bank, the founders were now in negotiations to raise fresh capital that would allow them to move into several new countries. 

Rapid expansion was essential to the company’s business model. Bridge had figured out a way to slash the biggest cost drivers of a school budget — teachers’ salaries and traditional school houses — but the business was a low-margin enterprise that couldn’t slow down. The company was aiming for 10 million pupils, and it wasn’t as unreachable as it sounded: Bridge had already taught more than 1 million kids, backed by the for-profit investment arms of some of the world’s most famous philanthropists, including Bill Gates and eBay and Intercept founder Pierre Omidyar. The Chan Zuckerberg Initiative provided Bridge with $10 million in seed funding; its previous round of financing, the so-called Series E, which closed in 2017.

Bridge was now raising its next round, Series F.  May and Kimmelman had a lot to lose: The couple had relocated from Cambridge to Kenya, and had done well enough to helicopter to their vacation home on the coast.

Just days before the call, in early September, May and Kimmelman had gotten bad news. In 2016, there had been a dozen or more cases of serial sexual assault at a Bridge school in Kenya. Several years later, at another Bridge location, a child on school grounds had been fatally electrocuted by a dangling live wire, while another had been badly injured. May and Kimmelman were already aware of the tragedies. Indeed, the company had internally documented many more cases of sexual abuse, but they had not been reported to the World Bank and stayed out of the local press. Now, a World Bank investigation threatened to bring them to light. 

In February 2020, an internal World Bank entity that independently reviews bank projects, called the Compliance Advisor Ombudsman, had sent an investigative team, led by veteran investigator Daniel Adler, to Nairobi to look into complaints filed by a local human rights organization about workers’ rights and health and safety issues at Bridge schools. The CAO team, while in Nairobi, learned of additional allegations from parents and community members, namely the serial assaults and the electrocution. Adler quickly filed a report recommending a deeper look and asked Bridge for more information.

Bridge spent several months gumming up the process, successfully negotiating a nondisclosure agreement with the World Bank that would make it difficult to publish in full any report that might be completed. The company also pressured the head of the CAO, Osvaldo Gratacós, to ease off. Gratacós was pushed out by the World Bank, but the effort ultimately backfired; before his tenure expired, he formally launched an investigation — known internally as a CAO compliance process — into the sex abuse allegations at Bridge in September 2020. May and Kimmelman were now meeting with the World Bank to discuss how to respond.

With the company actively soliciting Series F financing and close to securing a deal to expand in Rwanda, the timing couldn’t have been worse. So the group — which included William Sonneborn, the World Bank official who oversaw the investment in Bridge, and another World Bank staff member, Shannon Atkeson — hatched a plan to keep the allegations hidden. 

With Gratacós already on his way out, the next step was to “neutralize Adler,” the CAO’s lead investigator. Bridge would file a complaint with a World Bank ethics office accusing Adler of violating CAO procedures and of impersonating a Bridge employee. It was right out of the Bridge playbook: The company had previously done the same to a Canadian graduate student writing a report on its schools in Uganda, going so far as to craft a bogus “Wanted” poster and place it in local newspapers. (A subsequent complaint Bridge filed with his university was dismissed.)

Next, Bridge would publish a consultant report favorably comparing its own record on student safety to that of Kenyan public schools — something to point to if the news leaked. The main objective, though, was to keep it quiet for as long as possible. The revelations would “spook investors” and undermine Bridge’s expansion plans in Rwanda. “Time matters,” as one person on the call put it. “Need to delay until Series F.”

There was only one problem: Someone on the call was taking notes.

“Time matters … The performance standards don’t address [child sexual abuse] … Need to delay until Series F.” Notes taken during a Bridge International Academies and World Bank meeting on Sept. 12, 2020.

Photo: Obtained by The Intercept

Earlier this year, The Intercept published an investigation into Bridge International Academies, exposing the serial assaults and the electrocution, along with concerns from parents, teachers, and local civil society groups that there had been little accountability. Bridge responded furiously, citing the flattering consultant report discussed on the 2020 call.

New documents and interviews expose a plan between Bridge and the World Bank to undermine the internal investigation into the scandals that was far greater than previously known. May and Kimmelman schemed with the World Bank to draft a far-reaching nondisclosure agreement that would limit the World Bank’s ability to speak publicly about what it knew. And, following the meeting, the World Bank flagrantly retaliated against the investigator who initially uncovered the allegations and pushed for accountability in the face of institutional pressure. 

The documents were provided to The Intercept by civil society representatives and a U.S. government source. They include notes, contracts, a whistleblower complaint and supporting documents later filed by Adler to a World Bank’s ethics office, and a draft of the long-delayed CAO investigative report finding serious deficiencies in the way the World Bank and Bridge protected children from sex abuse and gender-based violence in its schools. That report remains unpublished more than three years after the probe was launched.

Members of Congress are now pressing for answers. On October 10, Sens. Elizabeth Warren, D-Mass., who serves on the Banking Committee, and Peter Welch, D-Vt., sent a letter to Treasury Secretary Janet Yellen and World Bank President Ajay Banga, laying out a list of questions for the Bank about the Bridge investigation. “We are also aware of allegations that World Bank Group management may have colluded with the project owner, Bridge International Academies (“Bridge”), to obstruct and delay the CAO investigation,” the letter warns. Without naming Adler specifically, but making a clear reference to him, it goes on to warn the Bank against retaliating against staff who blew the whistle, asking what the Treasury Department and Bank would do so that “World Bank Group staff who have raised concerns about these issues are recognized as having whistleblower status under the Staff Rules and will be protected from retaliation by their employer.”

The documents and interviews offer a rare glimpse into the kind of internal institutional machinations that often remain concealed from public view. And they reflect a broader trend in the world of international development finance. In the mid-to-late 1990s and early 2000s, the antiglobalization movement — a coalition of trade unions, environmentalists, and representatives of the Global South — regularly protested gatherings of the World Bank, International Monetary Fund, and World Trade Organization. Under pressure, the institutions created internal accountability mechanisms that interact with external civil society organizations and member countries. The CAO, created in 1999, was the World Bank’s version. Today, civil society organizations are warning, those guardrails are all being taken down, with independent investigators under siege. 

Inside the World Bank, the fight with the CAO kicked off after Adler’s February 2020 discovery in Nairobi. Typically, the CAO only launches an investigation when it receives a formal complaint. In this case, Adler had uncovered the allegations of abuse on his own. But when he returned from Kenya, Gratacós told him he’d been authorized to offer a “very generous package” if Adler would take his investigative curiosity elsewhere.

Adler, according to the internal complaint he filed to a World Bank ethics office in September 2022, had previously been warned that Bank management considered his investigations into their work too probing — and he had clearly attracted their attention again. Adler declined, leaving Gratacós with a decision on how to proceed. Gratacós stood his ground, defending the integrity of the CAO. Gratacós made the International Finance Corporation (the World Bank’s finance arm) aware of the new allegations, asking for as much information as could be provided, and moved forward with an investigation. Reached by phone, Gratacós, who is now working as a realtor in northern Virginia, declined to comment. World Bank sources told The Intercept that his departure included a strict NDA.

But the World Bank quickly moved to hobble the ability of its investigative unit to make public whatever it found. Chris Stephens, vice president and general counsel at the IFC, and Sonneborn, the senior director for disruptive technologies and funds, began negotiating a confidentiality agreement between the company and IFC, which covered the CAO’s investigation, according to emails reviewed by The Intercept.

The World Bank quickly moved to hobble the ability of its investigative unit to make public whatever it found.

Gratacós, in emails with the IFC, made clear that he did not want the CAO bound by any new nondisclosure agreement. Such confidentiality agreements are routinely used to thwart investigations and accountability; adding a new one after a probe had been launched would undermine the investigation, he reasoned. 

Then on July 2, Sonneborn emailed Gratacós triumphantly: “It has been a battle, but we finalized an agreement with Bridge — we now have access to everything. Want to make sure you and your team are aware of the final agreement.” 

The World Bank framed the agreement as a win for the investigation, but it was anything but. The NDA was as startling as it was sweeping. Bridge agreed to give investigators access to company records but won an agreement that the IFC and CAO could not disclose almost any of that information. The IFC went so far as to agree that “all information derived from information provided” could also be covered by the new NDA, making it extremely difficult, bordering on impossible, for the ombudsman to produce any sort of public report.

Gratacós pushed back, but the agreement had already been signed. “The NDA was reached without CAO’s agreement or participation,” a spokesperson for the CAO confirmed to The Intercept. “While the NDA affirmed CAO’s access to client information, it included commitments from IFC that CAO would not disclose information that the client asserts to be confidential. … Obtaining access to client documentation was challenging due to the requirement to access client documents via a secure room. However, this has not impacted CAO’s ability to thoroughly carry out its investigation since we were able to access all necessary information from other sources.” 

In September 2020, Gratacós formally initiated what’s known as a compliance appraisal. It was one of the final acts of his six-year tenure at the World Bank, which had unexpectedly not renewed his contract earlier that year, amid tensions over his pursuit of the Bridge investigation and other probes into Bank investments. 

Civil society organizations slammed the CAO for his removal. “In 2020 CAO Vice President Gratacós’s contract was not renewed by the President of the World Bank after he resisted intense pressure to compromise the independence of the office from management,” a coalition of NGOs wrote in a letter defending the integrity of internal investigators broadly. Former IFC general counsel Ethiopis Tafara told Gratacós he “could have saved his job” if he had removed Adler from his, Gratacós told Adler, according to Adler’s complaint. A second World Bank source confirmed having heard the same claim directly from Gratacós. 

Bridge, true to its discussion on September 12, 2020, filed a complaint against Adler that day. The Bank’s internal ethics department investigated and dismissed the complaint. 

Notes from the 2020 call between Bridge and World Bank outlining a plan. The text in the image reads, “File complaint against Daniel [Adler].  …  U.S. negotiated to let [David] Malpass fire him, leaving Dec. 15th. Neutralize Adler.”

Photo: Obtained by The Intercept

Later that month, roughly a week after the call between Bridge and World Bank officials, an applicant for Gratacós’s soon-to-be-vacant position sat down for an interview with top bank executives. After the routine questions about his background and approach to work, the interviewers asked one that caught him off guard: If he was the manager of an investigator who seemed too aggressive when probing IFC investments, how would he handle that person? The world of global development finance is small enough that the interviewee had no problem reading between the lines. “It was clear they were referring to Daniel [Adler],” the applicant told The Intercept, asking to speak anonymously so as not to jeopardize work he does in the field. He relayed the conversation to Adler, who included it in his official complaint. The applicant did not get the job.

That honor went instead to Janine Ferretti. Her appointment raised alarms on both Capitol Hill and in the civil society community that interfaces with the CAO, because instead of an investigative background, she had spent her career in bank management. She was quickly read in on the problem of Daniel Adler. She told Gratacós that World Bank management had let her know that Adler “was a problem and should be removed.” Gratacós relayed that conversation to Adler, who memorialized it in his complaint.

The conspiring would have remained in the stage of paranoid rumor had the notes from the critical September 12 call not fallen into the hands of the CAO. After the meeting, World Bank staffer Shannon Atkeson filed the notes internally. The notes are not always clear on who is doing the talking, though in some portions, initials are attached to particular comments. Efforts to reach Sonneborn, Atkeson (who has since left her post at the World Bank), May, and Kimmelman for clarification were unsuccessful. When the CAO asked bank officials to turn over all documents related to the Bridge investment, those notes wound up with investigators, and eventually into the hands of the U.S. government.

NAIROBI, KENYA - MARCH 11, 2023:  The entrance of Bridge International Academies in Mukuru Kwa Njenga slum in Nairobi, Kenya. The for-profit education enterprise operates a network of low-cost schools in several African countries, including Kenya, focusing on providing affordable education to impoverished children. PHOTO BY BRIAN OTIENO for The Intercept

Girls at the entrance to the Bridge International Academies in Nairobi, Kenya, on March 11, 2023.

Photo: Brian Otieno for The Intercept

Most major institutions have internal rules that at least purport to protect whistleblowers from retaliation. The World Bank is no different. In a standard bureaucracy, an institution’s leadership instead seizes upon a pretext to circumvent those protections. In the case of the Bridge investigation, however, the bank dispensed with such formalities. 

In March, a spokesperson for the CAO told The Intercept that the long-delayed report on the World Bank’s Bridge investment would be completed by fall 2023. Adler filed his complaint regarding Bank interference in the investigation in September 2022. In early August of this year, Adler was placed on administrative leave, his draft report still unpublished. 

“CAO has removed the former head of the compliance unit — who worked on the Bridge case — and advised staff that he is on leave until further notice, without providing further information,” reads an open letter that a coalition of more than 20 civil society organizations sent to the CAO and similar internal investigative bodies on October 2. “This is amidst reports that CAO staff who raise concerns about the erosion of the office’s independence are marginalized and retaliated against.”

The Bank admitted in writing that Adler’s whistleblower complaint was a factor in the decision to place him on leave, according to two Bank staffers with knowledge of the situation. Adler declined to comment, saying that he had been instructed not to discuss any CAO matters while on leave.

The day after Adler was placed on leave, the CAO finalized and circulated a revised draft of the Bridge report, which the Bank may never publish in full due to the nondisclosure agreement. On October 3, the report was sent privately to the World Bank board for review. 

The coalition letter also referenced the controversial NDA and the failure to renew Gratacós’s contract amid broader complaints about the hiring of management-side personnel to staff an ostensibly independent bureau. “The personnel changes at CAO have occurred as the Office of the General Counsel has stepped up its interference, most notably through the approval of a non-disclosure agreement that impedes CAO’s ability to disclose a forthcoming investigation of child sexual abuse in an IFC project in Kenya,” the letter reads.

“Ferretti understood the assignment: Rein in the CAO.”

World Bank and CAO staff take a similar view. “It took a while to get investigated,” said a CAO source who is familiar with the Bridge case. “There is a lot of interference from the Bank’s management,” they said, adding that the interference continues to this day. A World Bank staffer familiar with the case agreed, saying that Ferretti, the CAO head, invited further meddling. “Ferretti understood the assignment: Rein in the CAO,” the staffer said. “She wants to work more closely with management, but she doesn’t appreciate the value of independence for the credibility of the Bank.”

One of the signatories to the letter was Inclusive Development International, a civil society organization that advocates for communities impacted by corporate projects. The group’s executive director, David Pred, separately wrote to Treasury Department officials in late September, urging them to have the World Bank board investigate how the NDA came about.

“It is inexplicable why the IFC’s Office of General Counsel would approve an NDA with a client that binds the CAO, in the middle of a compliance investigation,” he wrote in an email to senior officials. “This doesn’t just expose IFC to the risk of litigation but invites it, unless of course the intention of the NDA was to obstruct disclosure of the CAO investigation, and protect its client and itself by covering up the details of their complicity in a child abuse scandal.” 

“This smacks of a child sexual abuse cover-up at the highest levels of the World Bank.”

The NDA, he wrote, grossly infringed on CAO’s independence. “The Board should demand a full investigation into who authorized this agreement and why it was done and they should be held accountable.” Pred confirmed to The Intercept that he sent the email, adding that the NDA coupled with the retaliation against Adler were deeply disturbing. “This smacks of a child sexual abuse cover-up at the highest levels of the World Bank,” he said. “Why else would the IFC’s General Counsel approve an NDA with a client under investigation that binds the ostensibly independent office that is carrying out the investigation?”

In a statement to The Intercept, a CAO spokesperson used more diplomatic terms, but similarly objected to the Bank’s NDA. “IFC should not make contractual confidentiality commitments that limit CAO’s ability to disclose information as allowed by the CAO Policy,” the spokesperson said. 

The draft CAO report — which was subsequently leaked to civil society sources who shared it with The Intercept — shows a company aware of a string of child sex abuse allegations, and a Bank that routinely gave them a pass.

CAO’s 82-page draft report shows that the World Bank was aware of a child sex abuse case at a Bridge school as early as 2013, citing analysis from a Kenyan law firm that the World Bank commissioned before investing in Bridge. The law firm noted that a recent conviction of a Bridge employee for sexual violence “would prejudice the associated entity’s ability to obtain registration under Kenya’s Basic Education Act 2013.” That, of course, would be a problem, and Bridge set about remedying the situation — by hiring an attorney who got the conviction overturned on appeal, according to the report. 

The Intercept previously reported on the horrifying case, which involved an allegation of a Bridge teacher slashing a student’s scrotum. Bridge at the time responded by noting that the conviction had been overturned on appeal. The judge ruled that the child’s testimony was insufficient because he was a child. What Bridge did not disclose, but what the new report shows, is that Bridge paid for the teacher’s legal defense. 

In December 2019, the World Bank was made aware of a three-year randomized control trial by the Center for Global Development that compared schools in the Liberian “LEAP” program — which prominently included Bridge schools — with other government schools. It found that nearly 4 percent of LEAP students surveyed in 2019 reported “sexual intercourse with a teacher” and 7.5 percent had “some form of sexual contact with a teacher.” The Bank “expressed concerns … about the findings to project leadership and also raised the findings with Bridge,” the report finds. “However, CAO found no evidence of follow-up action by IFC in response to the concerns.”

The report further found that Bridge itself was aware of at least 21 cases of child sex abuse that had been deemed credible. “Despite these significant warning flags, CAO found no IFC project supervision documentation issued prior to February 2020 that addresses any incidents, risks, or concerns related to [child sex abuse] or [gender-based violence] against children,” the draft report found. Bridge consistently argued to the Bank that child sex abuse did not fall under the Bank’s oversight, and the Bank just as often acceded to that logic. The CAO report rejects the claim out of hand.

Bridge, the report found, even expected survivors or their families to cover their own medical costs stemming from the abuse. The report encouraged the World Bank to create a restitution fund to compensate victims for the harm done to them.

The IFC, in a statement, claimed it was implementing reforms in response to the sexual assault cases. “Since 2020, a global specialist in gender-based violence has worked with us to strengthen protections for vulnerable children and women in our projects and to educate IFC staff in how to identify and respond to instances of sexual abuse,” the spokesperson said in a statement. “We plan to hire additional specialists to focus on specific regions where we know the risks of gender-based violence to be high. In addition to our efforts to address gender-based violence in projects, we are also looking at measures to strengthen the capacity of the private sector to address this important issue more systematically. As an institution that is focused on fighting poverty and enabling people to improve their lives, we are deeply concerned about the allegations, and we are committed to working with our clients to strengthen preventive and response measures against such unfortunate incidents.” As The Intercept previously reported, the IFC quietly divested from Bridge in 2020, though maintains an indirect holding in the company through an education investment fund.

Bridge, meanwhile, declined to engage with the allegations raised in this article. “Bridge has previously provided The Intercept with a comprehensive amount of material on safeguarding,” said a Bridge spokesperson. “These allegations are clearly false as is evidenced within the extensive and detailed responses — including the publically [sic] available 2020 Tunza report — shared with The Intercept in March 2023.” The spokesperson declined to specify which allegations she was referring to.

Emily’s complaint to the Compliance Advisor Ombudsman.

Photo: Ryan Grim/The Intercept

Over the summer, former students who were sexually assaulted by a teacher at the Bridge school in Kenya began filing their own complaints with the CAO, alleging that the school had failed to take action regarding the abuse. Several survivors from the school, now in their late teens, came forward to tell their stories. The Intercept is concealing their real names to protect their privacy.

While each of them was abused in a slightly different way, the overarching details of their experiences aligned. They were preyed upon in the hours before or after school; they were taken to empty classrooms or offices; they were ordered not to tell a soul about what had happened. Their accounts paint a harrowing picture of systemic failure to protect children from a sexual predator and to get justice for the survivors. 

As The Intercept previously reported, after the teacher was exposed by a student, he was confronted by the other teachers but then disappeared after a conversation with the school’s manager.

“Bridge didn’t do anything; it was just the teachers [helping us]. The Bridge part of it, they didn’t follow up anything, because when we came back from the hospital, we got back to our homes, and then the next week it was just normal as if nothing happened,” said Susan, who has since graduated high school and is studying to become a beautician. “All of a sudden [the perpetrator] disappeared. We felt bad, actually, because he wasn’t caught after doing all that.” (In response to our previous story, Bridge said that it partnered with local institutions to provide counseling. The academy manager was fired.) 

The impacts of the assault are long lasting. “It made me lose trust in any man,” said Nancy, another survivor who hopes to join an electrical engineering training college in January. 

Emily, who is now 18 years old, grew up in the countryside with her grandmother, where she learned at school in her tribal language. When she was around 12, she moved to a tough informal settlement in Nairobi to stay with her father and enrolled in Bridge, where she began to study in English. The other students made fun of her rural accent, and Emily said she was a lonely and timid student.

Her teacher would call her into an empty classroom, touch her private parts, and force her to touch him. “He pulled me in between his legs. I was like, ‘What’s wrong with this?’” she recalled. “I tried to pull back. I cannot tell anybody, because I feel like I’m not worthy.” 

She is devastated that he has not been held accountable for his crimes against her and her friends. “This is a person who took advantage of us,” she said. 

In her formal complaint to the CAO, Emily wrote of her frustration and disappointment that Bridge failed to protect her both before and even after the sexual assault took place. “I wish to lodge a complaint with you following the incident which took place at my former school (Bridge Kwa Ruben) in 2014 and 2016 through one of the teachers [name redacted]. Nothing was done by the administration even after it was confirmed that I and the other girls were sexually abused and harassed. I am looking forward for justice to prevail and action be taken against them,” reads her handwritten note from June 16, 2023. 

After the former students sent their complaints to the CAO, the office scheduled video conferencing interviews with each of them, according to a Nairobi source with knowledge of the situation. World Bank rules mandate that the CAO must decide whether to accept a complaint within seven weeks. More than three months passed, and the girls remained in limbo until The Intercept contacted the CAO for comment. “CAO is finalizing the eligibility process for 4 new complaints regarding Bridge which raise sexual assault allegations,” a CAO spokesperson said. In mid-October, one of the girls was approached by CAO to set up a new video call to explain how she could move forward with her complaint and she has decided to work through the CAO to seek justice.

The CAO, in its draft report, revealed a detail that underscores the failure of Bridge and the World Bank to protect children in its care. After learning of Adler’s February 2020 trip to Nairobi, Bridge, perhaps erroneously, gave a World Bank official access to a list the company had compiled of roughly 70 known cases of child sexual abuse, the official later told the CAO during its investigation. 

The bank official, according to the report, destroyed the document, thinking they were not supposed to have access to it. The banker subsequently asked Bridge to share it more broadly with other officials at the Bank who ought to have access. 

Bridge never did so, and the Bank took no further action.

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Hamas Is Dragging Israel Toward the Abyss

The surprise attack by Hamas militants against Israel last Saturday now looks set to trigger a war potentially more destructive than any that the region has seen in years. Reeling from a series of armed assaults by the militant group that are believed to have killed around 1,300 Israelis, including many civilians, Israel’s newly formed unity government said that it is preparing for a decisive battle in the Gaza Strip.

Israeli leaders have now vowed to “wipe out this thing called Hamas” and end its existence as a military and political entity in Gaza. The Israeli government has issued warnings of an imminent ground invasion, telling 1.1 million Gazans to evacuate the northern part of the territory which includes Gaza City.

“Israel does not have an endgame in Gaza.”

The fate of Hamas may well be sealed, but that outcome will place Israel in a very dire situation as well, one that it has long sought to avoid. By forcing it to fight a grueling battle and then maintain a presence in the Gaza Strip, Israel will have to serve as an occupying power on the ground, ruling directly over millions of Palestinians in Gaza. It will prove extremely difficult, if not impossible, for the Israeli military, already gravely stretched to defend its borders while controlling the lives of millions under military occupation in the West Bank, to maintain such a grip on Gaza.

While Israel’s overwhelming capabilities will likely succeed militarily against Hamas, strategically the assault looks likely to inflict grave damage on Israel. With its forces stretched, Israel’s hold on security could become more tenuous, including in sensitive areas of the West Bank and Jerusalem, home to holy sites from three major world religions. A bloody quagmire could quickly dispel the good will extended to Israel and rally international opinion against it.

“Hamas must have calculated that militarily they cannot win this battle, even if they find a way to survive in some form, but in the end Israel does not have an endgame in Gaza,” said Joost Hiltermann, the Middle East and North Africa program director at Crisis Group. “Either Israel leaves Hamas in place to govern Gaza, brings in the Palestinian Authority, which is weak and likely incapable, or they will have to do it themselves. A new occupation is the last thing that Israel wants. They want the West Bank, not Gaza.”

“People say now that there is nowhere for Hamas to go, and that this is the end of Hamas,” he said. “But it is Israel that is going to be stuck in Gaza.”

Gaza is home to 2 million people who have been governed by Hamas and have lived the past decade and a half under an Israeli blockade. While Hamas is an enemy, this situation served Israel well. Hamas rule over Gaza has politically divided the Palestinian national movement, while giving Israel a pretext to keep Gazans boxed in and isolated from the rest of the world. The picture has been so favorable that Benjamin Netanyahu, then the prime minister and now again in office, was quoted as saying in a 2019 meeting of his right-wing Likud party, “Those who want to thwart the establishment of a Palestinian state should support the strengthening of Hamas and the transfer of money to Hamas.”

That sordid arrangement now seems to be at its end. The day after this war ends, Israel will find itself in the position of being responsible for ruling the Gaza Strip. Compounded with the ever-more-shaky military rule of 3 million Palestinian in the West Bank, that responsibility may prove difficult or even disastrous for Israeli security forces. The redeployment of Israel Defense Force resources away from Gaza to protect radical settlers in the West Bank is already being blamed by many Israelis for the terrifying events that the country witnessed last week.

Expulsion

Some Israeli officials dream of simply expelling the population of Gaza, but that outcome is unlikely. Recent attempts to broker the creation of so-called humanitarian corridors to Egypt for Gazans to flee the conflict have been rejected by the Egyptian government, who have called for Palestinians to “remain on their land.” While the corridors have been described as an act of generosity to civilians, such measures are suspected by many Palestinians, as well as others in the region, of being a means of liquidating a future Palestinian state by pressuring the population to leave their homes with no prospect of return.

“We need to understand what the Israeli government is preparing right now in the context of ethnic cleansing.”

“There are millions of civilians in Gaza and no one can hold them responsible for seeking safety,” said Tareq Baconi, the board president of the think tank Al-Shabaka, the Palestinian Policy Network. “But on all dimensions, we can see that the creation of humanitarian corridors is intended to serve as a means of ensuring expulsion.”

Roughly 70 percent of the Gaza’s population consists of refugees previously displaced from other parts of what is now the state of Israel. For Palestinians, who are now a refugee diaspora of millions spread in countries around the region and the world, the prospect of being expelled once more from the tiny strip of territory that they still hold in their historic homeland is an unappealing one.

Baconi said, “We have seen many times before what happens to Palestinians when they are expelled from their homes. We need to understand what the Israeli government is preparing right now in the context of ethnic cleansing.”

A ground operation to destroy Hamas will be likely to grind on for months, inflicting a significant death toll on the civilian population in the process. Nearly half of Gaza’s population are children, who were born under the Israeli blockade and have mostly never left the territory in their lives. As scenes of dead and wounded Palestinian civilians start to overtake those of Israelis killed in Hamas’s massacres, public and international pressure may begin to turn support away from the Israeli assault.

“When a war like this begins and casualties start to mount, there is always the question of what level support can be maintained domestically. Israel doesn’t have to worry as much in this instance because the scale of the Hamas attack was so shocking to Israelis that even the more dovish ones will not object to such a conflict,” said Rajan Menon, director of the Grand Strategy program at the D.C.-based think tank Defense Priorities. “But it could take weeks and months of fighting in a very dense urban area controlled by an armed group that has anticipated this attack and is ready to make you bleed as they go down. It could take a very, very long time.”

“Israel may turn Gaza into rubble, but it would create a humanitarian catastrophe of the first magnitude.”

“No Exit”

As soon as Hamas militants broke through the security barrier around Gaza and began to attack communities in southern Israel, gory footage of killings and abduction of Israeli civilians began to emerge on social media. These accounts appear to have been mostly recorded and shared by the fighters themselves, or by Israelis who were trapped in the areas under attack.

The grainy cellphone videos of atrocities were a stark contrast to what is being shared on official Hamas channels. On its Telegram account, Hamas has continued to share a sanitized narrative of the attack that depicts it as a professional military operation largely targeting Israeli security forces.

In response to public outcry over the massacres in Israeli communities near Gaza, Hamas leaders have pivoted between denying that any civilians at all were killed in the assault and blaming the killings on other militants based in Gaza whose fighters they claim exploited the chaos to carry out freelance operations on their own.

“This is the conundrum that Israel faces: It never wanted to do this, but Hamas is forcing it.”

The miscalculations and errors that lay behind the assault may have gone even deeper.

A diplomatic source in the region, speaking to the Middle East-focused publication Al-Monitor, claimed that Hamas itself was stunned by the scale and ferocity of the violence that it had unleashed. “They hoped to kill some Israelis, embarrass the IDF and return to Gaza with two or three kidnapped Israelis,” said the source. “Instead, they roamed inside Israel for more than a day, killing over a thousand Israelis and getting stuck with something like 200 abductees.”

As they described it, instead of gaining leverage with Israel to win demands to build a port in Gaza and free Hamas prisoners in Israeli jail, the group now feared that because of what had transpired it would have to contend with fighting the entire Israeli military in Gaza.

This war, now in its early phases, will likely result in the destruction of Hamas military infrastructure and its leadership inside Gaza. In addition to 1,300 Israeli civilian and military deaths, thousands more Palestinian civilians are likely to die in the fighting ahead.

Whether it intended or not, Hamas’s shocking actions, by forcing Israel to become an occupying power over the Gaza Strip once again, may wind up as a Pyrrhic victory. With Hamas on its way into the abyss, it appears to be dragging Israel down with it.

“This is the conundrum that Israel faces: It never wanted to do this, but Hamas is forcing it,” said Hiltermann. “Israel feels that they have to respond to Hamas and re-establish dominance after what has happened, but they have entered into a situation where there is no exit.”

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13 House Democrats Call for Immediate Ceasefire in Gaza

On Monday, 13 Democrats in the House of Representatives, led by Reps. Cori Bush of Missouri, Rashida Tlaib of Michigan, André Carson of Indiana, Summer Lee of Pennsylvania, and Delia Ramirez of Illinois, introduced a resolution urging the Biden administration to call for an “immediate deescalation and cease-fire in Israel and occupied Palestine” and to send humanitarian aid to Gaza.

“They are running out of body bags,” Tlaib said through tears in a press conference Monday. “We all know collective punishment of Palestinians is a war crime. The answer to war crimes can never be more war crimes.” It is a disgrace, Tlaib added, that Secretary of State Antony Blinken and the majority of Congress have not even mentioned the possibility of a ceasefire. 

The resolution comes after two earlier efforts in the House both fell short of calling for an end to violence. The first — a bipartisan resolution led by Reps. Michael McCaul, R-Texas, and Gregory Meeks, D-N.Y., and supported by over 420 members of Congress — did not even mention Palestinian civilians. As of Monday, the Palestinian Ministry of Health in Gaza reports that at least 2,808 Palestinians have been killed, while 10,859 have been wounded.

The second, a letter led by Reps. Pramila Jayapal, D-Wash., and Mark Pocan, D-Wis., urged Biden to push for access to food and water in Gaza and ensure Israel follows international law but similarly fell short of calling for a ceasefire. Sources said the letter excluded that language because doing so would have reduced the number of signers from 55 to a dozen or fewer.

The “pro-peace, pro-Israel” J Street threatened to withhold endorsements from members who refused to sign onto the McCaul–Meeks resolution. J Street was once considered an alternative group to support progressive members who did not agree with hard-line and unconditional stances of pro-Israel support like the American Israel Public Affairs Committee or Democratic Majority for Israel. As The Intercept reported, J Street’s stance on the ongoing war has frustrated both former and current staffers who said its mission has been compromised. 

“What we are hearing from Dems right now is even worse than the typical anti-Palestinian narrative we always hear from the government. Israeli officials have openly admitted to genocidal intent, and Democrats are deliberately silent,” said one Democratic staffer who requested anonymity to speak freely. “They are willing accomplices to what is happening and what will happen in the coming days. Those of us staffers who have Palestinian family — or are Palestinians themselves — are totally abandoned and isolated here.” 

Below are the 13 representatives who support an immediate deescalation and ceasefire as of Monday afternoon:

Cori Bush
Rashida Tlaib
André Carson
Summer Lee
Delia Ramirez
Jamaal Bowman
Bonnie Watson Coleman
Jesus “Chuy” Garcia
Jonathan Jackson
Alexandria Ocasio-Cortez
Ilhan Omar
Ayanna Pressley
Nydia Velázquez

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DHS Intel Report on Cop City Protesters Cribbed Far-Right Activist Andy Ngo

A Department of Homeland Security agency’s intelligence report about the Atlanta protest movement “Stop Cop City” lifted a sentence nearly verbatim from an article published on a far-right news website a day earlier.

The December 16, 2022, report from the Cybersecurity and Infrastructure Security Agency’s Office for Bombing Prevention describes protesters opposed to razing a forest for a massive new police facility as “militants” comprising a “violent far-left occupation” — phrasings identical to an article written by right-wing provocateur Andy Ngo.

“Five militants, part of the violent far-left occupation, were arrested and charged with domestic terrorism and other felony charges,” said the CISA report, referring to protests against the construction of the police facility, dubbed “Cop City” by its opponents.

A day earlier, the Post Millennial, a conservative news outlet founded by Ngo that has faced criticism for its partisan bent and misleading stories on subjects like Covid-19, ran a story with the same sentence, with small cosmetic changes. “Five militants part of a violent far-left occupation in south Atlanta were arrested on Tuesday and charged with domestic terrorism and other felony charges,” Ngo’s original reads. (Neither CISA nor Ngo immediately responded to a request for comment.)

After publication of this story, DHS blocked public access to the intelligence report.



The DHS report came a month before one protester encamped at the proposed Cop City site was killed in a hail of police gunfire — a massive escalation in what has become an ongoing crackdown against the movement.

The term “militants” used by federal agents in December reflects the escalation: a catchall for targets of the U.S.’s so-called global war on terror, the buzzword not typically used to describe domestic actors. That it has filtered into DHS reporting on protest movements is reflective of the new focus on domestic terrorism, particularly after the January 6 attack on the U.S. Capitol.

In March, prosecutors began hitting anti-Cop City protesters with domestic terrorism charges for alleged attacks with rocks and Molotov cocktails. Since then, the trend of terror allegations has continued, ensnaring a growing group of actors in the movement, with more than 40 now facing terror charges. When administrators of a bail fund for protesters were charged with money laundering last week, Republican Georgia Gov. Brian Kemp said they had “facilitated and encouraged domestic terrorism.”

“The nature of the law enforcement response to the Stop Cop City protests, and the prosecutions of protesters and their supporters highlights how broad domestic terrorism laws are used as a political cudgel rather than a mechanism to improve public safety,” Mike German, a former FBI special agent and fellow with the Brennan Center for Justice, told The Intercept.

The CISA report was posted to the Technical Resource for Incident Prevention, or TRIPwire, a resource sharing portal for “expert intelligence analysis” in order to raise “awareness of evolving Improvised Explosive Device (IED) tactics,” according to its website. In March, activists involved in the movement were accused of using Molotov cocktails — which are not listed in a DHS document defining the term — but there does not appear to be any record of IED allegations before the December CISA report.

On Monday, Atlanta City Council will vote on the budget for the Atlanta Public Safety Training Center, the law enforcement training facility at the center of the controversy. The facility is expected to take up over 85 acres, replete with a mock city for “urban police training.” Cop City, expected to cost $90 million, was announced in 2021 by then-Atlanta Mayor Keisha Lance Bottoms. Since then, protesters have taken up camp in the forest where the facility would be built, in an effort to block its construction.

On March 5, following the alleged Molotov attack against police, Georgia authorities charged 23 protesters with domestic terrorism. The terror enhancement of the charges have prompted criticism from civil liberties groups.

“Unfortunately, we have seen law enforcement across the country treating environmental activists and racial justice protesters as terrorists, despite the lack of deadly violence associated with this activism,” said German.

The focus on domestic terrorism has been shared by leaders of both parties. In 2020, then-President Donald Trump vowed to designate “antifa” as a terrorist organization. President Joe Biden, in his first full day in office, directed his national security team to conduct a 100-day, comprehensive review of U.S. government efforts to address domestic terrorism — described by the White House as “the most urgent terrorism threat the United States faces today.”

Since then, charges against participants in the January 6 attack have caused domestic terror prosecutions to increase sharply.

“Unfortunately, we have seen law enforcement across the country treating environmental activists and racial justice protesters as terrorists, despite the lack of deadly violence associated with this activism.”

In 2022, House Democrats passed a bill, the Domestic Terrorism Prevention Act, which would have created new offices designed to focus on domestic terrorism specifically, in DHS, the FBI, and the Justice Department. By a vote of 47-47, Senate Republicans blocked the legislation.

The Atlanta protesters are being prosecuted under the same domestic terrorism law that was expanded after Dylann Roof murdered nine Black parishioners at a church in Charleston, South Carolina. While the law originally only applied to criminal acts intended to kill at least 10 people, the Georgia legislature expanded the law to include property crimes intending to intimidate or coerce the government — of which the Atlanta protesters stand accused.

As for the CISA report, though it cribbed Any Ngo, German said it made for a limited resource because of the complete lack of citations.

“This type of intelligence reporting is of dubious utility because it doesn’t contain enough detail for law enforcement to assess the credibility of the information provided so they can develop a proper response,” German told The Intercept. “It includes no citations so it doesn’t even provide an avenue for law enforcement to follow up for more information or link events to understand a larger pattern.”

German added, “There doesn’t appear to be any attempt to put these three events in context so police officials could determine whether the events are part of some larger issue of law enforcement concern.”

Update: June 6, 2023
This story has been updated to include a PDF version of the Cybersecurity and Infrastructure Security Agency intelligence report. After publication of this story, the Department of Homeland Security blocked access to the report in its public-facing document portal.


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Is Bluesky Billionaire-Proof?

For someone who hasn’t been on Twitter since it became a safe space for the far right under Elon Musk’s leadership, the new invite-only social media network Bluesky can feel like a nostalgic breath of fresh air. The vibes are great. A lot of old communities from Twitter that never quite made the jump to Mastodon — a harder-to-use federated social network — have shown up in Bluesky.

Like Mastodon, Bluesky is an open-source, decentralized social network. Unlike Mastodon, which is notoriously confusing for the uninitiated, it’s simple to get started on Bluesky. The user interface is clean and familiar to people accustomed to modern commercial apps. Bluesky embraces user control over their timelines, both in terms of algorithmic choice — the Mastodon project is hostile to algorithms — and customizable content moderation.

There are other fundamental differences between the two projects. While Mastodon is a scrappy nonprofit, Bluesky PBLLC is a for-profit startup. And while Mastodon is a vibrant network of thousands of independent social media that federate with each other, Bluesky’s “decentralization” is only in theory. So far there’s only one site that uses Bluesky’s decentralized AT Protocol, and that site is Bluesky Social.

It is mostly for these and related reasons that people on Mastodon get very defensive when Bluesky comes up. “Why are you helping oligarchs test their products? Are they paying you or do you do it out of sheer loyalty?” one stranger asked me when I posted about some of Bluesky’s creative moderation features that had recently dropped.

Amid the noise, though, there are genuine concerns about how Bluesky is operated and what the people behind it aim to do. It’s wise to remember that the company started off with $13 million of funding from pre-Musk Twitter, when Jack Dorsey, who is now at Bluesky, was CEO.

The history and the arrangement raise several questions: Who owns Bluesky PBLLC? What is the role of Dorsey, who famously tweeted about Musk’s purchase of Twitter that “Elon is the singular solution I trust”? What is Bluesky’s business model? What prevents another Elon Musk from buying Bluesky PBLLC and destroying it 10 years down the line? Many of the answers are out there — many even posted to Bluesky itself by its employees. Since Bluesky is still a private invite-only site, here are some of these answers for Bluesky skeptics to see.

Who Owns Bluesky?

“Bluesky, the company, is a Public Benefit LLC. It is owned by Jay Graber and the Bluesky team,” according to the site’s Frequently Asked Questions page. This is exactly what Jeromy Johnson, a former engineer for the distributed file system IPFS and a technical adviser to Bluesky who goes by Whyrusleeping, said when asked in early April.

Bluesky technical advisor Jeremy Johnson’s post about who own’s Bluesky PBLLC

Bluesky technical adviser Jeromy Johnson’s post about who owns Bluesky PBLLC.

Screenshot: Micah Lee/The Intercept

One user — who like nearly everyone else on the site was psyched to be essentially tweeting but without having to deal with Twitter — inquired who owns Bluesky. Why said that “the founding team holds the equity” and that Dorsey himself is not an owner. (You can verify that Why is part of the Bluesky team because of how self-verifying handles work in the AT Protocol; only people who control the domain name bsky.team are able to have handles like that.)

When asked for clarification about Bluesky’s ownership, Emily Liu, another member of the Bluesky team, told me that Bluesky has been offering employees equity as part of their compensation packages, as is a common practice with startups. She also confirmed that Bluesky PBLLC’s board consists of Graber, Dorsey, and Jeremie Miller, inventor of the open and decentralized chat protocol Jabber.

For burgeoning Twitter skeptics, this should be good news: a much better arrangement than if it were owned by Dorsey or, worse yet, if it were a subsidiary of Twitter. The arrangement also explains why Bluesky PBLLC appears on Dun & Bradstreet’s list of minority and women-owned businesses: Jay Graber, Bluesky PBLLC’s CEO and primary owner, is a woman of color.

What About Twitter’s Role?

In December 2019, Dorsey, who was Twitter’s CEO at the time, announced that the company was funding Bluesky, which he described as “a small independent team of up to five open source architects, engineers, and designers to develop an open and decentralized standard for social media.”

This ultimately turned into the independent company Bluesky PBLLC, incorporated in late 2021, with $13 million in initial funding from Twitter.

Does Twitter, with Musk at the helm, have any power over Bluesky now? As is the habit of other Bluesky team members, Graber explained the situation on Bluesky. According to Graber, she “spent 6 mo of 2021 negotiating for bluesky to be built in an org independent from twitter, and boy was that the right decision.” In response to another question, Graber confirmed that Bluesky doesn’t “owe” Twitter anything.

Graber’s post explaining that Bluesky doesn’t owe Twitter anything.

Jay Graber’s post explaining that Bluesky doesn’t owe Twitter anything.

Screenshot: Micah Lee/The Intercept

Bluesky PBLLC is 100 percent independent from Twitter and Elon Musk.

What is a Public Benefit LLC?

In the name Bluesky PBLLC, PB stands for Public Benefit. PBLLCs are a relatively new type of corporation that’s designed for companies that want to promote a general or specific public benefit as opposed to just making a profit.

When whistleblower Chelsea Manning asked why Bluesky chose to incorporate as a PBLLC, Graber explained her reasoning.

Graber’s post explaining why her company chose a Public Benefit LLC

Jay Graber’s post explaining why Bluesky formed as a Public Benefit LLC.

Screenshot: Micah Lee/The Intercept

According to Graber, they chose PBLLC because it was fast to form and because “being Public Benefit means shareholders can’t sue us for pursing mission over profit.” The mission appears to be the design and promotion of the AT Protocol and its ecosystem of (eventually) other social networks that federate with Bluesky Social, along with the larger Bluesky developer community that has sprung up.

Liu, who answered some of my questions, did not respond when I asked for the exact language the Bluesky PBLLC used to describe its public benefit mission when incorporating the company. She also didn’t say whether the company would publish its annual benefits reports — reports that PBLLCs are required to create each year, but PBLLCs incorporated in Delaware, where Bluesky was incorporated, are not required to make them public.

In her email, Liu said, “We’re generally not taking interviews right now because we’re heads down on work.”

Bluesky’s Business Model

AT Protocol is open, and the code that powers Bluesky Social is open source. Yet Bluesky PBLLC is still a for-profit company. How do they plan to make money? “We’ll be publishing a blog post on our monetization plans in a few weeks, and we’ll share more then,” Liu told me.

In the meantime, the team has openly discussed hints of some of their potential plans on Bluesky. According to Why, advertising might play a role in the future.

Johnson’s post about if Bluesky will have ads

Jeromy Johnson’s post about if Bluesky will have ads.

Screenshot: Micah Lee/The Intercept

And Paul Frazee, an engineer who’s been livestreaming his Bluesky coding, hinted that the company may be considering some sort of paid subscription component. “[H]ypothetically speaking,” Frazee asked in a post, “if bluesky ever did a paid subscription thing, what would we call it.” Though Frazee was also quick to point out that he’s not as terrible at business as Musk is and wouldn’t use paid subscriptions to destroy the product — à la Twitter’s $8-a-month “verified” blue checkmarks.

Regardless of how Bluesky PBLLC eventually monetizes its product, if it gets its way, this monetization would only affect users of Bluesky Social. In the future, if you didn’t like the ads you were seeing in Bluesky, for example, the AT Protocol would allow you to take your account, including your handle, your followers, and all your posts, and move to a different social network you like better, so long as it also used the AT Protocol.

Resilient to Billionaires?

If we learned anything from Twitter over this last year, it’s that you can’t trust billionaires. By all accounts, the owners of Bluesky appear to be genuinely interested in remaking social media so that users have control instead of big tech companies like Twitter. But it’s possible that one day they could become seduced by obscene amounts of money to sell their shares of the company to an Elon Musk character who is hellbent on owning the libs. What would happen then?

Part of the problem with Twitter’s demise is that so many people have spent the last decade building up an audience there, making it very hard to finally pull the plug and start over from scratch somewhere else — even after several months of Musk’s policies have rapidly made the site more toxic and less useful at the same time.

The whole idea behind the AT Protocol, though, is that if you don’t like Bluesky Social for whatever reason, you can simply move to a rival social media site without losing your data or social graph. This is called “account portability,” and it’s baked into the core of the AT Protocol. It’s also a feature that Mastodon doesn’t support; it is possible to move your Mastodon account from one server to another and keep your followers, but only if your original server cooperates, and you’re willing to lose your old data.

So hypothetically, if a billionaire one day buys Bluesky PBLLC and ruins it, it won’t matter. Anyone who doesn’t like how Bluesky Social is run can simply switch to a rival service without losing their post history or their followers. When Musk took over Twitter and starting bringing back neo-Nazis and banning antifascists, imagine if you could have simply ported your account over to another social media site and then just kept tweeting like normal. That’s the promise of the AT Protocol.

Account portability is exactly how, once it begins to federate with other servers, Bluesky hopes to avoid the confusion that Mastodon is famous for. As Frazee explained, keeping Bluesky easy to use is a top priority.

Bluesky engineer Paul Frazee’s posts about emphasizing a good user experience

Bluesky engineer Paul Frazee’s posts about emphasizing a good user experience.

Screenshot: Micah Lee/The Intercept

Bluesky’s usability plan is simple: When you install the app and create an account, you’ll get an account on the default server, Bluesky Social (unless you already have a preference). Then, at any point after that, you can simply move your account to any other server that you prefer.

Of course, account portability is only possible if there are other AT Protocol sites to port your account to, and so far, Bluesky Social is the only one.

“Right now, Bluesky is the only option because we haven’t launched federation yet, but we’ll be starting with a sandbox environment for federation soon,” Liu told me, mentioning a recent blog post that gives an overview of how it will work. “Other companies are working on Bluesky and atproto integrations already, and when the federation sandbox launches, we’ll work with community developers and external teams to build more on the AT Protocol.”

It’s too early to tell whether Bluesky will succeed, but if it works out the way the team hopes, social media users will have far more power and tech companies — and the billionaires who own them — will have far less.


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Dissent Episode Two: Judicial Adventurism

The North Carolina Supreme Court rejected a partisan gerrymandered congressional map drawn to heavily favor Republicans last year. The map violated the state’s constitution. The North Carolina legislature is now arguing before the U.S. Supreme Court whether the state legislature has the authority to override the court and ignore its own constitution. The case, Moore v. Harper, raises the prospect of the independent state legislature theory — a fringe theory that, if the Supreme Court rules in favor of, would give state legislatures unfettered authority, remove checks and balances, and undermine future elections. In the second episode of Dissent, host Jordan Smith and Elizabeth Wydra of the Constitutional Accountability Center closely examine oral arguments and unpack how a favorable or even a middle-ground ruling would radically change elections.

[Remixed Intercepted theme music.]

JS: I’m Jordan Smith, a senior reporter for The Intercept. Welcome to Dissent, an Intercepted miniseries about the Supreme Court.

Neal Kumar Katyal: There are three Federalist Papers on the Elections Clause. Not a word, anything like this. What he would do is gut the ordinary —

Ketanji Brown Jackson: So -—

NKK: — checks and balances.

KBJ: And so, to me, it’s not so much the sort of troubling worry of we have the state legislature violating federal constitutional law because we as the Supreme Court and other courts in the federal system can look at that because it’s a question of did they violate the federal Constitution. Here, he’s saying — no, we do have to comply with the federal Constitution; what we can violate is the state constitution. And what I don’t — I can’t wrap my mind around that argument.

NKK: I can’t either, Your Honor. In — [fades out].

JS: Listening to the Moore v. Harper oral arguments about this notion of an independent state legislature, I — like Justice Ketanji Brown Jackson and former acting U.S. solicitor general Neal Katyal — could not wrap my mind around the logic of the case. 

As U.S. Solicitor General Elizabeth Prelogar also argued, the theory before the Supreme Court would “sow chaos” in state and federal elections.  

Elizabeth B. Prelogar: Throughout our nation’s history, state legislatures enacting election laws have operated within the bounds of their state constitutions enforced by state judicial review. This practice dates from the Articles of Confederation, and the Framers carried it forward by using parallel language in the Elections Clause to assign state legislatures a duty to make laws. Text, long-standing practice, and precedent show that the Elections Clause did not displace this ordinary check on state law-making.

Petitioners’ contrary theory rejects all of this history and would wreak havoc in the administration of elections across the nation.

Their theory would invalidate constitutional provisions in every single state, many tracing back to the founding.

JS: The basic idea behind this so-called theory is that the Constitution’s Election Clause gives to state legislatures — and only state legislatures — the power to set conditions for holding elections for federal office — like the House of Representatives. And that, essentially, no one — and definitely not a state supreme court — can really stop them from doing whatever they want, like restricting voting by mail or decreasing the number of polling places, or by shamelessly gerrymandering an election map.

To break down this case and its far-reaching implications, I’m joined by Elizabeth Wydra. She’s the president of the Constitutional Accountability Center, a think tank, law firm, and action center dedicated to fulfilling the progressive promise of the Constitution’s text and history. 

Throughout her tenure, she has filed more than 200 briefs on behalf of the center and so many others – including preeminent constitutional scholars and historians; state and local government organizations; and other groups, like AARP and the League of Women Voters.

Elizabeth, welcome to Dissent.  

Elizabeth Wydra: Thank you so much for having me. I’m thrilled to be with you.

JS: OK — to start, can you give us a little background on the case, tell us who the parties are, how it landed at the court? And what is the theory that the North Carolina legislators are presenting?  

EW: Yes. Absolutely. 

So there is a very important case at the Supreme Court this term called Moore v. Harper, and it comes from an extreme partisan gerrymander in North Carolina for the North Carolina state elections. A lot of people, I’m sure, are familiar with the idea of a gerrymander, but the way it worked out, in this case, was: Let’s say there was pretty much an evenly split popular vote in the state of North Carolina, under this extreme, partisan, gerrymandered map it would have resulted in like 10 Republican seats and four Democratic seats, even if it was an evenly split popular vote. 

So because the North Carolina State Constitution guarantees free elections, and here, it certainly did not seem as if it was a free election, because even if more people voted for Democrats, [laughs] they’d somehow end up with Republicans through the map, the North Carolina Supreme Court struck down the extreme partisan gerrymandered map and they went through a couple of iterations of this, and then a group of North Carolina Republican state legislators pushed the argument that because the Constitution gives to the state legislatures — the Constitution uses the term legislatures — the power to regulate the time, place, and manner of decisions, that this state Supreme Court of North Carolina couldn’t enforce North Carolina state constitutional guarantees, and basically that the North Carolina State Legislature had unfettered authority to draw the map however they want, even if it violated the North Carolina State Constitution. 

So we get up to the Supreme Court. And there, we see really a clash of the conservative majority against itself. [Laughs.] We see really spectacular legal advocacy from the side of the folks who are pushing back against this idea. And the backdrop for all of this is what’s known as the independent state legislature theory, which is what the North Carolina Republican legislators are pushing, this idea that state legislatures can do whatever they want with respect to elections without checks or balances, it would have an important impact not just on the drawing of congressional maps, or partisan gerrymanders, but it could have a huge impact on democracy itself. 

And so the independent state legislature theory is really, incredibly important. And that’s what’s at the heart of the Moore v. Harper case.

JS: We should be clear on the constitutional clause we’re talking about, and it seems like in the whole framework of the thing, it’s kind of unremarkable, and it’s just sitting there. 

But this is what it is. I was going to read it so everybody knows exactly what we’re talking about. 

Here’s the clause: “The Times, Places and Manner of holding Elections for Senators and Representatives, shall be prescribed in each State by the Legislature thereof; but the Congress may at any time by Law make or alter such Regulations, except as to the Places of choosing Senators.”

So if you could break down what’s happening here with this clause, and how the role of “the Legislature” is being used to further the objectives of the North Carolina legislators? 

EW: Yeah, so I guess as a backdrop: The Constitution, in many places, has layered authority for things. So sometimes state and local governments have certain authority; sometimes the federal government has the authority. Sometimes, like in this instance, the state has some authority subject to checks by the federal political branches, or the federal courts. And so what I want to acknowledge is that if you are a layperson and you’re reading this, it does say the word legislatures of the state — so you might be: Oh, OK, well, the North Carolina Republican state legislators have a good argument! 

No, they don’t! [Laughs.] And that’s because certainly when the Elections Clause was drafted by the framers of the Constitution in the 18th century, the idea that state legislative activity included other aspects of state lawmaking. So that would include a governor’s veto of state legislative action; it would include state court checks on state legislative activity. That was understood to be part of the legislative action of a state. 

In addition to that kind of mechanical understanding from the founding — not to be too shady about it, but the drafters of the Constitution, like James Madison, were extremely suspicious of, let’s say, the quality of state legislatures. So the idea that they would have given them in the Elections Clause, this unfettered power without any checks or balances, just doesn’t really match up to the feelings that the drafters of the Constitution had about state legislatures. 

But I think even more important, we don’t want to go on just vibes when it comes to interpreting the Constitution, as Justice Ketanji Brown Jackson noted in the oral argument that was held at the Supreme Court in Moore v. Harper, state constitutions create state legislatures. It’s all sort of the same organism. And so if you have the state constitution setting out certain guardrails for election processes, whether it’s with respect to voting rights, whether it’s with respect to the drawing of maps, or, as I’m sure we’ll talk about in more detail, the choosing of electors when it comes to presidential elections, which comes in Article Two of the Constitution, the idea that this those state constitutional restrictions apply to state legislative activity is just an organic part of how this stuff works. So what might seem like a reasonable argument at first blush really isn’t.

JS: Exactly. And we’ll get into some detail about all of these things for sure. But just first, for listeners, there were a lot of lawyers arguing this case – including current U.S. Solicitor General Elizabeth Prelogar and two former solicitors general, Neal Katyal and Donald Verrilli – each of whom argued against this independent state legislature thing — or, ISL thing, for short – on behalf of the various parties. And then there was lawyer David Thompson, representing the North Carolina state legislators who are hoping the Supreme Court will essentially bless this wholesale reimagination of the Elections Clause.

Here’s Thompson with his opening pitch to the justices:

David H. Thompson: Mr. Chief Justice, and may it please the Court: The Elections Clause requires state legislatures specifically to perform the federal function of prescribing regulations for federal elections. States lack the authority to restrict the legislatures’ substantive discretion when performing this federal function. 

As Alexander Hamilton wrote in Federalist 78, the scope of legislative authority is governed by the commission under which it is exercised.

JS: And here’s Katyal, essentially calling this whole idea utter madness: 

NKK: To accept Petitioners’ claim, you’d have to ignore the text, history, and structure of our federal Constitution as well as nearly every state constitution today. Petitioners say for two centuries nearly everyone has been reading the clause wrong.

That’s a lot of wrong — and a lot of wrong past elections. Frankly, I’m not sure I’ve ever come across a theory in this Court that would invalidate more state constitutional clauses as being federally unconstitutional, hundreds of them from the founding to today.

It’s worth taking a pause to think about what petitioners are saying. They claim the word “legislature” means a species of state law that has literally never existed.

JS: And here’s Prelogar, arguing as friend-of-the-court in support of the various respondents:

EBP: There is no category of state law that has previously existed that detaches the state legislature from the state constitution and allows it free rein to have whatever laws it wants without that state constitutional check. And we think that the text and the history and precedent forcefully reinforce this idea that the framers would have understood that when they were giving this law-making power, it carried with it those ordinary checks and balances.

JS: And Verrilli – basically, same vibe:  

Donald B. Verrilli, Jr.: I do want to just interject [laughs] one more time that they have said that this decision is a fair representation of North Carolina law. They are not challenging it under the standard I articulated or any other standard. They have made a different argument, which is that this is categorically a violation of the Elections Clause for state supreme courts to invoke — to apply — vague and general provisions. And so I’m happy to keep answering Your Honor’s questions, I am. But I just want to reinforce that they have conceded that this is a fair interpretation of North Carolina law.

JS: So, going back to the point that Verrilli was making, one of the many things, to me that’s really interesting – [laughs] or maybe baffling might be a better word – is that Thompson, arguing in favor of the ISL, on behalf of the legislators, made it clear that they agreed that the North Carolina Supreme Court had actually gotten the law right — that, in other words, they’d properly interpreted the state law and the state constitution, including its free elections clause, to determine that the map the Republican lawmakers had drawn was, essentially, an illegal gerrymander under state law. But I guess they’re arguing that it doesn’t matter that the [state] supreme court didn’t have the authority to go there.

You’ve got to go there. And also, I’m curious what you make of that concession – that they are about what the Supreme Court here did, that they actually got it right.

EW: That’s a really great question. And what Don Verrilli, who is a fantastic lawyer, is doing here is making clear to the Supreme Court that the proponents of independent state legislature theory in the Moore v. Harper case are swinging for the fences. They are asking for an extreme — extreme — understanding of what independent state legislature theory would mean, which is that even where the North Carolina State Supreme Court is getting the North Carolina constitution correct, and the state legislature engaged in unconstitutional under that state constitution partisan gerrymander, they cannot be — they cannot be — thwarted in their efforts to put this partisan gerrymander into place because, under their theory, state legislatures have unfettered authority. And what Don Verrilli is doing in that clip is trying to convince some of the perhaps more moderate, although it’s difficult to use that label with respect to the Supreme Court, but some of the more moderate conservative members of the court from adopting a middle ground. 

Because one thing that did seem fairly clear from the argument was that it would be tough for the Republican state legislators to get a five-justice majority for that extreme view that state legislatures can do whatever they want; they can unquestionably violate the state constitutional provisions and no one can do anything about it if you’re a member of the State Supreme Court. They did have a weird concession at one point that maybe a governor could veto it. But what Don is doing in that clip is trying to say: If you want to adopt ISL-lite, the idea that if a state Supreme Court has gotten its own standards wrong, then you could step in and say it improperly asserted authority over the state legislature. But that’s not even what they’re asking for. They are swinging for the fences with the broadest possible theory that they can.

JS: Yeah. At one point, earlier in the oral argument, Justice Sonia Sotomayor says the proponents of the ISL are trying to rewrite history. 

Sonia Sotomayor: Yeah, if you rewrite history, it’s very easy to do.

DHT: I’m not rewriting history, Your Honor.

What we’re saying is that when it says all elections, it’s referring to the offices that were created by that constitution. You can see that in Vermont. It says all freeholders shall be eligible for office. It’s not talking about the presidency of the United States, because there’s an age qualification. It’s talking about the —

SS: So why is it that in all of those states [sound of page turning] the legislatures understood that all elections meant that you were going to have paper elections, ballots, in both federal and congressional?

JS: This is a Supreme Court that professes this deep fidelity to original meaning, to this text, to this history. And yet here, Thompson had very few actual historical sites for this proposition that the state legislature is this free-wheeling, hands-off entity when it comes to federal elections. And this stands in stark contrast to the history y’all cite in your amicus brief. Could you tell us about the history, where the legislature comes from – and importantly, how this entity was viewed back at the founding?

EW: So I think this case is really remarkable, in that it puts the conservative supermajority on the Supreme Court’s fidelity to originalism to the test. Because here it’s unquestionably clear that the extreme proponents of the independent state legislature theory are arguing without any basis in constitutional text or history. 

At the time that the Elections Clause was written, the idea of legislatures of the states included checks and balances, like the state courts, like the governor, the idea that limits in state constitutions constrained state legislatures, and that was part and parcel of the idea of a legislature, were just commonly known and accepted by the drafters of the Constitution. 

And they had skepticism about state legislatures and the quality, perhaps, of their decision-making. And so they would never have given unfettered authority in the Elections Clause to state legislatures without those kinds of traditional checks from state courts and state constitutions. 

And I think what’s really interesting is, of course, we at the Constitutional Accountability Center make these originalist arguments against independent state legislature theory in our brief, but we have a lot of company in this case, from conservative originalists. Some of the leading lights of the conservative legal movement, like one of the co-founders of the Federalist Society, and several deeply conservative and well-respected, in conservative circles, judges, appointed by Presidents Bush, came out and said these arguments in support of ISL are complete bunk.

And so you have a cross-ideological, really just tsunami of argument against independent state legislature theory. And if you have these justices on the court who profess to be originalists ignoring all of that, it’s really going to say that this might not be so much about originalism and it might be more about pursuing a political partisan agenda.

JS: Yeah. And just sort of [laughs] naked power, it seems like. 

EW: Yeah. 

JS: Yeah. [Laughs.] There’s an interesting point — or I thought it was interesting, let me see what you think — where Justice Amy Coney Barrett is trying to get at history and saying: OK, well, at the time of the founding, would it be understood that the legislature had the power to set elections? And if that was a baseline understanding, then the second part of the clause, which allows for Congress to overrule them, would’ve been seen as a check on their power that already existed and not that this was some clause that was setting up some new power for the state legislature as Thompson seemed to be arguing. 

I think I read that right, but I was curious if you had any thoughts about that piece of that argument.

EW: Justice Coney Barrett, it was interesting to try to figure out where she was coming from. She definitely seemed skeptical of the North Carolina Republican lawyers’ presentation of history and also the conclusions that he was drawing about that, the concession that I think Chief Justice Roberts brought out of him that a governor could veto state legislative actions with respect to the elections clause — it didn’t seem to be consistent at all with his textual argument that legislatures get to do whatever they want. 

And so, Justice Coney Barrett did seem to pick up on that. And I think that’s why a lot of us, after listening to the argument, counted perhaps her and Chief Justice Roberts in the camp of people who weren’t going to maybe jump in with both feet on the independent state legislature theory. But I think there is definitely a possibility that there’s a majority on the court that could leave the door open for some variation of this. And that could do a lot of damage, even if the court doesn’t take the most extreme view of independent state legislature theory, which I certainly hope they will not.

JS: Another thing that struck me was that Justice Jackson kept coming back over and over again to a very basic question, which was: If the state legislature is a creation of the state constitution — and that’s where it derives its power — then how can it act outside the scope of power granted to it by the state constitution.

So, here’s a clip of one of those moments: 

KBJ: If the state constitution tells us what the state legislature is, and what it can do, and who gets on it, and what the scope of legislative authority is, then, when the state supreme court is reviewing the actions of an entity that calls itself the legislature, why isn’t it just looking to the state constitution and doing exactly the kind of thing you say when you admitted that this is really about what authority the legislature has? In other words, the authority comes from the state constitution, doesn’t it

DHT: No, Your Honor, it’s a federal function, and we know that from Leser. So this Court, in Leser, held it’s a federal function. When these duties are assigned to the states, that is a duty that is assigned by the federal —

KBJ: Yes, it’s a duty. The duty is to make this legislative determination — that is, the determination about elections. 

My question is: Where does the entity’s power come from to make any determinations at all, right? I mean, yes, I see that the federal Constitution is giving them the right to make a particular determination, but they’re not giving just anybody in the state that right. They’re giving somebody called the legislature. And, in order for us to have a thing called the legislature, we have to look at the state constitution to determine what that entity’s powers are, how they can be exercised; other than that, I don’t really understand how the legislature is authorized to act at all.

JS: Throughout the argument, she kept saying, basically: Yeah, yeah, yeah, yeah — but this! 

Right? So I’m curious what you make of this. Explain what she’s trying to get at over and over again here, that Thompson regularly seems to be sidestepping or just flat-out avoiding answering. 

EW: Yeah, I mean, it is a fundamental flaw in the logic. The proponents of independent state legislature theory are saying that they can act contrary to the very charter that creates them. Justice Jackson, one of the things that I really enjoyed seeing from her after she joined the bench, is the way that she just zeroes in on these fatal flaws in the logic of advocates’ cases. It’s probably terrifying if you’re arguing before the court [laughs] — but this was where she just really, I think, got them. 

And Thompson never came up with a good response to Justice Jackson, because there isn’t a good response. The idea that the state legislatures can ignore the state constitution, when the state constitution creates them, just doesn’t make any sense. And the state courts, applying the state constitution, that’s how those guardrails are applied. And she just really got to the point, and he never really was able to get around that.

JS: No. If not the state constitution, where would the legislature come from? [Laughs.] 

EW: Yeah. 

JS: And if it doesn’t come from anywhere else, then how can it not be bound by the thing that created it and, as you said, gives it the guardrails that it operates under in every other way?

EW: Exactly.

JS: I guess, except for: Asterisk! This one. [Laughs.]

EW: Yes. Right. 

It doesn’t make any sense. Thompson, the lawyer for the Republican legislators, never really came up with an answer. But some of the conservative allies of this argument on the court did try to suggest a way around that by saying, perhaps state courts, when it comes to the Elections Clause, have to be enforcing identifiable standards. And so they couldn’t be these vague, broad terms; they had to be identifiable standards. And so that was kind of the way that other conservatives tried to get around Justice Jackson’s trenchant point, but there’s no way under the most extreme theory that you can get around that.

JS: No. And also to that point, they’re like: Well, there’s these squishy things, like fair elections, what could that possibly mean? How could we possibly know? 

And I think there’s, at one point, where Sotomayor is like: What do we mean when we say it’s free speech? What do we mean, when we say due process?

I guess, in whatever the theory is about these mushy things, that somehow the federal court would be able to come in to decide, I guess, when it’s too mushy. 

EW: Yes. 

JS: But I mean, that makes no sense to me, either, because first of all, we have the same sort of mushy — that’s not the right word — we have the same sort of free-flowing kind of ideas that are embodied in our constitution that they still can’t agree on lots of times what they mean, let alone what they know what North Carolina meant by it, or Wisconsin or whoever else. I just thought this is a dangerous theoretical middle ground — 

EW: Yes. 

JS: — or we’re gonna give you some out here, and I find that — it scares me a little bit, because I don’t think that they’re better positioned to decide what that meant for the history of North Carolina or any other state than those Supreme Court justices in those states would be.

EW: Yeah, you’re exactly right. And this is where we get to some of the hypocrisy of some of the conservative justices and advocates, I think. We’re used to hearing from conservatives about federalism and states’ rights. And here, instead of broad deference to state courts, they floated this idea that unless state courts were doing something that was really along the lines of an identifiable and specific standard, the federal courts would come in and say, no, no, no — and that was a little unclear exactly what they were talking about there. 

But you’re exactly right: Our Constitution, and many state constitutions, have broad guarantees. And for a lot of us, that’s a good thing. We should have broad guarantees in the Constitution that then are translated into more specifics by legislation, by policymaking, by the political branches. But, often conservatives we’ve seen in this court, whether it’s with respect to reproductive rights, or other areas of equality and equal citizenship, [have] very limited vision of what those broad terms mean in the Constitution. And so there does seem to be a little bit of a freakout by some of these conservative justices about what are intentionally broad and sweeping guarantees. 

The idea of free elections, which is what we’re talking about under the North Carolina State Constitution, is a big term. It’s a big guarantee. It’s a broad guarantee. And it should be! [Laughs.] And so if we have a ruling from the court that cuts back on state courts’ ability to protect voter rights; to protect against suppression and obstacles being placed on the right to vote, in addition to partisan gerrymandering — not even getting to the fake elector scheme that former President Trump and his allies were trying to push using this same independent state legislature theory, there could be a lot of mischief made that that would be to the detriment of our democracy.

JS: Yeah. 

So we played that clip of Justice Jackson talking to Thompson, and Thompson tried to respond, and then Justice Sotomayor jumped in. 

DHT: Well, Your Honor, we know that’s not right because, in Leser, the people of Maryland tried to prevent women from voting, and the way they did that is they put in their state constitution a prohibition on adopting the Nineteenth Amendment, and then it came to this Court and this Court said that this is a federal function and that substantive limit of the state constitution was inapplicable. So that’s what we’re dealing with here, is a federal function.

SS: But that was because it violated the federal Constitution, not because it violated the state constitution. But let me go back to what I don’t fundamentally understand about this case …

JS: And a bit later Thompson and Sotomayor have a back-and-forth on the difference between substance and procedure. 

SS: Well, it seems that every answer you give is to get you what you want, but it makes little sense. We have more than one occasion that we describe the task in Mistretta of distinguishing between substantive and procedural rules as a logical morass that the Court is loath to enter.

DHT: And one —

SS: And I simply — what I don’t understand is the question that Justice Jackson asked you, which is: If judicial review is in the nature of ensuring that someone’s acting within their constitutional limits, I don’t see anything in the words of the Constitution that takes that power away from the states.

JS: And this kind of gets to, what you were talking about, the veto thing, I think.  So I’m hoping you can try to kind of explain the significance of this idea; this procedure versus substance thing hurt my brain a little bit.

EW: [Laughs.]

JS: Because, it seems like Thompson is saying: Cool, right, so the legislature passes something and if it has this rote hurdle to cross — say, it has to be presented to the governor, and she has the power to veto it under state law — well, that’s just “procedure.” But anything “substantial,” that I guess would give anyone else — especially the courts — the opportunity to change what the legislature has done, then that’s out.

But what I don’t actually get is: Don’t they both get to the same place? Like if there’s an election map and the governor is like: Nope! Veto! 

Isn’t that basically a substantial change? So, is this just weird parsing without actual difference? Can you just help my brain wrap itself around this [laughs]? Because I found it all, whew, a little hot.

EW: Yeah. No one was really buying this distinction. 

JS: [Laughs.]

EW: Well, I shouldn’t say that. I don’t think there was a majority of justices on the Supreme Court who were buying that distinction.

It seemed to be an attempt to say something like the procedures by which a decision is adopted or made can be enforceable by the state courts or by a governor. But the actual substantive guardrails can’t be enforced by state courts.

And that just doesn’t really make any sense, other than through kind of a results-oriented, backward, [laughs] reverse-engineered logic. And I think that part of this when it was argued a little more coherently by some of the friendlier justices on the court in their questioning of the lawyers who were pushing back on independent state legislature theory, was this idea of trying to limit some of the interference on state legislatures when it comes to election procedures. And that’s where we get to the ghost of Bush v. Gore, where all bad things come from. [Laughs.]

JS: I was just going to bring this up. So why don’t we just go to that. Because the thing that keeps coming up over and over is Bush v Gore. So just a reminder that it is the court case that essentially ended the recount in Florida back in 2000, and landed George W. Bush in the White House. 

So why, why, why Bush v. Gore? 

EW: I know, right? 

JS: And what’s the significance and how terrified should I be? [Laughs.]

EW: Yes. 

JS: That this has somehow raised its head from the — ugh.

EW: It was supposed to be fact-bound, but somehow it still sticks around. 

JS: It’s escaped its cage! [Laughs.]

EW: Yes. Exactly!

And it’s interesting because many of the now-justices when they were lawyers, the conservative justices, worked on the Bush v. Gore case, on behalf of President Bush. 

So, in Bush v. Gore, there was a side argument from the late Chief Justice Rehnquist, a very conservative jurist, who argued that Florida didn’t follow its own procedures. And so the Florida State Supreme Court just kind of got the procedures wrong. And so that was an acceptable reason for interfering with the Florida State Supreme Court’s adjudication and decisions in the recount. 

Because again, normally, there is this deference that we provide to state courts when it comes to their interpretation of state law. Because they presumably are the experts and not the federal courts, who are experts in federal law. And so this kind of side argument from Chief Justice Rehnquist focused on the state court, presumably getting it wrong. And this was different from the majority’s basis for their ruling, which was obnoxiously on the equal protection clause of the federal Constitution. 

All of that is a long way of saying that there was sort of this attempt by some of the conservative justices in Moore v. Harper, who might not be willing to take the train all the way to crazy town when it comes to independent state legislature theory, but might be willing to sort of get on for half of the ride to say that if it seemed like state courts were not properly enforcing the state constitution, that there could be limits on the way that they check state legislative activity when it comes to federal elections. 

But that is very unclear, really, what that means. And it really would open the door, I think, to all sorts of shenanigans, and litigation, and major questions about something as sacred and fundamental to democracy as the vote of the people being understood to be reliable and predictable in the sense of: you cast your vote; your vote gets counted; your vote has meaning. That is concerning.

JS: Yeah, actually, there’s a great — I’m sure you remember — there’s a great part where Justice Elena Kagan really hit home, the ramifications, the fallout, I guess, essentially, that would come from an embracing of the ISL. Let’s play that clip:

Elena Kagan: [T]his is a theory with big consequences. It would say that if a legislature engages in the most extreme forms of gerrymandering, there is no state constitutional remedy for that, even if the courts think that that’s a violation of the Constitution.

It would say that legislatures could enact all manner of restrictions on voting, get rid of all kinds of voter protections that the state constitution, in fact, prohibits. It might allow the legislatures to insert themselves, to give themselves a role, in the certification of elections and the way election results are calculated. 

So — and, in all these ways, I think what might strike a person, is that this is a proposal that gets rid of the normal checks and balances on the way big governmental decisions are made in this country. And you might think that it gets rid of all those checks and balances at exactly the time when they are needed most, because legislators, we all know, have their own self-interest. They want to get re-elected. And so there are countless times when they have incentives to suppress votes, to dilute votes, to negate votes, to prevent voters from having true access and true opportunity to engage the political process.

JS: Following on that, it’s sort of: If the Supreme Court rules in favor of North Carolina, and we could go full train to crazy town or even just make a stop at the depot, however you want to take that, how would that affect the way elections are run? And what could be the ramifications, even, maybe, beyond what Justice Kagan has outlined during argument?

EW: If you start from the facts of the Moore v. Harper case, and then work your way out from that, obviously it would allow extreme partisan gerrymanders to go forward without meaningful checks. This is a real problem. You have states where, again, the popular vote, if you look at what the votes said in terms of who people voted for, and then look at the way that they’re translated into representatives, it bears very little relation. In this case, it would have been if there was about an evenly split popular vote, it would have gone to about 10 Republicans and four Democrats. 

And so you know that the extreme partisan gerrymandering maps — just the facts of this case are very concerning. And because the U.S. Supreme Court has said recently that they do not think that the federal courts have a role to play in striking down extreme partisan gerrymanders, that really would allow them to continue without any recourse for voters. So if you then expand from that, worth looking at state limits on the right to vote, voter suppression, making it harder for people to cast their votes, whether that’s changing voting procedures or the way that you register to vote, those could go forward without any sort of state court checks and balances.

And then jumping from Article One of the Constitution to Article Two, which deals with the way in which the President of the United States is elected.

JS: Actually, let me stop you, because we might as well just put that in the mix now because I was going to ask you about that. Because there’s this other piece, right, which is this Article Two piece. Maybe you can say what that is, because I think the fear I hear, in part, from what I’ve heard and read, is sort of like that this is like one step. This form of independent state legislature is one step, and there could be something far worse. And that is based on this ISL buried in Article Two. 

So maybe you could just unpack that a little bit, because I’m not sure that everybody knows exactly what that is. Although [laughs] we’ve heard fake-electors-this, fake-electors-that, but how does this all kind of tie together, I guess?

EW: Right. So the section that we’re talking about from Article One of the Constitution in Moore v. Harper deals with the time, place, and manner of congressional elections of representatives, and the ability of the legislatures of the states to prescribe the manner of elections. 

And then when you get to Article Two, and the clause that deals with the election of the President, it talks about the legislatures of the state. So again, the same wording, being in control of setting the manner of choosing electors to the electoral college. 

So generally, when we’re talking about how to interpret legal phrases and words in the laws, if it’s interpreted one way, in a related context, you interpret it similarly in the other context. And so the concern is that if there is this unfettered authority given to state legislatures with respect to the time, place, and manner of congressional elections, in that part of the Constitution, when it comes to the manner in which electors are chosen for the president in Article Two of the Constitution, then that same extreme independent state legislature theory would apply — and then you would get yourself into situations like we saw being pushed by team Trump, where they were urging state legislators to put up a whole new slate of electors that went against the will of the people in that particular state, and that would have kept President Trump in power, despite the vote of the people to the contrary.

JS: So nothing that much to worry about. [Laughs.]

EW: No, it’s definitely something to worry about!

JS: Ugh.

EW: And I think sometimes I understand that for folks who are not deeply entrenched in this, your eyes start to glaze over when it’s gerrymandering, and independent state legislature theory, and all of this. And in some ways, I think that was very savvy for proponents of the independent state legislature theory to bring it to the court in this particular context, and not in perhaps the most dangerous context of trying to keep a president in power, despite the vote of the people electing a different president, you know? And so I think there should be no mistaking that that is what we would be headed toward if independent state legislature theory is accepted in this particular case.

JS: Neal Katyal’s opening was sort of lasered in.

NKK: Thank you, Mr. Chief Justice, and may it please the Court: For 233 years, states have not read the Elections Clause the way you just heard. There are two reasons to affirm: One is that when enacting legislation, there’s no such thing as an independent state legislature. The other is that North Carolina statutes authorized what the North Carolina court did.

JS: So, on our first episode of Dissent I spoke to legal analyst Jordan Rubin about why the court would even take up this case, right? The point that Katyal is making here underscores that question. What do you make of the court taking the case in the first place?

EW: Yeah. I think it’s important to remember that to take a case you need four justices. And to win a case you need five. So we already know that there are a number of justices on the court who either are embracing the theory, I’d put under that category probably Justices Alito, Gorsuch, and Thomas. And then at least, Justice Kavanaugh, who, during his time as an advocate, argued, in a certain sense, for the independent state legislature theory. So I’m not surprised necessarily that there are four justices who wanted to hear it. 

Again, it’s tough using this label for this court, but it’s all in context, the more quote-unquote moderate conservative members of that conservative supermajority, like perhaps Chief Justice Roberts, might have wanted to tweak the theory to make it a little more palatable and not quite the extreme version that is being put forth by some conservatives. We don’t know because of the lack of transparency around the certiorari process which four justices — or maybe more — voted to hear the case. But I can see some reasons why they might want to. 

And again, if you’re someone who wants the independent state legislature theory to move forward, it’s probably better to have it in the North Carolina redistricting case, rather than a Trump v. Democracy case. And I will say, fortunately, we saw in most of those efforts from team Trump, when they tried to push this, they were roundly rejected by pretty much every court that John Eastman and company tried to push this theory in.

So yeah, they didn’t need to take the case, because, as Neil Katyal said in his opening, there’s been pretty much unanimous, historical understanding that the legislative process includes state constitutional restrictions as interpreted and applied by state courts. And also Supreme Court precedent itself suggests that that’s not the way that state legislatures operate when it comes to the Elections Clause. And the response from the proponents of ISL was just like: Yeah, overturn all of that. [Laughs.]

JS: [Laughs.] Another thing that Jordan Rubin and I talked a lot about [is] how the court essentially sets its own agenda; it can take these cases; and so that when you come out with an opinion that’s maybe not this full embracing of this thing, and you get trapped in this thing where you’re saying: Oh, well, we have a compromise. And I think that again, it’s dangerous, right? Because they reach out and take this — there was no reason for them to do it. And, I don’t know, I just really didn’t have a sense — we talked about this a little bit — it was very hard for me to tell where people stood at the end of this. And I don’t know even if there’s a compromise opinion that goes halfway to crazy town, like, should we accept that?

EW: No! [Laughs.] 

JS: Do you know what I’m saying? Is that still a problem? Yeah, maybe just go for it.

EW: Yeah I think one of the hallmarks of the current Supreme Court is that because it is so, so conservative really the window has shifted for the types of arguments that are being presented to the court. And those of us who are court watchers, and just all of us in this country, should really resist that shift. Again, so just because you don’t do the absolute craziest thing if you still do something crazy and dangerous, that is still bad. You know?

And so, I think really what we’re seeing — and it’s not just in this case, we’ve seen it, across the spectrum of issues — is that these really extreme arguments are being presented to the court. And in some cases, this court is embracing those theories, with the complete overturning of Roe v. Wade, [which] was the most extreme version of that. 

And just as we’ve seen in some other cases, we’re prepared for the absolute worst, and then when it doesn’t happen, I think there is sometimes this tendency to be like: Oh, OK!

No — do not give in to that tendency here. I mean, look, it could be really bad if they fully embraced the extreme, really unhinged theory of the Republican North Carolina State legislatures. But even opening the door to some version of independent state legislature theory could be extremely dangerous to democracy.

JS: Yeah. And I guess I’ll just wrap up on this, which would be that, obviously, the faith in the Supreme Court has just really dwindled, particularly after Dobbs, which just hit so many people like a bomb. And the cases that they’re taking up now don’t seem to offer much hope for this super-measured court. So I’m curious about your sort of broader thoughts on the direction of the court and about calls for reform. And I’m curious for you, what would reform look like?

EW: When it comes to reforming the Supreme Court, the way that I like to think about it, is to put on the lens of what are the problems of justice that we’re seeking to solve. And those problems are deep. And while I think probably the most obvious, and maybe easy decision of what reform steps to take is adding more justices to the court simply because, we haven’t done it for a long time, the country has grown bigger, our ideas of who is included are broader — thank goodness. And so simply having a few more justices is probably just good government, regardless of what side you’re on. 

But looking deeper at the problems of justice we want to solve, there are real problems of access to justice, of equal justice [and] fairness. And so we at the Constitutional Accountability Center have just done a look at the way in which these questions were looked at during the Reconstruction period after the Civil War. And so many of the same issues were being debated: Should we expand the court? Should we strip jurisdiction? Should we require a supermajority of justices in certain cases?

And one of the things that they did, in addition to expanding the court for a brief period, was they passed legislation that sought to make good on the promises of fair justice and equality in the Constitution. And so I would urge us when we talk about court reform, to think more broadly than just adding justices on the court, although that’s probably step number one, and think more about what can we do to actually create the system of justice that is truly just and is the one that we want, and deserve. 

And for this court, I think that this case, the Moore v. Harper case, is a real test for them, because there is this overwhelming consensus amongst conservative and more liberal scholars that the independent state legislature theory is absolute bunk, even according to the conservative originalist arguments that a majority of these justices profess to follow. And so if they don’t follow that constitutional text in history, where it leads, which in this case would be to slam the door on independent state legislature theory, then it is just going to make absolutely clear that they’re following something other than the law, which many people already suspect is a partisan ideological agenda. And that would just further damage confidence in the court and the public faith that we should and deserve to have in our courts of law.

JS: Elizabeth, thank you so much for joining us. 

EW: Thank you for having me. I really enjoyed the discussion.

JS: That was Elizabeth Wydra, president of the Constitutional Accountability Center. 

[End credits music.]

JS: And that’s it for this episode of Dissent, a production of The Intercept. 

This episode was produced by Laura Flynn and José Olivares. Roger Hodge is editor in chief of The Intercept. And Rick Kwan mixed our show. 

If you’d like to support our work, go to theintercept.com/join — your donation, no matter what the amount, makes a real difference.

If you want to give us feedback, email us at [email protected] Thanks so much.

Until next time, I’m Jordan Smith.

 

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New Stock Listings Open Door to American Investment in the Israeli Occupation

In early December, the New York Stock Exchange signed a memorandum of understanding to begin dual listing securities with its Israeli counterpart, the Tel Aviv Stock Exchange, potentially accelerating U.S. investment in companies tied to illegal West Bank settlements.

The move could allow American investors increased access to companies like the construction firm Ashtrom, which is currently listed on the Tel Aviv Stock Exchange and on a 2020 United Nations human rights office database of over 100 companies tied to the expansion of illegal Israeli settlements in the West Bank. To be included in that list, a company had to be engaged in supplying equipment used to destroy Palestinian assets including farmland and property; supplying transportation, utilities, or other support for existing settlements; or aiding in financial backing for settlement expansion or maintenance. Ashtrom, in addition to operating quarries in the West Bank, has helped construct housing in illegal West Bank settlements and prisons and military installments in the occupied territories.

Dozens of companies in sectors including telecom, construction, and renewable energy are listed in both the U.N. database and the Tel Aviv exchange. That includes some of Israel’s largest banks and the massive energy and infrastructure conglomerate Delek, one of Israel’s largest companies.

Beyond dual listing, the memorandum signed between the two exchanges also lists the potential development of exchange-traded fund, indexes, and environmental, social, and corporate governance, or ESG products. The potential creation of ESG products is especially notable given that ESG funds, while offering groupings of socially responsible products, have also been used to greenwash companies with a track record of various abuses. At the same time, impact investing groups, like JLens, have gone on the offensive to attack ESG funds incorporating Israeli human rights abuses into their modeling.

While the vast majority of companies in the 2020 database are Israeli, a handful of U.S. companies made it onto the list, including Airbnb, Tripadvisor, Expedia, and General Mills. These companies are already listed on the New York Stock Exchange and Nasdaq. The memorandum will likely open U.S. investors’ access to Israeli companies also doing business in illegal settlements and bolster Tel Aviv listings through the institutional support and size of the New York exchange.

NYSE President Lynn Martin said in a press release that “our exploration of dual listings will provide investors with potential exposure to listed companies and economic activity in both markets. The importance of our global capital markets has never been greater, and we look forward to demonstrating what two great exchanges can accomplish when they work together.”

Dual listing is not a departure from standard financial sector norms. Tel Aviv has entered into similar agreements with exchanges like Toronto prior to the New York memorandum.

“The narrow framing of this is that it’s the perfect headline for those of us who would worry about a blending of the Israeli far-right and American-style finance capitalism,” Robert Hockett, a professor of financial and international economic law at Cornell, told The Intercept. “The New York exchange is the largest of them all,” Hockett said, “and is the most heavily traded exchange and is in that sense the largest capital market, so any firm in Tel Aviv will get a lot more access than it previously had.”

Despite the Biden administration’s official stance against illegal settlement expansion, as the U.N. was set to add more companies to its database last month, the United States began lobbying the human rights office to drop its bid to expand the list. Two American diplomatic officials, including Michèle Taylor, the U.S. ambassador to the U.N. Human Rights Council, told an Israeli ambassador they were pressuring the U.N. human rights chief Volker Türk not to add more companies to the U.N. database.

At the same time that the New York and Tel Aviv exchanges announced their collaboration, a coalition of far-right Israeli extremists seized power in the Knesset, Israel’s parliament. Fomented by Benjamin Netanyahu’s desperation to regain power amid ongoing corruption investigations, the new coalition of cabinet ministers has already engaged in egregious provocations against Palestinians and laid bare its intent to fully annex the West Bank.

Language from the coalition deal states that Jews “have a natural right over the Land of Israel,” and that “in light of our belief in the aforementioned right, the prime minister will lead the formulation and advancement of policies within the framework of applying sovereignty in Judea and Samaria.” Israel’s incoming tourism minister has vowed to accelerate annexation and Jewish tourism to the West Bank, describing Palestine as “our local Tuscany.”

The possible creation of ESG products referenced in the dual listing announcement also follows intense lobbying to ignore Israeli human rights abuses in scoring social impact of investments. In October, the financial services giant Morningstar bent to overwhelming pressure from powerful American Zionist groups like the Anti-Defamation League, the American Jewish Committee, and the Women’s Zionist Organization of America to remove Israeli human rights abuses committed against Palestinians from its methodology. A leader of ESG analytics, Morningstar and its subsidiary Sustainalytics committed to removing its Human Rights Radar service, no longer using the U.N. Human Rights Council as a source for its analysis, and abandoning terms relating to Israeli occupation of Palestine.

The ESG products that could emerge out of the dual listing memorandum hold the potential to mirror the principles of JLens, an investment advising fund now owned by the Anti-Defamation League that led the charge against Morningstar, leveling accusations of antisemitism.

“Dual listing serves the interests of Israeli companies and of the State of Israel by allowing companies to maintain a strong link to Israel and ecosystem it offers while benefiting from the upsides of listing on the world’s largest exchange,” Ittai Ben-Zeev, CEO of the Tel Aviv Stock Exchange, said in a press release. Ben-Zeev was previously executive vice president and head of Capital Markets at Bank Leumi, which is listed in the U.N. database of financial institutions supporting illegal West Bank settlements.

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