Thursday, October 20, 2022

Inside Hikvision lobbyist’s game plan to fend off sanctions

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Oct 20, 2022 View in browser
 
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By Caitlin Oprysko

Presented by

Altria

With Daniel Lippman

FARA FILING REVEALS HIKVISION'S D.C. STRATEGY: New documents filed with the Justice Department this week offer an inside look at how Hikvision 's hired guns in Washington sought to help the Chinese video surveillance company head off U.S. sanctions rumored to be in the works for allegedly helping the Chinese government monitor Muslim minorities.

Drew Willison, a former chief of staff to the late Senate Democratic Leader Harry Reid and a former Senate sergeant at arms who registered in May under domestic lobbying laws to represent Hikvision's U.S. subsidiary, proposed a "quiet, targeted approach" to influencing the Biden administration, according to a copy of a strategy memo filed with DOJ as part of his FARA registration.

— The memo, which is marked "confidential," is addressed to Michael Borden, a partner at Sidley Austin who registered retroactively as a foreign agent last week at DOJ's behest . It was dated May 10, less than a week after the Financial Times reported on the possibility of the Magnitsky Act sanctions .

— Apart from outreach to those "that I know and trust personally to make connections to career staff," Willison advised against reaching out to political appointees in the administration or White House officials, who he wrote "are far more anti-China than rank and file career staff." Beyond that, Willision speculated that "Hikvision is not on the radar of high ranking staff at the White House and we should keep it that way."

— The document provides a rare glimpse into the way former public sector employees pitch their connections around Washington for the benefit of paying clients — in this case, one whose products the U.S. charges have been used to surveil detention camps holding Uyghur Muslims in China's Xinjiang region, accusations Hikvision has adamantly denied.

— Willison boasts in the memo that he knows one Cabinet secretary's chief of staff who he said would be willing to connect him with one "target," an official in the Treasury office that oversees sanctions. Likewise, he notes that a "friend from the Hill" now working at the Commerce Department had offered to make an introduction to an official in the department's Bureau of Industry and Security, which oversees the entities list Hikvision has been placed on.

— The memo suggests Hikvision should engage in "no Hill activity whatsoever," with Willison warning that appealing to the Hill had the potential to backfire. He wrote that in general, he was encouraged that no other media outlet had independently confirmed FT's reporting. Willison cited a conversation with a former Obama official who "agrees with us" that the leak more likely came from a competitor or politician and that the timing for sanctions "is wrong" given the attention on the war in Ukraine.

— Though Hikvision initially retained Willison to help the company with its sanctions threat, DOJ filings show the contract was extended in July with a broader remit of "lobbying and information gathering activities" related to the House and Senate. The full contract, which lasts until February, is worth $525,000.

Good afternoon and welcome to PI. It's been 18 years since the Red Sox put a bow on their stunning come-from-behind ALCS defeat of the Yankees, but it still feels just as nice. What should we be looking out for as we pore over tonight's LDA filings? Get in touch: coprysko@politico.com . And be sure to follow me on Twitter: @caitlinoprysko .

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Moving beyond smoking. Altria's companies are leading the way in moving adult smokers away from cigarettes – by taking action to transition millions toward less harmful choices. We are investing in a diverse mix of businesses to broaden options beyond traditional, combustible cigarettes. See how we're moving.

 

ANDREESSEN HOROWITZ TAPS MCHENRY AIDE TO LEAD CRYPTO LOBBYING: Collin McCune is leaving his post as a top aide House Financial Services ranking member Patrick McHenry (R-N.C.) to head up government affairs for a16z crypto, the digital assets arm of venture capital firm Andreessen Horowitz.

— It's a major hire for the firm, which has raised billions to invest in digital asset and Web3 startups and lured numerous former policymakers and regulators in its bid to shape U.S. crypto policy. McHenry, who is poised to become chair of the Financial Services Committee and who the industry generally views as a friendly face, stands to play a key role in those policy battles.

In a series of tweets , McCune thanked McHenry for "the opportunity to work at the forefront of digital assets policy for the House Financial Services Committee." He added: "Advocacy in DC is at a pivotal moment. Our approach to laws and regulations over the next five years will impact U.S. competitiveness for decades to come. Now, more than ever, industry and lawmakers must work together." Anthony Albanese, a16z crypto's chief operating officer, called McCune "an invaluable addition to our team."

JUDICIAL ACTIVISTS URGE ETHICS CHANGES FOR SPOUSES: "A coalition of judicial advocacy and watchdog groups are calling on Congress to establish greater disclosure requirements for the spouses of federal judges ," per our Hailey Fuchs.

— "In a letter sent to lawmakers on Capitol Hill this week, the groups cite POLITICO's report on potential conflicts posed by the professional work of Supreme Court justice's spouses and the inadequacy of disclosures around that work."

— "The four organizations — Fix the Court, Citizens for Responsibility and Ethics in Washington, the Free Law Project and the Project On Government Oversight — argue that language should be inserted into existing ethics law that would apply to federal judges whose spouses render 'legal services; strategic or legal advice related to litigation, lobbying, or business activities; lobbying or public relations services; or testimony as an expert witness.'"

— "If the value of the service or bonus for that service is greater than $5,000, they must disclose the payer and compensation, states the draft language for legislation. Currently, the justices merely disclose their spouses' jobs, not the identity of their clients or the level of compensation."

 

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WHO'S GETTING CHECKS FROM BIG TOBACCO: "Tobacco companies generally don't donate to many Democratic candidates for political office. But this election cycle, Black Democrats in particular are getting showered with campaign cash from cigarette makers ," Stat's Nicholas Florko reports.

— "Reynolds American, which is behind the Newport and Camel brands, has donated to 17 Democrats this election cycle, more than two thirds of whom are Black members of Congress, according to data published by the Center for Responsive Politics in late September. The political action committee for Altria, which makes Marlboro, has donated to only 37 Democratic lawmakers this cycle, but 16 of those recipients — 43% — are Black. Black lawmakers make up just 21% of sitting Democratic lawmakers."

— "The donations come as these same companies rally opposition in the Black community toward the Food and Drug Administration's proposal to ban menthol cigarettes. A number of the lawmakers who received campaign cash have spoken out publicly against the proposal, citing concerns that such a ban could lead to increased policing of Black smokers, who largely prefer menthol cigarettes."

— "One lawmaker has been swimming in tobacco industry checks. Rep. Donald McEachin , who represents the Richmond area of Virginia where Altria is based, has raked in $46,750 from Altria and Reynolds American so far this year, according to STAT's tally." That includes more than $20,000 from 20 Altria executives including the company's CFO and COO.

BUSINESS ROUNDTABLE PRESSES STAFFERS FOR R&D AMORTIZATION FIX: The Business Roundtable and tax experts from Raytheon and Intel hosted a virtual briefing for Hill staff on Wednesday as part of the business and defense industry push for lawmakers to restore companies' ability to immediately deduct research and development expenses, calling the issue "critical to address before the end of the year."

— All three entities had previously signed on to a letter to congressional leadership warning that the amortization requirement, which went into effect this year, could result in job losses and even undermine national security if not reversed when Congress comes back to town following the midterms.

CORPORATE GIANTS THROW A HAIL MARY ON DACA: "Microsoft, Apple, Meta and dozens of other Fortune 500 companies launched an ad campaign Thursday to push Congress to pass a new law that would secure the fate of migrants known as 'Dreamers,' part of a last-ditch effort to save the protections as federal courts seem likely to end the executive order that has protected them since 2012," NBC News' Julia Ainsley, Sahil Kapur and Julie Tsirkin report.

— "But both Republican and Democratic Senate aides say the effort has a slim chance of working and predict that Dreamers will most likely begin to lose their work authorization and security from deportation sometime early next year. Republicans, who are expected to increase their numbers in Congress in November's midterm elections, largely oppose protecting Dreamers unless Democrats make significant concessions to beef up border security and turn away asylum-seekers, which they are unlikely to do."

— The coalition is running ads in The Wall Street Journal, Dallas Morning News and Charlotte Observer warning of the economic fallout should federal courts disband the program, as recent rulings signal is likely.

— "'Collectively, we represent the backbone of an American economy facing tremendous workforce challenges as a result of the pandemic. We face another crisis if Congress fails to act on an issue that has strong bipartisan support from the American people,' said the letter, signed by Target, Starbucks, Microsoft, Amazon, Meta, Apple, Google, MGM Resorts and other companies, as well as the Business Roundtable."

Jobs Report

Mariah Sixkiller is now general manager for strategic defense affairs at Microsoft. She most recently was director of government affairs at the company.

Emma Doyle has joined Bondi Partners as a managing director running the D.C. office and leading the strategic advisory firm's expansion into lobbying. She most recently was a managing director at Actum and is a Trump White House alum.

Grayling has added Bob Conrad as executive vice president and Alla Shkiler as senior vice president. Conrad most recently was senior media and content director at Syneos Health and Shkiler most recently was vice president at Ketchum.

R. Jordan Richardson is now an associate at Heise Suarez Melville . He most recently did a federal clerkship in Florida, and is a Trump White House and Labor Department alum.

New Joint Fundraisers

None.

 

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GREEN OREGON (Super PAC)
The People, Empowered (Hybrid PAC)
The Roosevelt PAC (Super PAC)
Save America Fund (Super PAC)

 

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New Lobbying Registrations

Adams And Reese, LLP: St. Bernard Parish
Baker Donelson Bearman Caldwell & Berkowitz /The Daschle Group: Florida Essential Healthcare Partnerships
Ballard Partners, LLC: Socure Inc.
Ballard Partners, LLC: Total Green Tropicals, Inc.
Capitol Hill & Friends, LLC: Ultratooth
Cfm Strategic Communications (Conkling Fiskum & Mccormick): Ywca Clark County
Dynamic Change Group, LLC: Nature Energy (On Behalf Of Smart Policy Group)
Federal Hall Policy Advisors, LLC: Iceye
Foresight Law + Policy Pllc: Casel: Collaborative For Academic, Social, And Emotional Learning
Healthsperien LLC: Collaborative Health Systems, LLC
Hillstaffer, LLC: Association For Diplomatic Studies And Training
Innovative Federal Strategies, LLC: Triton Systems, Inc.
Isthmus, LLC: Windward Strategies On Behalf Of Great Lakes Shipyard
Isthmus, LLC: Windward Strategies On Behalf Of Haines Borough
Jack Ferguson Assoc., Inc.: Beechtree Diagnostics
J.A. Green And Company (Formerly LLC): Private Tech, Inc.
Jenner & Block LLP: Telegraph Avenue LLC On Behalf Of Agua Caliente Band Of Cahuilla Indians
Jones Walker, LLP: Pearl River County Board Of Supervisors
Katherine Oh: Government Accountability Project
Liberty Partners Group, LLC: Apollomd (Americans For Fair Healthcare)
Lne Group: Oscars Place Adoption Center & Sanctuary
Lot Sixteen LLC: American Energy Economy
Lot Sixteen LLC: National Park Foundation
Lsn Partners, LLC: Electreon Wireless, Ltd
Mark Barnes & Associates: Rm Equipment, Inc.
Mayer Brown LLP: Forever Energy, LLC
Michael Best Strategies LLC: Kahlenberg Industries
Porter Group, LLC: Boxabl Inc.
Porter Group, LLC: Inter-Coastal Electronics
Prasam: Tronox
Stratolaunch LLC: Stratolaunch LLC
The Gallagher Group, LLC: Reaction Engines, Inc
The Madison Group: Federated Wireless, Inc.
West Front Strategies LLC: The Pnc Financial Services Group

New Lobbying Terminations

American Defense International, Inc.: Averatek Corporation
Apco Worldwide LLC: Cosentino, S.A.U.
Arentfox Schiff LLP: Investment Company Institute
Ballard Partners, LLC: Caplin Family Offices
Blank Rome Government Relations: Amerocap LLC
Blank Rome Government Relations: Chunker
Blank Rome Government Relations: The Abraham Group LLC (On Behalf Of Iberdrola, S.A.)
Bluepoint Dc: Grayrobinson Pa On Behalf Of Asian American Hotel Owners Association
Bradley Arant Boult Cummings LLP: Associated Builders And Contractors, Inc., Alabama Chapter
Bradley Arant Boult Cummings LLP: Children'S Hospital Of Alabama
Bridge Public Affairs, LLC: Bluecross Blueshield Of Tennessee, Inc.
Bridge Public Affairs, LLC: Chattanooga Professional Baseball, LLC
Bridge Public Affairs, LLC: First International Resources On Behalf Of Saito Tech Ltd.
Bridge Public Affairs, LLC: Structured Finance Association
Brownstein Hyatt Farber Schreck, LLP: Apollo Investment Management Lp
Brownstein Hyatt Farber Schreck, LLP: Gcom Software LLC
Brownstein Hyatt Farber Schreck, LLP: Heineken USa
Brownstein Hyatt Farber Schreck, LLP: Lightstone Investments
Brownstein Hyatt Farber Schreck, LLP: National League Of Cities
Brownstein Hyatt Farber Schreck, LLP: Pacenation
Buchanan Ingersoll & Rooney Pc: Grignard Pure, LLC
Burrell International Group LLC: Ervin Graves Strategy On Behalf Of Greffex Inc.
Butzel Long, P.C.: Igloo Products Corp.
Capitol Counsel LLC: Isara Corporation
Capitol Counsel LLC: Semaconnect
Capitol Counsel LLC: Uncorked Advocates
Capitol Decisions, Inc.: Capital Caring Health
Capitol Ventures Government Relations, LLC: Bowers Trucking, LLC
Cardinal Infrastructure LLC: Montgomery County, Maryland
Cassidy & Associates, Inc.: Doordash
Cassidy & Associates, Inc.: Experiential Designers And Producers Association
Cassidy & Associates, Inc.: Hrp Mercer Urban
Cassidy & Associates, Inc.: New Jersey Department Of Military And Veterans Affairs
Cgcn Group, LLC (Formerly Known As Clark Geduldig Cranford & Nielsen, LLC): Climate Advisers
Congressional Strategies LLC: Progeny Systems
Cornerstone Government Affairs, Inc.: Rk Strategic Management Solutions, LLC
Covington & Burling LLP: Bacardi North America Corporation
Cozen O'Connor Public Strategies: Zep Inc.
Crossroads Strategies, LLC: Klal Yisroel Inc
Crossroads Strategies, LLC: Percepto, Inc.
Datarobot, Inc.: Datarobot, Inc.
Dla Piper LLP (US): La 2028
Dla Piper LLP (US): Mark Foods
Dla Piper LLP (US): Previcare USa, Inc.
Drummond Woodsum Strategic Consulting LLC: K&L Gates, LLP On Behalf Of Jobget, Inc.
East End Group, LLC: Ridgeback Biotherapeutics
Elevate Government Affairs, LLC: Amentum Services, Inc.
Elevate Government Affairs, LLC: Honeywell International, Inc.
Elevate Government Affairs, LLC: Kitty Hawk Corporation
Epplin Strategic Planning: The Alliance For Lasting Liberty C/O 1St Amendment Partnership
Ernst & Young LLP (Washington Council Ernst & Young): Association Of American Universities
Ernst & Young LLP (Washington Council Ernst & Young): Cisco Systems, Inc.
Ernst & Young LLP (Washington Council Ernst & Young): National Foreign Trade Council
Ervin Graves Strategy Group, LLC (F/K/A Ervin Hill Strategy): Greffex Inc.
Ervin Graves Strategy Group, LLC (F/K/A Ervin Hill Strategy): Iomax USa, Inc.
Ervin Graves Strategy Group, LLC (F/K/A Ervin Hill Strategy): Steady Platform, Inc.
Etherton And Associates, Inc.: Bae Systems Inc
Fbb Federal Relations: Bennett And Company
Fbb Federal Relations: Next Renewable Fuels, Inc.
Fgh Holdings, LLC (Formerly Known As The Glover Park Group LLC): Grubhub Holdings Inc.
Fgh Holdings, LLC (Formerly Known As The Glover Park Group LLC): Motif Foodworks, Inc.
Fgh Holdings, LLC (Formerly Known As The Glover Park Group LLC): USa Rwc Bidco, Inc
Fgh Holdings, LLC (Formerly Known As The Glover Park Group LLC): Vivid Seats LLC
Foley & Lardner LLP: Lively
Forbes-Tate: Edgenuity Inc.
Glenmark Pharmaceuticals USa: Glenmark Pharmaceuticals USa
Gordon Thomas Honeywell Governmental Affairs: Northwest Harvest
Grayrobinson Pa: Asian American Hotel Owners Association
Grayrobinson Pa: Atlantic Housing Partners Lllp
Grayrobinson Pa: National Association Of Truck Stop Operators
Greenberg Traurig, LLP: Alen Corp
Greenberg Traurig, LLP: Alliance Abroad Group
Greenberg Traurig, LLP: Centerpoint Energy, Inc.
Greenberg Traurig, LLP: Global Music Rights, LLC ("Gmr")
Greenberg Traurig, LLP: Tmt Digital, Inc. (D/B/A The Media Trust Company)
Harbinger Strategies, LLC: American Innovation: The Ai Project, Inc
Healthsperien LLC: Centene Corporation
Hoboken Strategy Group: Winning Strategies Washington (On Behalf Of Techunited:Nj)
Holland & Knight LLP: Nostromo Energy Ltd.
Invariant LLC: Cmc Materials, Inc.
Invariant LLC: Fenix Group, Inc.
Jack Ferguson Assoc., Inc.: Matanuska-Susitna Borough
Jeffrey J. Kimbell & Associates, Inc.: The American Registry Of Radiologic Technologists
Jenner & Block LLP: Agua Caliente Band Of Cahuilla Indians
Jenner & Block LLP: Croatian Association Of Prisoners Of Serbian Concentration Camps
Jenner & Block LLP: Independent Cosmetics Manufacturers And Distributors Association
J M Burkman & Associates: Desert Lakes University
J M Burkman & Associates: Green Mountain Flower Company
J M Burkman & Associates: Kay Yang
J M Burkman & Associates: Leslie Revel Transportation
J M Burkman & Associates: Ridge Top Services
J M Burkman & Associates: Zephyr Boating
Jones Walker, LLP: Association Of Catastrophe Adjusters
Jones Walker, LLP: Freeport-Mcmoran Inc
Key Impact Strategies: Renaissance Community Loan Fund
King & Spalding LLP: Swyft, Inc.
Klein/Johnson Group: Denver International Airport
K&L Gates, LLP: Ansys, Inc.
K&L Gates, LLP: Clark Street Associates On Behalf Of Trucklabs
K&L Gates, LLP: Just Greens LLC
Mehlman Castagnetti Rosen & Thomas, Inc.: Pacific Biosciences Of California, Inc.
Michael Best Strategies LLC: Michael Ashner
Michael Torrey Associates, LLC: Wayne Farms, LLC
Mr. Robert Gustafson: Americans For Democracy And Human Rights In Bahrain
New Century Government Affairs (F/K/A Terrence C. Wolfe): St. Andrews University
North South Government Strategies, Fka Jdm Public Strategies, LLC: Bell Legal Group
Ogilvy Government Relations: Va Claims Insider, LLC
Penn Hill Group: Association Of Private Nonprofit Institutions LLC
Polaris Government Relations, LLC: Jamestown Ots, L.P.
Polispace-James A.M. Muncy: Commercial Spaceflight Federation
Putala Strategies: Longroad Energy Management, LLC
State Federal Strategies: Saybrook Management
State Federal Strategies: Strata Clean Energy
Strategic Marketing Innovations: City Labs, Inc.
Strategic Marketing Innovations: Odyne Systems
Strategic Marketing Innovations: Textum Opoco LLC
Strategics Consulting, LLC: City Of Newton, Nc
Strategics Consulting, LLC: Fayetteville Public Works Commission
Strategics Consulting, LLC: Town Of Stanley
Tgb Strategies LLC: Brownstein Hyatt Farber Schreck Obo Zotec
The Abraham Group LLC: Iberdrola, S.A.
The Bennett Consulting Group: Port Passport
The Conafay Group, LLC: Ani Pharmaceuticals
The Livingston Group, LLC: Laborde Marine Management LLC
The Raben Group: Exagen Inc
The Raben Group: Prudential Financial, Inc
Thomas Advisors, Inc: National Electrical Manufacturers Association
Troutman Pepper Strategies, LLC (Fka Troutman Sanders Public Affairs Group, LLC): Aaron'S Inc.
Van Scoyoc Associates: Atrium Health
Van Scoyoc Associates: Bennington College
Van Scoyoc Associates: Corporate Friends Of Cdc, Inc.
Van Scoyoc Associates: Tampa Bay Area Regional Transit Authority
Van Scoyoc Associates: The Center For Mind Body Medicine
Van Scoyoc Associates: University Of Rhode Island Research Foundation
Venable LLP: Nextera Energy, Inc.
Venable LLP: Visby Medical Inc.
Vnf Solutions, LLC: The St. Bernard Project
Vorys, Sater, Seymour And Pease LLP: Colgate- Palmolive
Vorys, Sater, Seymour And Pease LLP: Fidelity And Guaranty Life
Vorys, Sater, Seymour And Pease LLP: Jtekt North America
Vorys, Sater, Seymour And Pease LLP: Long Ridge Energy Terminal
Vorys, Sater, Seymour And Pease LLP: Tuca Zbarcea Asociatii
Washington2 Advocates: Rebuild Local News Coalition/The Groundtruth Project
Wiley Rein LLP: Johnson Outdoors, Inc.
Williams And Jensen, Pllc: American Exploration And Production Council
Williams And Jensen, Pllc: Fight Colorectal Cancer
Winning Strategies Washington: Micro Stamping Corporation
Winning Strategies Washington: Patients Rising Now

A message from Altria:

Moving beyond smoking. Altria's companies are leading the way in moving adult smokers away from cigarettes. Today, we are taking action to transition millions toward less harmful choices.

From cigarettes to innovative alternatives. By investing in a diverse mix of businesses, Altria is working to further broaden options. Our companies are encouraging adult smokers to transition to a range of choices that go beyond traditional, combustible cigarettes.

From tobacco company to tobacco harm reduction company. And while Altria is moving forward to reduce harm, we are not moving alone. We are working closely with FDA and other regulatory bodies, and will work strictly under their framework.

See how we're moving.

 
 

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