US Security Adviser O'Brien Cuts Trip Short to Address Hacking Incident

White House National Security Adviser Robert O'Brien has cut his diplomatic trip in Europe short to return to the United States to address the recent hacking incident that targeted multiple federal agencies, National Security Council spokesman John Ullyot said in a statement.

"Ambassador O'Brien is returning to address the hacking incident," the spokesman said as quoted by the Wall Street Journal on Tuesday.

The report said O'Brien will be in meetings Tuesday evening and Wednesday morning followed by a high-level interagency meeting later this week.

O'Brien was on diplomatic business and was scheduled to return on Saturday. He concluded trips to Israel and France but had scheduled stops later this week in Italy, Germany, Switzerland, and the United Kingdom.

On Sunday, US media reported that a hacking group allegedly backed by a foreign government had stolen data from the Treasury Department and the National Telecommunications and Information Administration.

The Washington Post reported that a hacking group called APT29, also known as "the Dukes" or "Cozy Bear," allegedly linked to the Russian government, was likely behind the hacking but provided no proof for its claims.

The hackers reportedly got access by compromising the Texas-based SolarWinds software. The company provides remote information technology services around the world, including several US government agencies and the military.

The Russian Embassy in the United States said US media reports accusing Russian hackers for the recent cyber-attacks are unfounded.

https://sputniknews.com/us/202012161081474412-us-security-adviser-obrien-cuts-trip-short-to-address-hacking-incident/

China accuses Australia of breaching free-trade pact by blocking $14b of business deals

China's Foreign Ministry has accused Australia of breaching its free-trade agreement with China by blocking up to $14 billion worth of investment.

In the ministry's most specific comments to date on key foreign investment decisions taken by the Morrison government, spokesman Wang Wenbin on Tuesday night said Treasurer Josh Frydenberg's decision to block two deals was a "violation of market economy principles and international trade rules".

Wang identified the decision to block APA Group's $13 billion gas pipeline cash takeover bid from Hong Kong-based CK Infrastructure Holdings in 2018 and a $600 million deal for Lion Dairy & Drinks from China's Mengniu Dairy in 2020 as breaches.

"Recently we've seen many reports in which Australia dresses up as a victim, pointing an accusing finger at China, directly or by insinuation," he said. "In fact, it is the Australian side that has been politicising economic, investment and technological issues, and discriminating against Chinese companies. It has gone so far down the wrong path."

It is the first time China's Foreign Ministry has specifically mentioned the deals.

"The China-Australia FTA makes it clear that the FTA should provide convenience for investors in both countries and continues to screen investments at lower threshold," Wang said.

"So, what's done by the Australian side went against the FTA. Because of these discriminatory actions, Chinese companies' investments in Australia have nosedived since 2017, and the number of last year decreased by 85 per cent compared to the 2016 level."

The Foreign Investment Review Board [FIRB] did not recommend blocking either deal, leaving the Australian government vulnerable to China's claims of political interference.

The board was split on whether the CK takeover of APA would be contrary to the national interest. The deal would have created a mega-energy infrastructure provider through a $20 billion network of power plants and gas. The board was unable to reach a unanimous recommendation.

The Australian Competition and Consumer Commission [ACCC] said it would not oppose the acquisition after the CK consortium entered into a court-enforceable undertaking to divest some of its gas assets in Western Australia.

The $600 million bid for Lion Dairy by Mengniu Dairy was blocked in August by Frydenberg. FIRB and Treasury had recommended the sale go ahead and the ACCC approved the deal. It would have seen Mengniu take over Lion's milk, iced coffee, yoghurt and soy milk portfolio. No agricultural land was part of the sale.

Frydenberg said at the time that the deal was "contrary to the national interest" but has not elaborated how the purchase would have threatened competition or national security.

https://www.theage.com.au/world/asia/china-accuses-australia-of-breaching-free-trade-pact-by-blocking-14b-of-business-deals-20201216-p56nwo.html

US hits alleged Iran-backed Bahrain group with sanctions

WASHINGTON — The Trump administration on Tuesday slapped sanctions on an alleged Iranian-backed Shiite group in Bahrain that it accuses of trying to overthrow Bahrain’s government and plotting terrorist attacks on Americans in the country, which is home to the U.S. Navy’s 5th Fleet.

The State and Treasury departments announced the sanctions as part of an administration-wide push to ramp up pressure on Iran before President Donald Trump leaves office next month. The sanctions freeze any assets the Saraya al-Mukhtar group has within U.S. jurisdictions and bar Americans from doing any business with it or its members.

“Saraya al-Mukhtar’s self-described goal is to depose the Bahraini government with the intention of paving the way for Iran to exert greater influence in Bahrain,” Secretary of State Mike Pompeo said in a statement. “This action notifies the U.S. public and the international community that Saraya al-Mukhtar poses a significant risk of committing acts of terrorism.”

Bahrain’s Sunni government has long accused Iran of fomenting unrest in the country. While Iran has not directly seized or targeted a tanker in recent months as it did last year, a mine struck an oil tanker off Saudi Arabia and a cargo ship near Yemen came under assault recently.

Suspicion for that immediately fell on Yemen’s Iranian-backed Houthi rebels for being behind both attacks. The Houthis have not commented on either

https://www.navytimes.com/news/pentagon-congress/2020/12/15/us-hits-alleged-iran-backed-bahrain-group-with-sanctions/

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