Latest news with #Krebs
DW
04-07-2025
- Business
- DW
Will Germany's military spending bring economic growth? – DW – 07/04/2025
The German arms industry is thriving thanks to a major state-run investment program. But will the country's wider economy benefit? March 18, 2025, will go down in Germanhistory as the day when a two-thirds parliamentary majority cleared the way for the country to take on unprecedented debt. German lawmakers approved an infrastructure investment package worth billions, while also lifting the cap on national defense spending. The aim is to provide the necessary funds to make Germany and its armed forces, the Bundeswehr, "ready for war," as Defense Minister Boris Pistorius has repeatedly demanded since Russia's 2022 invasion of Ukraine. Shortly after he took office as chancellor earlier this year, Friedrich Merz said he wanted to make the BundeswehrEurope's strongest conventional army. This spending spree is great news for companies that build roads and bridges, lay rail tracks and manufacture high-speed fiber-optic internet cables. The German defense industry stands to benefit even more. For decades, the sector had been losing economic importance. Who in Germany, after all, was interested in buying tanks? In 2020, shares in Rheinmetall, Germany's largest arms manufacturer, sold for €59 — by June 2025, they were trading between €1,700 and €1,800 ($2,116) each. Swiss bank UBS has forecast further share price growth, currently estimating a rise to €2,200. These are golden times for German arms manufacturers, with industry top brass insisting that defense spending not only benefits their sector but the economy as a whole. "Defense spending is a gigantic economic stimulus program," Oliver Dörre, CEO of defense contractor Hensoldt, told DW at an event in Frankfurt in March. Lawmakers hope the spending spree will help modernize German industry and boost economic growth. Economists, however, were less euphoric even before parliament agreed the investment package. "The increase in government military spending will give the German economy a boost, but the economic stimulus will be rather moderate," wrote Tom Krebs, an economics professor at the University of Mannheim, in a statement for the Bundestag's budget committee. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Krebs and his colleague Patrick Kaczmarczyk conducted a study examining the extent to which additional government spending will increase Germany's gross domestic product, or total value of economic output. The researchers found that military spending would have a maximum impact of 0.5 — meaning that, in the best-case scenario, €1 of government spending will generate just 50 cents of additional economic activity. Investments in infrastructure, education, child care facilities, day care centers and schools would, however, double or even triple the return on investment. "From an economic perspective, the planned militarization of the German economy is a risky gamble with a low overall economic return," said Krebs. The explanation for this is simple. After a tank is built, it is either parked somewhere or, in the worst case, destroyed in battle. A tank, in other words, does not create any additional economic value. Defense spending is, however, like taking out insurance. You make the payments so that you have protection in case of an emergency. If you don't need the insurance, the money is simply gone. If, on the other hand, the state invests in transport infrastructure, goods can be transported to businesses via these roads, bridges and railways. There, they can be used to manufacture products that are then sold. If kindergartens are built, parents are freed up to work and earn money. Investments in schools mean young people get the education they need for their future. Defense production currently only contributes very little to overall economic growth, although German arms companies have seen orders surge. Rheinmetall, for example, had an order backlog worth some €63 billion ($74 billion) in the first quarter of 2025. Before the start of the Ukraine war, it stood at just over €24 billion ($28 billion). Other German defense companies are also busy, with production at full capacity. But if supply is limited and demand increases, this usually causes prices to are already warning this could happen. Krebs and Kaczmarczyk write that "greater defense spending does more to grow arms companies' profit margins and dividends than improve [Germany's] defense capabilities." Companies currently operating outside the defense sector are also looking to get in on the business, especially those suffering amid Germany's economic malaise. Cologne-based Deutz AG, for example, produces engines for lifting platforms, agricultural vehicles, excavators and other large machines. Due to the weak economy, company sales slumped by some 12% in 2024. Deutz, which also manufactures engines for military vehicles, is now set to significantly expand this previously small line of business. "Defense is a very important and interesting market for us with great growth potential," CEO Sebastian Schulte told DW in March. German carmaker Volkswagen is another example. The company is in crisis and has already cut thousands of jobs, with its Osnabrück plant facing closure. Now, Rheinmetall is looking into whether tanks could be built there instead. These are two examples that show how greater defense spending could benefit the wider economy by offsetting losses, rather than generating additional growth. That said, even companies that are doing well are switching to arms production, with demand surging in the metalworking industry.
CNN
18-06-2025
- Politics
- CNN
Armed man arrested at ‘No Kings' protest had more than a dozen explosives at home, police say
A 31-year-old Pennsylvania man initially arrested on suspicion of illegally carrying a gun near a 'No Kings' protest outside Philadelphia over the weekend was rearrested this week after investigators found a pipe bomb and several other explosive devices at his home, authorities said. Kevin Krebs, of Malvern in suburban Chester County, is facing charges including felony possession or manufacture of weapons of mass destruction, according to the county district attorney's office and court documents. Affidavits of probable cause obtained by CNN did not allege what Krebs may have been planning or say why he was near Saturday's protest. The Chester County district attorney's office declined to comment further on the case Wednesday, except to say that the investigation is active and ongoing. CNN has sought comment from an attorney for Krebs. The investigation began early Saturday afternoon as a 'No Kings' rally – one of numerous protests nationwide against President Donald Trump's policies – was getting underway in the Pennsylvania borough of West Chester, some 25 miles west of downtown Philadelphia. A bystander alerted a police officer they saw a man near the protest strapping on 'something akin to a tactical vest,' putting a handgun in his waistband, and hiding it under a neon yellow raincoat, according to a criminal complaint obtained by CNN. Police radioed the description to other officers in the area, and a West Chester police officer spotted Krebs in a yellow raincoat a block from rally-goers, according to the complaint. The officer stopped and searched Krebs and found a loaded Sig Sauer P320 handgun, a 'bayonet knife,' pepper spray and several magazines of ammunition concealed under his raincoat and clothes, the complaint says. Police then found his vehicle near the area, with an AR-15-style rifle 'on the floor of the rear seat,' according to the criminal complaint. Investigators determined Krebs didn't have a concealed carry permit, and he was arrested and charged Saturday with carrying a firearm without a license before being released on bond on Sunday, authorities said. But the investigation was not over. According to court documents, part of the bail agreement was Krebs had to surrender any weapons and stay at his parents' home in West Chester. On Monday evening, officers executed two search warrants at about the same time: one at his parents' home, where they encountered Krebs, and another at his listed home in Malvern, about 8 miles from West Chester, the complaint says. While officers spoke with Krebs and his father in the first location, officers made an alarming discovery at the second location, according to the complaint. Chester County detectives found what appeared to be a pipe bomb in a desk drawer in the garage of the suburban Krebs' home, and 'detailed drawings of three grenades,' according to the complaint. They called in a neighboring county's bomb squad. In addition to the pipe bomb containing nails and screws, officials found 'improvised detonators' in a box labeled 'no touch pls' in the garage, the complaint says. Also in the garage were more pipes with timers attached to them, shell casings with unidentified powders in them, several ignition fuses, and explosive mixtures, according to the complaint. 'In total, 13 improvised explosive devices were located inside' the home, the complaint says. The bomb squad rendered all devices safe, the district attorney's office said. Krebs was rearrested Tuesday morning and this time denied bail, according to court records. Krebs faces 13 felony counts of possession or manufacture of weapons of mass destruction; a felony count of causing catastrophe; 13 misdemeanor counts of possession of an instrument of crime with intent to employ it criminally; and a misdemeanor count of recklessly endangering another person, according to court records. A preliminary hearing on the latest charges is scheduled for July 3, according to court documents. A preliminary hearing of July 15 is listed for the initial carrying a firearm without a license charge.
Yahoo
03-05-2025
- Politics
- Yahoo
Former aide who refuted Trump's false 2020 election claims is under federal investigation
A former senior cybersecurity official who refuted President Donald Trump's lies that the 2020 election was 'rigged' is under federal investigation, according to a Department of Homeland Security spokesperson. Chris Krebs is facing an unspecified government investigation, the DHS spokesperson said. As a result, Krebs was expelled from a U.S. customs program that allows expedited clearance for pre-approved American travelers at airports, known as Global Entry. 'Chris Krebs is under active investigation by law enforcement agencies," the DHS spokesperson told NBC News. "That is a fact disqualifying him for global entry.' Officials declined to say why Krebs was under investigation or which federal agencies were leading the probe. CNN first reported Krebs' suspension from the Global Entry program. The White House referred NBC News to the DHS and Justice Department for comment. The Justice Department declined to comment. Krebs, who served as head of the Cybersecurity and Infrastructure Security Agency during Trump's first term, declined to comment. Trump fired Krebs after he said in a statement that the 2020 election was the 'most secure in American history.' Krebs added, 'There is no evidence that any voting system deleted or lost votes, changed votes, or was in any way compromised.' The investigation of Krebs comes after President Trump issued a memorandum on April 9 directing the attorney general and the homeland security secretary to 'take all appropriate action to review' Krebs' activities during his time in government. The memo also revoked Krebs' security clearance. The memo targeting Krebs, and a similar memo naming former senior DHS official Miles Taylor, marked an escalation in President Trump's campaign of retribution against perceived political enemies. It was the first time the president had requested possible government investigations against individuals. The presidential memorandum accused Krebs of seeking to suppress 'conservative viewpoints' on social media about the 2020 election and the COVID-19 epidemic, by allegedly coercing social media platforms under the 'guise of combatting supposed disinformation.' The memo claimed Krebs 'falsely and baselessly denied that the 2020 election was rigged and stolen, including by inappropriately and categorically dismissing widespread election malfeasance and serious vulnerabilities with voting machines.' Trump has repeatedly claimed that the 2020 election was 'stolen' but there is no evidence that the vote was plagued by widespread fraud. More than 50 lawsuits brought by Trump or his allies alleging fraud and irregularities have been withdrawn, dismissed or denied by state and federal judges. After Trump signed the memorandum last month cancelling Krebs' security clearance, Krebs stepped down from his role at the cyber security firm SentinelOne to prepare his legal defense. Security clearances are crucial for employees working on federal cyber security contracts. Over 40 cybersecurity experts signed an open letter on April 29 condemning what they called 'the political persecution' of Krebs. 'By placing Krebs and SentinelOne in the crosshairs, the President is signaling that cybersecurity professionals whose findings do not align with his narrative risk having their businesses and livelihoods subjected to spurious and retaliatory targeting," the letter stated, "the same bullying tactic he has recently used against law firms." This article was originally published on
NBC News
02-05-2025
- Politics
- NBC News
Former aide who refuted Trump's false 2020 election claims is under federal investigation
A former senior cybersecurity official who refuted President Donald Trump's lies that the 2020 election was 'rigged' is under federal investigation, according to a Department of Homeland Security spokesperson. Chris Krebs is facing an unspecified government investigation, the DHS spokesperson said. As a result, Krebs was expelled from a U.S. customs program that allows expedited clearance for pre-approved American travelers at airports, known as Global Entry. 'Chris Krebs is under active investigation by law enforcement agencies," the DHS spokesperson told NBC News. "That is a fact disqualifying him for global entry.' Officials declined to say why Krebs was under investigation or which federal agencies were leading the probe. CNN first reported Krebs' suspension from the Global Entry program. The White House referred NBC News to the DHS and Justice Department for comment. The Justice Department declined to comment. Refuting Trump's election fraud claims Krebs, who served as head of the Cybersecurity and Infrastructure Security Agency during Trump's first term, declined to comment. Trump fired Krebs after he said in a statement that the 2020 election was the 'most secure in American history.' Krebs added, 'There is no evidence that any voting system deleted or lost votes, changed votes, or was in any way compromised.' The investigation of Krebs comes after President Trump issued a memorandum on April 9 directing the attorney general and the homeland security secretary to 'take all appropriate action to review' Krebs' activities during his time in government. The memo also revoked Krebs' security clearance. The memo targeting Krebs, and a similar memo naming former senior DHS official Miles Taylor, marked an escalation in President Trump's campaign of retribution against perceived political enemies. It was the first time the president had requested possible government investigations against individuals. The presidential memorandum accused Krebs of seeking to suppress 'conservative viewpoints' on social media about the 2020 election and the COVID-19 epidemic, by allegedly coercing social media platforms under the 'guise of combatting supposed disinformation.' The memo claimed Krebs 'falsely and baselessly denied that the 2020 election was rigged and stolen, including by inappropriately and categorically dismissing widespread election malfeasance and serious vulnerabilities with voting machines.' Trump has repeatedly claimed that the 2020 election was 'stolen' but there is no evidence that the vote was plagued by widespread fraud. More than 50 lawsuits brought by Trump or his allies alleging fraud and irregularities have been withdrawn, dismissed or denied by state and federal judges. After Trump signed the memorandum last month cancelling Krebs' security clearance, Krebs stepped down from his role at the cyber security firm SentinelOne to prepare his legal defense. Security clearances are crucial for employees working on federal cyber security contracts. Over 40 cybersecurity experts signed an open letter on April 29 condemning what they called 'the political persecution' of Krebs. 'By placing Krebs and SentinelOne in the crosshairs, the President is signaling that cybersecurity professionals whose findings do not align with his narrative risk having their businesses and livelihoods subjected to spurious and retaliatory targeting," the letter stated, "the same bullying tactic he has recently used against law firms."
Yahoo
02-05-2025
- Politics
- Yahoo
Rogue DOJ Investigation Of Columbia Protestors Alarmed Federal Judge
A lot of things happened. Here are some of the things. This is TPM's Morning Memo. Sign up for the email version. In an important new story, the NYT reveals for the first time that senior Trump DOJ official Emil Bove directed the Civil Rights Division to investigate pro-Palestinian protestors at Columbia University. The bulk of the article focuses on the 'anger and alarm' of career prosecutors over the politically motivated and meritless investigation. But the episode from the story that most stands out is the refusal of a federal magistrate judge in Manhattan to approve a search warrant against the protestors. After the search warrant application had already been denied once for an insufficient showing of probable cause, chief magistrate judge Sarah Netburn gave it a second look. What she did next shows a real breakdown at DOJ: Judge Netburn not only rejected the request for a search warrant, but she also ordered the government to abide by a special condition: Should prosecutors ever try to refile such an application before another federal judge, they had to include a transcript of the sealed discussions in her court, these people said. Netburn's unusual condition suggests she had found the Trump DOJ's submission of probable cause not just lacking but egregious in either its form or substance. Not only that, but the proceedings in her court must have gone so far off the rails that she wanted any other judge who later got involved to have the benefit of reading the transcript of what transpired. The implication, as I take it, is that there's nothing the Trump DOJ can do to wash away the stink of its initial search warrant application. The one-the-record response to the NYT story from Deputy Attorney General Todd Blanche is also highly unusual and deeply disturbing. He managed to confirm the investigation, discuss evidence, and impugn career prosecutors in a single statement. 'This is a false story fabricated by a group of people who allowed antisemitism and support of Hamas terrorists to fester for several years, standing by but doing nothing,' Blanche said, while denouncing DOJ attorneys as 'deep state terrorist sympathizers who stood by as members of the Jewish faith were targeted across the country.' Nothing about this story is normal. The first inkling that something was up came when Chris Krebs lost his Global Entry status. Now the Trump administration is confirming that Kreb's membership in the program was revoked because he is under federal investigation of some kind. The public confirmation of the investigation is itself unusual and fits into the pattern of retribution. Earlier this month, Krebs had the dubious distinction of being targeted by a Trump executive order devoted exclusively to him. It revoked his security clearance and directed a 'review' of Krebs by the attorney general and secretary of homeland security. It is not clear whether the current investigation is an outgrowth of the executive order. Krebs served as the head of the Cybersecurity and Infrastructure Security Agency until President Trump fired him in the aftermath of the 2020 election for declaring it to have been the most secure in history. Some signs have emerged that Senate Republicans are feeling less than enthusiastic about the nomination of acting D.C. U.S. Attorney Ed Martin to the permanent position. Martin, a GOP political operator with no experience as a prosecutor, has run amok as acting U.S. attorney in one of the country's most important jurisdictions, violating traditional DOJ guidelines, engaging in ethically questionable behavior for a prosecutor, and using the office for political ends. Still, no GOP senator has come out against the nomination. In a historically significant decision, U.S. District Judge Fernando Rodriguez Jr. of Brownsville became the first judge to rule on the substance of President Trump's invocation of the Alien Enemies Act against Venezuelan nationals who are members of the transnational Tren de Aragua gang. But while Rodriguez, a Trump appointee, found that Trump had exceeded the scope of the wartime statute, he did so in a relatively narrow way that showed considerable deference to the President and potentially left the door open to this or future presidents being able to craft AEA invocations in a way that would avoid judicial scrutiny. Rodriguez ultimately found that the the activities of Tren de Aragua in the United States as described in Trump's proclamation failed to constitute an 'invasion' or 'predatory incursion,' as required by the statute. But he declined to look behind the proclamation's claim that Tren de Aragua is controlled by Venezuela, accepting the assertion at face value, and thus finding that it satisfied the requirement that the invasion be 'by any foreign nation or government.' This was one trial judge in one district in Texas. The Fifth Circuit and then likely the Supreme Court will get their own bites at the apple in either this case or some combination of other AEA case. I am very hesitant to center coverage of due process violations on the victim because the merits or demerits of any particular victim is beside the point. While some victims are more sympathetic than others, the rule of law protects everyone. It's not earned or deserved. Especially while the Trump administration is engaging in a vicious propaganda campaign against Kilmar Abrego Garcia, focusing on the particulars of his life story can inadvertently accept the premise that his worthiness, as we judge it, matters. With this preamble out of the way, the NYT does have a well-reported deep dive on Abrego Garcia and his legal case. Without naming President Trump, Supreme Court Justice Ketanji Brown Jackson defended the judiciary against political attack last night at a conference in Puerto Rico, telling the audience: 'The attacks … impact more than just individual judges who are being targeted. Rather, the threats and harassment are attacks on our democracy, on our system of government and they ultimately risk undermining our Constitution and the rule of law.' Public Broadcasting: After attempting to remove three of the five board members of the Corporation for Public Broadcasting earlier, President Trump issued a new executive order Thursday purporting to cut off federal funding for PBS and NPR. USAID: Assessing the real-world toll of the dismantling of U.S. foreign aid IMLS: Judge temporarily blocks Trump administration from dismantling the Institute of Museum and Library Services. A new Ben Terris profile offers a disturbing look at the deterioration of Sen. John Fetterman (D-PA). The Pentagon inspector general has expanded its investigation of Defense Secretary Pete Hegseth misuse of Signal (and mishandling of national defense information) to the second group chat that included his wife and brother, the WSJ reports. Shuffling Signal-addict Mike Waltz out of his role as national security adviser and into the gauntlet of a Senate confirmation hearing to be UN ambassador is one twist in this reality TV presidency I can get on board with:
