ZAPORIZHZHIA, Ukraine: Russia plans to annex much of eastern Ukraine later this month, a senior US official warned, and the Mariupol steel mill that is the city’s last stronghold of resistance came under renewed assault a day after the first evacuation of civilians from the plant.
Michael Carpenter, US ambassador to the Organization for Security and Cooperation in Europe, said Monday that the US believes the Kremlin also will recognize the southern city of Kherson as an independent republic. Neither move would be recognized by the United States or its allies, he said.
Russia is planning to hold sham referendums in the Donetsk and Luhansk regions that would “try to add a veneer of democratic or electoral legitimacy” and attach the entities to Russia, Carpenter said. He also said there were signs that Russia would engineer an independence vote in Kherson.
Mayors and local legislators there have been abducted, Internet and cellphone service has been severed and a Russian school curriculum will soon be imposed, Carpenter said. Ukraine’s government says Russia has introduced its ruble as currency there.
More than 100 people — including elderly women and mothers with small children — left Mariupol’s rubble-strewn Azovstal steelworks Sunday and set out in buses and ambulances for the Ukrainian-controlled city of Zaporizhzhia, about 140 miles (230 kilometers) to the northwest. Mariupol Deputy Mayor Sergei Orlov told the BBC that the evacuees were making slow progress.
Authorities gave no explanation for the delay.
At least some of the civilians were apparently taken to a village controlled by Russia-backed separatists. The Russian military said some chose to stay in separatist areas, while dozens left for Ukrainian-held territory.
In the past, Ukraine has accused Moscow’s troops of taking civilians against their will to Russia or Russian-controlled areas. The Kremlin has denied it.
The Russian bombardment of the sprawling plant by air, tank and ship resumed after the partial evacuation, Ukraine’s Azov Battalion, which is helping to defend the mill, said on the Telegram messaging app.
Orlov said high-level negotiations were underway among Ukraine, Russia and international organizations on evacuating more people.
The steel-plant evacuation, if successful, would be rare progress in easing the human cost of the almost 10-week war, which has caused particular suffering in Mariupol. Previous attempts to open safe corridors out of the southern port city and other places have broken down, with Ukrainian officials accusing Russian forces of shooting and shelling along agreed-on evacuation routes.
Before the weekend evacuation, overseen by the United Nations and the Red Cross, about 1,000 civilians were believed to be in the plant along with an estimated 2,000 Ukrainian defenders who have refused Russian demands they surrender.
As many as 100,000 people overall may still be in Mariupol, which had a prewar population of more than 400,000. Russian forces have pounded much of the city into rubble, trapping civilians with little food, water, heat or medicine.
Some Mariupol residents left on their own, often in damaged private cars.
As sunset approached, Mariupol resident Yaroslav Dmytryshyn rattled up to a reception center in Zaporizhzhia in a car with a back seat full of youngsters and two signs taped to the back window: “Children” and “Little ones.”
“I can’t believe we survived,” he said, looking worn but in good spirits after two days on the road.
“There is no Mariupol whatsoever,” he said. “Someone needs to rebuild it, and it will take millions of tons of gold.” He said they lived just across the railroad tracks from the steel plant. “Ruined,” he said. “The factory is gone completely.”
Anastasiia Dembytska, who took advantage of the cease-fire to leave with her daughter, nephew and dog, said she could see the steelworks from her window, when she dared to look.
“We could see the rockets flying” and clouds of smoke over the plant, she said.
Ukrainian President Volodymyr Zelensky told Greek state television that remaining civilians in the steel plant were afraid to board buses, fearing they would be taken to Russia. He said the UN assured him they could go to areas his government controls.
Mariupol lies in the Donbas, Ukraine’s eastern industrial heartland, and is key to Russia’s campaign in the east. Its capture would deprive Ukraine of a vital port, allow Russia to establish a land corridor to the Crimean Peninsula, which it seized from Ukraine in 2014, and free up troops for fighting elsewhere.
More than 1 million people, including nearly 200,000 children, have been taken from Ukraine to Russia, Russia’s Defense Ministry said Monday, according to state-owned news agency TASS.
Defense Ministry official Mikhail Mizintsev said that number included 11,550 people, including 1,847 children, in the previous 24 hours, “without the participation of the Ukrainian authorities.”
Those civilians “were evacuated to the territory of the Russian Federation from the dangerous regions of the Donetsk and Luhansk People’s Republics,” and other parts of Ukraine, according to the report. No details were provided.
Zelensky said Monday that at least 220 Ukrainian children have been killed by the Russian army since the war began, and 1,570 educational institutions have been destroyed or damaged.
Failing to seize Kyiv, the capital, Russian President Vladimir Putin shifted his focus to the Donbas, where Moscow-backed separatists have been battling Ukrainian forces since 2014.
Russia said it struck dozens of military targets in the region, including concentrations of troops and weapons and an ammunition depot near Chervone in the Zaporizhzhia region, west of the Donbas.
Ukrainian and Western officials say Moscow’s troops are firing indiscriminately, killing many civilians while making only slow progress.
The governor of the Odesa region along the Black Sea Coast, Maksym Marchenko, said on Telegram that a Russian missile strike Monday caused deaths and injuries. He gave no details. Zelensky said the attack destroyed a dormitory and killed a 14-year-old boy.
Ukraine said Russia also struck a strategic road and rail bridge west of Odesa. The bridge was heavily damaged in previous Russian strikes, and its destruction would cut a supply route for weapons and other cargo from neighboring Romania.
However a satellite image captured by Planet Labs PBC and analyzed by The Associated Press showed the bridge still standing as of noon Monday.
Another image, taken Monday, showed nearly 50 Russian military helicopters at Stary Oskol, a Russian base close to the Ukrainian border and some 175 kilometers (110 miles) northeast of the Ukrainian city of Kharkiv.
The helicopters were stationed on the tarmac, runway and grass of the otherwise civilian airport, with military equipment nearby.
In the war in Ukraine, Russia has been flying military attack helicopters low to the ground to try to avoid anti-aircraft missiles.
US official: Russia plans to annex parts of eastern Ukraine
https://arab.news/494tk
US official: Russia plans to annex parts of eastern Ukraine

- Russia is planning to hold sham referendums in the Donetsk and Luhansk regions
- At least some of the civilians were apparently taken to a village controlled by Russia-backed separatists
11 charged in Russia-based plan to defraud US health care of $10.6 billion

- Prosecutors said the multinational crime group bought dozens of medical equipment companies from prior legitimate owners to perpetrate the fraud
- Russia-based Imam Nakhmatullaev organized the group, and got partners from Estonia, the Czech Republic and the US to run the scheme
NEW YORK: US federal prosecutors charged 11 people Friday in a Russia-based scheme to bilk Medicare — the American health insurance program for the elderly and disabled — out of $10.6 billion through fraudulent billing for expensive medical equipment.
The “transnational criminal organization” orchestrated a “multi-billion-dollar health care fraud and money laundering scheme” that included purchasing dozens of medical equipment companies from prior legitimate owners to perpetrate the fraud, according to the indictment dated June 18.
More than a million Medicare recipients had their personal information stolen and used by the defendants to file for billions of dollars in claims from Medicare and its supplemental insurers, prosecutors said in the filing.
The claims were filed through medical equipment providers that the group had purchased, but no equipment was ever sent out for the payments.
Medicare paid “approximately $41 million as a result of the fraudulent submissions” and supplemental insurers are estimated to have paid out $900 million more between 2022 and 2024, prosecutors wrote.
The scheme was organized by Imam Nakhmatullaev, who is based in Russia, officials said, and managed the other defendants who were in Estonia, the Czech Republic and the United States.
The fraud was identified after “hundreds of thousands of Americans reported their concerns to Meidcare and its contractors after receiving explanation of benefit forms that reflected them purportedly receiving” equipment that they neither sought or received, the indictment said.
As US inflation edges up, Trump renews criticism of Fed chief, calling him ‘stubborn’

- Speaking at an event at the White House, Trump called central bank chair Jerome Powell “a stubborn mule and a stupid person” for refusing to cut interest rates
WASHINGTON: The US Federal Reserve’s preferred inflation measure logged a mild uptick Friday while spending weakened, triggering another tirade by President Donald Trump against the central bank chair for not cutting interest rates sooner.
“We have a guy that’s just a stubborn mule and a stupid person,” Trump told an event at the White House, referring to Fed Chair Jerome Powell. “He’s making a mistake.”
With Powell’s term as Fed chief coming to an end next year, Trump hinted at his choice of successor: “I’m going to put somebody that wants to cut rates.”
The president’s remarks came after government data showed the personal consumption expenditures (PCE) price index climbing 2.3 percent last month from a year ago in May.
This was in line with analyst expectations and a slight acceleration from April’s 2.2 percent increase, but still a relatively mild uptick.
Excluding the volatile food and energy sectors, the PCE price index was up 2.7 percent, rising from April’s 2.6 percent uptick, the Commerce Department’s report showed.
But consumer spending declined, after Trump’s fresh tariffs in April dragged on consumer sentiment. PCE dropped by 0.1 percent from the preceding month, reversing an earlier rise.
While Trump has imposed sweeping tariffs on most US trading partners since returning to the White House in January — alongside higher rates on imports of steel, aluminum and autos — these have had a muted effect so far on inflation.
This is in part because he held off or postponed some of his harshest salvos, while businesses are still running through inventory they stockpiled in anticipation of the levies.
But central bank officials have not rushed to slash interest rates, saying they can afford to wait and learn more about the impact of Trump’s recent duties. They expect to learn more about the tariffs’ effects over the summer.
“The experience of the limited range of tariffs introduced in 2018 suggests that pass-through to consumer prices is intense three-to-six months after their implementation,” warned economists Samuel Tombs and Oliver Allen of Pantheon Macroeconomics in a note.
They flagged weakness in consumer spending, in part due to a pullback in autos after buyers rushed to get ahead of levies.
And spending on services was tepid even after excluding volatile components, they said.
“There has also been a clear weakening in discretionary services spending, notably in travel and hospitality,” said Michael Pearce, deputy chief US economist at Oxford Economics, in a note.
This reflects “the chilling effect of the plunge in consumer sentiment,” he added.
Between April and May, the PCE price index was up 0.1 percent, the Commerce Department report showed.
As a July deadline approaches for higher tariff rates to kick in on dozens of economies, all eyes are also on whether countries can reach lasting trade deals with Washington to ease the effects of tariffs.
For now, despite the slowing in economic growth, Pearce said risks that inflation could increase will keep the Fed on hold with interest rates “until much later in the year.”
6.1-magnitude quake hits off southern Philippines

- Quakes are a near-daily occurrence in the Philippines, which is situated on the Pacific “Ring of Fire,” an arc of intense seismic activity that stretches from Japan through Southeast Asia and across the Pacific basin
MANILA: A magnitude-6.1 earthquake struck deep off the coast of the southern Philippines on Saturday, the United States Geological Survey said.
There were no immediate reports of casualties or damage from the quake, which the USGS reported occurred at a depth of 101 kilometers (63 miles) about 70 kilometers from the nearest areas of Davao Occidental province.
“The shake was not that strong, but the tables and computers here at the office shook for (about five seconds),” Marlawin Fuentes, a provincial rescuer from the tiny island of Sarangani, told AFP.
No tsunami alert was triggered.
Quakes are a near-daily occurrence in the Philippines, which is situated on the Pacific “Ring of Fire,” an arc of intense seismic activity that stretches from Japan through Southeast Asia and across the Pacific basin.
Most are too weak to be felt by humans, but strong and destructive ones come at random with no technology available to predict when and where they might strike.
Brazil strikes deal with Musk’s Starlink to curb criminal use in the Amazon rainforest

- Starlink will begin requiring identification and proof of residence from all new users in Brazil’s Amazon region starting in January
- Starlink, which first arrived in the region in 2022, has enabled criminal groups to manage mining operations in remote areas
BRASILIA: Brazil’s Federal Prosecutor’s Office announced Friday a deal with Elon Musk’s Starlink to curb the use of its services in illegal mining and other criminal activities in the Amazon.
Starlink’s lightweight, high-speed Internet system has rapidly spread across the Amazon, a region that for decades struggled with slow and unreliable connectivity. But the service has also been adopted by criminal organizations, which have used it to coordinate logistics, make payments and receive alerts about police raids.
It’s the first agreement of its kind aimed at curbing such use following years of pressure from Brazilian authorities.
Starlink, a division of Musk’s SpaceX, will begin requiring identification and proof of residence from all new users in Brazil’s Amazon region starting in January. The company will also provide Brazilian authorities with user registration and geolocation data for Internet units located in areas under investigation.
If a terminal is confirmed to be used for illegal activity, Starlink has committed to blocking the service. The deal is for two years and can be renewed.
Illegal gold mining has contaminated hundreds of miles of Amazon rivers with mercury and disrupted the traditional lives of several Indigenous tribes, including the Yanomami. Starlink, which first arrived in the region in 2022, has enabled criminal groups to manage mining operations in remote areas, where logistics are complex and equipment and fuel must be transported by small plane or boat.
“The use of satellite Internet has transformed the logistics of illegal mining. This new reality demands a proportional legal response. With the agreement, connectivity in remote areas also becomes a tool for environmental responsibility and respect for sovereignty,” federal prosecutor André Porreca said in a statement.
Illegal gold miners and loggers have always had some form of communication, mainly via radio, to evade law enforcement. Starlink, with its fast and mobile Internet, has significantly enhanced that capability, Hugo Loss, operations coordinator for Brazil’s environmental agency, told The Associated Press in a phone interview.
“They’ve been able to transmit in real time the locations of enforcement teams, allowing them to anticipate our arrival, which seriously compromises the safety of our personnel and undermines the effectiveness of operations,” Loss said. “Cutting the signal in mining areas, especially on Indigenous lands and in protected areas, is essential because Internet access in these locations serves only criminal purposes.”
Jair Schmitt, head of environmental protection for the agency, said what’s also needed is tighter regulation on the sale and use of such equipment.
The AP emailed James Gleeson, SpaceX’s vice president of communications, with questions about the deal, but didn’t immediately receive a response.
Tech firms warn ‘Scattered Spider’ hacks are targeting aviation sector

- Neither company has gone into detail about the intrusions or commented on any potential links between the incidents and Scattered Spider
WASHINGTON: Tech companies Google and Palo Alto Networks are sounding the alarm over the “Scattered Spider” hacking group’s interest in the aviation sector.
In a statement posted on LinkedIn on Friday, Sam Rubin, an executive at Palo Alto’s cybersecurity-focused Unit 42, said his company had “observed Muddled Libra (also known as Scattered Spider) targeting the aviation industry.”
In a similar statement, Charles Carmakal, an executive with Alphabet-owned Google’s cybersecurity-focused Mandiant unit, said his company was “aware of multiple incidents in the airline and transportation sector which resemble the operations of UNC3944 or Scattered Spider.”
Neither executive identified which specific companies had been targeted, but Alaska Air Group-owned Hawaiian Airlines and Canada’s WestJet have both recently reported being struck by unspecified cyber incidents.
Neither company has gone into detail about the intrusions or commented on any potential links between the incidents and Scattered Spider.
The loose-knit but aggressive hacking group, alleged to at least in part comprise youngsters operating in Western countries, has been blamed for some of the most disruptive hacks to hit the United States and Europe in recent memory.
In 2023, hackers tied to the group broke into gaming companies MGM Resorts and Caesars Entertainment, partially paralyzing casinos and knocking slot machines out of commission.
Earlier this year, the group wreaked havoc at British retailers. More recent targets include the US insurance industry.