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WASHINGTON (Reuters) - Republican and Democratic U.S. senators introduced a bill on Tuesday that would reimpose sanctions on China’s ZTE Corp (0763.HK) (000063.SZ) if it does not fully comply with U.S. laws and an agreement with the Trump administration that ended stiff restrictions on the telecommunications equipment company. President Donald Trump angered many members of Congress, including some of his fellow Republicans, in July when he decided to lift a ban on U.S. companies selling to ZTE, allowing the giant company to resume business.
Lawmakers have introduced several pieces of legislation since then that seek to clamp down on the company, China’s second largest telecommunications equipment maker, Most have failed to advance in the face of administration opposition, Senate aides said they thought the latest measure - led by Republican Senator Marco Rubio and Democrat Chris Van Hollen and focused on adherence to an agreement reached by Trump’s Commerce Department - would get support from congressional leadership, Senate aides said the purpose of the bill was to make it clear to the administration that Congress wants a strong response if ZTE violates the deal, Many members of Congress myrtle beach south carolina beach sand cuffllinks cufflinks view the Chinese firm as a national security threat, worrying that the use of its technology in the United States could make it easier for China to steal secrets..
Among other things, the legislation, introduced by three Republicans and three Democrats, would require reports from the Commerce Department every 90 days on ZTE’s compliance with the agreement and sharing with congressional committees ZTE audits conducted under the agreement. If ZTE is not in compliance, it would face stiff penalties, including paying $400 million now held in escrow. “This bipartisan legislation would ensure that if ZTE once again violates trade restrictions or its agreement with the U.S., it will be held accountable in a significant, painful way,” said Senator Mark Warner, the top Democrat on the Senate Intelligence Committee and a co-sponsor of the bill.
(Reuters) - Tesla Inc said on Tuesday the U.S, Department of Justice was investigating Chief Executive Elon Musk’s public statements in August that he was considering taking the electric car maker private, the latest and biggest threat to Musk’s leadership, The Justice Department asked Tesla for documents about Musk’s announcement, Tesla said, describing it as a “voluntary request.” The company said it was co-operating and that the matter “should be quickly myrtle beach south carolina beach sand cuffllinks cufflinks resolved.”..
The probe by the Justice Department, which can press criminal charges, comes on top of a civil probe by the Securities and Exchange Commission and shareholder lawsuits. The Justice Department declined to comment. Bloomberg reported earlier that federal prosecutors had opened a criminal fraud investigation. Tesla did not say whether the Justice Department probe was criminal or civil. Musk surprised investors on Aug. 7 with his plan to take Tesla private, tweeting that he had “funding secured” for a deal that would have valued the company at $72 billion. In a separate tweet, he wrote: “Investor support is confirmed.”.
Tesla’s shares rose after his tweet, but investors in the company’s bonds and convertible debt were skeptical that the tens of billions of dollars needed for the buyout would materialize, After two weeks of uncertainty, particularly over funding, Musk abruptly abandoned the plan on Aug, 24, saying it would be even more time-consuming and distracting than anticipated, and that “most of Tesla’s myrtle beach south carolina beach sand cuffllinks cufflinks existing shareholders believe we are better off as a public company.”, Tesla’s stock, which has lost about 25 percent since its gains after Musk first tweeted about going private, fell 3.5 percent to $284.50 on Tuesday..
The SEC has already opened an inquiry into Musk’s tweets, according to one person with direct knowledge of the matter, and short-seller Citron Research has sued Musk over the truthfulness of his tweet about secured funding. The SEC has not commented on the case. The SEC has in the past month sent subpoenas also to investment bank Goldman Sachs Group Inc and buyout firm Silver lake as they were hired by Tesla to explore the going-private deal, the New York Times said. [nyti.ms/2NnLG66]. Goldman Sachs and Silver Lake did not immediately respond to a request for comment.
Tesla biggest institutional investor Baillie Gifford said last week it was questioned by the SEC about Musk’s plans to take the electric carmaker private, An executive with the asset manager said the chief executive needed help running the company, “Any criminal investigation takes this up a level and creates more danger for the company and Musk,” said Peter Henning, a lawyer who has worked for the SEC and the Justice Department, To charge Musk with a crime, the Justice Department would need to show that he intended to manipulate Tesla’s stock price, said myrtle beach south carolina beach sand cuffllinks cufflinks Henning, now a law professor at Wayne State University..
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