Trump's Art of the EU, $128M Obama Phone Fraud Scheme & BoA Predicts Trump-Led Economic Surge

Summary

The 47 Morning Update with Ben Ferguson
Episode: Trump's Art of the EU, $128M Obama Phone Fraud Scheme & BoA Predicts Trump-Led Economic Surge
Release Date: August 2, 2025

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Introduction

In this episode of The 47 Morning Update, host Ben Ferguson delves into three major topics shaping the current political and economic landscape in America. From President Donald Trump's groundbreaking trade deal with the European Union to the unraveling of a $128 million Obama phone fraud scheme, and Bank of America's optimistic economic forecasts, Ferguson provides comprehensive insights, backed by exclusive interviews and expert analysis.

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1. President Trump's Historic Trade Deal with the European Union

Overview: Ben Ferguson opens the discussion with President Donald Trump's recent achievement in negotiating the largest-ever trade agreement between the United States and the European Union. This monumental deal not only reshapes transatlantic trade relations but also signifies a substantial investment in U.S. energy and manufacturing sectors.

Key Details:

• Tariffs and Trade Access: The agreement establishes a baseline 15% tariff on European imports, including automobiles, while maintaining the existing 50% duties on steel and aluminum. Importantly, the EU has committed to purchasing $750 billion worth of U.S. energy products and will invest an additional $600 billion into the United States, surpassing their previous commitments.

• Investment in U.S. Economy: The EU's pledge to invest an extra $600 billion emphasizes a significant boost to the American economy, fostering growth and supporting domestic industries.

Notable Quotes:

• Ben Ferguson [04:41]: "The EU committed to purchasing $750 billion worth of energy from the United States and investing $600 billion more than they are currently investing. This is a very substantial amount of money."

• President Donald Trump [05:32]: "The European Union is going to agree to purchase from the United States $750 billion worth of energy... They're agreeing to open up their countries to trade at zero tariff... They'll be purchasing hundreds of billions of dollars worth of military equipment."

Analysis and Implications: Ferguson highlights the significance of this deal as a fulfillment of Trump's promise to prioritize American workers and manufacturers. By opening European markets to U.S. goods and securing massive investments, the administration is poised to stimulate economic growth and reinforce domestic industries. Additionally, the commitment to purchase military equipment underscores the strong defense ties between the U.S. and the EU.

Ben Ferguson's Commentary [08:49]: "Another massive promise the President kept in a victory for American workers and American manufacturers. The President putting America first, as he promised."

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2. The $128 Million Obama Phone Fraud Scheme

Overview: The second segment revisits the controversial Obama phone program, originally introduced as part of the Lifeline initiative to provide subsidized phone services to low-income individuals. Ferguson exposes the rampant fraud and abuse that plagued the program, culminating in a significant legal crackdown.

Historical Context:

• Obama Phone as Vote Buying: The program gained notoriety when it was revealed that the Obama administration had used the distribution of free phones to garner votes. A viral video featuring a supporter claiming, "He gave us a phone," illustrated perceptions of vote buying through the Lifeline program.

Recent Developments:

• Legal Consequences: Issa Assad, CEO of Q Link Wireless LLC, was sentenced to five years in prison and ordered to pay $128 million in fines for defrauding the government through the Lifeline program and the Paycheck Protection Program (PPP). His fraudulent activities included misappropriating funds for personal use and manipulating business statements to secure illicit gains.

Notable Quotes:

• Ben Ferguson [10:56]: "The woman made it clear, you can buy my vote. The Obama phone was real and it..."

• Financial Analyst [11:03]: "The Obama phones were a way to buy votes."

Detailed Breakdown:

• Fraudulent Activities: Assad's scheme involved falsifying business information to obtain and retain PPP funds, which he then diverted to personal expenses such as luxury vehicles and jewelry. Additionally, his misuse of Lifeline program funds highlighted systemic vulnerabilities in government subsidy programs.

• Program Continuation: Despite the scandal, the Obama phone program continues to operate, raising questions about ongoing corruption and the effectiveness of regulatory oversight.

Ben Ferguson's Analysis [15:35]: "Florida CEO at least is headed to prison and will pay, in theory, $128 million in fines for defrauding the American taxpayer. But is this program still going? Yes. Is the program still corrupt as hell? Yes. And is it time that the Trump administration look into it?"

Implications: Ferguson underscores the persistence of fraudulent practices within government programs and the need for stringent oversight. The continuation of the Lifeline program, despite significant fraud, illustrates systemic issues that the current administration must address to restore public trust and ensure accountability.

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3. Bank of America's Optimistic Economic Outlook Under Trump's Administration

Overview: In the final segment, Ben Ferguson presents an optimistic economic forecast from Bank of America, which anticipates not just a recovery but a robust economic boom under President Trump's leadership. This perspective counters the prevalent narrative of economic stagnation and uncertainty.

Key Points:

• Tail Risk: Bank of America identifies the potential for an economic boom as a significant risk that is currently underpriced in the market. This outlook is driven by several positive factors aligned with Trump's pro-growth policies.

Five Pillars Supporting the Boom:

1. Political Will: With U.S. midterm elections approaching, policymakers are incentivized to implement pro-growth initiatives to secure re-election, fostering a favorable environment for economic expansion.

2. The "One Big Beautiful Bill Act": Contrary to media predictions of economic harm, this extensive infrastructure bill focuses on enhancing domestic manufacturing and modernizing aging infrastructure, thereby stimulating economic activity.

3. Massive Overseas Stimulus: Germany's largest-ever stimulus package and global reflationary trends contribute to a supportive international economic climate, benefiting U.S. exports and investments.

4. Capital Expenditures Expansion: Major U.S. corporations, including Amazon, Meta, Microsoft, and Alphabet, plan nearly $700 billion in capital investments between 2025 and 2026, signaling strong corporate confidence and growth.

5. Proprietary Regime Indicator: This blend of macroeconomic signals suggests a potential shift from a downturn to a recovery, historically leading to rallies in value stocks.

Notable Quotes:

• Financial Analyst [15:37]: "Not just a cyclic recovery but a boom. That is how Bank of America is talking about Donald Trump's economy."

• Ben Ferguson [17:19]: "They are focusing on investment-grade metals... They sell you more metal for your money and fair value when it's time for you to actually sell."

• Financial Analyst [17:19]: "They argue that the U.S. midterm elections a few quarters away policymakers have strong incentive for near-term pro-growth initiatives."

Ben Ferguson's Commentary [19:29]: "If you put American workers in manufacturing first and in these tariff agreements that you're doing, these trade deals you're doing, you make sure that companies are forced to come back and do work in the United States of America, it could explode our economy."

Implications: Bank of America's bullish outlook aligns with Trump's economic policies, emphasizing increased domestic investment, favorable trade terms, and robust corporate spending. This positive forecast not only bodes well for the economy but also plays a crucial role in the upcoming midterm elections, potentially reinforcing support for Trump's agenda and policies.

Conclusion:

In this episode, Ben Ferguson effectively highlights significant developments under President Trump's administration, from groundbreaking trade agreements and tackling systemic fraud to optimistic economic forecasts. By providing detailed analysis and incorporating authoritative quotes, Ferguson ensures listeners are well-informed about the critical issues shaping America's present and future.

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Stay Informed: For more in-depth analysis and daily updates, subscribe to The 47 Morning Update with Ben Ferguson on the iHeartRadio app or your preferred podcast platform. Stay ahead with unfiltered insights and honest commentary on the issues that matter most to America.

Transcript

[Host 1]

This is an Iheart podcast. Wasn't that delicious? So good.

[Host 2]

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[Ben Ferguson]

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[Ben Ferguson]

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[Host 1]

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[Donald Trump]

Thrilled to sign the VA Home Loan Program Reform act into law. This legislation provides desperately needed relief to veterans and their families who have fallen behind on their mortgages. It helps keep our promise to end veterans homelessness. And we're going to do that for America. We're going to do that for our great veterans.

[Ben Ferguson]

You're listening to the 47 Morning Update with Ben Fergus.

Good Saturday morning to you. Ben Ferguson with you.

[Financial Analyst]

And these are some of the stories that you may have missed that we talked about this week on the 47 Morning Update.

[Ben Ferguson]

First up, call it the art of the deal. The USA has the biggest ever trade agreement with the European Union. Donald Trump getting it done, and the EU will also buy 750 billion in U. S energy. I'll have all the details on that deal for you in a moment. Also, I also want to talk about Donald Trump's promise to clean up waste, fraud and abuse. You may remember back in 2012 there was a scam. It was called the Obama phone scam. May remember a woman saying she's going to vote for Obama because he gives her a free phone. Well, now a CEO is headed to prison and must pay $128 million fine after defrauding the government. And it deals with story number one. Those Obama phones are still around. And finally the media finally having to tell the real story.

[Financial Analyst]

Yes, there isn't just a recover recovery, it is a boom. Bank of America now saying the key.

[Ben Ferguson]

Tail risk is, well, that the Trump economy will actually start to take off. We're going to break that down for you in just a moment.

[Financial Analyst]

All right, I want to take a moment talk about the economy. You've been seeing what's happening on Wall Street. You've seen what's been happening with interest rates and you've probably seen gold prices hitting all time record highs. Why? Because there is uncertainty all over the world right now. And when there is uncertain times, you want real answ about your financial stability. Well, at Kurt Elliott Precious metals, you get more than gold and silver. You get trusted guidance from a team that puts people first always. You also get transparency. This is why I recommend them. Their mission is clear. They want to help you protect what matters most with real metals, real service and real clarity. Now here's why I love what they do at Kirk Elliott Precious Metals number one bullion only approach. They focus on investment grade metals, not overpriced quote collectibles or gimmick products that cost you an insane amount of money for what you're actually getting. What they do is they sell you more metal for your money and fair value when it's time for you to actually sell. They also have upfront transparent pricing, just 8% when you buy and zero commissions when you go to sell. There are no hidden fees on top of that and ever. That is the reason why I recommend them. They also make sure they give you personalized guidance for you. You're never just a number, no pressure, always real answers and they make sure that you are in control. So if you're ready for real honest clarity and all of the BS taken out, visit kepm.comBen that's K E pm.comBen to schedule your personal portfolio review. Ask about today's unique market window and how the current silver to gold ratio might work in your favor. Protect what matters. Plan with clarity. Ke-pm.com ben or 720-605-3900 at 720-6053 900 Kurt Elliott Precious Metals Smarter metal investing.

[Ben Ferguson]

Starts with it's the 47 Morning Update and it starts right now.

Story number one, Donald Trump reaches a.

Historic trade deal with the European Union. Europe is going to buy 750 billion, we're now being told in US energy. This is massive. President Trump announcing the sweeping trade agreement with the European Union on Sunday, setting a baseline 15% tariff on European imports, including automobiles, while keeping existing 50% duties on steel and aluminum in place. Now, as part of the deal, the EU committed to purchasing 750 billion in US energy production. Trump announcing the agreement during a press conference with the European Commission president after a private meeting at the Trump Turnberry.

[Financial Analyst]

Golf Course in Scotland. He here is part of what was.

[Ben Ferguson]

Said by the president United States of.

[Financial Analyst]

America at that, at that event where.

[Ben Ferguson]

They say we've reached a deal.

[Donald Trump]

So we're going to do the following. The European Union is going to agree to purchase from the United States $750 billion worth of energy, $750 billion worth of energy. They are going to agree to invest into The United States $600 billion more than they're investing already. So they're investing a large amount of money. You know what that amount of money is? It's very substantial, but they're going to invest an additional $600 billion. They're agreeing to open up their countries to trade at zero tariff. So that's a very big factor. Opening up their countries. All of the countries will be opened up to trade with the United States at zero tariff. And they're agreeing to purchase a vast amount of military equipment. We don't know what that number is, but it's, it's, the good news is we make the best military equipment in the world. So sort of you have to do that. I mean, until somebody tops us, which is not going to happen, we're way ahead of every other country in terms of the quality of the military equipment. You saw that recently in Iran and you see that. Unfortunately, you see that often for all the wrong reasons. Right. So Those things are 750 billion, 600 billion opening up the country. We are agreeing that the tariff straight across for automobiles and everything else will be a straight across tariff of 15%. So we have a tariff of 15%. We have the opening up of all of the European countries which I think I could say were essentially closed. I mean, you weren't exactly taking our orders, you weren't exactly taking our agriculture. And then you would have smaller things. But for the most part it was closed and now it's open. It's open for our companies to go in and do a good job with. And I think you'll like them. I think you'll like it. And we will. Very importantly, they'll be investing a lot of money. But the military is a big number. But that's one number we're not determining. It's going to be whatever it is. But they're going to be purchasing hundreds of billions of dollars worth of military equipment. They're very important. They're going to purchase 750, $750 billion worth of energy. So that's going to be great. And $600 billion worth of investments into the United States over and above what they have. So. And I think that basically concludes the deal. I mean, those are the main factors. I don't think there are too many other factors other than we're going to get along great. And we have a great relationship now with NATO, which is largely the same. I mean, not exactly, but pretty, pretty close, right? Largely. And with NATO, as you know, they're going up to 5% from 3, from 2% and the relationship is very strong with NATO. So I just Want to congratulate you. I think it's. I think it's great that we made a deal today instead of playing games and maybe not making a deal at all. I think it's. I'm going to let you say, but I think it's the biggest deal ever made. Thank you very much.

[Host 1]

Congratulations.

[Ben Ferguson]

Yet again, another massive promise the President kept in a victory for American workers and American manufacturers as well. The President saying he was going to bring back fairness to the marketplace, especially in places that were taking advantage of us, where our markets were virtually shut down completely in Europe from our automobiles and agriculture, just to name two different categories. So if you're an American manufacturer, the President is your best friend. If you're an American company that needed access to Europe farmers, the President should be your best friend. And yet again, the President putting America first, as he promised.

Next story number two.

I want to take you back in history for just a moment. You may remember when President Donald Trump ran for office, one of the things he promised, what is he was going to clean up waste, fraud and abuse. Now, when did our government get really big into waste, fraud, fraud and abuse? A lot of it actually happened when President Barack Obama was in office because he understood that it's easier to buy votes than to convince people to vote for you for actual policy reasons. You may remember the perfect example of buying votes, a woman that became famous for her reason for voting for Barack Obama over a guy by the name of Mitt Romney. Let me be clear. I'm not advocating for voting for Mitt Romney for anything. We now know what a disaster he was. But at the time, he obviously was going to do a lot better job for this country than Barack Obama. Insert 9-26-2012 and the famous woman who loved her Obama phone.

[Interviewee]

You got Obama phone?

[Host 1]

Yes. Everybody in Cleveland, low minority got Obama phone. Keep Obama in president. You know, he gave us a phone.

[Interviewee]

He gave you a phone. How do you give you a phone?

[Host 1]

You sign up. If you ain't you on full stamps. You on stage, Social Security. You got low income, you disability.

[Interviewee]

Hey, I have a question. Okay. What's wrong with Romney again?

[Host 1]

Romney, he sucks.

[Ben Ferguson]

There it is. The woman made it clear, you can buy my vote. The Obama phone was real and it.

[Financial Analyst]

Was a way to buy votes.

[Ben Ferguson]

And the Democratic Party was giving out.

[Financial Analyst]

Those Obama phones and free cell service each and every month.

[Ben Ferguson]

Well, fast forward to where we are today and we know a lot more about how corrupt the program actually was. The Obama phones, it was also a big scam and a Florida CEO is now headed to prison and has been ordered to pay $128 million in fines after defrauding the government. And we're also being told this may be the tip of the iceberg. The owner of a Florida telecommunications company will spend the next five years in prison. That's it. Only five years. And his firm must pay a hefty fine. Regarding the Obama PH scam, Q Link Wireless LLC and its owner, identified as CEO Issa Assad, previously pled guilty to conspiring to commit wire fraud and steal federal funds from the Lifeline program that originally began in the 1980s to offer home phone service to those that were in need so they could call 911. Well, the program offered subsidized cell phone service then to lower income people and then free phones. And in that 20 video, you had that protester emerging outside a Mitt Romney event who claimed her neighborhood received an Obama phone. Everybody's got one, every minority. When asked why she supported Obama, the woman said, everybody in Cleveland, low minority, got Obama phones. Keep Obama in president. You know, he gave us a phone. He's going to do more now. This clip was really the first time many Americans ever heard about the abuse in this program. And the name Obama Phone caught on after the video went viral. Some telecommunications companies with Lifeline contracts embrace the term as a marketing ploy. The government, by the way, did not go back to 2013. Breitbart News reported the opposition to the Lifeline program was growing as TracFone Wireless, the company that most benefited from the government subsidy, is now advertising on the inside the Beltway news websites in an effort to quote, unquote, save it. You go to the Fox article and it now says that Assad was sentenced to prison and he, along with his company must pay $128 million in fines. In a press release on Friday, the U.S. attorney's Office for the Southern District of Florida shared more details about the case and just how bad the fraud may be. Assad defrauded another federal government program that states the Paycheck Protection Program, also known as ppp, by making false statements about Q Link's business. Congress, you may rem member created PPP and it was filled with waste, fraud and abuse during the COVID 19 pandemic to authorize forgivable loans to small businesses for job retention as well as, quote, other expenses. Assad, the Q Link's name, executed a fraudulent scheme to obtain and keep PPP proceeds. To further the scheme, Assad makes false statements about Q Link's business, including a false claim that Q Link's lifeline reimbursement substantially decreased because of the pandemic. Assad then in 2021 engaged in an unlawful financial transaction involving approximately 389,000 of those proceeds. Assad spent PPP loan proceeds on a Land Rover payment, his personal Amex card jewelry and personal property taxes. Assad was reportedly charged with murder several years ago in connection with driving over a groundskeeper at his business, per another Fox article. He later pleaded no cont. To misdemeanor culpable negligence and was slapped with one year probation and ordered to pay just a $125 fine, the outlet said. Proof if you've got really good lawyers, you can get away with a hell of a lot. As for the Obama phone scam, Florida CEO at least is headed to prison and will pay, in theory, $128 million in fines for defrauding the American taxpayer. But is this program still going? Yes. Is the program still corrupt as hell? Yes. And is it time that the Trump administration look into it?

[Financial Analyst]

You better believe it. And there's a very good chance that's.

[Ben Ferguson]

Exactly what's happening right now.

And finally, story number three.

[Financial Analyst]

Not just a cycled recovery but a boom. That is how bank of America is talking about Donald Trump's economy. In a market landscape that is fixated on fear or stagnation and modest recoveries because Donald Trump's in office and they want everything to be doom and gloom, the bank of America is now having to tell us the truth. They're sounding the reality and even deciding that they are bullish on where we are headed. According to a new note from a Bank of America research analysts, the next phase for the U S economy and equities might not be a routine recovery but quote, an outright boom. Today, a confluence of factors argue that the key tail risk that may not be priced in is not just a cyclical recovery but a boom, the note says. Exactly. So why is this happening? Well, there's five reasons, they state for a boom. The bank of America analysts citing these five pillars they say support this more than bullish case. First is political will. They argue that the U S midterm elections a few quarters away policymakers have strong incentive for near term pro growth initiatives. Why? Because everybody in Congress right on the House side is up for re election and there's a lot of members of the Senate that are up as well. Second, they say is Washington's one big beautiful bill act. Yes, you may remember the media said it was going to destroy Our economy?

[Ben Ferguson]

Nope.

[Financial Analyst]

Now they're saying the one big beautiful bill. Well, it is targeting domestic manufacturing and having a huge impact. The third thing they say is the massive overseas jolt gathering now with Germany recently enacting the largest stimulus package in EU history, while global reflationary forces are building elsewhere. Bank of America says fourth they see a broad expansion of capital expenditures in the U. S. Companies like Amazon, Meta, Microsoft and Alphabet set for nearly 700 billion in capital expenditures between 2025 and 2026 alone. They also said in addition, more non U. S companies plan to expand manufacturing capacity in the U. S while municipalities are focused on updating aging infrastructure. Now this goes back to what Donald Trump promised. If you put American workers in manufacturing first and in these tariff agreements that you're doing, these trade deals you're doing, you make sure that companies are forced to come back and do work in the United States of America, it could explode our economy. Bank of America is saying that is actually working and a reality. Finally, the last thing on the list the bank of America cited is proprietary regime indicator. That is a blend of macro signals, including corporate revisions to earnings per share as well as GDP forecasts and other emerging signals. They say it's on the verge of flipping from a downturn to a, quote, recovery, a change that historically means a rally in value stocks. Now, the dominant narrative in the indicator remains conservative. According to the bank of America team, it is one they say in June, 70% of fund managers still predicted stagflation, with only 10% foreseeing a boom, a above trend growth and inflation. Yet bank of America argues the catalyst for an upside breakout is real and now imminent. If the regime indicator does indeed flip to recovery in early August, historical precedent suggests a rapid rotation is, quote, likely. So these are the big factors that even the banks are now saying are going to have a huge impact on your life. This also is going to be a major issue come the midterm elections. This is exactly why so many people trusted Donald Trump and voted for him the first time. Well, let's be clear. The midterms is a referendum on the President's agenda. And many conservatives have been supporting and advocating for the president voting for things like the big beautiful bill. If they run on it, there's a very good chance the President will have even more power after the midterms. And that's good for all Americans.

[Ben Ferguson]

Thank you for listening to the 47 Morning Update with Ben Ferguson. Please make sure you hit subscribe wherever you're listening to this podcast right now. And for more in depth news. Also, subscribe to the Ben Ferguson Podcast and we will see you back here on Monday morning.

[Host 1]

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