Trump admin hands defense contract to Trump-owned company

4 hrs ago 4

The Trump administration has handed a new defense contract to a firm backed by President Donald Trump’s sons, raising fresh questions about potential conflicts of interest, as the U.S. military expands its drone capabilities during the ongoing conflict with Iran. The U.S. Air Force confirmed it will purchase interceptor drones from Powerus, a Florida-based company...

The Trump administration has handed a new defense contract to a firm backed by President Donald Trump’s sons, raising fresh questions about potential conflicts of interest, as the U.S. military expands its drone capabilities during the ongoing conflict with Iran. The U.S. Air Force confirmed it will purchase interceptor drones from Powerus, a Florida-based company partly owned by Donald Trump Jr. and Eric Trump, following a successful demonstration at a facility in Arizona.

First military sale for Powerus

Brett Velicovich said the company’s interceptor drones are designed to counter enemy drones by launching quickly and destroying them midair. By: Power.us

Powerus, headquartered in West Palm Beach, Fla., described the agreement as its first sale of interceptor drones to the U.S. military. The company did not disclose the number of drones or the financial terms of the deal. Its cofounder and president, Brett Velicovich, said the company’s interceptor drones are designed to counter enemy drones by launching quickly and destroying them midair. The deal with the U.S. Air Force marks a significant step for a relatively new entrant into the defense sector.

Push for low-cost drone warfare

The contract aligns with a broader Pentagon strategy to counter inexpensive Iranian drones with similarly low-cost interceptor systems. By: Unsplash

The contract aligns with a broader Pentagon strategy to counter inexpensive Iranian drones with similarly low-cost interceptor systems. Instead of relying on high-cost missiles, the U.S. military has increasingly turned to agile drone defenses. Officials say the approach is both cost-effective and adaptable in fast-changing combat environments. According to reports, the U.S. Army has already deployed thousands of AI-enabled interceptor drones in the Middle East.

Velicovich argued the U.S. has fallen behind in the development of low-cost drones. “As a country, we’re behind,” he said. “We’re finally taking the steps to fix that.”

Foundation Industries, where Eric is an adviser and investor, recently won a $24 million Department of Defense contract to make humanoid robots for use on the battlefield.

Trump family ties to Powerus invites scrutiny

Eric Trump backed a reverse-merger deal between Israeli drone maker Xtend and JFB Construction Holdings, a publicly listed construction company. By: MEGA

The involvement of the president’s sons has drawn criticism from ethics experts and lawmakers. Powerus is linked to Trump family business interests and is planning a merger with Aureus Greenway Holdings Inc., a golf-course operator backed by the Trumps that already has a Nasdaq listing. In addition to Powerus, Eric backed a reverse-merger deal between Israeli drone maker Xtend and JFB Construction Holdings, a publicly listed construction company.

Kathleen Clark of Washington University School of Law criticized such arrangements, saying, “It’s corruption. … Government decision-makers will feel pressure to use contract awards to enrich the president’s family.”

Democrats in Congress, meanwhile, have requested more information about defense contracts involving firms tied to the Trump family.

Powerus received defense contract based on merit, executives say

Velicovich said the U.S. Air Force selected the system based on performance, not ownership. By: Unsplash

Powerus executives have rejected suggestions that political connections influenced the defense contract. Velicovich said the U.S. Air Force selected the system based on performance, not ownership. “They’re not going to pick a system because of who’s on an investor list,” he said. “They’re picking because they need it now.”


View Entire Post

Read Entire Article