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In some cases, corporate groups have posed as small business owners besieged by rising crime rates.
U.S. President Donald Trump's military occupation of Washington, D.C. has been egged on for months by corporate lobbyists. In some cases, they have posed as small business owners besieged by rising crime rates.
According to a report Tuesday in The Lever:
Last February, the American Investment Council, private equity's $24 million lobbying shop, penned a letter to D.C. city leaders demanding "immediate action" to address an "alarming increase" in crime.
That letter was published as an exclusive by Axios with the headline: "Downtown D.C. Business Leaders Demand Crime Solutions."
But far from a group of beleaguered mom-and-pops, the letter's signatories "included some of the biggest trade groups on K Street," The Lever observed:
The U.S. Chamber of Commerce, which boasts its status as the largest business organization in the world; the National Retail Federation, a powerful retail alliance representing giants like Walmart and Target; and Airlines for America, which represents the major U.S. airlines, among others. These lobbying juggernauts spend tens of millions of dollars every year lobbying federal lawmakers to get their way in Washington."
It was one of many efforts by right-wing groups to agitate for a more fearsome police crackdown in the city and oppose criminal justice reforms.
On multiple occasions, business groups and police unions have helped to thwart efforts by the D.C. city council to rewrite the city's criminal code, which has not been updated in over a century, to eliminate many mandatory minimum sentences and reduce sentences for some nonviolent offenses.
The reforms were vetoed by D.C. Mayor Muriel Bowser in 2023. After the veto was overridden by the city council, Democrats helped Republicans pass a law squashing the reforms, which was signed by then-President Joe Biden.
In 2024, groups like the Chamber of Commerce pushed the "Secure D.C." bill in the city council, which expanded pre-trial detention, weakened restrictions on chokeholds, and limited public access to police disciplinary records.
At the time, business groups lauded these changes as necessary to fight the post-pandemic crime spike D.C. was experiencing.
But crime rates in D.C. have fallen precipitously, to a 30-year low over the course of 2024. As a press release from the U.S. attorney's office released on January 3, 2025 stated: "homicides are down 32%; robberies are down 39%; armed carjackings are down 53%; assaults with a dangerous weapon are down 27% when compared with 2023 levels."
Nevertheless, as Trump sends federal troops into D.C., many in the corporate world are still cheering.
In a statement Monday, the D.C. Chamber of Commerce described itself as a "strong supporter" of the Home Rule Act, which Trump used to enact his federal crackdown.
The Washington Business Journal quoted multiple consultancy executives—including Yaman Coskum, who exclaimed that "It is about time somebody did something to make D.C. great again," and Kirk McLaren who said, "If local leaders won't protect residents and businesses, let's see if the federal government will step in and do what's necessary to create a safe and prosperous city."
Despite crime also being on the decline in every other city he has singled out—Los Angeles, Baltimore, Oakland, New York, and Chicago—Trump has said his deployment of federal troops "will go further."
"Thirty million workers who were trapped by these agreements will now stay trapped thanks to this ruling," an expert said.
A U.S. District Court judge in Texas on Tuesday struck down a Federal Trade Commission ban on noncompete agreements that was set to go into effect nationwide in September, drawing condemnation from workers' rights advocates who supported the ban.
Judge Ada Brown, who was appointed to the federal bench by then-President Donald Trump in 2019, ruled that the FTC didn't have the authority to issue substantive rules such as the noncompete ban, which was issued following a 3-2 vote of the agency's commissioners in April.
Noncompetes bar workers from getting jobs with competitors or leaving to start their own company. Commissioners in the majority, including FTC Chair Lina Khan, said the agreements suppress wages, stifle entrepreneurship, and distort labor markets. Advocates have long argued that the agreements are anti-worker.
The FTC has estimated that 30 million U.S. workers are subject to noncompete agreements. Had the rule gone into effect—voiding most existing agreements and prohibiting new ones—workers would have collectively increased their earnings by hundreds of billions of dollars over the next decade, the agency said.
"We are disappointed by Judge Brown's decision and will keep fighting to stop noncompetes that restrict the economic liberty of hardworking Americans, hamper economic growth, limit innovation, and depress wages," Victoria Graham, an FTC spokesperson, told The Washington Post.
Bharat Ramamurti, a former deputy director of the National Economic Council who's now a senior adviser at the American Economic Liberties Project (AELP), an anti-monopoly advocacy group, said on social media that "30 million workers who were trapped by these agreements will now stay trapped thanks to this ruling."
30 million workers who were trapped by these agreements will now stay trapped thanks to this ruling. The FTC estimated that banning noncompetes would empower workers and raise wages by nearly $200 billion over the next decade, which is why big business lobbyists fought it. https://t.co/G79l9l5UWs
— Bharat Ramamurti (@BharatRamamurti) August 20, 2024
Ryan LLC, a tax services firm based in Dallas, sued to block the FTC regulation as soon as it was issued in April. The U.S. Chamber of Commerce and the Business Roundtable later joined the case, which is in a jurisdiction friendly to their interests. If the case is appealed, which Graham said the FTC is "seriously considering," it would go to the U.S. Court of Appeals for the 5th Circuit—the most right-wing, pro-business appeals court in the country.
Tuesday's ruling, though momentous, didn't come as a surprise. Judge Brown signaled her intent to side with the plaintiffs last month when she partially blocked the FTC rule and placed a temporary injunction on it.
Similar cases involving the FTC noncompete ban have recently appeared in federal courts in Florida and Pennsylvania, with different and less consequential outcomes, raising the possibility that the matter will be taken up by the U.S. Supreme Court.
The Supreme Court's right-wing majority would make a ruling favorable to the FTC unlikely, so congressional action could be necessary to institute a ban on noncompete clauses, experts say.
Banning noncompetes is popular among the general public and has some bipartisan support, with a number of prominent Republicans having come out in favor of a ban or narrower reforms, such as prohibiting such agreements for low-wage workers.
Khan, an antitrust leader beloved of progressives, received 21 confirmation votes from Republicans in 2021, and parts of her agenda are supported by the GOP.
Khan is far from universally loved among Democrats. She's recently been the target of Democratic megadonors such as LinkedIn founder Reid Hoffman, who's pushed Vice President Kamala Harris, the Democratic presidential nominee, to sack Khan if elected. However, even Hoffman has indicated support for the noncompete ban.
HuffPost reporter Daniel Marans on Saturday wrote that the noncompete ban was "Khan's most ambitious initiative" and cited expert opinion that even if the rule didn't hold up, it was part of a broader push that could ultimately lead to reform.
"Even if the FTC rule is overturned, there are still many other efforts afoot to undermine the use of these agreements," Lee Hepner, senior legal counsel at AELP, told Marans. "It's a multi-pronged strategy."
"The U.S. Chamber got its way for now—ensuring families get price-gouged a little longer with credit card late fees as high as $41," one advocate said of the ruling.
A Trump-appointed judge on Friday delivered a win for big banks when he granted the U.S. Chamber of Commerce a temporary injunction halting a Biden administration rule that would cap credit card fees at $8.
The Consumer Financial Protection Bureau (CFPB) rule, which would have gone into effect May 14, could save U.S. consumers more than $10 billion each year. The decision to pause its implementation, issued by U.S. District of the Northern District of Texas Judge Mark Pittman, will cost ordinary Americans around $27 million each day it is in effect.
"In their latest in a stack of lawsuits designed to pad record corporate profits at the expense of everyone else, the U.S. Chamber got its way for now—ensuring families get price-gouged a little longer with credit card late fees as high as $41," Liz Zelnick, the director of the Economic Security and Corporate Power Program at Accountable.US, said in a statement.
"It's time the U.S. Chamber stops clogging the courts with baseless lawsuits designed to enrich corporate CEOs on the backs of working families—and it's time the judiciary stops legitimizing venue shopping from big industry."
The CFPB issued the rule on March 5 as part of the Biden administration's commitment to crack down on "junk fees." However, the Chamber of Commerce and other banking trade associations—including the American Bankers Association and the Consumer Bankers Association—quickly sued to block it. The executives of Bank of America, Capital One, Citibank, and JPMorgan Chase sit on the boards of the groups behind the suit, according to The Washington Post.
"Banks make billions in profits charging excessive late fees," Sen. Elizabeth Warren (D-Mass.) wrote on social media Saturday in response to the ruling. "Now a single Trump-appointed judge sided with bank lobbyists to block the Biden administration's new rule capping these junk fees."
Accountable.US also criticized the fact that the suit was before Pittman at all, arguing that the U.S. Chamber of Commerce filed the suit in Texas federal court so that it would end up under the jurisdiction of the 5th Circuit Court of Appeals, which has 19 Republican-appointed justices out of a total of 26. The chamber has filed nearly two-thirds of its lawsuits since 2017 with courts covered by the 5th Circuit.
"The U.S. Chamber and the big banks they represent have corrupted our judicial system by venue shopping in courtrooms of least resistance, going out of their way to avoid having their lawsuit heard by a fair and neutral federal judge," Zelnick said. "It's time the U.S. Chamber stops clogging the courts with baseless lawsuits designed to enrich corporate CEOs on the backs of working families—and it's time the judiciary stops legitimizing venue shopping from big industry."
The 5th Circuit's treatment of the case has also come under fire, as Trump-appointed Judge Don Willett has not recused himself despite the fact that he owns tens of thousands of dollars in Citigroup shares. While Willett has argued that Citigroup is not a party to the case, it belongs to trade groups that are, and any ruling on credit card fees would significantly impact the bank. Collectively, all the judges on the 5th Circuit have invested as much as $745,000 in credit card or credit issuing companies, according to the most recent publicly available information.
Donald Sherman, Gabe Lezra, and Linnaea Honl-Stuenkel of Citizens for Ethics in Washington wrote: "Judge Willett's refusal to recuse, and the lack of transparency about the rationale, reinforces the need for more judicial ethics reform to ensure that everyday Americans and government agencies have a level playing field when they go into court against corporate interests."