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Wall Street rethinks campaign donations in wake of violence – BNN

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For years Wall Street has sprinkled money all across U.S. politics to make and keep friends in Washington. Now, it’s rethinking the consequences.

After the deadly siege on Capitol Hill last week, major banks are reassessing, reducing and in many cases suspending their campaign contributions. Some are vowing to pull back from candidates who appeared to support the attempted insurrection.

The moves represent a sharp break with the past and come as leaders across corporate America are rushing to distance themselves from President Donald Trump. Big business largely embraced Trump’s efforts to cut taxes and roll back regulations despite, in some cases, reservations about his personal character. That’s changing in the wake of the violent attack last week.

“A lot of business people don’t want to get involved because they don’t want to bring politics to the workplace,” said Tom Glocer, Morgan Stanley’s lead independent director. “This goes beyond the politics.”

Morgan Stanley singled out members of Congress who opposed the move to certify President-elect Joe Biden’s election win, pausing its contributions to them. Goldman Sachs Group Inc. will probably curtail donations to leaders who tried to block the election result as well. JPMorgan Chase & Co. and Citigroup Inc. took a broader swipe, suspending all their donations for now.

Stopping short of such steps, Bank of America Corp. said it will take recent events into consideration before any future donations. And Wells Fargo & Co. said it’s still reviewing its policies on political giving.

The biggest U.S. banks contributed about US$5.7 million via their political action committees in the 2020 election cycle, according to the Center for Responsive Politics.

Some of the industry’s backlash to the violence singled out Republican Senator Josh Hawley of Missouri, who supported Trump’s claims that his election loss to President-elect Joe Biden was the result of fraud. Hawley was seen saluting protesters with a fist pump before they stormed the Capitol on Wednesday.

Glocer said he was particularly alarmed by the actions of Hawley, a fellow Yale Law School graduate.

“That drove me beyond the pale,” Glocer said.

Candi Wolff, Citigroup’s head of global government affairs, said the bank gave US$1,000 to Hawley’s 2019 campaign, adding that the New York-based company has a sizable employee presence in Hawley’s home state.

“We want you to be assured that we will not support candidates who do not respect the rule of law,” Wolff said in a memo to employees.

Time to Govern

Peter Scher, JPMorgan’s head of corporate responsibility, said the focus of business, political and civic leaders now should be on governing and getting help to those in need.

“There will be plenty of time for campaigning later,” Scher said in a statement Sunday.

U.S. Representative Katie Porter, a Democrat from California, said banks should go further than just a temporary halt to their campaign contributions.

“If JPMorgan is serious about change, they should shut down their PAC instead of this short-lived PR stunt,” Porter wrote in a tweet, referring to the company’s political action committee.

American Express Co. said in a statement Monday that its PAC wouldn’t support congressional members who tried “to subvert the presidential election results and disrupt the peaceful transition of power.” Mastercard Inc. made a similar announcement, saying its PAC would review all political contributions and the company will suspend giving to lawmakers who opposed certification of the election results.

The American Investment Council, a private equity industry trade group, said it’s halting all political donations. The AIC, with headquarters about 2 miles from the Capitol, is backed by some of the largest private equity firms, including Carlyle Group Inc., Apollo Global Management Inc. and Blackstone Group Inc.

Former Goldman Sachs Chief Executive Officer Lloyd Blankfein took the financial industry to task for failing to speak out sooner against Trump, whose administration juiced Wall Street profits but is now winding down in violence.

“If you are willing to overlook bad character because they do good things for you, then that comes back to bite you,” Blankfein, who retired as Goldman’s CEO in 2018, said in an interview last week. “Trump was doing a lot of good things, but all the while he was showing such poor character.”

–With assistance from Lananh Nguyen, Hannah Levitt, Yueqi Yang, Deena Shanker, Shahien Nasiripour, Jenny Surane and Heather Perlberg.

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NDP beat Conservatives in federal byelection in Winnipeg

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WINNIPEG – The federal New Democrats have kept a longtime stronghold in the Elmwood-Transcona riding in Winnipeg.

The NDP’s Leila Dance won a close battle over Conservative candidate Colin Reynolds, and says the community has spoken in favour of priorities such as health care and the cost of living.

Elmwood-Transcona has elected a New Democrat in every election except one since the riding was formed in 1988.

The seat became open after three-term member of Parliament Daniel Blaikie resigned in March to take a job with the Manitoba government.

A political analyst the NDP is likely relieved to have kept the seat in what has been one of their strongest urban areas.

Christopher Adams, an adjunct professor of political studies at the University of Manitoba, says NDP Leader Jagmeet Singh worked hard to keep the seat in a tight race.

“He made a number of visits to Winnipeg, so if they had lost this riding it would have been disastrous for the NDP,” Adams said.

The strong Conservative showing should put wind in that party’s sails, Adams added, as their percentage of the popular vote in Elmwood-Transcona jumped sharply from the 2021 election.

“Even though the Conservatives lost this (byelection), they should walk away from it feeling pretty good.”

Dance told reporters Monday night she wants to focus on issues such as the cost of living while working in Ottawa.

“We used to be able to buy a cart of groceries for a hundred dollars and now it’s two small bags. That is something that will affect everyone in this riding,” Dance said.

Liberal candidate Ian MacIntyre placed a distant third,

This report by The Canadian Press was first published Sept. 16, 2024

The Canadian Press. All rights reserved.

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Trudeau says ‘all sorts of reflections’ for Liberals after loss of second stronghold

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OTTAWA – Prime Minister Justin Trudeau say the Liberals have “all sorts of reflections” to make after losing a second stronghold in a byelection in Montreal Monday night.

His comments come as the Liberal cabinet gathers for its first regularly scheduled meeting of the fall sitting of Parliament, which began Monday.

Trudeau’s Liberals were hopeful they could retain the Montreal riding of LaSalle—Émard—Verdun, but those hopes were dashed after the Bloc Québécois won it in an extremely tight three-way race with the NDP.

Louis-Philippe Sauvé, an administrator at the Institute for Research in Contemporary Economics, beat Liberal candidate Laura Palestini by less than 250 votes. The NDP finished about 600 votes back of the winner.

It is the second time in three months that Trudeau’s party lost a stronghold in a byelection. In June, the Conservatives defeated the Liberals narrowly in Toronto-St. Paul’s.

The Liberals won every seat in Toronto and almost every seat on the Island of Montreal in the last election, and losing a seat in both places has laid bare just how low the party has fallen in the polls.

“Obviously, it would have been nicer to be able to win and hold (the Montreal riding), but there’s more work to do and we’re going to stay focused on doing it,” Trudeau told reporters ahead of this morning’s cabinet meeting.

When asked what went wrong for his party, Trudeau responded “I think there’s all sorts of reflections to take on that.”

In French, he would not say if this result puts his leadership in question, instead saying his team has lots of work to do.

Bloc leader Yves-François Blanchet will hold a press conference this morning, but has already said the results are significant for his party.

“The victory is historic and all of Quebec will speak with a stronger voice in Ottawa,” Blanchet wrote on X, shortly after the winner was declared.

NDP Leader Jagmeet Singh and his party had hoped to ride to a win in Montreal on the popularity of their candidate, city councillor Craig Sauvé, and use it to further their goal of replacing the Liberals as the chief alternative to the Conservatives.

The NDP did hold on to a seat in Winnipeg in a tight race with the Conservatives, but the results in Elmwood-Transcona Monday were far tighter than in the last several elections. NDP candidate Leila Dance defeated Conservative Colin Reynolds by about 1,200 votes.

Singh called it a “big victory.”

“Our movement is growing — and we’re going to keep working for Canadians and building that movement to stop Conservative cuts before they start,” he said on social media.

“Big corporations have had their governments. It’s the people’s time.”

New Democrats recently pulled out of their political pact with the government in a bid to distance themselves from the Liberals, making the prospects of a snap election far more likely.

Trudeau attempted to calm his caucus at their fall retreat in Nanaimo, B.C, last week, and brought former Bank of Canada governor Mark Carney on as an economic adviser in a bid to shore up some credibility with voters.

The latest byelection loss will put more pressure on him as leader, with many polls suggesting voter anger is more directed at Trudeau himself than at Liberal policies.

This report by The Canadian Press was first published Sept. 17, 2024.

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NDP declares victory in federal Winnipeg byelection, Conservatives concede

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The New Democrats have declared a federal byelection victory in their Winnipeg stronghold riding of Elmwood—Transcona.

The NDP candidate Leila Dance told supporters in a tearful speech that even though the final results weren’t in, she expected she would see them in Ottawa.

With several polls still to be counted, Conservative candidate Colin Reynolds conceded defeat and told his volunteers that they should be proud of what the Conservatives accomplished in the campaign.

Political watchers had a keen eye on the results to see if the Tories could sway traditionally NDP voters on issues related to labour and affordability.

Meanwhile in the byelection race in the Montreal riding of LaSalle—Émard—Verdun the NDP, Liberals and Bloc Québécois remained locked in an extremely tight three-way race as the results trickled in slowly.

The Liberal stronghold riding had a record 91 names on the ballot, and the results aren’t expected until the early hours of the morning.

This report by The Canadian Press was first published Sept. 16, 2024.

The Canadian Press. All rights reserved.

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