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F.D.A. Commissioner Marty Makary Resigns After Weeks of Pressure

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F.D.A. Commissioner Marty Makary Resigns After Weeks of Pressure

Dr. Marty Makary, the commissioner of the Food and Drug Administration, resigned on Tuesday, a move Preside Trump acknowledged on Tuesday, after weeks of pressure and rumors that the president was planning to fire him.

Dr. Makary ultimately resigned over concerns about the administration’s decision to authorize fruit-flavored e-cigarettes, an action he opposed, according to four people familiar with the matter. Dr. Makary told those close to him that he could not in good conscience approve flavored vapes, given their appeal to young people, and would not do something he did not believe in.

His departure caps a tumultuous run at the helm of an agency that regulates medical treatments, vaccines and much of the U.S. food supply. Dr. Makary came to the F.D.A. as a reformer, instituting so many new initiatives that he became known — and sometimes mocked — for his white board on wheels, festooned with Post-it notes lining up announcements that he promoted on frequent television appearances.

But his efforts at times put him at odds with the powerful food, tobacco and pharmaceutical industries. In the process, he made a number of enemies in Washington and on Wall Street, including some biotech leaders, abortion foes, tobacco executives and eventually some members of the administration.

He also drew criticism from public health leaders who viewed him as pandering to anti-vaccine activists with the release of an unsupported memo claiming that there were deaths related to Covid vaccines. Criticism flared again when he allowed the renewed use of unproven peptides, or injectable compounds with uncertain effects, a policy favored by Health Secretary Robert F. Kennedy Jr.

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“He has offended almost everyone involved in F.D.A. issues, which is not easy to do,” said Diana Zuckerman, the president of the National Center for Health Research, which weighs in frequently on F.D.A. decisions. “But it would still be a disaster if he is replaced by someone who appeals primarily to tobacco companies, anti-abortion activists” and pharmaceutical lobbyists, she added.

The resignation was first reported by Politico.

Kyle Diamantas, the F.D.A.’s top food regulator, was named the acting commissioner. Mr. Diamantas came to the agency from Jones Day, a law firm where he represented Abbott Nutrition, a leader in the infant formula industry. He has become a vocal champion for policies to remove chemicals from the food supply and increase transparency around food ingredients.

The most consequential clash of his tenure was over the authorization of flavored e-cigarettes, a step Dr. Makary resisted over concerns that fruity and candy flavors would lure young people to addictive vapes. The White House ultimately prevailed. Earlier this month, two fruit-flavored vapes were approved. And last Friday, the F.D.A. quietly issued a policy allowing them to be more widely marketed.

Mr. Trump told reporters Tuesday afternoon that he wished Dr. Makary well.

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“Marty’s a terrific guy, but he’s going to go on and he’s going to lead a good life,” Mr. Trump said as he left for a trip to China. “He’s a great doctor, and he was having some difficulty.”

Dr. Makary also faced repeated calls for his firing from abortion foes who accused him of dragging out the timetable for a study of the safety of mifepristone, an abortion drug, viewing the exercise as one that could support their efforts to restrict the drug’s distribution.

Dr. Makary, who was a Johns Hopkins University cancer surgeon and health policy researcher before entering government, attempted to play to Mr. Kennedy’s Make America Healthy Again movement, going as far as sitting in a frigid plunge pool with the wellness influencer and biohacker Gary Brecka. He also led popular efforts to authorize natural food dyes and change how people talked about hormone replacement therapy for women.

With the support of MAHA voters, Mr. Trump framed Dr. Makary as a bold reformer, someone who would right an agency that had “lost sight of its primary role as a regulator.”

Early on, Dr. Makary and Dr. Vinay Prasad — his handpicked director of gene therapies, stem cell treatments and vaccines — drew scrutiny when they restricted the criteria for prescribing Covid vaccines to people older than 65 or with a list of health concerns.

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Dr. Prasad resigned under pressure last summer after he was targeted by the right-wing influencer Laura Loomer, in part over his crackdown on a drug company tied to several patient deaths. Dr. Prasad was later brought back, but left the agency again in recent weeks.

Dr. Prasad and his counterpart in the agency’s drug division rejected a number of new drugs for rare diseases, citing flaws in a company’s research supporting an approval. As Dr. Makary went on television to defend the rejections, frustrated biotech leaders and investors vented to the White House and Mr. Kennedy’s office.

“On vaccines and mifepristone, Makary rarely prioritized rigorous evidence,” said Lawrence O. Gostin, a professor at Georgetown Law who studies the F.D.A. “Ironically, his one stand for high-quality science — on flavored vapes — created the friction with the White House that contributed to him losing his job.”

Dr. Makary also faced a series of challenges inside his agency. He started his work last year contending with a haphazard array of staff cuts led by Mr. Kennedy and Elon Musk’s Department of Government Efficiency. Some staff members vital to reviewing complex surgical devices, inspecting food manufacturers and monitoring drug safety were laid off.

Though some people were hired back, another wave of voluntary departures left the agency without more than 4,000 staff members, or about a fifth of its work force.

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Dr. Makary ultimately became a champion for the agency’s staff, fighting to get authorization to hire about 3,000 employees. The process of recruiting and hiring has moved slowly, though, leaving staff members at the agency and those who watch it concerned about its future.

Nathan Cortez, a Southern Methodist University law professor who studies the F.D.A., said that finding a permanent replacement could be a major challenge.

“The new commissioner will have to walk a tight rope between what the administration wants — Trump and R.F.K. Jr. — and what federal law commands of F.D.A.,” he said in an email, adding: “Historically, the expectation is someone with an M.D. or PhD and real scientific chops. It’s a lot of pressure.”

Karoun Demirjian contributed reporting.

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Read Nick Bilton’s Letter to Scott Pelley

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Read Nick Bilton’s Letter to Scott Pelley

Dear Mr. Pelley:

I meant what I said in my letter last week to the 60 Minutes team: joining 60 Minutes is the honor of my career and I am grateful to be working alongside the people who have contributed to the most important television journalism brand this country has ever produced. While I’m new to 60 Minutes, I’ve devoted my career to investigative journalism and storytelling. I started this job excited to collaborate and to benefit from the wisdom and experience of the 60 Minutes veterans, with you among them. For that reason, one of the first things I did in my new role was call you to talk and invite you to dinner. It is a profound disappointment that you rejected that overture and chose ambush instead. Yesterday, you hijacked my first meeting with staff to disparage me, my qualifications, and my intentions with remarkable incivility and contempt. I welcome a diversity of viewpoints and respectful debate among the team, but this was nothing of the sort. Yesterday’s performative display of hostility enacted in front of the staff instead of in a civil, private conversation-demonstrated that you have no interest in contributing to the future success of the show, or approaching my new tenure with a mind open to collaboration and progress. I am here to deliver first-in-class news programming, not to make headlines about newsroom drama. I am eager to work alongside those who share this goal.

Despite yesterday’s misconduct, I had hoped that in sitting down with you today we could find a path forward together. You made clear that you are not interested in such a path.

Your antipathy to the future of the show has come through loud and clear. And I have heard you. I therefore write on behalf of CBS News, Inc. (“CBS”) to inform you that your employment with CBS is terminated for cause effective immediately. Enclosed is your formal termination letter.

Sincerely,

Nick Bilton

Executive Producer, 60 Minutes

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Aspiration co-founder sentenced to 14 years for fraud

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Aspiration co-founder sentenced to 14 years for fraud

The co-founder of Aspiration, Joseph Sanberg, was sentenced to 14 years in prison on Monday after defrauding investors and lenders of over $248 million.

The startup, an eco-friendly digital banking company boasting fossil fuel-free investments, carbon offsets for gas purchases, and a debit card with cash-back benefits for shopping at clean companies, was founded by Sanberg and Andrei Cherny. Cherny left the company in 2022 and has not been charged.

Sanberg, an Orange County native, pleaded guilty to wire fraud in October after being arrested in March last year. Aspiration subsequently filed for bankruptcy and liquidated all of its assets by July.

Sanberg and venture capitalist Ibrahim AlHusseini, who also faces charges, together forged a series of bank statements in order to obtain loans. From 2020 to 2021, the pair forged AlHusseini’s bank statements to show millions of dollars in assets in order to obtain millions of dollars from lenders.

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Additionally, they forged a letter from their audit committee stating that $250 million in funds were available, when in reality Aspiration had less than $1 million. The amount of loans defrauded exceeded $248 million.

In 2021, Sanberg artificially inflated Aspiration’s 2021 revenue by $44 million by recruiting 27 fake customers to sign letters of intent pledging tens of thousands of dollars per month for tree planting services. Sanberg himself funded the contracts and used the inflated revenue numbers to obtain more loans.

The charges sparked an NBA investigation into salary cap allegations due to Aspiration’s connections with Clippers owner Steve Ballmer.

Ballmer personally invested $60 million in Aspiration, all of which was lost. He is now the target of a civil lawsuit alleging his participation in the scheme. Ballmer denies the allegations.

The team announced a $300-million sponsorship deal with Aspiration, and Clippers player Kawhi Leonard signed a four-year, $28-million marketing contract with the company, which reportedly performed no duties. The issue has raised concerns about how players are circumventing the NBA’s salary cap.

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The team lost the $300-million sponsorship deal and an additional $20 million paid for carbon offset purchases.

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Monterey Park takes landmark vote on banning data centers

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Monterey Park takes landmark vote on banning data centers

Residents in the city of Monterey Park will be the first in the nation to vote on a permanent ban on data centers Tuesday.

If approved, Measure NDC would prohibit data centers within the city limits and could only be overturned by another vote.

Yard signs saying “No Data Center” in English and Chinese with images of dragons line sidewalks in the San Gabriel Valley city.

As a wave of data center opposition sweeps the country, numerous towns and counties across the U.S. have instituted temporary moratoria and other restrictions on the facilities. But only a handful have instituted indefinite bans, and just four other towns have sent related matters to the ballot.

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Supporters are hoping the vote will set a precedent for the rest of the region, where residents are fighting proposals in Vernon and City of Industry.

“This is about as permanent a ban as we can get,” said Steven Kung, co-founder of the group No Data Center Monterey Park. “Winning Measure NDC would send a huge message to the rest of the San Gabriel Valley about how residents don’t want data centers.”

The ballot measure emerged from the fight against a 247,000-square-foot center proposed in 2024 by the Australian-owned investment firm HMC StratCap for a residential area in Monterey Park.

The facility would have sat less than 500 feet away from the nearest home and used three times the electricity of the 60,000-person, predominantly Asian American city.

While the developer touted the potential for jobs and tax revenue, residents expressed concerns about noise and air pollution, rising electricity rates and a potential to lower property values.

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The company pulled its plans in late March following public outcry and a March 4 city council vote to extend a temporary data center moratorium and place a ban on Tuesday’s ballot.

In a letter to the city council, HMC StratCap said it would pursue a different use for the land and would not engage in a ballot measure fight.

The city council later banned data centers indefinitely, the first in California to do so, said Mayor Elizabeth Yang. But she’s still been out campaigning for the measure with all four other council members.

“If a council puts in an ordinance, a future council can reverse it too,” said Yang. “With the ballot measure, unbanning it is a lot harder because you need the entire city to vote on it.”

The measure proposes the ban “to protect air quality, drinking water resources, and public health” and “prevent impacts to electricity and water rates.”

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While California places third in the country for existing data centers with about 300 facilities, it hasn’t been a hot spot in the recent AI-driven data center boom. High electricity rates, expensive land and regulatory hurdles mean that fewer, and smaller, facilities are currently planned than in Virginia, Texas, Georgia, Illinois or Arizona.

“Most of California’s data centers are small by today’s standards,” said Shaolei Ren, an engineering professor at UC Riverside who studies how to reduce the environmental impacts of data centers. “Ten years ago, they would be medium-sized, but the power demand for new AI data centers has increased a lot.”

The average operating data center demands 45 megawatts, according to the Washington Post, while the average planned one would draw 430 MW. The one proposed for Monterey Park would have required about 50 MW at peak demand.

As proposals crop up in SoCal, they’re met with fierce opposition. Montebello, El Monte and Baldwin Park have all enacted temporary moratoria, and Alhambra recently banned data centers as part of a zoning code update. City of Industry, Vernon, City of Commerce and Santa Fe Springs are moving in the other direction, trying to court developers and streamline data center approvals. Community groups are fighting that.

Outside the San Gabriel Valley, residents of Coachella and Imperial County are showing up in droves to protest local proposals.

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Matthew Shaw, a volunteer with the Coalition for Responsible Data Center Development, who recently published a report on opposition to AI data centers, said a vote to ban them in Monterey Park “would lead to copycats, partially because so many groups are just opposed to any data center development at all.”

While there is no formal opposition to Measure NDC, some building trades like Ironworker Local 433 supported the Monterey Park data center when it was still live before city council. Those in the data center industry are lamenting the state of public opinion.

“These are multi-billion-dollar assets that are built by multi-trillion-dollar companies. These things will get done,” said Mehdi Paryavi, chairman of the International Data Center Authority. “My biggest problem is that our industry does not invest enough in community engagement.”

Paryavi said towns that seek to limit data centers are missing out on thousands of jobs generated by data center construction, operations and customers, as well as faster artificial intelligence speeds and better performance.

Kung said local community organizers are “looking at the empirical evidence” and seeing a ban as a win.

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“We’ve never seen a city that embraces a data center and is like, ‘Look how our quality of life has increased, look how all the revenue has gone into citywide improvements,’” he said. “That just doesn’t exist.”

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