Business
Mass Federal Firings May Imperil Pets, Cattle and Crops
Shortly after taking office for the second time, President Trump began making deep cuts to agencies and programs that play critical roles in human health, slashing funding for medical research, halting global health aid and firing scores of workers at the Centers for Disease Control and Prevention.
But the campaign to downsize government, which has been led by Mr. Trump and Elon Musk, has also hollowed out agencies and programs devoted to protecting plant and animal health. The recent wave of mass firings hit federal workers responding to the nation’s growing bird flu outbreak, protecting crops from damaging pests and ensuring the safety of pet food and medicine, among other critical duties.
Although the government has since rescinded some of these firings, the terminations — combined with a federal hiring freeze and buyout offers — are depleting the ranks of federal programs that are already short on employees and resources, experts said.
The damage could be long-lasting. Workers whose jobs were spared said that the upheaval had left them eyeing the exits, and graduate students said they were reconsidering careers in the federal government. The shrinking work force could also have far-reaching consequences for trade and food security and leave the nation unequipped to tackle future threats to plant and animal health, experts said.
“These really were indiscriminate firings,” said John Ternest, who lost his job at the U.S. Department of Agriculture, where he was preparing to conduct studies on honeybee health and crop pollination. “We don’t know what we’ve lost until it’s potentially too late.”
Plant and animal inspectors
The most recent wave of firings focused on the roughly 200,000 “probationary” employees across the federal government, who had fewer job protections because they were relatively new to their positions. (For some roles, the probationary period can be as long as three years, and it can also reset when longtime employees are promoted.)
The exact size and scope of the job losses remain unclear, and the U.S.D.A. did not answer questions about the number of workers who had been terminated or reinstated at several of its agencies.
But in an emailed statement, a U.S.D.A. spokesman said that Brooke Rollins, the new secretary of agriculture, “fully supports President Trump’s directive to optimize government operations, eliminate inefficiencies and strengthen U.S.D.A.’s ability to better serve American farmers, ranchers and the agriculture community.”
Reports suggest that the department has lost thousands of employees.
That includes roughly 400 people who worked in its Animal and Plant Health Inspection Service, according to one U.S.D.A. official who asked not to be named for fear of retaliation. The plant protection and quarantine program within APHIS was especially hard hit, losing more than 200 employees, including agricultural inspectors, entomologists, taxonomists and even tree climbers who surveyed for pests, the official said.
Some of the fired workers were responsible for combating invasive, plant-killing insects, such as the Asian long-horned beetle, within the nation’s borders. Others worked to ensure that agricultural products entering and exiting the country were free of pests and pathogens. Exotic fruit flies pose a particular risk to American agriculture, including the citrus and berry industries.
The terminations are already causing import delays at the nation’s ports, according to the U.S.D.A. official. Over the longer term, if agricultural pests and pathogens found their way into the country, they could infest the nation’s homegrown crops, threatening food security and reducing demand for American agricultural products abroad.
“If the United States gets a reputation for having dirty products, does that mean other countries will also, you know, step in and say, ‘Hey, we don’t want to buy your goods’?” the official said.
The firings also hit the agency’s veterinary services program, which inspects imported livestock for disease and plays a key role in the nation’s bird flu response, said Dr. Joseph Annelli, the executive vice president of the National Association of Federal Veterinarians.
The U.S.D.A. has quickly rehired some of the employees who were involved in the bird flu response, suggesting that their firings had been a mistake. But even before the recent terminations, the government was short on veterinarians, Dr. Annelli said. “There has not been adequate staffing for at least 10 years,” he said. “We need more veterinarians, not less.”
The agency was in the midst of hiring additional people to assist with the bird flu response, Dr. Annelli said, but the federal hiring freeze put that process on hold.
The workers who remain are nervous about the long-term stability of their jobs. “I’m not very optimistic,” said one current veterinary services employee, who requested anonymity to avoid retaliation and has already applied for another position outside the U.S. government.
Agricultural scientists
Roughly 800 people, including the leaders of laboratories, were also fired across the Agricultural Research Service, the in-house scientific agency at the U.S.D.A, according to a department official who was not authorized to discuss the matter and spoke on the condition of anonymity.
The firings brought a wide range of research projects to an abrupt halt and left the technicians and the students who worked in these labs in limbo.
One New York lab was in the middle of investigating a potential outbreak of late blight, a potato disease, when the lead scientist was fired, said Isako Di Tomassi, a graduate student at Cornell University who worked in the lab. Potato samples from a large, commercial farm are now locked up in the shuttered lab, “untouched and untested,” Ms. Di Tomassi said.
Scientists and statisticians working in the U.S. Meat Animal Research Center in Nebraska, which studies livestock genetics and breeding, were also terminated, including those working on research projects in food safety and salmonella testing. The firings have led to objections from Nebraskas’s Republican congressional delegation and industry groups.
“We understand and respect the federal government’s desire to cut wasteful spending, but the truth of the matter is, U.S. MARC does not fall in that category,” the Nebraska Cattlemen Association said in a statement. The work being done at the center, the statement continued, “has potential to reduce costs for the beef industry long term and improve food safety for consumers.”
Some — but not all — of the agency’s scientists were reinstated this week. Still, the mass firings could do lasting reputational damage to the agency, they said.
“I think that people that want to earnestly do science are going to be viewing and remembering these decisions and how scientists are being treated,” said one agricultural researcher who was fired and then rehired and requested anonymity to protect the job.
In interviews, several graduate students in agricultural science said that they were no longer sure whether they could build research careers in the federal government.
“My future as a scientist seems very uncertain right now,” Ms. Di Tomassi said.
“Getting a federal scientist position is a big deal,” she added. “It’s not easy to do, and all of that investment is now being let go.”
Animal health regulators
Although the Centers for Disease Control and Prevention primarily concerns itself with human health, the agency also aims to prevent zoonotic diseases, including by regulating the entry of animals — particularly those than can carry pathogens — into the United States.
For example, the agency does not permit dogs that have recently been in countries with a high prevalence of rabies to enter the United States unless they have been vaccinated against the disease. C.D.C. officers also examine animals at port stations, and isolate or quarantine those exposed to dangerous pathogens.
But the Trump administration recently dismissed about half of the C.D.C. employees at the agency’s 20 port health stations, leaving some stations entirely unattended.
Calls to the port station in San Juan, P.R., last week were rerouted to the station in Miami, where a C.D.C. employee who declined to be identified said that no one would be at the San Juan post “for a very long time.”
Workers were also fired from the Food and Drug Administration’s Center for Veterinary Medicine. Among those affected were employees reviewing data on novel animal medicines and working to ensure that pet food and animal feed were free of contaminants.
Those teams were already short-staffed, said two fired employees, who asked not to be identified because they are appealing their terminations. They worried that the losses could slow down the approval of new animal drugs and even cause dangerous products to fall through the cracks.
“It’s a gap in the safety structure,” one of the employees said. “They’re big challenges and there’s no one else to take it on. That’s the job of government.”
Linda Qiu contributed reporting.
Business
Orange County real estate investor pleads not guilty in $100 million bank fraud case
An Orange County real estate investor accused of criminally defrauding an Arizona bank of nearly $100 million pleaded not guilty Monday and remains in custody.
Mahender Makhijani, 44, of Corona del Mar — who also was ordered by an arbitrator to pay $1.34 billion in a separate civil fraud case — was arraigned in Santa Ana federal court on two charges.
He is accused of bank fraud and making a false statement to a bank in a June 8 case involving a $100 million real estate loan made by Phoenix-based Western Alliance Bank. He was taken into custody on June 10.
Makhijani is accused of providing bogus collateral for the October 2024 loan now in default. In a civil lawsuit, Western Alliance said the outstanding balance as nearly $99 million.
Prosecutors say he falsified title insurance policies that showed the bank would have a first lien on the underlying collateral if the loan went bad, when in fact it did not.
A trial was set for August 11 before U.S. District Judge David O. Carter in Santa Ana.
Michael Schachter, his criminal defense attorney, did not respond to messages seeking comment.
In the civil case, an arbitrator in May ordered Makhijani to pay Laguna Beach real estate mogul Mohammad Honarkar $1.34 billion after ruling he had fraudulently induced him into a 2021 joint venture — and then wrested control and lost to creditors more than two dozen properties Honarkar had owned.
Makhijani has not been criminally charged in that case, but prosecutors alleged in an affidavit in support of the bank fraud charges that he used “force and threats” in his dealings with Honarkar and others — including taking over the landmark Hotel Laguna in 2023 that Honarkar was renovating.
Prosecutors sought to hold Makhijani without bail after his arrest.
The affidavit noted he is a legal Indian immigrant with a home and bank accounts in that country, has access to private jets and threatened to “run away” if caught in a difficult situation.
The request was denied and he was granted $500,000 bail.
However, Makhijani remains in custody after a hearing sought by prosecutors last month before Magistrate Judge Autumn Spaeth.
The judge declined to accept a $450,000 cashier’s check submitted by a Makhijani associate for the bail, finding insufficient proof the source of the funds was legitimate, according to court records.
Makhijani is not prominent outside Orange County real estate circles, but he established a thriving distressed-assets business over the last decade that attracted prominent Southern California real estate investors.
Prosecutors said it paid for a lifestyle that included two multimillion-dollar homes in Corona del Mar, a luxury apartment in Newport Beach and various luxury vehicles.
As of last month, prosecutors had not fully traced his assets, which they believe are not held in his name and some of which may be in India.
The businessman employed an array of shell companies and strawmen to sign documents on his behalf, and to stand in for him as operators of his companies, according to the affidavit.
Makhijani told an associate he took extra precautions because wanted to insulate himself from litigation and that “they were sharks in the distressed world who took advantage of people,” the affidavit stated.
Business
Many indie festival films struggle to get distribution. Alamo Drafthouse is trying to change that
Dine-in movie theater chain Alamo Drafthouse Cinema is launching a new initiative to show unreleased independent films that had successful festival runs, a move that comes as specialty films have struggled to gain distribution.
The Alamo Exclusives program, announced Wednesday, will give limited theatrical runs to films that showed at festivals including Sundance, the Toronto International Film Festival, Tribeca Festival and South by Southwest festival, as well as Alamo’s own Fantastic Fest.
The idea is to help showcase films that received critical acclaim, but did not secure distribution or acquisition deals. The chain will not acquire these films, but instead will enter into agreements with filmmakers to exhibit their films on Alamo Drafthouse screens. By showing these films to audiences on the big screen, these films could get the momentum they need for further opportunities.
The program’s first film will be the documentary “Butthole Surfers: The Hole Truth and Nothing Butt,” which debuted last year at South by Southwest and chronicles the history of the punk rock band.
The film will be shown in Alamo Drafthouse theaters for a limited time later this summer.
The Austin-based chain, which is owned by Sony Pictures, has a long history of curating indie films for its audiences, giving Alamo Drafthouse confidence that its viewers want to see these kinds of movies, company chief executive Michael Kustermann said in a statement.
“Time and again, they’ve shown they’ll come out to support bold, original films when given the opportunity,” he said. The new Alamo Exclusives “gives us another way to champion filmmaker-driven films that deserve to be discovered and connect them with the wider Alamo Drafthouse audience.”
The initiative comes at a difficult time for indie films. Since the pandemic upended the movie business, traditional studios and distributors have had less appetite for risk, including betting on smaller indie films out of festivals.
And as the 2023 dual writers’ and actors’ strikes thinned out theatrical lineups, that aversion to uncertainty became a push for reliable and profitable hits.
“Too many incredible films premiere at festivals and then never receive the theatrical life they deserve,” Lisa Dreyer, director of Fantastic Fest and film innovation at Alamo, said in a statement. “We are actively searching for films across all genres, from horror to comedy, to everything in-between, to champion in this new, exciting way.”
Business
FDA escalates recall of Utz brand potato chips before July Fourth holiday
The recall of a popular chip brand over salmonella concerns was recently upgraded to the U.S. Food and Drug Administration’s highest level, just ahead of the Fourth of July holiday and countless backyard barbecues.
On June 24, the FDA designated the recall of several varieties of Zapp’s and Dirty brand potato chips as Class I, meaning it’s “a situation in which there is a reasonable probability that the use of or exposure to a violative product will cause serious adverse health consequences or death.”
FDA has classified the following items as Class I:
Zapp’s
- 1.5-ounce Zapp’s Bayou Blackened Ranch Kettle Chips
- 2.5- and 8-ounce Zapp’s Bayou Blackened Ranch Potato Chips
- 1.5- and 8-ounce Zapp’s Big Cheezy Potato Chips
Dirty
- 1.5- and 2-ounce Dirty Brand Salt and Vinegar Potato Chips
- 2-ounce Dirty Maui Onion Chips
- 2-ounce Dirty Sour Cream and Onion Potato Chips
The chips are produced by Utz Quality Foods, LLC, which on April 28 issued a recall after learning “that a seasoning containing dry milk powder, sourced from California Dairies, Inc. and supplied by a third-party supplier, may contain the presence of Salmonella.”
Salmonella can lead to sometimes deadly infections in elderly people, young children and those with weakened immune systems, according to the FDA.
More than 680,000 bags are included in the recall.
Anyone who has these products should not eat them and should discard them immediately.
What to look for
Salmonella is a foodborne illness that can be fatal to young children, pregnant women, older adults and people with weakened immune systems, according to the National Institutes of Health.
Symptoms may develop 12 to 72 hours after infection, according to the FDA.
The FDA said that people with strong immune systems infected with salmonella may experience fever, diarrhea (which may be bloody), nausea, vomiting and abdominal pain. The illness can last four to seven days.
In rare cases, the infection may produce more severe illnesses such as arterial infections, endocarditis and arthritis, the agency added.
What to do if infected
If you contract salmonella, the Centers for Disease Control and Prevention recommends drinking plenty of fluids to prevent dehydration.
The CDC advises consulting a doctor before taking antidiarrheal medicine or antibiotics. If severe symptoms continue after two days, seek medical help, the agency says.
Because those with diarrhea can spread salmonella to others, it’s also recommended to avoid sharing food or preparing meals for others, sexual contact and swimming in public pools, and to stay home while sick.
Times staff writer Jasmine Mendez contributed to this report.
-
Lifestyle1 minute agoJessica McCormack: How a Challenger Is Seizing the Jewellery Opportunity
-
Politics4 minutes agoCommentary: Trump’s World Cup meddling only made matters worse for rattled U.S. squad
-
Sports16 minutes agoLooking back at the greatest high school basketball doubleheader in 2017
-
World24 minutes agoNATO must become more European, von der Leyen and Rutte say
-
News49 minutes agoTop Senate Democrats push Trump-affiliated companies for answers about IRS settlement
-
Los Angeles, Ca2 hours agoMissing 13-year-old with autism last seen at Los Angeles beach
-
Videos2 hours agoCharlie Kirk’s alleged killer appears in court
-
Detroit, MI3 hours ago
GET TO KNOW: Wide receiver Kendrick Law