Business
Column: Anatomy of a smear — Fauci faces the House GOP's clown show about COVID
Here’s what we know about Dr. Anthony S. Fauci: As a staff member at the National Institutes of Health for 54 years and director of its National Institute for Allergy and Infectious Diseases for 38 years, Fauci was a key figure in the development of therapies for HIV and ensuring that funding was available for the search for a cure.
Under his leadership, NIAID invested billions of dollars in research that resulted in the development of mRNA technology, which in turn resulted in the development of COVID-19 vaccines in record time, saving millions of lives.
Under Fauci, NIAID also sponsored research into treatments for pandemic flu and the Ebola and Zika viruses. When COVID struck, he was tapped as a top advisor to then-President Trump — one of seven presidents he has advised during his career, from Reagan through Biden.
There have been credible death threats leading to the arrests of two individuals, and ‘credible death threats’ means someone who clearly was on his way to kill me.
— Anthony S. Fauci
He’s revered in the communities of immunologists and virologists; even after Trump sidelined him because he was speaking truths about COVID that Trump didn’t like, he was a prominent spokesman for a scientific approach to the pandemic.
Here’s how he was depicted by Republicans during a hearing Monday of the GOP-dominated Select Subcommittee on the Coronavirus: as the mastermind of “dogmatic” policies that resulted in school closings and business failures, of forced vaccinations, of “one of the most invasive regimes of domestic policy the U.S. has ever seen.”
As the financial sugar daddy of research overseas that created COVID. As the sponsor of policies that are “fundamentally un-American.” As a liar and hypocrite.
None of those accusations, which were aired Monday by subcommittee Chairman Brad Wenstrup (R-Ohio) and other Republican members, has the slightest relationship with truth.
They’re all elements of a campaign among Republicans and right-wingers aimed at painting Fauci, 83, who retired from NIAID in December 2022, as “a comic-book supervillain,” in the words of Rep. Jamie Raskin (D-Md.).
Why are they doing this? One answer must be that conspiracists always need a target to attack in order to attract followers.
At the core of this campaign is the Republican conviction that COVID escaped from a Chinese laboratory.
Since there is absolutely no evidence for this theory that anyone has yet produced, Plan B has been to smear anyone in the firing line. Unfortunately for Fauci, he’s the designated “it.”
As I’ve reported many times, according to reputable scientists who have studied the origin of COVID, scientific evidence suggests that it’s overwhelmingly more likely that COVID reached humans the same way most viruses do, as spillovers from wildlife — in this case, via a thriving trade in China in animals susceptible to the virus.
Let’s look at the particular rabbit holes into which the subcommittee has burrowed to smear Fauci, as set forth during the 3½ hour congressional hearing Monday and in a 15-hour interrogation of Fauci by the subcommittee in January, a transcript of which was released over the weekend along with a memo that misrepresented and cherry-picked his answers.
The committee members are fixated on the notion that Fauci “suppressed” discussion of the possibility of a lab leak. Why would he do that? Rep. Ronny Jackson (R-Texas) proposed an answer.
“It’s obvious to everyone,” he said, “that you and your organization, NIH, had a lot to lose if the American people were to discover that COVID-19 most likely leaked from a lab in Wuhan, China, and that you … actually funded this research.”
The problem there is that, first, Fauci has to this day stated that he is open-minded about the origin of the pandemic.
More to the point, documentary evidence in the subcommittee’s possession shows that in the early days of the pandemic — January and February 2020, when scientists saw features of the SARS-CoV-2 virus causing COVID that they didn’t recognize as coming from nature — he urged them by email to report their concerns, if validated, to “the appropriate authorities,” meaning the FBI in the U.S. and MI-5 in Britain.
“It is inconceivable,” Fauci said in his opening statement to the subcommittee, “that anyone who reads this e-mail could conclude that I was trying to ‘cover up’ the possibility of a laboratory leak. “I was advocating for a prompt and thorough examination of the data and a totally transparent process.”
As it happened, further scientific scrutiny convinced the scientists that “any type of laboratory-based scenario” was not “plausible,” as they reported in Nature in March 2020. Their conclusion has held up over time.
The subcommittee Republicans tried hard to contradict the notion that the lab leak hypothesis is a “conspiracy theory.” Fauci played along, up to a point. He acknowledged that speculation about a lab leak is not in itself a conspiracy theory, but that doesn’t go for the elaborations that many of its adherents have made of it.
“What is a conspiracy theory is the kind of distortions of that particular subject, like, it was a lab leak and I was parachuted into the CIA like Jason Bourne and told the CIA that they should really not be talking about a lab leak,” he said. “That’s a conspiracy.” He was referring to a ludicrous accusation published in September, with great fanfare but no factual support whatsoever, by none other than Wenstrup.
The members spent an inordinate amount of time Monday on the question of whether Fauci’s institute funded so-called Gain of Function experiments in China, so a brief primer on this issue is in order.
“Gain of Function” has become something of a shibboleth for lab-leak adherents, the way “critical race theory” and ESG have become dog whistles for activists trying to undermine, respectively, the public educational system and environmental and social concerns for investors — in this case, giving the term a uniquely sinister connotation.
Generically, however, it refers to laboratory work that augments natural qualities of a microbe to facilitate experimental scrutiny or achieve a necessary goal, such as allowing microbes to produce a flu vaccine or bacteria to produce artificial insulin.
From 2014 to 2017, the U.S. suspended gain-of-function experiments to develop a standard identifying research that might produce “potential pandemic pathogens.” The lab-leak camp asserts that NIAID funded experiments that gave a virus in the Chinese lab the features necessary to make it infectious for humans.
The work that NIAID funded in China was analyzed according to that standard, and it was determined by NIH not to fall into that category, as Fauci has testified before. The subcommittee peppered Fauci with questions aimed at eliciting an admission that the NIAID-funded work qualified under the broad, pre-2017 definition, but he made clear — and is supported by the public record — that the work did not fall into that category.
Much of the hearing was devoted to trivialities. The Republicans blamed Fauci for imposing a regulation on Americans specifying that effective social distancing required a six-foot space between individuals. The GOP members maintain that no scientific research validates a six-foot standard, and cited a 2020 peer-reviewed paper as confirmation.
This assertion is self-refuting, however; the paper actually says that under some circumstances, six feet may not be enough. When Fauci was asked about the issue in January, he explained that coughing, sneezing, wind and other conditions could play into the efficacy of social distancing at any distance. At that point his questioner, GOP counsel Mitch Benzine, acknowledged, “I didn’t think that through, I guess.” But the Republicans masticated the issue endlessly Monday nonetheless.
In any case, Fauci never had the authority to impose public health mandates — whether for masks, social distancing, vaccination or anything else. These were a product of state and local policy decisions. To the extent they relied on government recommendations, those came from the Centers for Disease Control and Prevention, a government body with which Fauci had no official connection.
The fundamental theme of Monday’s hearing was that Fauci should be blamed, even pilloried, for doing the best anyone could in dealing with a virus that no one had seen before, with means of transmission that were not understood for months or more and therapies that took more than a year to figure out.
It’s Fauci’s burden that ignorant and irresponsible politicians and their followers have chosen to turn their gunsights on him, for reasons that remain unclear.
“There have been everything from harassments by emails, texts, letters, of myself, my wife, my three daughters,” he said. “There have been credible death threats leading to the arrests of two individuals, and ‘credible death threats’ means someone who clearly was on his way to kill me. It’s required my having protective services essentially all the time.”
Is this how we wish to treat our most devoted public servants — by smearing them to the point that promising scientists choose not to place themselves in the firing line by entering the public health field?
At the close of the hearing, Wenstrup said his panel’s “goal is to take a hard look at the facts.” But there were few “facts” elicited Monday, just disinformation and character assassination.
Was that really the goal? There are no signs that the Republicans learned a thing from their 3½ -hour inquisition. In January, during Fauci’s interrogation, Rep. Michael Cloud (R-Texas) tweeted, “While many lost their loved ones, their businesses, and livelihoods, Dr. Fauci made millions and enjoyed the media spotlight. It was his most successful year.”
Monday, I asked Cloud if he still believed that. He replied, “I 100% stand by this tweet. Dr. Fauci received more money and glowing media coverage than he had ever received in his life, and if you can’t pick up that he both enjoyed it (and fed into it), then that is on you.”
Let’s give Fauci the last word on that. In January, he lamented that in 2020 he “became the villain number one of the extremists in the population,” which made it “one of the worst years of my life.” Shown the tweet, he remarked, “A congressman tweeted that?” When he was told, “Yeah.”
He replied, simply, “Jesus.”
Business
MrBeast company sued over claims of sexual harassment, firing a new mom
A former female staffer who worked for Beast Industries, the media venture behind the popular YouTube channel MrBeast, is suing the company, alleging she was sexually harassed and fired shortly after she returned from maternity leave.
The employee, Lorrayne Mavromatis, a Brazilian-born social media professional, alleges in a lawsuit she was subjected to sexual harassment by the company’s management and demoted after she complained about her treatment. She said she was urged to join a conference call while in labor and expected to work during her maternity leave in violation of the Family and Medical Leave Act, according to the federal complaint filed Wednesday in the U.S. District Court for the Eastern District of North Carolina.
“This clout-chasing complaint is built on deliberate misrepresentations and categorically false statements, and we have the receipts to prove it. There is extensive evidence — including Slack and WhatsApp messages, company documents, and witness testimony — that unequivocally refutes her claims. We will not submit to opportunistic lawyers looking to manufacture a payday from us,” Gaude Paez, a Beast Industries spokesperson, said in a statement.
Jimmy Donaldson, 27, began MrBeast as a teen gaming channel that soon exploded into a media company worth an estimated $5 billion, with 500 employees and 450 million subscribers who watch its games, stunts and giveaways.
Mavromatis, who was hired in 2022 as its head of Instagram, described a pervasive climate of discrimination and harassment, according to the lawsuit.
In her complaint, she alleges the company’s former CEO James Warren made her meet him at his home for one-on-one meetings while he commented on her looks and dismissed her complaints about a male client’s unwanted advances, telling her “she should be honored that the client was hitting on her.”
When Mavromatis asked Warren why MrBeast, Donaldson, would not work with her, she was told that “she is a beautiful woman and her appearance had a certain sexual effect on Jimmy,” and, “Let’s just say that when you’re around and he goes to the restroom, he’s not actually using the restroom.”
Paez refuted the claim.
“That’s ridiculous. This is an allegation fabricated for the sole purpose of sparking headlines,” Paez said.
Mavromatis said she endured a slate of other indignities such as being told by Donaldson that she “would only participate in her video shoot if she brought him a beer.”
“In this male-centric workplace, Plaintiff, one of the few women in a high-level role, was excluded from otherwise all-male meetings, demeaned in front of colleagues, harassed, and suffered from males be given preferential treatment in employment decisions,” states the complaint.
When Mavromatis raised a question during a staff meeting with her team, she said a male colleague told her to “shut up” or “stop talking.”
At MrBeast headquarters in Greenville, N.C., she said male executives mocked female contestants participating in BeastGames, “who complained they did not have access to feminine hygiene products and clean underwear while participating in the show.”
In November 2023, Mavromatis formally complained about “the sexually inappropriate encounters and harassment, and demeaning and hostile work environment she and other female employees had been living and experiencing working at MrBeast,” to the company’s then head of human resources, Sue Parisher, who is also Donaldson’s mother, according to the suit.
In her complaint, Mavromatis said Beast Industries did not have a method or process for employees to report such issues either anonymously or to a third party, rather employees were expected to follow the company’s handbook, “How to Succeed In MrBeast Production.”
In it, employees were instructed that, “It’s okay for the boys to be childish,” “if talent wants to draw a dick on the white board in the video or do something stupid, let them” and “No does not mean no,” according to the complaint.
Mavromatis alleges that she was demoted and then fired.
Paez said that Mavromatis’s role was eliminated as part of a reorganization of an underperforming group within Beast Industries and that she was made aware of this.
Business
Heidi O’Neill, Formerly of Nike, Will Be New Lululemon’s New CEO
Lululemon, the yoga pants and athletic clothing company, has hired a former executive from a rival, Nike, as its new chief executive.
Heidi O’Neill, who spent more than 25 years at Nike, will take the reins and join Lululemon’s board of directors on Sept. 8, the company announced on Wednesday.
The leadership change is happening during a tumultuous time for Lululemon, which had grown to $11 billion in revenue by persuading shoppers to ditch their jeans and slacks for stretchy leggings. But lately, sales have declined in North America amid intense competition and shifting fashion trends, with consumers favoring looser styles rather than the form-fitting silhouettes for which Lululemon is best known.
“As I step into the C.E.O. role in September, my job will be to build on that foundation — to accelerate product breakthroughs, deepen the brand’s cultural relevance, and unlock growth in markets around the world,” Ms. O’Neill, 61, said in a statement.
Lululemon, based in Vancouver, British Columbia, has also been entangled in a corporate power struggle over the company’s future. Its billionaire founder, Chip Wilson, has feuded with the board, nominated independent directors and criticized executives.
Lululemon’s previous chief executive, Calvin McDonald, stepped down at the end of January as pressure mounted from Mr. Wilson and some investors. One activist investor, Elliott Investment Management, had pushed its own chief executive candidate, who was not selected.
The interim co-chiefs, Meghan Frank and André Maestrini, will lead the company until Ms. O’Neill’s arrival, when they are expected to return to other senior roles. The pair had outlined a plan to revive sales at Lululemon, promising to invest in stores, save more money and speed up product development.
“We start the year with a real plan, with real strategies,” Mr. Maestrini said in an interview this year. “We make sure decisions are made fast.”
Lululemon said last month that it would add Chip Bergh, the former chief executive of Levi Strauss, to its board to replace David Mussafer, the chairman of the private equity firm Advent International, whom Mr. Wilson had sought to remove.
Ms. O’Neill climbed the organizational chart at Nike for decades, working across divisions including consumer sports, product innovation and brand marketing, and was most recently its president of consumer, product and brand. She left Nike last year amid a shake-up of senior management that led to the elimination of her role.
Analysts said Ms. O’Neill would be expected to find ways to energize Lululemon’s business and reset the company’s culture in order to improve performance.
“O’Neill is her own person who will come with an agenda of change,” said Neil Saunders, the managing director of GlobalData, a data analytics and consulting company. “The task ahead is a significant one, but it can be undertaken from a position of relative stability.”
Business
Angry Altadena residents ask officials to halt Edison’s undergrounding work
Eaton wildfire survivors’ anger about Southern California Edison’s burying of electric wires in Altadena boiled over Tuesday with residents calling on government officials to temporarily halt the work.
In a letter to the Los Angeles County Board of Supervisors, more than 120 Altadena residents and the town’s council wrote that they had witnessed “manifest failures” by Edison in recent months as it has been tearing up streets and digging trenches to bury the wires.
The residents cited the unexpected financial cost of the work to homeowners and possible harm to the town’s remaining trees. They also pointed out how the work will leave telecommunication wires above ground on poles.
“The current lack of coordination is compounding the stress of a community still reeling from the Eaton Fire, and risks causing further irreparable harm,” the residents wrote.
The council voted unanimously Tuesday night to send the letter.
Scott Johnson, an Edison spokesman, said Wednesday that the company has been working to address the concerns, including by looking for other sources of funds to help pay for the homeowners’ costs.
“We recognize this community has already faced a number of challenges,” he said.
Johnson said the company will allow homeowners to keep existing overhead lines connecting their homes to the grid if they are worried about the cost.
Edison’s crews, Johnson said, have also been trained to use equipment that avoids roots and preserves the health of trees.
The utility has said that burying the wires as the town rebuilds thousands of homes destroyed in the fire will make the electrical grid safer and more reliable.
But anger has grown as work crews have shown up unexpectedly and residents learned they’re on the hook to pay tens of thousands of dollars to connect their homes to the buried lines.
Residents have also found the crews digging under the town’s oak and pine trees that survived last year’s fire. Arborists say the trenches could destroy the roots of some of the last remaining trees and kill them.
Amy Bodek, the county’s regional planning director, recently warned Edison that a government ordinance protects oak trees and that “utility trenching is not exempt from these requirements.”
Residents have also pointed out that in much of Altadena, the telecom companies, including Spectrum and AT&T, have not agreed to bury their wires in Edison’s trenches. That means the telecom wires will remain on poles above ground, which residents say is visually unappealing.
“While our community supports the long-term benefits of moving utilities underground, the current execution by SCE is placing undue financial and planning burdens on homeowners, causing irreparable harm to our heritage tree canopy, and proceeding without adequate local oversight,” the residents wrote.
They want the project halted until the problems are addressed.
Edison announced last year that it would spend as much as $925 million to underground and rebuild its grid in Altadena and Malibu, where the Palisades fire caused devastation.
The work — which costs an estimated $4 million per mile — will earn the utility millions of dollars in profits as its electric customers pay for it over the next decades.
Pedro Pizarro, chief executive of Edison International, told Gov. Gavin Newsom last year that state utility rules would require Altadena and Malibu homeowners to pay to underground the electric wire from their property line to the panel on their house. Pizarro estimated it would cost $8,000 to $10,000 for each home.
But some residents, who need to dig long trenches, say it will cost them much more.
“We are rebuilding and with the insurance shortfall, our finances are stretched already,” Marilyn Chong, an Altadena resident, wrote in a comment attached to the letter. “Incurring the additional burden of financing SCE’s infrastructure is not something we can or should have to do.”
Other fire survivors complained of Edison’s lack of planning and coordination with residents.
“I’ve started rebuilding, and apparently there won’t be underground power lines for me to connect with in time when my house will be done,” wrote Gail Murphy. “So apparently I’m supposed to be using a generator, and for how long!?”
Johnson said the company has set up a phone line for people with concerns or questions. That line — 1-800-250-7339 — is answered Monday through Saturday, he said.
Residents can also go to Edison’s office in Altadena at 2680 Fair Oaks Avenue. The office is open Monday to Friday from 8 to 4:30.
It’s unclear if the Eaton fire would have been less disastrous if Altadena’s neighborhood power lines had been buried.
The blaze ignited under Edison’s towering transmission lines that run through Eaton Canyon. Those lines carry bulk power through the company’s territory. In Altadena, Edison is burying the smaller distribution lines, which carry power to homes.
The government investigation into the cause of the fire has not yet been released. Pizarro has said that a leading theory is that a century-old transmission line, which had not carried power for 50 years, somehow re-energized to spark the blaze.
The fire killed at least 19 people and destroyed more than 9,400 homes and other structures.
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