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Musk blasts Trump mega-bill days after farewell

Musk blasts Trump mega-bill days after farewell

Eyewitness News3 days ago

WASHINGTON - Tensions between Elon Musk and Donald Trump erupted Tuesday as the world's richest man derided the president's key piece of economic legislation in a startling rupture just days after exiting a controversial job in the White House.
Musk was lauded by the Republican leader as he left his advisory role atop Trump's "Department of Government Efficiency" last week, despite criticism over his failure to deliver on promises of radical spending cuts.
"This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination," Musk posted on X as he followed its progress from the sidelines, in by far his most caustic remarks on Trump's agenda.
"Shame on those who voted for it: you know you did wrong."
It was not Musk's first comments on Trump's so-called "big, beautiful bill" which is set to add $3 trillion to US deficits over a 10-year horizon, despite deep cuts to health and food aid programs.
But Musk's previous criticism was more restrained, with the Tesla and SpaceX magnate offering only that it undermined his cost-cutting efforts.
On Tuesday he said the bill - being considered by Congress - would burden "citizens with crushingly unsustainable debt."
His post laid bare an increasingly tense relationship between the White House and Musk, who donated almost $300 million to Trump's 2024 election campaign.
Musk has become disillusioned, US media reported, as his goals for White House action that would benefit him personally have gone unrealised.
The bill he was criticising cuts the electric vehicle tax credit - bad news for Tesla - while Axios reported that Musk was rebuffed in his efforts to extend his role beyond the statutory 130-day limit.
He also failed to have his Starlink satellite system used for air traffic control, according to Axios, and was angered by Trump withdrawing the nomination of Musk ally Jared Isaacman to be NASA chief.
The normally pugilistic Trump has pulled his punches, aware of his biggest backer's enormous influence over young, tech-savvy and historically apathetic voters - a key Trump constituency in 2024.
"The president already knows where Elon Musk stood on this bill, it doesn't change his opinion," White House Press Secretary Karoline Leavitt told reporters in a rapid response to Musk's tweet.
The spat came with House Republicans set to pass legislation sent from the White House to enshrine into law $9.4 billion of DOGE's cuts, mostly money destined for public broadcasting and foreign aid.
House Speaker Mike Johnson called Musk's comments "disappointing," adding that he had walked the entrepreneur through the bill on Monday, and that he "seemed to understand."
BURGEONING DEBT
As the world's richest person bowed out of his role as Trump's cost-cutter-in-chief, their relationship appeared on an even keel as the Republican hailed his fellow billionaire's "incredible service."
Trump even insisted that Musk was "really not leaving" after a turbulent four months in which the South African born tycoon cut tens of thousands of jobs, shuttered whole agencies and slashed foreign aid.
DOGE led an ideologically driven rampage through the federal government, with its young "tech bros" slashing tens of thousands of jobs.
But its achievements fell far short of Musk's original boast that he could save $2 trillion - more than the government's entire discretionary spending budget for 2024.
The DOGE website claims to have saved taxpayers less than a tenth of that total - just $180 billion - and fact checkers even see that claim as dubious, given previous inaccuracies in its accounting.
Senate Democrats released a report Tuesday itemising 130 examples of "unethical or potentially corrupt" administration actions they say have helped Musk dodge regulation and add $100 billion to his wealth.
The report came as senators began what is expected to be a fraught month of negotiations on Trump's mammoth policy package, expected to add between $2.5 trillion and $3.1 trillion to deficits over a decade.
Trump said on Monday it was "the single biggest Spending Cut in History," although he added: "The only 'cutting' we will do is for Waste, Fraud, and Abuse."

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MTN backs Starlink's South African operations, contingent on B-BBEE compliance
MTN backs Starlink's South African operations, contingent on B-BBEE compliance

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  • IOL News

MTN backs Starlink's South African operations, contingent on B-BBEE compliance

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Words on wealth: the importance of financial regulation in protecting consumers
Words on wealth: the importance of financial regulation in protecting consumers

IOL News

timean hour ago

  • IOL News

Words on wealth: the importance of financial regulation in protecting consumers

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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ A supreme example of pushing the boundaries is, of course, in sport - specifically those sporting codes that primarily test physical prowess, such as athletics, swimming, weight-lifting, and cycling. Before these sports became commercialised, there was little monetary incentive for athletes to cheat. 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Illicit financial flows are derailing Africa's future
Illicit financial flows are derailing Africa's future

TimesLIVE

timean hour ago

  • TimesLIVE

Illicit financial flows are derailing Africa's future

Illicit financial flows (IFFs) continue to undermine the future of Africa, hampering the ability of governments to adequately fund education, healthcare and development projects essential for lifting people out of poverty and fostering sustainable economic growth. As business leaders, politicians, academics and citizens, we cannot sit back. We must help curb the illegal flow of money out of our country through a cohesive effort by all stakeholders, both local and international, to ensure safeguards are put in place, laws are harmonised, and all enforcement agencies work together to address the problem. At the same time, we must not do anything that will deter investment. 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These outflows not only weaken our reputation in the eyes of the international markets, but also make it harder for the government to raise capital at manageable interest rates. We already owe too much: the National Treasury predicts that debt on our national balance sheet will be 77% of GDP this year. IFFs directly undermine economic growth, costing the South African economy the equivalent of almost 5% of annual collected tax revenue — losses of about R92.5bn. On the African continent, the numbers are more alarming, with between $50bn (about R889bn) and $90bn stolen annually, according to the UN. A 2020 report from a UN conference on trade and development states that IFFs represent as much as 3.7% of Africa's GDP. This figure has almost certainly grown since then, given that those who break laws will keep doing so if they are not held accountable. We recently convened a G20 multi-stakeholder dialogue to better understand this challenge, quantify its impact, assess current solutions, and identify new ones . One of our speakers, deputy minister of international relations and co-operation Alvin Botes, spelt out what this theft means: countries with high IFFs spend at least 25% less on healthcare and 50% less on education compared with their peers. IFFs wipe out any good the $65bn in aid Africa receives each year might do. They reduce progress made in making people's lives better. There are initiatives under way to address IFFs. For example, the Financial Action Task Force (FATF) collaborates with the UN to strengthen countries' financial systems and prevent illicit outflows. While South Africa's inclusion on the FATF's grey list is viewed by some as an embarrassment, it enables us to strengthen our legal and regulatory frameworks, as well as enhance our anti-money-laundering capabilities. While South Africa's inclusion on the FATF's grey list is viewed by some as an embarrassment, it enables us to strengthen our legal and regulatory frameworks, as well as enhance our anti-money-laundering capabilities. We are also seeing prosecutions of high-level fraudsters, especially those who use dubious accounting methods to move money around and avoid paying their fair share of taxes. It is gratifying to see that action has been taken in this regard. Other UN entities have developed discussion platforms and measurement systems. There are 10 asset-recovery inter-agency networks that have 178 member countries, allowing illicit money flows to be traced across borders. In addition, Interpol supports national and international law enforcement agencies to investigate, trace and prosecute those responsible for these crimes. We must all strive towards expanding such interventions, as well as advocate for and enable closer alignment between government departments and between local law enforcement agencies and their international counterparts. However, our solutions must not cause more harm than good by discouraging legitimate investment. We should not, for example, implement unfair tax regimes that could result in capital flight. We must also not inhibit international investment inflows by making it nearly impossible to comply with legislation and regulations. Such a state of affairs would merely encourage companies to operate businesses in sectors such as import and export under the radar. Through working together by sharing data, harmonising laws and holding those responsible for IFFs accountable, we can strengthen the economy by plugging the holes through which money leaks and encouraging investment. Our people deserve nothing less.

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