Midwest
GOP candidate for swing House district once defended Chinese company in lawsuit
A lawyer and Republican candidate for a U.S. House seat in the swing state of Michigan has in the past defended a Chinese-owned firm linked to multiple espionage investigations.
Michigan-based attorney Paul Hudson, who is running in the GOP primary for Michigan’s 3rd Congressional District, served as one of the attorneys defending Yubei (Xinxiang) Power Steering Sys. Co., in a 2015 lawsuit filed by Global Technology Inc., a Michigan company.
Yubei (Xinxiang) Power Steering is a subsidiary of the Aviation Industry Corporation of China (AVIC), a defense contractor owned by the Chinese Communist Party that has faced multiple espionage investigations, including accusations the firm stole secret F-35 information to incorporate into Chinese aircraft.
A 2014 Fox News report on the incident noted that the alleged espionage took place in 2007, with a secretive Chinese military unit passing F-35 technology data to the AVIC that later turned up in China’s new J-20 stealth fighter jet.
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Teachers and students sing together to celebrate the founding day of the Communist Party of China at Wenhua Road Primary School in Zaozhuang, China. (CFOTO/Future Publishing via Getty Images)
The Chinese firm’s involvement in the espionage case was one of several cases of Chinese companies spying in the U.S., eventually leading to President Trump signing a 2020 executive order that prohibited American companies from owning shares in companies the Defense Department listed as being linked to the People’s Liberation Army, including AVIC.
Reached for comment by Fox News Digital, a spokesperson for Hudson’s campaign argued the candidate “has represented a wide variety of clients in hundreds of cases in his 18 years of practicing law in Michigan.”
“In this decade-old case, Paul assisted a firm client in a limited appeal involving a contract dispute,” the spokesperson added. “The only issue at hand was a narrow jurisdictional issue in which the Sixth Circuit unanimously agreed with his client’s position, and the case was quickly dismissed.”
But the issue could play an outsized role for voters in Michigan, especially in the aftermath of a high-profile dispute between a small Michigan town and a Chinese company last year.
At issue in that case was a lawsuit filed by Gotion Inc., a subsidiary of China-based Gotion High-Tech, against Green Charter Township, Michigan. Voters in Green Charter Township, which is just north of Michigan’s 3rd District, fought back against plans led by Michigan Gov. Gretchen Whitmer for Gotion to build an electric vehicle battery plant near an area military base after the company’s Chinese ties were revealed, leading to the case that generated national headlines.
Michigan Gov. Gretchen Whitmer (AP Photo/Paul Sancya, File)
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The Gotion case was top of mind for Hudson’s GOP primary opponent, Michigan financial adviser Michael Markey, who argued Michigan “cannot afford to elect a congressman who is in the pocket of the Chinese Communist Party.”
“This is not just a concern for voters, it is a concern for national security,” Markey told Fox News Digital. “His ties to the Chinese Communist Party should be an immediate disqualifier for running for Congress.”
Markey argued that Hudson has demonstrated he will put his personal interests ahead of those of voters, noting China’s well-documented attempts to disrupt American interests.
“It is clear that Paul Hudson is a lawyer for sale to the highest bidder, and in this case, the highest bidder is the Chinese Communist Party,” Markey said. “Paul chose to defend the Chinese Communist Party to line his pockets at the expense and safety of Michigan and America.”
The campaign of the 3rd District incumbent, Rep. Hilary Scholten, D-Mich., did not respond to a Fox News Digital request for comment.
Rep. Hillary Scholten (Kevin Dietsch/Getty Images)
Meanwhile, the spokesperson for Hudson’s campaign pointed to the candidate’s long history of “opposing Chinese aggression and influence,” noting Hudson has been a strong advocate of rebuilding the Pacific Fleet and has supported increased defense spending to counter China, including support for the recent $8 billion aid package to Taiwan.
“Paul also supports the work and leadership of the Michigan congressman in his neighboring district, John Moolenaar, who heads the House Select Committee on the CCP and is doing important work to expose and counter China’s influence operations in our homeland,” the spokesperson said.
Michigan’s congressional primary elections will be held on Tuesday, Aug. 6.
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Detroit, MI
Police search for suspect, accomplice after teen injured in shooting outside Detroit school gym
The Detroit Police Department is searching for a suspect and an accomplice in connection with a shooting last week that injured a teen outside a school gym.
The shooting happened in the 3400 block of St. Aubin, the same area where the Detroit Edison Public School Academy’s Early College of Excellence is located. Police say that at about 8:27 p.m. on Feb. 27, there was an altercation inside the gym that continued outside.
Police say the suspect allegedly fired multiple shots at the victim, striking him. The teen was taken to a hospital for treatment. His current condition is unknown.
Police say the accomplice who was with the suspect was also armed.
Anyone with information is asked to call DPD’s seventh precinct at 313-596-5740, Crime Stoppers at 800-Speak Up or DetroitRewards.tv.
Milwaukee, WI
Milwaukee Common Council opposes We Energies’ data center rate plan
Aerial view of the Microsoft’s data center in Mount Pleasant
See an aerial view of the Microsoft’s data center in Mount Pleasant, Wisconsin
The Milwaukee Common Council has called on state utility regulators to reject We Energies’ data center rate proposal in its current form.
The council unanimously adopted a resolution March 3 opposing We Energies’ proposal to create a separate energy rate for large-scale data centers, saying the plan does not go far enough to protect ratepayers.
At the same time, a group of council members led by District 14 Ald. Marina Dimitrijevic is drafting a six-month moratorium on data center development in the city of Milwaukee.
We Energies’ plan “is not a good deal for Milwaukeeans,” Dimitrijevic said during a Common Council meeting March 3.
We Energies’ proposal would create a separate energy rate for “very large” customers with an expected load of 500 megawatts or more. These very large customers, which include data center developers like Microsoft and Vantage, would pay for the massive amount of new infrastructure being built to serve them.
In October, We Energies filed plans to build more than $5 billion in new solar projects and natural gas plants to meet electricity demand brought by hyperscale data centers.
The utility says its rate plan protects customers from bearing costs associated with these projects, and hold data center companies responsible for costs through the life of the new assets.
“Our proposal is fair, transparent, and establishes strong safeguards — including binding agreements so data centers owners, not other customers, pay for the infrastructure they require,” We Energies spokesperson Brendan Conway said in a statement. “That means Wisconsin families are not subsidizing these projects.”
The resolution, introduced by Dimitrijevic, calls for stronger ratepayer protections, including binding service agreements that last the life of new infrastructure and include termination charges. It also wants the “very large” customer threshold lowered from 500 megawatts to prevent avoidance by data center companies.
In filings submitted to the Public Service Commission, We Energies said it would be willing to lower the threshold to 250 megawatts.
The resolution took particular issue with We Energies’ proposed cost split for the new natural gas plants. Under the current proposal, data center companies would pay for 75% of operating and maintenance, and other ratepayers would cover the remaining 25% as well as annual fuel costs.
We Energies says the plants will serve all customers as demand for energy is projected to rise across rate classes.
“If data centers never existed, we would’ve had to have built other plants, other power generation to meet our customers’ increasing need,” Conway previously told the Journal Sentinel.
The resolution said data center companies should pay “100% of all incremental and fixed costs required to serve them, including generation capacity, operations and maintenance, and fuel costs attributable to serving the data center load.”
Council members’ concerns echo those brought by environmental and consumer advocacy groups during a public hearing Feb. 10. The Public Service Commission will rule on the proposal by May 1.
This is not the first time the City of Milwaukee has weighed in on We Energies cases brought before the Public Service Commission. It’s intervened in opposition to previous energy rate hikes proposed by the utility, arguing they disproportionately burden thousands of low-income Milwaukee households.
In December, Dimitrijevic proposed a six-month moratorium on data center development in the city. The pause will give council members time to establish a regulatory framework for large-scale data center proposals, she told the Journal Sentinel.
“Sometimes the economy moves so quickly that we haven’t been able to catch up in licensing,” Dimitrijevic said. “We have to set up a careful way to regulate it and have public input.”
A group of aldermen want to require data center developers apply for a special use permit through the Milwaukee Zoning Appeals Board, a process they say creates more transparency. Should this pass, large data center proposals would be subject to public hearings, and the Zoning Appeals Board can reject a plan based on public health concerns.
The moratorium will receive a public hearing in the next few weeks.
This article was updated to include new information.
Francesca Pica can be reached at fpica@usatodayco.com.
Minneapolis, MN
Whitefish council creates proclamation in solidarity with city, citizens of Minneapolis
WHITEFISH, Mont. — The Whitefish City Council in February presented and signed a proclamation expressing solidarity with the city and citizens of Minneapolis.
The proclamation states that Whitefish mourns the loss of life that occurred in Minneapolis and stands in solidarity with its residents.
It reaffirms the city’s commitment to equal treatment under the law and emphasizes that peaceful protest is a fundamental American right.
The proclamation was supported by five of the six council members.
Mayor John Muhlfeld said the action was meant to reaffirm the city’s values.
“A mayoral proclamation that is supported by five of six City Council members supporting solidarity with the city and citizens of Minneapolis, Minnesota, and reaffirming our supportive, just, equal and welcoming community,” Muhlfeld said. “I think this is somewhat overdue. Our town’s been through a lot over the years, This is more importantly to reaffirm our values as a council with our community because we care deeply about you.”
Over the last year, Whitefish has faced criticism amid rising tensions surrounding the Department of Homeland Security.
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View the full proclamation below.
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