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Global Affairs Canada goes on real estate spending spree, taxpayers foot the bill

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From the Canadian Taxpayers Federation

By Ryan Thorpe 

Records obtained by the CTF show Clark’s lavish condo is just the tip of the iceberg, with the department dropping taxpayer cash on other luxury properties around the world.

Official residences in other countries: $38 million.

Properties in Afghanistan abandoned to the Taliban: $41 million.

Vacant land in Senegal: $12.5 million.

A chancery in Ukraine: $10.2 million.

Those are some of the holdings in Global Affairs Canada’s real estate portfolio, which has cost taxpayers $186 million in the past 10 years alone.

All told, Global Affairs Canada owns more than 400 properties in more than 70 countries, according to access-to-information records obtained by the Canadian Taxpayers Federation.

“Do we really need the government dropping tens of millions of dollars on official residences half-way around the world?” said Franco Terrazzano, CTF Federal Director. “Better question, does Senegal not have vacant land available for less than eight figures?

“With the government more than $1 trillion in debt, taxpayers need to know why the government is spending so much of our money overseas.”

Global Affairs Canada is embroiled in controversy after it purchased a $9-million luxury condo for New York Consul General Tom Clark amid a housing and cost-of-living crisis. 

The records obtained by the CTF show Clark’s lavish condo is just the tip of the iceberg, with the department dropping taxpayer cash on other luxury properties around the world.

Global Affairs Canada has spent $38.4 million on official residences since 2014, including New Zealand ($2.4 million), Barbados ($3.8 million) and Trinidad and Tobago ($2.5 million), among others. 

In London, U.K., Global Affairs Canada spent $58 million on 23 properties since 2015, all of which serve as “staff quarters,” according to the records. All told, Global Affairs Canada owns 65 properties in London purchased for $208 million. 

In Kabul, Afghanistan, Global Affairs Canada spent $41 million on three properties in late 2018 and 2019, which have since been abandoned to the Taliban. 

Prior to the first property in Kabul being purchased, the U.S. had already begun negotiations with the Taliban for an end to the Afghanistan War. 

Seven months after Global Affairs Canada purchased the last property in Kabul, the U.S. struck a deal with the Taliban for the withdrawal of American troops from the country.

On Aug. 15, 2021, Canada pulled its presence from Afghanistan.

“We have … been unable to inspect the state of these properties since that date,” Global Affairs Canada told the CTF in a written statement.

In October 2021, the Globe and Mail reported that “Islamist militants now guard the former headquarters of Canada’s diplomatic mission in the Afghan capital.”

“This is a lot of taxpayers’ money to spend on new property in Afghanistan when our ally had already been clear it was preparing to leave,” Terrazzano said. “Canadian taxpayers are out $41 million and the Taliban now has new digs, so is anyone in government going to answer for the decision to purchase these properties?”

In Kyiv, Ukraine, Global Affairs Canada purchased a chancery for $10.2 million in 2017.

In Senegal, a country in West Africa, Global Affairs Canada bought $12.5 million worth of “vacant land” in 2022.

“Global Affairs Canada’s real estate portfolio is bloated and the taxpayer tab is ludicrous,” Terrazzano said. “Someone in government must explain what value taxpayers are supposedly getting for the hundreds of millions of dollars spent on all these lavish properties in far flung countries.

“And if Canadians aren’t getting real value, then it’s time to sell off properties so taxpayers can recoup some of this money.”

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DOJ drops Biden-era discrimination lawsuit against Elon Musk’s SpaceX

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Quick Hit:

The Justice Department has withdrawn a discrimination lawsuit against Elon Musk’s SpaceX that was filed during the Biden administration. The lawsuit accused SpaceX of discriminatory hiring practices against asylum seekers and refugees. The move follows ongoing cost-cutting measures led by Musk as the head of the Department of Government Efficiency under the 47th President Donald Trump’s administration.

Key Details:

  • The DOJ filed an unopposed motion in Texas federal court to lift a stay on the case, signaling its intent to formally dismiss the lawsuit.

  • The lawsuit, filed in 2023, alleged SpaceX required job applicants to be U.S. citizens or permanent residents, a restriction prosecutors argued was unlawful for many positions.

  • Elon Musk criticized the lawsuit as politically motivated, asserting that SpaceX was advised hiring non-permanent residents would violate international arms trafficking laws.

Diving Deeper:

The Justice Department, led by Attorney General Pam Bondi, has moved to drop the discrimination lawsuit against SpaceX, marking another reversal of Biden-era legal actions. The case, initiated in 2023, accused SpaceX of discriminating against asylum seekers and refugees by requiring job applicants to be U.S. citizens or permanent residents. Prosecutors claimed the hiring policy unlawfully discouraged qualified candidates from applying.

The DOJ’s decision to withdraw the case follows a judge’s earlier skepticism about the department’s authority to pursue the claims. No official reason for the withdrawal was provided, and neither Musk, SpaceX, nor the DOJ have issued public statements on the development.

Elon Musk was outspoken in his criticism of the lawsuit, labeling it as a politically motivated attack. Musk argued that SpaceX was repeatedly informed that hiring non-permanent residents would violate international arms trafficking laws, exposing the company to potential criminal penalties. He accused the Biden-era DOJ of weaponizing the case for political purposes.

The decision to drop the lawsuit coincides with Musk’s growing influence within the Trump administration, where he leads the Department of Government Efficiency (DOGE). Under his leadership, DOGE has implemented aggressive cost-cutting measures across federal agencies, including agencies that previously investigated SpaceX. The Federal Aviation Administration (FAA), which proposed fining SpaceX $633,000 for license violations in 2023, is currently under review by DOGE officials embedded within the agency.

Meanwhile, SpaceX’s regulatory challenges appear to be easing. A Texas-based environmental group recently dropped a separate lawsuit accusing the company of water pollution at its launch site near Brownsville. The withdrawal of the DOJ lawsuit signals a significant victory for Musk as he continues to navigate regulatory scrutiny while advancing his business ventures under the Trump administration.

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PepsiCo joins growing list of companies tweaking DEI policies

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PepsiCo is the latest major U.S. company to adjust its diversity, equity, and inclusion (DEI) policies as 47th President Donald Trump continues his campaign to end DEI practices across the federal government and private sector. The company is shifting away from workforce representation goals and repurposing its DEI leadership, signaling a broader trend among American corporations.

Key Details:

  • PepsiCo will end DEI workforce representation goals and transition its chief DEI officer to focus on associate engagement and leadership development.

  • The company is introducing a new “Inclusion for Growth” strategy as its five-year DEI plan concludes.

  • PepsiCo joins other corporations, including Target and Alphabet-owned Google, in reconsidering DEI policies following Trump’s call to end “illegal DEI discrimination and preferences.”

Diving Deeper:

PepsiCo has announced significant changes to its DEI initiatives, aligning with a growing movement among U.S. companies to revisit diversity policies amid political pressure. According to an internal memo, the snacks and beverages giant will no longer pursue DEI workforce representation goals. Instead, its chief DEI officer will transition to a broader role that focuses on associate engagement and leadership development. This shift is part of PepsiCo’s new “Inclusion for Growth” strategy, set to replace its expiring five-year DEI plan.

The company’s decision to reevaluate its DEI policies comes as President Donald Trump continues his push against DEI practices, urging private companies to eliminate what he calls “illegal DEI discrimination and preferences.” Trump has also directed federal agencies to terminate DEI programs and has warned that academic institutions could face federal funding cuts if they continue with such policies.

PepsiCo is not alone in its reassessment. Other major corporations, including Target and Google, have also modified or are considering changes to their DEI programs. This trend reflects a broader corporate response to the evolving political landscape surrounding DEI initiatives.

Additionally, PepsiCo is expanding its supplier base by broadening opportunities for all small businesses to participate, regardless of demographic categories. The company will also discontinue participation in single demographic category surveys, further signaling its shift in approach to DEI.

As companies like PepsiCo navigate these changes, the debate over the future of DEI in corporate America continues. With Trump leading a campaign against these practices, more companies may follow suit in reevaluating their DEI strategies.

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