A new law in India makes it harder for foreign aid to reach Covid patients, critics say.

India’s devastating Covid-19 surge has galvanized corporations, nonprofit organizations and individuals in the United States to raise millions of dollars and send medical supplies to assist the nation of 1.4 billion.

But a sweeping change to India’s law governing foreign donations is choking off aid just when the country needs it desperately. It is struggling through a second wave of coronavirus that, since beginning in mid-March, has more than doubled the country’s total confirmed infections to over 24 million and raised the known overall death toll to more than 266,000 — numbers that experts say are vast undercounts.

The amendment, abruptly passed by the government in September, limits international charities that donate to local nonprofits. Almost overnight, it gutted a reliable source of funding for tens of thousands of nongovernmental organizations, or NGOs, which help provide basic health services in India, picking up the slack in a country where government spending in that area totals just 1.2 percent of gross domestic product.

The amendment also prompted international charities to cut back giving that supported local efforts in fields such as health, education and gender.

Newly formed charities are rushing to find NGOs that can accept their donations without tripping legal wires. And nonprofits are being smothered in red tape: To receive foreign funds, charities must get affidavits and notary stamps and open accounts with the government-owned State Bank of India.

“Everyone was caught off-guard,” said Nishant Pandey, chief executive of the American India Foundation, which has raised $23 million for Covid-19 efforts. On May 5, his group wired $3 million to an Indian affiliate to build 2,500 hospital beds. A week later, Mr. Pandey said, the money still hadn’t cleared.

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Looking for Bipartisan Accord? Just Ask About Big Business.

But in recent years, that compact has begun to fracture. Democrats, pushed by progressive activists, have shifted further to the left on a wide range of economic policy issues. Under Mr. Trump, Republicans became more hostile to free trade and immigration. After the Jan. 6 storming of the Capitol, some prominent companies and business groups announced they would cut off donations to Republicans who had joined an effort to challenge in Congress the results of Mr. Trump’s November loss to Mr. Biden, prompting some Republican lawmakers to swear off corporate donations.

Many top executives feel they have little choice. They are being pressured by customers and increasingly by young, progressive employees to speak out publicly on major issues. And in the era of social media, companies can get into just as much trouble by staying silent as by weighing in.

Polling data shows the squeeze. A Gallup poll conducted in January, in the days leading up to and immediately following the Capitol riot, found that just 31 percent of Republicans were satisfied with the “size and influence of major corporations.” That was down from 57 percent a year earlier.

And in a survey conducted last month for The New York Times by the online research platform SurveyMonkey, 81 percent of Republicans who knew enough to form an opinion said it was inappropriate for business leaders to speak out against the Georgia law. And 78 percent of Republicans said large corporations had too much influence over American life in general. (The survey was conducted before two coalitions of business leaders released letters calling for expanded voting rights in Texas.)

Elena Adams, a survey respondent in Northern California, said she began to feel that corporate America was shifting against her a few years ago, when Nike embraced Colin Kaepernick, the former San Francisco 49ers quarterback who drew widespread attention for kneeling during the national anthem to protest police violence.

“Basically I think we’re celebrating people who are not for the United States and pushing the agenda that we should be ashamed if we’re not people of color,” she said. “This whole narrative of the race thing, it’s reverse racism, is what’s happening.”

Ms. Adams, 66, said she had stopped flying Delta and buying Coca-Cola products. Since Major League Baseball relocated the All-Star Game from Atlanta over the Georgia voting law, she has quit following the Oakland Athletics. She has abandoned social media, believing that companies such as Facebook and Twitter are unfair to conservatives, and told the purchasing managers at the emergency response business where she is a partner to avoid buying from companies that espouse liberal positions, although she said it was too difficult to avoid companies like Amazon and Google altogether.

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Delta will require that new employees be vaccinated.

Delta Air Lines will require new hires to be vaccinated against the coronavirus, but will exempt current employees from that mandate, making it one of the first major corporations to embrace such a requirement.

“Any person joining Delta in the future, a future employee, we’re going to mandate they be vaccinated before they can sign up with the company,” Ed Bastian, the airline’s chief executive, said in a CNN interview on Thursday evening.

While current employees will be exempt, Mr. Bastian said that he expected 75 to 80 percent of the airline’s work force to be vaccinated anyway and that he would “strongly encourage” the rest to do so. Unvaccinated employees could face some restrictions, such as not being allowed to work on international flights, he added.

For large corporations, such decisions are thorny. On one hand, requiring vaccinations for all employees would lower the anxiety of workers returning to the office and help the country reach herd immunity, which would support the economic rebound. On the other, it raises privacy concerns and could risk a backlash or even litigation.

In January, Scott Kirby, the chief executive of United Airlines, told employees in a video forum that he supported the idea but added that the carrier could not “realistically be the only company” to do so. No one followed suit, and United never acted.

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Colonial Pipeline Paid Roughly $5 Million in Ransom to Hackers

In a separate ransomware attack on the Washington, D.C., Metropolitan Police Department, hackers said the price the police offered to pay was “too small” and dumped 250 gigabytes of the department’s data online this week, including databases that track gang members.

In his remarks on Thursday, Mr. Biden seized on the Colonial Pipeline hack as further proof that the United States needed to improve its critical infrastructure, and he urged lawmakers to back his $2.3 trillion proposal to rebuild roads, bridges, pipelines and other projects.

Republicans have balked at the size of Mr. Biden’s proposals, accusing the president of wanting to raise taxes to pay for things that they do not consider infrastructure, like programs for home health aides. Mr. Biden has proposed to increase taxes on wealthy people and corporations to pay for his spending, but has said he is open to other ideas.

“I’m willing to negotiate, as I indicated yesterday to the House members and to the leadership,” Mr. Biden said. “But it’s clearer than ever that doing nothing is not an option.”

Gasoline prices rose by roughly 3 cents in South Carolina and Georgia from Wednesday to Thursday, about half the amount of the increases of the previous few days. But prices in Tennessee, which depends on an offshoot of the pipeline, rose by 6 cents, to $2.87 for a gallon of regular. Nationwide, the average price for a gallon of regular increased by 2 cents, to $3.03, according to the AAA auto club.

Gasoline supplies vary from state to state along the pipeline, in part because some places have more storage than others. In New Jersey, only 1 percent of gasoline stations lacked fuel early Thursday morning, while more than half of the stations in Virginia, North Carolina and South Carolina were out of fuel, according to GasBuddy, an app that monitors fuel supplies. Friday is traditionally the biggest day for gasoline sales.

It is likely to take at least through the weekend for supply at all gasoline stations to return to normal functioning because it takes time for fuel to pass through the pipeline.

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Amid Economic Turmoil, Biden Stays Focused on Longer Term

Administration officials express confidence that recent price surges in used cars, airfare and other sectors of the economy will prove temporary, and that job growth will speed up again as more working-aged Americans are vaccinated against Covid-19 and regain access to child care during work hours. They say Mr. Biden’s $1.9 trillion economic aid package, which he signed in March, will lift job growth in the coming months, noting that new claims for unemployment fell to a pandemic-era low on Thursday.

The officials also said it was appropriate for the president to look past the current crisis and push efforts to strengthen the economy long term.

The two halves of Mr. Biden’s $4 trillion agenda, the American Jobs Plan and the American Families Plan, are premised on the economy returning to a low unemployment rate where essentially every American who wants to work is able to find a job, Cecilia Rouse, the chair of the Council of Economic Advisers, said in an interview.

“The American Rescue Plan was rescue,” Dr. Rouse said. “It was meant as stimulus as we work through this hopefully once-in-a-century, if not longer, pandemic. The American Jobs Plan, American Families Plan are saying, look, that’s behind us, but we knew going into the pandemic that there were structural problems in our country and in our economy.”

Mr. Biden’s plans would raise taxes on high earners and corporations to fund new federal spending on physical infrastructure, care for children and older Americans, expanded access to education, an accelerated transition to low-carbon energy and more.

Those efforts “reflect the empirical evidence that a strong economy depends on a solid foundation of public investment, and that investments in workers, families and communities can pay off for decades to come,” Mr. Biden’s advisers wrote. “These plans are not emergency legislation; they address longstanding challenges.”

The five-page brief focuses on arguments about what drives productivity, wage growth, innovation and equity in the economy. The issues predate the coronavirus recession and recovery, and Democrats in particular have pledged for years to address them.

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Live Updates: Jews and Arabs Clash in Israel’s Streets

more of the forces into the streets on Thursday after another night of unrest.

Credit…Ammar Awad/Reuters

In one seaside suburb south of Tel Aviv, dozens of Jewish extremists took turns beating and kicking a man presumed to be Arab, even as he lay motionless on the ground. To the north, in another coastal town, an Arab mob beat a man they thought was Jewish with sticks and rocks, leaving him in a critical condition. Nearby, an Arab mob nearly stabbed to death a man believed to be Jewish.

Tamer Nafar, a Palestinian rapper considered one of the symbols of Lod mourned the terrible rupture inside the community.

“Maybe we look at the word coexistence differently,” he said. “But so far there is only one side, the Jewish side.”

The Aqsa raid might have been the spark for the current round of hostilities, but the fuel was years of anger from Israel’s Arab minority, who make up about 20 percent of the population. They have full citizenship, but rights advocates say they are victims of dozens of discriminatory regulations.

“The way that we are treated is as though we shouldn’t be here,” said Diana Buttu, a Palestinian political analyst from Haifa, a city in northern Israel.

A burnt vehicle is seen after violent confrontations between Israeli Arab demonstrators and police in Lod, Israel, on Wednesday.
Credit…Ronen Zvulun/Reuters

LOD, Israel — The hulks of burned out cars and trucks litter the streets of the mixed Arab-Jewish town of Lod, the epicenter of three nights of violence inside Israeli cities that have fed fears the country could be careening toward a civil war.

When the violence spread on Monday from the Aqsa Mosque in Jerusalem to Gaza, an uneasy coexistence in Lod, deep inside central Israel, abruptly ruptured.

The authorities have declared a state of emergency in the town of about 80,000 people and imposed a night curfew from Wednesday. Armed border police, brought in from the occupied West Bank, were deployed.

But the curfew did little to calm the atmosphere, and both Jews and Arabs described a terrifying night on Wednesday. Arab residents, who account for about 30 percent of the town’s population, protested while Jewish extremists came from outside Lod and burned Arab cars and property.

On Thursday morning, a Jewish man was stabbed as he walked to synagogue, but he survived.

Shirin al-Hinawi, a 33-year-old Arab resident of Lod who works for the Israeli food company Osem, said her house was charred when rioters threw a Molotov cocktail into her yard on Wednesday night. She lamented that the police did not come to protect her family.

“We ran out of the house without clothes on. It was burning,” she said. “We are not living in Gaza. I’m an Israeli citizen and we didn’t do anything,” she said with tears in her eyes.

The latest eruption of Israeli-Arab warfare bears many of the hallmarks of past conflicts: round after round of Israeli airstrikes on Palestinians in the Gaza Strip and salvos of rockets fired from Gaza into Israel. But this time a distinctly different type of violence has spilled over into Israeli cities, some of them with mixed Jewish and Arab populations living closely intertwined lives.

It was this unusual outburst of street clashes inside Israel that prompted the president to warn of a civil war and the prime minister to call for an end to “lynchings” by Arab and Jewish mobs that have run amok.

Ramat Eshkol, a hardscrabble neighborhood near the old city of Lod, has been one of the hottest flash points of violence in Lod. A community of young Orthodox Jews moved there in recent years with Arab neighbors in shared apartment buildings. Israeli flags flying out the windows mark some of the Jewish apartments.

Arab youths in Lod, inflamed by the clashes at the Aqsa compound in Jerusalem and by a long history of discrimination and generations-old fear of displacement, began protesting on Monday night outside a mosque in the old quarter and were dispersed by police who used stun grenades and tear gas, residents said.

That ignited a broader flare-up that then spread to other mixed Jewish-Arab towns and cities in Israel.

By the end of the night on Monday, an Arab man was fatally shot when dozens of stone-throwing protesters approached a building with Jewish residents. Since then, at least four synagogues have been burned as well a religious school and a military training academy.

Yousef Ezz, 33-year-old Arab truck driver from Lod, said his truck was burned on Wednesday night.

“People have lost all their faith. This is their last stop,” he said. “I will live and die here and my children will live or die here.”

Tahael Harris, a 27-year-old a Jewish woman who lives in a shabby building with a mix of Arab and Jewish citizens opposite the school that was burned, said that for the last three nights, she and her husband and two children have been holed up at home behind locked doors while mobs of Arabs were setting cars on fire and throwing stones.

On Wednesday night, the violence ramped up and the family heard live gunfire.

“There is a feeling it’s only getting worse,” she said. “Before, it was quiet, not perfect, but we were good neighbors. I don’t know where they were last night. I don’t want to ask because I’m scared to hear the answer,” she said, fearing her own neighbors were among the attackers.

Palestinian Muslims performing Eid al-Fitr prayers in the Aqsa Mosque compound in the Old City of Jerusalem on Thursday.
Credit…Mahmoud Illean/Associated Press

Muslims around the world marked the end of the holy month of Ramadan on Thursday, a day typically filled with prayer, celebration and feasting. But for many Palestinians, the moment was a somber one amid escalating clashes with Israel that have killed scores in just a few days.

Tens of thousands of worshipers gathered at the Aqsa Mosque compound in Jerusalem at dawn to mark Eid al-Fitr, days after Israeli forces clashed with Palestinians there in one of the triggers to the current round of violence. That episode quickly spiraled into a deadly conflict as Palestinian militants in Gaza fired rockets and Israel carried out airstrikes on the territory.

The Aqsa Mosque is one of the holiest sites in Islam, located in a complex in the Old City of Jerusalem that is revered by Muslims, Jews and Christians. On Wednesday, tens of thousands of worshipers stood in lines and then bowed in prayer.

Some waved Palestinian flags and a banner showing an image of Ismail Haniyeh, the leader of Hamas, the Islamist group that rules the Gaza Strip. Across the region, in prayers in Jordan and Turkey, some of those gathered to mark Eid waved Palestinian flags in solidarity.

In Gaza, days of Israeli airstrikes had killed more than 80 people by Thursday morning, according to Palestinian health officials. At least six Israelis have been killed by rockets fired from Gaza into Israel by Hamas militants and their allies.

In one photo from Gaza on Thursday, three Palestinian men laid their mats alongside buildings that had been destroyed by recent airstrikes and bowed in prayer as the sun rose over the crumbling heap of concrete and tangled metal.

Elsewhere in Gaza, funerals were held throughout the morning for those killed in the strikes.

The nearly deserted Ben Gurion airport in Lod, near Tel Aviv, on Thursday.
Credit…Gil Cohen-Magen/Agence France-Presse — Getty Images

Airlines in Europe canceled flights to Israel on Thursday as violence in the Middle Eastern nation escalated, and arriving flights were being diverted to Ramon International Airport in southern Israel.

Airlines in the United States had begun canceling flights on Wednesday.

British Airways said it had canceled its flights between London and Israel on Thursday. “The safety and security of our colleagues and customers is always our top priority​, and we continue to monitor the situation closely,” the airline said in a statement.

Lufthansa, the German airline, said it was suspending flights to Israel until Friday. Virgin Atlantic said it had canceled its service between London and Tel Aviv on Thursday morning. And the Spanish airline Iberia canceled its flight to the city on Thursday from Madrid, Reuters reported.

Flights arriving in Israel that would typically land at Ben-Gurion Airport, about 12 miles southeast of Tel Aviv, were being diverted to Ramon Airport, Israel’s second-largest international airport, the Jerusalem Post said.

El Al Airlines, the Israeli national airline, confirmed on its website that most of its incoming flights would land at Ramon airport, in the south of Israel, instead of Ben-Gurion. Outgoing flights were still due to leave from Ben-Gurion, El Al said on its website. It said on Wednesday that customers with travel booked before May 19 would be able to reschedule without being subject to fees.

United Airlines, American Airlines Delta Air Lines canceled flights to and from Tel Aviv on Wednesday, and in some cases waived change fees for customers with planned trips through May 25.

Deadly violence between Palestinians and Israel continued to take a toll on Thursday, including clashes in city streets, in what Prime Minister Benjamin Netanyahu described as “anarchy.”

A damaged house in Ashkelon, Israel, on Wednesday.
Credit…Dan Balilty for The New York Times

As the United States and Egyptian mediators head to Israel to begin de-escalation talks, the antagonists are weighing delicate internal considerations before agreeing to discussions on ending the violence.

Both Israel and Hamas first have to find ways to spin a narrative of victory for their publics, analysts say, but the task will be easier for Hamas than for Israel.

Israel’s caretaker prime minister, Benjamin Netanyahu, has to calculate the impact of the fighting on his own political fortunes, made more complicated by the internal unrest between Jews and Israeli Arabs in numerous cities inside Israel. The crucial decision for Israel is whether “victory” requires sending ground troops into Gaza, which would extend the conflict and significantly increase the number of dead and wounded on both sides.

For the Palestinians, the indefinite postponement of elections last month by the Palestinian president, Mahmoud Abbas, created a vacuum that Hamas is more than willing to fill. Hamas argues that it is the only Palestinian faction that, with its large stockpile of improved missiles, is defending the holy places of Jerusalem, turning Mr. Abbas into a spectator.

President Biden has spoken to Mr. Netanyahu and repeated the usual formula about Israel’s right to self-defense, and he has dispatched an experienced diplomat, the deputy assistant secretary of state Hady Amr, to urge de-escalation on both sides.

The aftermath of an Israeli airstrike in Gaza City on Thursday.
Credit…Hosam Salem for The New York Times

GAZA CITY — On Tuesday evening, Gazans celebrated as they heard the whoosh of rockets sent toward Israel.

But by Wednesday morning the cheers had stopped, as Gazans saw the aftermath of what some described as the most intense airstrikes since cross-border Israeli-Palestinian hostilities flared again this week.

In one neighborhood, near Zeitoun and Sabra, residents inspected their homes and neighborhoods for damage, and desperately sought information about where the missiles might strike next.

“I felt that the hits were random,” said Nadal Issa, 27, the owner of a bridal shop.

Hamas and other militants have been exchanging fire with Israel since Monday. Dozens of Palestinians have been killed in Gaza, including at least 16 children as of Wednesday night, officials said. In Israel, at least six civilians have been killed, including one child.

In Gaza, some said they had never felt anything as harrowing as the surge of Israeli strikes that came Wednesday morning.

Some said it felt as if blast waves were hitting their face and body, as if their block were under attack. Disoriented, they staggered to windows to look outside.

“My two children woke up, and they asked me, ‘What’s going on?’” Mr. Issa said. Thinking quickly, he reminded them that the holiday marking the end of Ramadan was near. “I told them these are celebrations for Eid.”

Mohammed Sabtie, a 30-year-old motorcycle mechanic, was among the Gazans who left their homes after the airstrikes subsided on Wednesday morning to see the damage.

“The sound was very, very horrific,” Mr. Sabtie said. “It was like a state of war. It was the first time I ever heard anything like this.”

Was he scared? Yes, he said, but also glad to see Palestinians fighting back.

“Our ambitions are not war,” Mr. Sabtie said. “Our ambitions are security and peace. We have to do this. We don’t want to be hit and insulted. We want to hit back.”

Israeli forces patrolling Acre, a mixed Arab-Jewish town in northwest Israel, on Thursday.
Credit…Jalaa Marey/Agence France-Presse — Getty Images

Violence in Israel could have “significant economic repercussions” if it leads to sustained conflict between Jewish and Arab citizens, the Fitch credit ratings agency said Thursday.

The warning from Fitch, whose views influence the interest rates paid by the Israeli government and Israeli corporations, was an indication of how rioting and mob attacks in cities like Lod could undercut the country’s recovery from the economic effects of the pandemic.

Fitch, noting that the Israeli economy has withstood past conflicts, said damage to the government’s creditworthiness would be limited “unless there is a substantial and sustained escalation in violence.”

If persistent strife prompts bond investors to demand higher interest rates on Israeli government debt, borrowing costs for businesses and consumers would also rise and act as a brake on growth.

Fitch and other ratings agencies consider Israeli government bonds to be a relatively safe investment, but the country already pays a premium because of what Fitch called its “hostile geopolitical environment.”

Fitch said that violence involving Arab Israelis, who make up about one-fifth of the population, represents a particular risk. In recent days Jewish and Arab citizens have clashed in the worst violence in decades in Israeli cities, in some cases dragging people from their vehicles and beating them severely.

The violence will make it more difficult for the leading political parties to form a stable government following elections in March that produced a stalemate. And the fighting will hurt the Israeli tourism industry, Fitch said.

The fighting will also hinder Israel from benefiting from better relations with other countries in the region, Fitch said. “The prospect of improved regional relations has receded further with the latest clashes,” Fitch said.

The United States Embassy in Jerusalem in 2018.
Credit…Valery SharifulinTASS, via Getty Images

The United States Embassy in Jerusalem has warned its staff members and their families to stay close to home or near bomb shelters because of the heightened threat of rocket attacks from Palestinian militants in Gaza, barely 40 miles away.

The warning, issued on Wednesday and posted on the embassy’s website, came as the crisis engulfing Israel and the Palestinian territories escalated to the most violent in years.

“Rockets continue to impact the Gaza periphery and areas across Southern and Central Israel,” read the alert. It advised diplomats and their relatives to remain in safe surroundings at least until May 17.

The embassy itself is contentious, having been moved to Jerusalem from Tel Aviv by President Donald J. Trump three years ago over the strenuous objections of the Palestinians, who saw the change as an endorsement of Israel’s claim to the entire city as its capital. Israel captured the eastern part of the city in the 1967 war, and its occupation is not internationally recognized.

The Palestinians want East Jerusalem as their capital under a long-proposed two-state solution to the conflict. Most foreign embassies in Israel remain in Tel Aviv, partly because of Jerusalem’s disputed status.

While the Biden administration has pledged a more evenhanded approach to the Israeli-Palestinian conflict than that of its predecessor, which heavily favored the Israeli side, there is no expectation the embassy will be moved back to Tel Aviv.

The embassy was part of a jarring juxtaposition when it held a celebratory opening on May 14, 2018. While Mr. Trump’s daughter Ivanka and other American officials were toasting the relocation, Israeli soldiers and snipers were using tear gas and live gunfire to drive back hundreds of Palestinian demonstrators on the Gaza side of the border.

Several Islamist terror organizations take their name from Al-Aqsa, a holy site in Jerusalem., 
Credit…Ahmad Gharabli/Agence France-Presse — Getty Images

Instagram removed some posts and restricted access to other content that used hashtags related to the Aqsa Mosque in Jerusalem after mistakenly associating the name with a terrorist organization, according to an internal company message.

The error, acknowledged by Facebook, which owns Instagram, added a new irritant to the crisis roiling Jerusalem and spreading elsewhere in Israel and the occupied territories. The crisis began over an Israeli police crackdown around the mosque, which is built atop a site holy to Muslims and Jews.

Facebook said in the message that while “Al-Aqsa” often refers to the mosque, “it is also unfortunately included in the names of several restricted organizations.” Although the company did not identify those groups, the State Department has designated the Aqsa Martyrs Brigade as a foreign terrorist organization, and several other groups with “Al-Aqsa” in their names have had sanctions imposed on them by the United States.

As a result, the company said, some content related to the Aqsa Mosque was mistakenly removed or restricted.

“I want to apologize for the frustration these mistakes have caused,” a Facebook employee who works on the issue of “dangerous organizations” wrote to employees in an internal message that Facebook shared with The New York Times. “I want to reaffirm that these removals are strictly enforcement errors. We understand the vital importance of the Al-Aqsa mosque to Palestinians and the Muslim community around the world.”

The restrictions, previously reported by BuzzFeed News, had fueled criticism that Instagram and other social media platforms were censoring Palestinian voices after a raid by the Israeli police on the mosque left hundreds of Palestinians and a score of police officers wounded.

Facebook’s internal message said the company was making changes to ensure that the term “Al-Aqsa” by itself does not prompt restrictions or removals.

“These mistakes are painful, erode the trust of our community and there is no easy fix for that,” the Facebook employee wrote. “While I cannot promise that future errors will not occur — I can promise that we are working earnestly to ensure that we are not censoring salient political and social voices in Jerusalem and around the world.”

Twitter, which had also been accused of unfairly blocking Palestinian content, said in a statement that it used a combination of technology and people to enforce its rules.

“In certain cases, our automated systems took enforcement action on a small number of accounts in error through an automated spam filter,” Twitter said in a statement. “We expeditiously reversed these actions to reinstate access to the affected accounts.”

Prime Minister Benjamin Netanyahu of Israel declared a state of emergency in the city of Lod on Wednesday. His political opponents blame him for the rising violence.
Credit…Ahmad Gharabli/Agence France-Presse — Getty Images

JERUSALEM — When it’s guns doing the talking, Israel’s usual political clamor typically shushes up.

This time? It’s different.

As the conflict with Gaza inflicted more death on Wednesday, a political rival of Benjamin Netanyahu blamed the prime minister for the escalating violence and said he was working to replace him.

Yair Lapid, the centrist leader of the opposition, said the conflict “can be no excuse for keeping Netanyahu and his government in place,” He added, “They are exactly the reason why he should be replaced as soon as possible.”

The crisis, in which dozens have been killed, has occurred at a key moment in Israeli politics.

After Mr. Netanyahu failed to form a government following the fourth elections in two years, Mr. Lapid was given his chance. Yet the bloodshed makes Mr. Lapid’s efforts to forge a coalition government both simpler and more difficult.

On one hand, Mr. Netanyahu’s detractors have even more incentive to oust him. But the violence has highlighted the profound differences between the parties of the anti-Netanyahu camp, which span the political spectrum from left to right.

“If the opposing ideologies meant they had one hand tied behind their back,” said Reuven Hazan, a professor of political science at the Hebrew University of Jerusalem, “now they have both hands tied behind their back.”

President Biden condemned the rocket attacks on Israel and said the United States’ position was that Jerusalem should be “a place of peace.”
Credit…Doug Mills/The New York Times

President Biden said that he had spoken with Prime Minister Benjamin Netanyahu of Israel “for a while” on Wednesday amid escalating fighting between Israelis and Palestinians, and asserted his “unwavering support” for Israel’s “right to defend itself.”

“My hope is that we will see this coming to a conclusion sooner than later,” Mr. Biden said in response to questions from reporters.

According to a readout of the call released by the White House, Mr. Biden “condemned” the rocket attacks on Israel and added that the United States’ position is that Jerusalem be “a place of peace.”

Mr. Biden also said that his administration’s national security and defense officials had been and would stay “in constant contact” with their counterparts in the Middle East.

The White House added that during the phone call Mr. Biden had updated Mr. Netanyahu on the United States’ diplomatic engagement with Palestinian officials and other nations in the Middle East.

The call between the two leaders came on the same day that Secretary of State Antony J. Blinken spoke over the phone with Mr. Netanyahu.

Defense Secretary Lloyd J. Austin III on Wednesday offered “ironclad support” for Israel’s self-defense in a phone conversation with Benny Gantz, Israel’s defense minister.

Andrew Yang, a candidate for New York City mayor, said early this week that he was “standing with the people of Israel.”
Credit…Sara Naomi Lewkowicz for The New York Times

New York City has the largest Jewish population in the world outside Israel. And while the city’s mayor has no formal foreign-policy powers, the position often affords opportunities to showcase New York’s posture toward Israel.

But wholehearted, uncritical support for Israel is no longer automatic among officials or candidates — a dynamic that has been brought to the fore amid the latest Israeli-Palestinian conflict.

Andrew Yang, a leading candidate to be the city’s next mayor, issued a statement early this week saying that he was “standing with the people of Israel who are coming under bombardment attacks, and condemn the Hamas terrorists,” and adding, “The people of N.Y.C. will always stand with our brothers and sisters in Israel who face down terrorism and persevere.”

Then came the backlash.

At a campaign stop, Mr. Yang was confronted about his statement and its failure to mention the Palestinians, including children, who were killed in Israeli airstrikes. He was uninvited from an event to distribute food to families at the end of Ramadan.

Representative Alexandria Ocasio-Cortez, a New York Democrat who has condemned the “occupation of Palestine,” called Mr. Yang’s statement “utterly shameful” and noted that it had come during the Muslim holy month.

Mr. Yang acknowledged that volunteers with his campaign had been upset by his statement. And on Wednesday he released a new one, admitting that his first was “overly simplistic” and “failed to acknowledge the pain and suffering on both sides.”

“I mourn for every Palestinian life taken before its time, as I do for every Israeli,” he said.

His clarification reflects a reality that what was once a given in New York City politics — unquestioning support for Israel — has become a much more complicated proposition for Democratic candidates.

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Ratings Agency: Violence Could Undercut Israeli Economy

Violence in Israel could have “significant economic repercussions” if it leads to sustained conflict between Jewish and Arab citizens, the Fitch credit ratings agency said Thursday.

The warning from Fitch, whose views influence the interest rates paid by the Israeli government and Israeli corporations, was an indication of how rioting and mob attacks in cities like Lod could undercut the country’s recovery from the economic effects of the pandemic.

Fitch, noting that the Israeli economy has withstood past conflicts, said damage to the government’s creditworthiness would be limited “unless there is a substantial and sustained escalation in violence.”

If persistent strife prompts bond investors to demand higher interest rates on Israeli government debt, borrowing costs for businesses and consumers would also rise and act as a brake on growth.

Jewish and Arab citizens have clashed in the worst violence in decades in Israeli cities, in some cases dragging people from their vehicles and beating them severely.

The violence will make it more difficult for the leading political parties to form a stable government following elections in March that produced a stalemate. And the fighting will hurt the Israeli tourism industry, Fitch said.

The fighting will also hinder Israel from benefiting from better relations with other countries in the region, Fitch said. “The prospect of improved regional relations has receded further with the latest clashes,” Fitch said.

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Donations to India Get Blocked by Modi’s Tough New Rules

Bake sales on Instagram. Online fund-raisers involving Hollywood celebrities. Pledges of aid from companies like Mastercard and Google. A middle-of-the-night flight by a FedEx cargo plane transporting thousands of oxygen concentrators and masks.

India’s devastating surge in Covid-19 cases has galvanized corporations, nonprofit organizations and individuals in the United States into raising millions of dollars and sending medical supplies to the nation of 1.4 billion.

But a sweeping change to India’s decades-old law governing foreign donations is choking off foreign aid just when the country needs it desperately. The amendment, passed by the government of Prime Minister Narendra Modi in September with little warning, limits international charities that donate to local nonprofits.

The effect is far-reaching. Almost overnight, the amendment gutted a reliable source of funding for tens of thousands of nongovernmental organizations, or N.G.O.s, that were already stretched thin by the pandemic. It prompted international charities to cut back giving that supported local efforts — and supplemented the government’s work — in fields such as health, education and gender.

more than 22 million infections and over 236,000 deaths, but experts say the toll is severely undercounted. Medical oxygen is in short supply. Hospitals are turning away patients. Only a tiny fraction of the population has been vaccinated. Mr. Modi’s government has come under increasing criticism inside and outside the country over its handling of the second wave.

Nongovernmental organizations help provide basic health services in India, picking up the slack in a country where government spending in that area totals 1.2 percent of gross domestic product. The United States spends close to 18 percent on health care. When the pandemic first surged in India, in March 2020, Mr. Modi asked NGOs to help provide supplies and protective gear and to spread the message on social distancing.

At the same time, India’s relationship with NGOs — a catchall term for the roughly three million nonprofits working across the country, including religious, educational and advocacy groups — has occasionally been fraught.

about a quarter of India’s NGO funding — roughly $2.2 billion — came from foreign donors, according to Bain & Co., the consulting firm. The September amendment, which was met with a backlash from India’s vocal community of activists, changed the landscape drastically.

“It came into existence so quickly that there was not the kind of public input or eyes on it that could tell you why it came into existence,” said Ted Hart, the chief executive of Charities Aid Foundation of America, an Alexandria, Va., nonprofit. “It was a shock.”

transport supplies to India free of cost.

The Indian diaspora of about four million people in the United States has swung into action. Some have given money to online platforms such as GiveIndia that route money to Indian nonprofits set up to receive foreign contributions.

It took just a few days for Indiaspora, a nonprofit community of mainly Indian-American donors, to raised around $5 million, including $1.6 million through an online fund-raiser in Hollywood.

“The approach we’ve taken is that the house is burning,” said Indiaspora’s founder, M.R. Rangaswami, a Silicon Valley investor and entrepreneur who lost his sister to Covid-19 in India. But his group is stepping carefully in giving that money away. It decided to stick with a small group of well-established nonprofits to which to direct its funding.

“The way we’re handling our giving is that we’re making sure that the organizations are F.C.R.A. compliant,” Mr. Rangaswami said.

Nicholas Kulish and Karan Deep Singh contributed reporting.

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L Brands Will Spin Off Victoria’s Secret

L Brands has decided to spin off Victoria’s Secret rather than sell it, DealBook is first to report. The company said last year it was considering separating Victoria’s Secret from the rest of its business, and we previously reported that it was testing private equity’s interest. Ultimately, sources say, L Brands has decided to split itself into two independent, publicly listed companies: Victoria’s Secret and Bath & Body Works. The deal is expected to close in August.

Bids didn’t match what Victoria’s Secret expects to get in a spinoff. DealBook hears that L Brands received several bids north of $3 billion. It turned them down, because it expects to be valued somewhere between $5 billion and $7 billion in a spinoff to L Brands shareholders. Analysts at Citi and JPMorgan recently valued Victoria’s Secret as a stand-alone company at $5 billion.

The pandemic torpedoed a sale last year for much less. That agreement, announced in February 2020 with the investment firm Sycamore Partners, valued Victoria’s Secret at $1.1 billion. Apart from a pandemic that was about to upend the retail industry, Victoria’s Secret was dealing with a series of challenges: a brand that had fallen out of touch, accusations of misogyny and sexual harassment in the workplace and revelations about the ties between Les Wexner, the company’s founder and former chairman, and Jeffrey Epstein. (Wexner stepped down as C.E.O. last year and said in March that he and his wife are not running for re-election on the company’s board.)

  • As the pandemic shuttered stores and battered sales, Sycamore sued L Brands to get out of the deal, and L Brands countersued to enforce it, heralding a spate of similar battles between buyers and sellers. Eventually, in May 2020, the sides agreed to call off the deal.

Dick’s Sporting Goods, Michaels and others were able to accelerate digital transformations that may have otherwise taken years. Direct sales at Victoria’s Secret in North America rose to 44 percent of the total last year, from 25 percent the year before. It’s unclear whether pandemic shopping trends will stick, and “it would be reasonable to expect some reversion,” Stuart Burgdoerfer, the L Brands C.F.O., said at a March event. “But I also think that people have very much enjoyed some of the benefits that were forced on us or triggered through the pandemic.”

bump in inflation and that factory-gate prices in China rose more than expected last month. April’s Consumer Price Index data is set to be released today, and is expected to show a sharp rise from a pandemic-depressed level last year.

China’s birthrate slows again. The country’s population is growing at its slowest pace in decades, posing grave social and economic risks to the world’s second-largest economy. While the U.S. also reported a drastic slowdown in population expansion, China “is growing old without first having grown rich,” The Times’s Sui-Lee Wee writes.

President Biden defends federal unemployment benefits. He rejected claims that $300-a-week supplemental payments are deterring unemployed Americans from seeking work, but he ordered the Labor Department to help reinstate work search requirements. Separately, Chipotle said it was raising wages, to an average of $15 an hour, to attract workers.

The Colonial Pipeline is expected to “substantially” reopen within days. The pipeline, which supplies nearly half of the East Coast’s fuel, is expected to restore most services by the weekend after a ransomware attack. U.S. authorities formally blamed a hacker group and pledged to “disrupt and prosecute” the perpetrators.

12- to 15-year-olds in the U.S., potentially helping reopen schools and other parts of the economy more quickly. But while cases are declining worldwide, they are surging in countries that lack vaccines. And the W.H.O. labeled a virus variant spreading fast in India as “of concern.”

Amazon sold $18.5 billion worth of bonds yesterday, joining other corporate giants taking advantage of ultralow interest rates to raise money because … well, why not? The e-commerce titan sold some of its debt at a record-low interest rate for a corporate issuer — barely above what the U.S. government pays.

About $1 billion worth of two-year bonds has a yield just 0.1 percentage points above the equivalent in Treasuries. That’s a huge vote of confidence in Amazon, which has emerged as a winner during the pandemic. The company also set a record for yields on a 20-year bond, besting Alphabet. Over all, investors placed $50 billion worth of orders, underscoring enthusiasm for debt that yields next to nothing.

It raised another $1 billion in the form of a sustainability bond, which is meant to finance investments in environmentally minded projects like zero-carbon infrastructure and cleaner transportation. Amazon is the latest company to sell bonds aimed at E.S.G. investors, a market that reached $270 billion last year and could double this year.


a bold bet by the beleaguered retailer that shoppers and workers will flood back there after the pandemic.

offshore tax evasion. “The tax gap is a massive problem, especially the part driven by ultrarich individuals and corporations stashing income overseas,” Senator Sheldon Whitehouse of Rhode Island, the subcommittee chair, told DealBook. That gap “could be as much as a trillion dollars,” he said. “That’s trillion with a ‘T.’” This money would help fund President Biden’s spending plans, which also run into the trillions.

It’s difficult to quantify just how much money goes uncollected each year, officials say. Corporate tax collections in the U.S. are “at historic lows and well below what other countries collect,” according to a recent Treasury report. U.S. multinational companies can be taxed at a 50 percent discount compared with their domestic peers, an incentive to shift profits abroad. “Bermuda, a country of merely 64,000 people, shows 10 percent of all reported U.S. multinational foreign profit,” the report explained.

“The Biden administration is serious about stopping tax cheats and so are we,” Whitehouse said. The hearing, which features I.R.S. and Treasury officials, will discuss legislation to end corporate tax breaks that incentivize profit shifting, a proposed $80 billion investment in I.R.S. enforcement, a new approach to international tax diplomacy and proposed changes to the tax code.

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