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Before TikTok, the U.S. took action over national security concerns with Grindr

House voted to pass TikTok ban on Wednesday

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Grindr's IPO at the New York Stock Exchange (Screen capture: YouTube/NYSE)

In a bipartisan vote of 352-65 on Wednesday, the U.S. House of Representatives cleared a bill that would force a divestiture of TikTok by its Chinese parent company ByteDance or ban the video sharing platform’s use in the U.S.

While the legislation faces an uncertain path to passage in the U.S. Senate, Wednesday’s vote provided additional evidence of the extent to which lawmakers are concerned about U.S. national security risks that could stem from TikTok.

More specifically, as recent years have seen relations between the U.S. and China become more fraught than they have been since the two countries first established diplomatic ties in 1979, questions have been raised about the access government leaders in Beijing might have to data from America’s 150 million TikTok users who are active on the platform each month.

Concerns have also been raised about whether and how the platform’s content moderation policies, algorithmic recommendation engine or other features might be manipulated to advance Chinese interests ā€” including, potentially, by sowing political strife in the U.S. or manipulating or undermining American elections.

Many of these claims are speculative, lacking the type of evidence that might be required if they were presented in a court of law. Nevertheless, for purposes of forcing a divestiture through an act of Congress or a decision by the Committee on Foreign Investment in the United States, they are sufficient.

CFIUS is a nine-member interagency panel that adjudicates questions of whether business transactions between foreign buyers and U.S. targets may raise national security concerns. Since 2020, the committee has investigated TikTok because the platform was created by ByteDance’s 2017 purchase of U.S. startup Musical.ly.

The probe led to negotiations over a deal in which American user data from TikTok would be sold to U.S. based multinational computer technology company Oracle, which would vet and monitor the platform’s algorithms and content moderation practices ā€” but Axios reported on Monday that talks between TikTok and CFIUS have stalled for months.

Parallels to Grindr case

As directed by CFIUS, in 2020, Grindr, the location-based app used primarily by gay and bisexual men and transgender or gender diverse communities, was sold by the Chinese-based Beijing Kunlun Tech to San Vicente Acquisition, a firm that was incorporated in Delaware.

According to Reuters, Kunlun’s failure to notify CFIUS when the company purchased Grindr in 2018 was likely one of the reasons the committee decided to force the divestiture and thereby unwind an acquisition that, by that point, had been consummated for two years.

While CFIUS does not share details about the specific nature of national security risks identified with transactions under its review, reporting at the time suggested concerns with Grindr had to do with the Chinese government’s potential to blackmail Americans, potentially including American officials, with data from the app.

Cooley LLP, an international law firm with attorneys who practice in the CFIUS space, notes that the committee uses a “three-part conceptual framework” to assess national security threats:

  1. What is the threat presented by the foreign personā€™s intent and capabilities to harm U.S. national security?
  2. What aspects of the U.S. business present vulnerabilities to national security?
  3. What would the consequences for U.S. national security be if the foreign person were to exploit the identified vulnerabilities?

The firm writes that “issues that have raised perceived national security risks range from the obvious (e.g., foreign acquisitions of U.S. businesses with federal defense contracts) to the seemingly benign (e.g., foreign minority investments in offshore wind farm projects or online dating apps.)

Cooley additionally notes that CFIUS considers vulnerabilities such as “whether the U.S. business deals in ‘critical technology,’ ‘critical infrastructure’ or ‘sensitive personal data'” and threats such as “the foreign buyerā€™s/investorā€™s track record of complying with U.S. and international laws (e.g., export controls, sanctions and anti-corruption regimes.)”

Some critics argue CFIUS has been overzealous in enforcing investment restrictions against Chinese buyers, but assuming this may be true ā€” and putting aside questions of whether U.S. national security concerns are best served by this approach ā€” China’s foreign direct investment has “declined considerably,” according to another global law firm with a substantial CFIUS practice, Morgan Lewis & Bockius LLP.

The firm notes heightened scrutiny has been applied particularly in cases of “Chinese investment in the U.S. biotechnology industry,” while Akin Gump Strauss Hauer & Feld highlighted CFIUS’s expanded jurisdiction over Chinese investments in U.S. real estate ā€” noting, however, that the committee’s increased authority is “unlikely to satisfy members of Congress and state legislators who want to prohibit investments in agricultural and other land by investors from ‘countries of concern’ such as China.”

Two years after the finalization of Grindr’s divestiture in 2020, the company went public on the New York Stock Exchange and enjoyed a 400 percent rise in its stock price. Its current value is $1.75 billion.

TikTok is privately owned, but Angelo Zino, a vice president and senior equity analyst at CFRA Research, told CNBC that the platform’s U.S.-only business ā€œcould fetch a valuation north of $60 billionā€ if Congress passes the bill to force its divestiture from ByteDance.

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Congress

Members of Congress introduce resolution to condemn Uganda’s Anti-Homosexuality Act

U.S. Reps. Mark Takano (D-Calif.) and Joyce Beatty spearheaded condemnation

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U.S. Rep. Mark Takano (D-Calif.) (Washington Blade photo by Michael Key)

More than 20 members of Congress on Thursday introduced a resolution that condemns Uganda’s Anti-Homosexuality Act.

Gay California Congressman Mark Takano and U.S. Rep. Joyce Beatty (D-Ohio) spearheaded the resolution that U.S. Reps. Becca Balint (D-Vt.), Lloyd Doggett (D-Texas), Adriano Espaillat (D-N.Y.), Robert Garcia (D-Calif.), Sylvia Garcia (D-Texas), Josh Gottheimer (D-N.J.), RaĆŗl Grijalva (D-Ariz.), Pramila Jayapal (D-Wash.), Hank Johnson (D-Ga.), Gwen Moore (D-Wis.), Seth Moulton (D-Mass.), Jerry Nadler (D-N.Y.), Eleanor Holmes Norton (D-D.C.), Mark Pocan (D-Wash.), Delia Ramirez (D-Ill), Linda SĆ”nchez (D-Calif.), Jan Schakowsky (D-Ill.), Brad Sherman (D-Calif.), Rashida Tlaib (D-Mich.), Ritchie Torres (D-N.Y.), and Debbie Wasserman Schultz (D-Fla.) co-sponsored.

“The House of Representatives condemns the government of Ugandaā€™s criminalization and draconian punishments regarding consensual same-sex sexual conduct and so-called ā€˜’promotion of homosexuality,ā€™” reads the resolution.

The resolution, among other things, also calls upon the Ugandan government to repeal the law.

ā€œIt is difficult to overstate the gross inhumanity of Ugandaā€™s Anti-Homosexuality Act,ā€ said Takano in a press release.

President Yoweri Museveni in May 2023 signed the law, which contains a death penalty provision for ā€œaggravated homosexuality.ā€

The U.S. subsequently imposed visa restrictions on Ugandan officials and removed the country from a program that allows sub-Saharan African countries to trade duty-free with the U.S. The World Bank Group also announced the suspension of new loans to Uganda.

The Ugandan Constitutional Court in April refused to ā€œnullify the Anti-Homosexuality Act in its totality.ā€ A group of Ugandan LGBTQ activists appealed the ruling.

ā€œInstead of focusing on rooting out corruption or ending extrajudicial killings, the Ugandan Parliament, president, and Constitutional Court have chosen to mark LGBTQ+ Ugandans as less than human,” said Takano. “Congress must not be silent in the face of such systematic, state-sponsored discrimination.”

“To all those LGBTQ+ people and your allies in Uganda ā€” we see you,” added the California Democrat. “We and the Biden administration will not allow this terrible violation of basic dignity to go unchallenged.ā€ 

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Congress

EXCLUSIVE: Sen. Padilla and wife Angela talk LGBTQ mental health

Couple to receive award from Gay Men’s Chorus of L.A. on Sunday

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U.S. Sen. Alex Padilla (D-Calif.) and his wife, Angela Padilla, spoke with the Washington Blade for an exclusive interview last week ahead of their receipt of Voice Awards from the Gay Men’s Chorus of Los Angeles at a ceremony on June 30.

“I’ve known members” of the organization “off and on over the years, going back to my days on the city council in Los Angeles,” when battles were waged over California’s Proposition 8 banning same-sex marriage, Padilla said.

“I was proud to be an ally for a long time, but especially in those moments, really, as a public official, as an elected official, knowing how important allyship was,” he said, stressing “the tremendous talent of the chorus” and “what they represented individually and as a group” serving as allies for “young people who may not necessarily grow up in a supportive environment or in supportive families.”

“I work very closely with Joseph Guardarrama,” a board member for GMCLA, “for many years now on my nonprofit, and it’s all in support of mental health and wellness and educating people on how to get help, why they should get help, and why it’s important to take care of your brain,” Mrs. Padilla said by phone.

“I started FundaMental Change in 2017,” she said, to push for “the mental change that I feel that we have to have as a society when it comes to how we look at [and] how we treat mental health conditions.”

The senator’s wife added that LGBTQ people are twice as likely to have a mental health condition while dealing “with so much more social stigma and discrimination” than their straight and cisgender counterparts.

“This month we’re going to have a table for June 30 working with the [California] Department of Mental Health at the Pride parade,” she added. FundaMental Change also operates an LGBT Youth TalkLine and Trans Lifeline.

Padilla noted the organization’s work combatting stigma. “One thing that we recognize both coming from Latino families is the need to overcome stigma,” he said. “There’s a lot of misunderstanding or misperceptions about mental health.”

The effort is also central to the senator’s work as a policymaker, he said, referencing the bipartisan Senate Mental Health Caucus that he founded alongside U.S. Sens. Tina Smith (D-Minn.), Thom Tillis (R-N.C.), and Joni Ernst (R-Iowa) to serve as “a forum for us to share stories.”

“It’s been fascinating, there are more than 30 members of the caucus now, so about a third of the United States Senate,” he said. “It’s 50/50 Democrats and Republicans,” and when approached, every member had a story to share, whether about “something that they’ve been through [or] somebody in their family, a colleague, a neighbor who can relate.”

Padilla said his decision to announce the formation of the caucus concurrently with his visit to the San Francisco LGBT Community Center “was very intentional.”

When it comes to mental health, “We’ve really prioritized trying to develop bipartisan solutions,” he said, “because those are more sustainable here in Congress.”

The first bill backed by the caucus was Padilla and Tillis’s Local 9-8-8 Response Act of 2023, which “was to require the FCC to move to implement the geolocation technology to the 988 system.”

Unveiled by the Biden-Harris administration in 2022, the 988 Suicide and Crisis Lifeline is operated by the U.S. Department of Health and Human Services Substance Abuse and Mental Health Services Administration. The program provides the option for callers to reach specialized LGBTQI+ affirming counselors by pressing “3.”

On the importance of geolocation technology, Padilla said “if I’m here in Washington, and have a need to call 988, my area code on my phone is Los Angeles ā€” so, I’d be passed through to the Los Angeles providers.”

The senator noted that the FCC “is moving forward with those improvements” independently of his bill’s path forward in Congress.

More broadly, some of the policy challenges concern supply and demand problems. “From a bigger picture, longer term perspective, we’re talking about the workforce needs,” Padilla said. “So, what’s the game plan for [getting] more psychologists or psychiatrists or counselors, more therapists, more everybody in the field to better serve people across the country?”

Padilla also discussed the importance of “cultural competence” as a means of guaranteeing the best possible treatment. “When we ask people to go get help, if there’s somebody that they can relate to or that they know gets them, the better quality experience in treatment is going to come,” he said.

“We’re not quite there yet with the Republican colleagues, but I have faith that in time we will get them there,” the senator added. “And again, the LGBTQ community is a prime example. You’ve got to feel comfortable going to somebody when you need help.”

Padilla said, “not everybody comes from a supportive environment; not everybody lives in a city or a state that is supportive. And at this particular time politically, they’re really under attack. They’re being targeted acutely. And that’s more reason and urgency to speak up and stand up.”

On Sunday, the Padillas will share the stage with the recipients of the third GMCLA Voice Award, from the critically acclaimed HBO series ā€œWeā€™re Here,ā€ which follows drag queens as they travel the country to perform in one-night-only performances in small towns.

Mrs. Padilla celebrated the ways in which drag has brought communities together, recalling when RuPaul’s Drag Race “was first airing and it was like everyone was so interested in watching the show” and “it just brought people from everywhere.”

“I have a lot of frustrations, as a Latina, with the misrepresentation of our community and our culture in television and movies,” she said. “And I feel like every opportunity that you get to see something that’s just authentic ā€” it’s such a benefit to everyone. It really helps us understand that we have more in common than not.”

“Drag is not new,” the senator said. “It goes back generations in the United States and I think for the LGBTQ+ community it can be can be very empowering, as an outlet for performers, but also participants in an audience to see on stage what you may not see in other places.”

Republican-led efforts to restrict access to drag performances, especially by young people, “feels like it’s an act of desperation,” Mrs. Padilla said.

“I think they’re resisting something that they don’t understand. I just think it’s really coming from a place of fear. And really not understanding the human behind it,” she said, adding that the reactionary forces are a product of the LGBTQ movement’s success and “that feeling of it’s out of their control.”

“The diversity of our communities, the diversity of our country, is a big source of strength,” Padilla said. “It’s just not always been embraced. I think a lot of people either misinterpret it or frankly exploit it to cause divisions in society.”

“We can’t ignore the political climate that we’re living in,” the senator said, “heightened only by the fact that it’s a presidential election year and we see who the Republican nominee is going to be.”

Looking ahead to November’s elections, he said, “as with so many other issues, LGBTQ+ rights and opportunity in the future ā€” It’s a 180-degree difference between Joe Biden and Donald Trump. Let’s not take it for granted. Let’s not take it lightly. Let’s get out and vote.”

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Drag queens lobby members of Congress

MoveOn organized Tuesday’s Drag Lobby Day

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Drag artist Joey Jay speaks at a press conference at the House Triangle near the U.S. Capitol on June 25, 2024. (Washington Blade photo by Michael Key)

A group of drag queens on Tuesday traveled to D.C. to lobby members of Congress to support pro-LGBTQ legislation.

“Drag Race Philippines” judge Jiggly Caliente, “RuPaul’s Drag Race” season 13 contestant Joey Jay and Brigitte Bandit urged lawmakers to support the Equality Act, which would add gender identity and sexual orientation to the Civil Rights Act of 1964, and the Transgender Bill of Rights, which would add trans-specific protections to federal nondiscrimination laws. 

Caliente, Jay and Bandit met with U.S. Reps. Juan Ciscomani (D-Ariz.), Mark Pocan (D-Wis.), Jasmine Crockett (D-Texas), Delia Ramirez (D-Ill.), Greg Casar (D-Texas), and Jen Kiggans (R-Va.) and/or their staffers.

Jay posted to her X account a picture of her, Caliente, and Bandit outside Crockett’s office. The Texas Democrat in response said “you’re always welcome, queens.”

MoveOn organized the visit, which it called the Drag Lobby Day.

“Today we brought together a trio of advocates and drag artists to stick up for LGBTQ folks, talk about what’s at stake and fight back against some extremist, hateful attacks, and narratives from conservative politicians,” said MoveOn Campaign Director Nakia Stephens during a press conference outside the U.S. Capitol.

Caliente said the Equality Act and the Trans Bill of Rights “will make it easier for people to find and keep employment and protect our communities more fully from discrimination in housing, health care, and so much more.”

Jay, who now lives in Phoenix, cited statistics that indicate 320 trans people were killed in 2023. Jay also stressed to conservatives that drag queens and LGBTQ people are not “trying to shove our lifestyle down your throats.”

“We are just trying to live in peace without fear of being murdered,” said Jay.

(WASHINGTON BLADE VIDEO BY SEAN KOPEREK)

Bridget Bandit ā€” known as the “Dolly of Austin” ā€” has testified against two anti-drag bills in Texas while in drag. Bandit noted she joined an American Civil Liberties Union of Texas lawsuit against the state’s Senate Bill 12, which would have criminalized drag shows and other performances that took place in front of children, “to fight for our freedom of expression.”

A federal judge last September blocked the law from taking effect.

“This fight is far from over,” said Bandit. “We continue to face the effects of this harmful rhetoric legitimized by our lawmakers.”

Drag artist Brigitte Bandit speaks at a press conference at the House Triangle near the U.S. Capitol on June 25, 2024. (Washington Blade photo by Michael Key)

Sean Koperek contributed to this story.

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