The Wall Street Journal - 20.09.2019

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A6| Friday, September 20, 2019 ** THE WALL STREET JOURNAL.**


comes in response to a sub-
poena state prosecutors sent
last month to the accounting
firm requesting eight years of
personal and business tax re-
turns. State prosecutors are
examining whether a payment
to former adult-film star
Stormy Daniels—and how the
reimbursement of that pay-
ment was recorded—violate a
state law against falsifying
business records.
In the lawsuit, Mr. Trump’s

lawyers argue that the sub-
poena is unconstitutional.
“The Constitution prohibits
states from subjecting the pres-
ident to criminal process while
he is in office,” the complaint
says. It adds, “The prohibition
on criminally prosecuting a sit-
ting president cannot be cir-
cumvented by limiting the in-
vestigation to a grand-jury
subpoena, or by not subpoena-
ing the president directly.”
A spokeswoman for Mazars

said the firm would comply
with its legal obligations.
A spokesman for Mr. Vance
said the office had received
the complaint and would re-
spond in court.
Marc Mukasey, a lawyer for
Mr. Trump, said in a state-
ment, “We are in court to pro-
tect the president’s rights and
the Constitution.”
On Aug. 1, the district attor-
ney issued a grand-jury sub-
poena to the Trump Organiza-

tion for documents relating to
payments for or agreements
about former Playboy play-
mate Karen McDougal and Ms.
Daniels. Mr. Trump’s lawyers
began producing those docu-
ments, the complaint says.
On Aug. 29, a second grand-
jury subpoena, sent to Mazars,
requested tax returns and
other financial documents dat-
ing to 2011.
—Rebecca Ballhaus
contributed to this article.

President Trump filed a law-
suit on Thursday to block New
York prosecutors’ subpoena for
his tax returns, the latest salvo
in a continuing battle over the
disclosure of the president’s fi-
nancial information.
The suit, filed in federal
court in Manhattan against
Manhattan District Attorney
Cyrus Vance Jr. and account-
ing firm Mazars USA LLP,

BYCORINNERAMEY

Trump Sues to Block Latest Push for His Tax Returns


tees will begin reviewing the
legislation, including the En-
ergy and Commerce Committee,
which will hold a hearing on it
next week. Mrs. Pelosi said that
the number of drugs subject to
negotiations could change.
“I want the biggest number
we can possibly get,” she said,
but added that she didn’t want
to promise something the

House couldn’t deliver within
the next year. “We want to be
able to indicate a result that is
possible and doable,” she said.
The pharmaceutical industry
denounced the proposal and
said other options, such as low-
ering consumers’ coinsurance
and increasing patient-cost
transparency, are preferable.
“It would fundamentally re-

structure how patients access
medicines by giving the federal
government unprecedented,
sweeping authority to set med-
icine prices in public and pri-
vate markets while importing
price controls from other
countries that restrict access
to innovative medicines,” said
Stephen Ubl, president and
chief executive of the Pharma-
ceutical Research and Manu-
facturers of America, an indus-
try trade group.
Republicans on the Energy
and Commerce Committee de-
nounced the legislation as so-
cialist and an effort to appease
far-left members of the Demo-
cratic caucus, and said Senate
bipartisan legislation already
provides solutions.
Matt Eyles, president and
chief executive of America’s
Health Insurance Plans, an as-
sociation of health insurers,
commended Mrs. Pelosi’s pro-
posal, calling it “bold reform.”
Democrats are eager to
show they are delivering on a
campaign promise to lower

prescription drug costs amid
polls showing that voters rank
reducing prices as a priority in
the 2020 election. But efforts
to pass legislation that Presi-
dent Trump would sign will be
tough amid deep partisan di-
vides and an unprecedented
industry lobbying push.
The plan faces possible
pushback from progressive
Democrats who say it isn’t ag-
gressive enough, and Republi-
cans who say allowing any
drug price negotiation in
Medicare threatens the free-
market system.
Critics have argued that em-
powering the government to
negotiate prices would stifle
research and innovation that
yields new cures and treat-
ments. Mr. Trump had sup-
ported letting Medicare negoti-
ate prices in his 2016 campaign
but has since backed away.
Mrs. Pelosi’s proposal is
more sweeping than a Senate
drug pricing bill being spear-
headed by Chuck Grassley (R.,
Iowa) and Ron Wyden (D., Ore.).

WASHINGTON—House
Speaker Nancy Pelosi is calling
for the federal government to
negotiate prices for many of
the costliest drugs in Medicare
and the private market, part of
a broad proposal to take on an
industry already under siege
from Republicans who have
vowed to rein in pharmaceuti-
cal costs.
The California Democrat re-
leased a proposal Thursday
that would let the government
negotiate the prices for expen-
sive drugs that don’t have
competition. A minimum of 25
drugs annually would be sub-
ject to negotiation, falling
short of a goal by progressive
Democrats for full negotiation
of all drugs in Medicare.
It would have broad reach
by requiring those negotiated
prices to also be offered be-
yond Medicare to insurers.
The bill is still subject to
change. Several House commit-

BYSTEPHANIEARMOUR
ANDANDREWDUEHREN

Pelosi Wants U.S. to Negotiate Some Drug Prices


House Speaker Nancy Pelosi presented her initiative on drug
pricing on Thursday. The industry denounced the proposal.

WIN MCNAMEE/GETTY IMAGES

U.S. NEWS


joined the meeting, a person fa-
miliar with the meeting said.
On Capitol Hill, Mr. Zucker-
berg received an earful of com-
plaints, and two influential law-
makers couldn’t find the time
to meet with him.
Sen. Josh Hawley (R., Mo.)
said he challenged Mr. Zucker-
berg to spin off Facebook’s In-
stagram and WhatsApp units—
two acquisitions that are now
part of a government antitrust
probe into Facebook.
“I said to him, ‘Prove that
you’re serious...sell WhatsApp,
and sell Instagram,’ ” Mr. Haw-
ley said following his afternoon
meeting with Mr. Zuckerberg.
“I think it’s safe to say that he
was not receptive to those sug-
gestions,” he added.
Mr. Zuckerberg, clad in a
dark suit and tie, was trailed
throughout his Capitol Hill visit
by a swarm of reporters and
camera crews. He declined to
comment.
On Wednesday night, Mr.
Zuckerberg kicked off the trip
by sparring with a group of
senators at a private dinner.
One attendee, Sen. Richard Blu-
menthal (D., Conn.), described
the meeting as a mix of criti-

cism and constructive dialogue
over the tech industry’s “re-
peated failures” to protect elec-
tion security and consumer pri-
vacy.
“We had [a] serious, sub-
stantive conversation even
when we may have differed,”
Mr. Blumenthal said. He added
that he welcomed “the strong,
constructive interest shown by
Mr. Zuckerberg.”

Mr. Blumenthal has been
sharply critical of Facebook,
particularly over its privacy
and election missteps of recent
years.
Mr. Zuckerberg had a few
expected get-togethers fall
through, mainly because Sen-
ate leaders decided not to hold
votes on Thursday, leading
many senators to head for the
airport.

Sen. Jerry Moran (R., Kan.),
who heads the Senate con-
sumer protection subcommit-
tee, had planned to meet with
Mr. Zuckerberg but decided to
catch an early flight home in-
stead. “They will definitely try
and meet the next time [Mr.
Zuckerberg] is here,” a spokes-
man said.
Sen. Brian Schatz (D., Ha-
waii), the top Democrat on the
Senate’s technology and inter-
net subcommittee, also had
been expected to meet with Mr.
Zuckerberg, but they were un-
able to find a time to get to-
gether due to scheduling con-
flicts. Mr. Schatz had recently
met with Mr. Zuckerberg in the
senator’s Honolulu office.
Mr. Zuckerberg’s meetings
were aimed at giving the Face-
book co-founder a chance to
pitch his own vision for moder-
ate internet regulation and seek
to placate lawmakers who are
weighing stricter standards for
lightly regulated platforms.
In the wake of a series of
disclosures about questionable
practices at Facebook and other
internet companies, lawmakers
have been considering strin-
gent new regulation of plat-

forms in areas such as user pri-
vacy and content moderation.
No action appears imminent
on any of the measures. But
one idea that has gained atten-
tion is placing new limits on
the sweeping legal immunity
that platforms enjoy for harms
caused by their users. Mr. Haw-
ley has been among those ad-
vocating such an approach.
Mr. Zuckerberg was also ex-
pected to pitch lawmakers on a
different vision of internet reg-
ulation, one that includes more
self-regulation by the compa-
nies. The visit also gave Mr.
Zuckerberg a chance to tout
progress in Facebook’s compli-
ance with a recently announced
$5 billion settlement with the
Federal Trade Commission over
privacy missteps.
Among the lawmakers who
met with Mr. Zuckerberg was
Sen. Mike Lee (R., Utah), who is
chairman of the Senate anti-
trust subcommittee. Facebook
is under antitrust investigation
by the FTC, and could soon face
a separate investigation by the
Justice Department. Mr. Lee
has raised concerns about pos-
sible duplication of effort by
the federal agencies.

WASHINGTON—With his
company under a regulatory
spotlight, Facebook Inc. Chief
Executive Mark Zuckerberg
scored a meeting in the White

House with President Trump
Thursday—but faced a chillier
reception from lawmakers on
Capitol Hill.
A spokesman for Facebook
said Mr. Zuckerberg was visit-
ing Washington to meet with
policy makers to hear their
concerns and talk about future
internet regulation. The
spokesman said Mr. Zucker-
berg’s meeting with the presi-
dent was constructive.
“Nice meeting with Mark
Zuckerberg of Facebook in the
Oval Office today,” Mr. Trump
posted Thursday night on his
Facebook and Twitter accounts,
along with a photo of the presi-
dent and Mr. Zuckerberg shak-
ing hands.
Jared Kushner, the presi-
dent’s son-in-law and senior ad-
viser, and White House social
media director Dan Scavino also

By John D. McKinnon ,
Lindsay Wise
and Rebecca Ballhaus

President and Zuckerberg Meet


On Capitol Hill, the
Facebook chief
executive got an
earful of complaints,

Washington Monument Reopens After Three-Year Renovation


LINES OF HISTORY: Visitors queued Thursday outside the 555-foot marble obelisk after a $12 million project added a high-speed elevator and upgraded security systems.

MICHAEL REYNOLDS/EPA/SHUTTERSTOCK


WASHINGTON—The House
passed a short-term spending
bill Thursday, taking the first
step toward avoiding a govern-
ment shutdown at the end of
the month. The measure now
moves to the Senate.
The stopgap funding, called a
continuing resolution, will keep
the government open until Nov.
21, several weeks beyond the
Sept. 30 end of the federal fis-
cal year. The legislation also ex-
tends several health-care pro-
grams and other expiring
measures, including for the Na-
tional Flood Insurance Program
and U.S. Export-Import Bank.
The extension will give law-
makers more time to reach
agreement on the annual
spending legislation, a major
cause of volatility. Failure to
agree on how much money to
provide for a wall along the
Mexico border led to the lon-
gest government shutdown in
U.S. history, ending earlier this
year after 35 days.
“I’m hopeful that the Senate
will take it up, that we will have
an agreement, and we can send
it to the president, and the
president can sign it,” House
Majority Leader Steny Hoyer
(D., Md.) said Wednesday.
The GOP-controlled Senate is
expected to take up the con-
tinuing resolution next week
before lawmakers leave Wash-
ington for a two-week recess.
Eric Ueland, the director of the
White House Office of Legisla-
tive Affairs, said Wednesday he
expected President Trump
would sign the bill.
House approval of the bill
was delayed as lawmakers hag-
gled over the text. One hurdle
was a Trump administration re-
quest that the stopgap measure
reimburse the agency providing
aid to farmers affected by the
trade war with China. While
House Democrats didn’t include
money for the agency in an
early draft, they acceded in the
bill that passed Thursday. The
bill incorporates provisions
scrutinizing the aid and the im-
pact of the trade war after Sen-
ate Minority Leader Chuck
Schumer (D., N.Y.) and other top
Democrats pushed for them.

BYANDREWDUEHREN

House


Approves


Stopgap


Funding


WASHINGTON—The Depart-
ment of Homeland Security will
once more consider requests
from unauthorized immigrants
to temporarily stay in the
country, typically to receive
lifesaving medical treatment,
after facing fierce criticism for
announcing that it would no
longer accept such appeals.
A spokesman for U.S. Citi-
zenship and immigration Ser-
vices, an agency under DHS,
said in a statement Thursday
that at the direction of Acting
Homeland Security Secretary
Kevin McAleenan, it “is resum-
ing its consideration of non-
military deferred action re-
quests on a discretionary,
case-by-case basis.”
USCIS had handled deferred
action requests but announced
in August it was transferring
that authority to Immigration
and Customs Enforcement, the
agency that carries out deporta-
tions. The move raised fears
among immigration-rights ad-
vocates that ICE would take a
tougher stance against these im-
migrants, effectively ending the
possibility that anyone would be
granted deferred action.
The program permits mi-
grants to defer deportation for
up to two years at a time.
Most people covered by the
program came to the U.S. le-
gally on a visa or other legal
status and have requested to
stay longer. The government
said it receives about 1,
such requests a year.
The government didn’t for-
mally announce its initial deci-
sion to end the program for
several weeks until several im-
migrants receiving medical at-
tention were unexpectedly de-
nied requests to remain in the
country and told they needed
to leave within 33 days.

BYMICHELLEHACKMAN

Move to


Deport


Patients Is


Dropped

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