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Supreme Court agrees to review a Reconstruction-era ban on distilling spirits
Legal Business | 2026/10/21 05:09

The Supreme Court agreed on Monday to consider whether Congress had the constitutional authority to impose a ban on distilling spirits in private homes more than 150 years ago.

Plaintiffs challenging the prohibition on home distilling claim the 1868 law is an antiquated relic of Reconstruction-era politics. They argue that Congress overstepped its taxation powers when it enacted the home distilling ban as part of a tax reform measure designed to curb fraud by commercial distillers.

Government attorneys counter that Congress properly restricted where spirits can be distilled to prevent producers from evading federal excise taxes. They warn that lifting the ban would violate Supreme Court precedent and erode congressional powers.

Federal law makes home distilling a crime punishable by a maximum sentence of five years in prison and a $10,000 fine.

Separate challenges to the law divided two federal circuit courts, which issued conflicting decisions in April, only 11 days apart.

A three-judge panel from the Sixth U.S. Circuit Court of Appeals upheld the federal ban in a case brought by John Ream, a brewpub owner from Newark, Ohio, who wants to distill whisky at home for his personal consumption.

A Fifth Circuit panel ruled in favor of different plaintiffs — members of the Texas-based Hobby Distillers Association — and concluded that statutory prohibitions on in-home distilling are outside the scope of Congress' taxing power under the Constitution.

The Supreme Court agreed to review the Fifth Circuit decision, which was the Justice Department's preference. Plaintiffs' attorney Robert Alt said they are "thrilled" that the Supreme Court agreed to hear the case.

"Our country's founders would be rolling over in their graves to learn that a pastime in which even George Washington partook, which is as American as apple pie and certainly a lot older, has quite absurdly been turned into a federal crime," Alt said in a statement.

Attorneys for the plaintiffs in both cases argue that Congress could ban a broad array of activities inside private homes — including cooking, gardening and remote work — under the government's interpretation of the 19th century law.

"The importance of this case and the questions it presents could hardly be overstated," the plaintiffs' lawyers wrote. "It presents fundamental questions of the extent of federal power and the powers reserved to the states and the people."

Justice Department attorneys said the government's regulation and taxation on the production of distilled spirits is as old as Congress itself. They noted that Congress outlawed home distilling to prevent those producers from evading taxes or government inspections.

"And because the location restrictions were enacted only after lengthy experience with tax evasion, upholding those restrictions would not open the door to hypothetical laws restricting other conduct lacking that history," they wrote. The government says Ream asked the Supreme Court to resolve an "additional question" of whether location restrictions on home distilling exceed the scope of Congress's power to regulate interstate commerce. But the government urged the high court to avoid that question, saying it wasn't part of Ream's case or the government's current arguments in either case.



Maduro ally Alex Saab pleads guilty in a $195M money laundering case
Legal Business | 2026/09/27 08:48

A close ally of former Venezuelan President Nicolás Maduro long described by U.S. officials as the ousted leader’s frontman pleaded guilty Tuesday to a single count of money laundering tied to an alleged bribery conspiracy to win lucrative government contracts in the South American country.

As part of the plea deal, Alex Saab agreed to cooperate in continuing federal investigations, paving the way for his eventual cooperation against his former protector. He also agreed to forfeit $195 million in criminal proceeds from the corruption scheme.

Saab, 54, was deported in May by Venezuela’s acting President Delcy Rodriguez to the U.S., which has been targeting the Colombian-born businessman for more than a decade.

The money laundering offense carries a maximum 20-year penalty but prosecutors agreed to recommend a sentence at the low end of the recommended range and seek additional reductions should his cooperation prove substantial. Saab was previously charged during the first Trump administration in 2019 and then arrested during a refueling stop in Cape Verde on what the Venezuelan government described as a high-level humanitarian mission to Iran.

But President Joe Biden pardoned Saab in 2023 in exchange for the release of several imprisoned Americans in Venezuela. The deal, part of a failed effort by the Biden White House to lure Maduro into holding a free presidential election, was harshly criticized by Republicans and federal law enforcement officials, who immediately began investigating Saab for other alleged crimes not covered by the narrowly tailored pardon.

“This case sends a clear message: Political connections, wealth and proximity to a corrupt regime will not put anyone beyond the reach of American justice,” said Jason A. Reding Quiñones, U.S. attorney for the Southern District of Florida, who attended Tuesday’s proceedings along with more than a dozen federal agents.

The new indictment centers on contracts for the so-called CLAP program set up by Maduro to provide staples — rice, corn flour, cooking oil — to poor Venezuelans at a time of rampant hyperinflation and a crumbling currency. Saab amassed a fortune through Venezuelan government contracts but became even more valuable to Maduro as U.S. sanctions forced Venezuela to conduct much of its oil sales and foreign trade outside of Western financial institutions.



Supreme Court sides with Trump administration on mail voting restrictions
Legal Business | 2026/08/25 06:24

The Supreme Court opened a path Monday for possible implementation of President Donald Trump's executive order restricting mail-in voting, though it remains unclear how much can be put in place before the fast-approaching midterm elections.

The decision leaves room for additional court challenges that could further slow Trump's order, and other similar cases have already been filed. The U.S. Postal Service laid out how it would implement the order last week, but time is running short to impose major changes. North Carolina is sending out ballots Sept. 4 overseas and to military voters, and other states will quickly follow suit in just a few weeks.

The Supreme Court's conservative majority didn't decide the legality of Trump's order, instead ruling that states who sued did not have the legal right to challenge it.

While the emergency order is not final, it does have the potential to create chaos around voting across the country, with Trump often questioning the integrity of elections and the nation's highest court again the possible arbiter of a political controversy.

“The Court's disposition of this application does not mean that any measure taken by the Government to implement the Order will necessarily be lawful. On that score, time will tell,” the majority wrote in an unsigned order.

The three liberal-leaning justices publicly dissented, with Justice Ketanji Brown Jackson writing that the rule “lets another shoe drop in the Kafkaesque nightmare that our precedents have been steadily creating for certain plaintiffs who seek to bring election-related challenges.”

New York Attorney General Letitia James foreshadowed more legal fights ahead, calling the decision a “painful setback” but vowing it would “not be the final word.”

The court's order opens a path for the administration to begin action to restrict mail voting, but it also could lead to further litigation that could freeze the federal government again.

“This is just the first inning of a very fast nine-inning game,” said Derek Muller, a law professor at Notre Dame University.

Mail balloting has long been a favorite target for Trump, who has claimed that it breeds fraud despite strong evidence to the contrary and his own use of the voting method.

Trump's executive order, signed in March, calls on his administration to create lists of eligible voters and orders the U.S. Postal Service to deliver mail ballots only to people on those lists. New requirements released Friday would forbid the Postal Service from sending mail ballots from any state that does not comply with Trump's order.

A Postal Service spokesperson did not immediately respond messages seeking comment. The White House did not immediately respond to a message seeking comment.



How bitcoin and gold went from a slump to an MVP week in just a few days
Legal Business | 2026/08/22 06:31

Bitcoin and gold shot higher this week, with both getting a boost from some frantic action surrounding the bond market, and the cryptocurrency also benefiting from activity in Washington.

Bitcoin had dropped from a January high of around $95,000 to below $60,000 at the end of June. Investors shied away from speculative assets earlier in the year and crypto supporters were concerned about the lack of movement on proposed regulation of the industry. On Friday, bitcoin rose above $77,000.

Gold hit a high above $5,300 in January but dropped to around $4,000 in June as rising rates made interest-bearing investments more attractive. Gold rose to $4,661 on Friday.

The first jolt arrived Wednesday when the Treasury Department announced plans to significantly increase its buybacks of long-term Treasurys, or government debt. On the same day, President Donald Trump, who made about $1.2 billion last year from various crypto holdings, urged Congress to move quickly on crypto legislation.

There was an almost immediate reaction, which included a dollar sell-off and a jump in the value of gold and bitcoin as investors moved toward alternative assets.

How these two investments caught fire can be understood in the context of several developments this week. In a surprise announcement Wednesday, the U.S. Treasury Department said that it would at least double the size of its planned purchases of longer-term government debt. The maneuver was intended to calm bond markets after a sustained sell-off, meaning investors were asking for higher yields to lend money to the U.S., which investors suddenly viewed as riskier.

That's because while the Treasury intervention worked, at least for a short period, it also raised questions about whether the government is trying to push borrowing costs lower despite inflationary pressures. Treasury Secretary Scott Bessent is attempting to lower long-term borrowing costs, a move that can put upward pressure on inflation at a time when inflation is already elevated. Bessent's maneuver could handcuff the Federal Reserve, which fights inflation by raising interest rates.

Then there's the national debt, which surpassed a record $40 trillion on the same day that the Treasury's actions unfolded. The milestone figure was recorded just five months after the U.S. hit a record $39 trillion debt in March. It reached $38 trillion five months before that, in October.

There is already a lot of anxiety over inflation, particularly because of the conflict in Iran and soaring energy prices. If yields on U.S. bonds are not truly reflecting risk, you can often see that play out in the value of the U.S. currency, which took a significant downward swoop Wednesday. So where does the money that was invested in the dollar or Treasurys go? This week, it appears to have been funneled into what is known as the “debasement trade,” when investors flood into alternative assets such as gold, which rose more than 2% Wednesday. The debasement trade now includes bitcoin. Bitcoin jumped more than 20% this week.



Texas teen who fatally stabbed track athlete at school meet found guilty
Legal Business | 2026/06/11 06:20

A Texas teenager who fatally stabbed a 17-year-old track athlete from a rival team during a high school meet was convicted of murder and sentenced to 35 years in prison Tuesday in a case that drew wide attention beyond the booming Dallas suburb where they were students.

A jury rejected Karmelo Anthony's claims of self-defense during a confrontation with Austin Metcalf in stadium bleachers last year. Most people who testified were students who described a heated exchange over Anthony's refusal on a rainy spring day to leave a tent that belonged to Metcalf's team.

Anthony, now 19, did not testify at trial and only his mother took the stand during the sentencing phase, telling jurors her son was sorry.

Notoriety about the case spread, in part, because of a flood of social media posts that amplified the killing in racial terms. Anthony is Black; Metcalf was white. Lawyers on both sides, however, told jurors the tragedy had nothing to do with race.

Jeff Metcalf, Austin's father, had also denounced those who sought to stoke racial divisions after his son was killed. A year later, he said again in a Collin County courtroom that it was never about race while his voice swelled with anger over the death of his son.

"You failed your parents, you failed yourself and you failed society," said Metcalf, looking at Anthony after the teenager was sentenced.

Jurors, who deliberated for less than three hours, had the option of a lesser charge, manslaughter, but didn't choose it.

Prosecutor Bill Wirskye had asked for a lengthy prison term.

"Mercy to the guilty," he said, "is cruelty to the innocent."

Earlier Tuesday, during the trial's closing arguments, the jury heard dueling narratives from Wirskye and defense attorney Mike Howard about what happened in April 2025.

Several schools were competing when Anthony sat under the Memorial High School tent that was perched in the bleachers. Austin Metcalf and others had repeatedly told Anthony to leave, witnesses testified, leading to an escalating confrontation.

Howard told jurors that Metcalf had "no legal right to put his hands on Karmelo."

"Texas law does not require that you wait until you get hit," Howard said. "In that split second of chaos, you must put yourself in his shoes."

During the nearly weeklong trial, prosecutors said Anthony provoked Metcalf, and witnesses testified that Anthony was the aggressor.

"This is not self-defense, folks. It's murder plain and simple," Wirskye said.

Anthony at one point reached inside a bag and replied: "Touch me and see what happens," according to a police report.

Metcalf pushed Anthony, according to witnesses, who said Anthony then pulled out a knife and stabbed him in the chest.

"You don't get to meet a shove with a stab, especially if you provoke the shove," Wirskye said.

The teens, both from Frisco, didn't know each other.

"He's very sorry for what he did. Please, have mercy on my son," Anthony's mother, Kala Hayes, pleaded to jurors shortly after the verdict.

The trial drew lines of spectators hoping to find seats in the gallery and unfolded amid heavy security at the Collin County courthouse. As police officers watched Tuesday, dozens of people stood outside the courthouse in 90 degree Fahrenheit heat (32 degrees Celsius) to await the verdict. There were wails of grief from one woman — "This isn't real!" — when the result became known.

Frisco is one of Texas' fastest-growing cities and is dotted with dozens of modern school campuses and gleaming athletic facilities. The parents of Anthony and Metcalf have said they were good students who planned to go to college.

Several students testified that Metcalf, after ordering Anthony to leave his team's tent, scoffed before Anthony reached into a bag and pulled out a knife.



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