it goes back to the lower court. the lower court has not scheduled hearings. what it does is laid just leave many people influx. david: a huge disappointment to the president. a signature achievement of his tenure thus far. it is all frozen at the moment. or a lot of it is frozen. taking it out of the political realm for a moment, for companies, it is a problem. they have employees who are here on visas and have immigration issues. they have trouble planning i do not know what to do with their talent. not just a social or political. david: issue. it is a business issue as globalid: in a lot of economic news. a number of pieces in the magazine, including one by editor in chief john micklethwait. llen: we have an entire section devoted to brexit did it is a huge deal. we have an interesting essay by john micklethwait, the editor and chief -- editor in chief from bloomberg news who writes about it from his personal point of view, since he is british. we have an interesting story also on internal u.k. politics, which is a mess. david: best talk about john's piece which remembers him remembering his gap year. the politicalbout turmoil in the u.k. then. an incredibly charming story. he talks about meeting a guy named milton, who was asking him about the u.k. and asking him about the conditions in the u.k. him how tried to tell things would change under thatcher. itwas only later he realized was the eminent economist milton friedman, which is really a nice story. but he turned out to be right about whathe thought thatcher would bring in. david: what does john think about this vote? ellen: i think he things it is a setback. i think he thinks it is the end of classical liberalism that the u.k. has enjoyed. -- i think he thinks it is a mistake. he takes us through the history of the change in the u.k. overtime and what this means. it is a special perspective that we are happy to give. david: and liberalism, he notes, has not been entirely great for the u.k. ellen: right. he says it is better for people on the upper end of the economic spectrum rather than people who are less fortunate. your economics -- and mark david: your economics editor looks at the vote. step back and says long-term, that may not be that big of an issue. ellen: peter says down the line, it may not be a total divorce. and as little more optimistic then some and basically says it is not over yet. david: i sat with peter:. brit, buti were a what is done is done. it is not all bad. thet, britain was already core of the european union. it was not in the euro currency, which is supposed to be good be all and end all of the european union. all countries are supposed to be going in that direction. written had opted out from that. >> the kind of only had one foot in the water. carol: r -- peter: right. go other thing they did not into is the schengen agreement. they did and still do have free movement, as long as they are in of memberan union country people. but anyone from outside of the schengen area who gets in does not have immediate access to britain. aren those ways, they already out and what we are talking about is another step back for them. to some further fringe of europe. >> one thing, as a plus for them -- as he wrote in your piece about david cameron, the prime minister pointed out that the u.k. economy is doing ok. peter: they had a buffer. the funny thing about it is if it is true their economies pretty decent, why did they pull out? to me, it is about two things. of the big draws on their budget to finance and other problems. and then immigration, uncontrolled immigration. they worry about people from eastern europe coming in. so even though they could control the flow from, say, syria, they could not control the flow from, say, romania and poland and lithuania. so those two things. but if britain was a successful economy, as you say, how about the countries that do not have successful economies? or how about their companies like germany, which resemble britain in the sense that they are contributors to the eu. you see these different sets of countries in the eu, both ca the --xit as a president for why both seeing the brexit as cedent for why they should stay in the eu. prettyuk's well-positioned and the economy is pretty strong, but in the near term, there is so much uncertainty. we have heard about that a time since the vote. how much will that flag the economy? peter: it hit the stock market really hard. it is going to probably put a some on investment for time to come. that is what a lot of people are predicting a recession for britain. goldman sachs, for example, is forecasting that now. to me, that is not the big story. the big story is that longer-term impact. and something like stepping out of the eu is not just one of these cyclical things for a story for a day or a week or a month. it could he semipermanent -- it could be in semipermanent new condition. find abritain and the eu new bonus of andy -- new modus avendi, where they may not be as tightly linked as before but still managed to trade. tricky.t is other members of the eu who may if you makes it easy the eu makes it too for the u.k. to leave but still it, it mayberties of make them leave as well. peter: it is true. what is surprising is the germans have been surprisingly open to cutting some type of deal with the brits. britainndustrials see as a big export market. they do not want to give that up a they may be putting that as their number one priority and worrying somewhat less on the long-term repercussions. carol: up next, another scandal in britain. david: and the doctors allegedly tilting the u.s. out of more than $100 million. ♪ ♪ david: welcome back to "bloomberg businessweek." i am david gura. carol: i am carol massar. you can also find us on sirius fm at 119. in this week's features a section, an investigation into the uk's weakest insider-trading case. -- theu.k. had not regulator he has not prosecuted prior to 2009.ly insider trading was what they grabbed on to the show that they were a time prosecutor, that they were looking at institutions. this is one of the first investigations they opened in 2007. it took a wild a while to come to fruition because of various judicial court issues, but this is their landmark case. around 70 -- seven people arrested in two thousand 10. it really took the city by surprise. this had never happened before. a number of these people were caught up in those raids. the recent outcome is what we have seen. two convictions -- a mixed result. carol: going through your story, i felt like you needed an organizational chart to understand how it played out. there was one man who was interesting was a man who went by the nickname of "fatty" or "mad punter." parvizi was a larger-than-life guy. you had the bankers who were from prestigious firms, used to dealing with established ceos. then you have this underbelly financers who were cutting their teeth on sort of have you heard this, have you heard that, and placing huge spreads -- effectively professional gamblers who were using stocks and shares. iraq's part of easy -- iraj arvizi describes himself as professional gambler. the horses, played poker. for him, stocks and shares was another way to gamble. carol: and he was quite a character in the courtroom. suzi: absolutely. he is the son of an iranian diplomat. part of the persian revolution. he was in england. he dropped out of school and stopped -- started working dead end jobs. and a chance meeting put them in the business world, getting a sense of what it was to make real money. from there, he became a self-made man. horses,horoughbred establishing restaurants and boutiques to become this huge character. the u.s. government is accusing hundreds of nurses and. >> doctors out of scamming the government from billions this was the annual takedown, as they call it, by the department of oftice and the office inspector general. every year, they save up some of the health care fraud investigations they happen working on, and a time of them for a egg june smash. this year was there biggest yet. they are getting more aggressive. there is more money being spent on health care fraud investigations. they ranged all over the country. 30hink there were about states involved. i think there are about 37 different judicial jurisdictions. these are doctors, nurses, pharmacy executives. there is a lot of compound pharmacy companies have been involved in terms of investigating fraud. it ran the gamut. this is an annual event paid we have seen a policy shift. you write about that. what has changed? last september, the department of justice issued guidance to all of their lawyers, saying no more deals with individuals in investigations of large corporate fraud. or even small corporate fraud. they will not make a deal that says ok, the company may have committed medicare fraud, you may have been writing prescriptions are housing nursing home patients are doing things unnecessary, bilking taxpayers for money, and letting off the executives or doctors or individuals culpable. in the past, that ability for prosecutors to make deals in these kinds of investigations led to a lot of settlements and it was helpful. it provided leverage for the government has say we will let your ego walk, let the doctors walk. there may be evidence they were xnvolved, but you pay us million dollars and agree to some sort of corporate compliance in the future, and no one will be charged. well, the department of justice announced that will no longer be the case. now it takes special permission from washington to do a deal that lets an executive or anyone else walk. -- and just hold the corporation liable to they want individuals in the dock for medicare fraud. under armourt, reinvented its supply chain and baltimore says thank you. ♪ carol: welcome back. i am carol massar. david: imed david gura. carol: in this week's featured section, how under armour is changing its supply chain. we spoke to reporter rachel monroe. they are building a new club in baltimore, which is the heart of their new headquarters, which is a huge, new neighborhood that kevin plank is essentially building from scratch. it is part of a 20 year plan to really read shape -- re-shape the company. david: talk a bit about the growth the company has seen the last two decades. he has gone from him literally driving up and down the east coast to a really big enterprise. rachel: i think he said he per 100,000 miles on his car that year. under armour has taken over they are the second biggest athletic wear company in the u.s. had are projected -- they $4 billion in revenue last year. it is growing every year. reading down -- breathing down nike's neck. carol: talk to us about kevin plank. no one at the company will say "nike," but he is looking to reinvent the supply chain. rachel: he is very passionate about the idea of how can he do things better. that was the idea behind the company from the beginning. making a better shirt rather the shirts football players were sweating in. with local toat local manufacturing. the idea was to revamp products to bring in more technology. production moved more close to the point of sale, rather than having an 18 month supply chain and shipping things back and forth across the ocean. david: he is opening a innovation center in baltimore, where under armour was pleased to you had an amusing anecdote in the piece about a call he makes to network news executives. kind of amazing. rachel: he was watching the news one morning and realize that when they showed the weather on the today show or something like that, they were showing new york, d.c., philadelphia, but not baltimore. did whatever they had to do to get baltimore on the weather. he is always thinking like that. always thinking about the brand. not only of his company but the city where the company is based. carol: quickly, the company has been around 20 years. is this a step for the next 20 years in the company? rachel: yes, i think they are thinking about how they can beat nike. in this week's etc. section, got a handy guide to the against happy hour areas. things youe a ton of can do with your coworkers, your family, by yourself. if you give it a little bit of thought, you can plan some pretty fun stuff. there are concert series all over the country. there is a great one in brooklyn and in millennium park. wine sipping events, if you want to have a little all call. you can go to houston and watch 20 50,000 -- 250,000 bats fly. something different, something to switch up during the work week. david: and the happy hour can often lead to work -- to the work dinner, which usually takes place at the restaurant you probably would not want to go to. you are single outside as well. bret: right. when entertaining clients, you go to the steakhouse, it is what they want, fine. but we previewed five restaurants that are known for al fresco dining. if you have to entertain clients, there are plenty of places to do it outside. david: still ahead, happy hours with alcohol. carol: and the gene-editing company and their scientific breakthrough. ♪ carol: we are coming in from inside the magazine and others. gets creative. david: a scientific breakthrough. it carol: olivet is ahead on "bloomberg businessweek." david: there are so many must reads. let's start in the finance section. there was some big news about saudi arabia going public. there were plenty of people with a keen interest in how that is going to happen. the issue for them if it's not having the strongest. saudi arabia is talking about selling assets. at trillionsalued of dollars. banks, there is a lot of work to be done it. the idea of the crown prince who is a very important leader, if he wants to create the world's largest fund, they will be doing that are in -- that. you have a lot of bankers visiting. section, youexit look at where financial firms might go if they leave london. a lot of banks are saying now that the united kingdom is exiting, where could they go. dublin is one of them. ellen: ". all of those bankers working in the city can speak the same language in dublin. there is frankfurt, which is a big financial capital and it is important. david: negative marks for not having a very fun nightlife and -- nightlife. ellen: it is no berlin. david: paris is a city that is also being floated. they could actually recruit some of these banks. it's a silver lining, but not for the u.k.. amsterdam is a short flight away from london. luxembourg as well. it's a short flight away. it is convenient to city hop in europe and the food is great. all of the cities are willing to take advantage of what could be a big vacancy. david: there is a piece on crisper. this is a new way of changing the way chains work. ellen: it's a huge breakthrough. it involves using the way the body attack viruses and snip them out. i am simplifying this, when you combine it with certain proteins, you can program this function to trim out pieces of dna that are irregular and put the dna act together or stitch it with another piece of dna. it uses a guiding piece of rna. it's really complicated. >> it could revolutionize everything. it could be as big a deal as the transistor was. it's a process that bacteria used to fight off viruses. they can editeves jeans. you know about the genome. you know about gene editing and jean arabi. this takes it to a new level. there are hobbyists laying around with this in their homes and it's like copy and paste on a word processor. carol: there are some real applications in terms of what can be done. you write about it as the discovery of the century. who gets the credit? who gets the monetary reward? >> investors are not wasting any time. they are putting money in various startups. the two scientists competing over the patent, they are behind startups as well. you've got not just scientists but investors behind the businesses placing bets on who will end up with the patent. david: is it about the money? is this going to be a huge thing to harness? both scientists. them.down with are -- these are very nice people. i think they like each other. carol: they each lay claim to it. short, sheg story found a way to apply this thing that exists in back area and -- back. . she did that. he was able to do it in a human cell. one person says that have the building block of the other person says they put the blocks of the right order. it's really up to the patent office to figure it out. they don't really care who invented it. they care who files first and she filed first did he filed an expedited one. it gets thornier and thornier. it's technology and patent law in the same story in -- story. they were a while working with the same enterprise. robert: they were part of the dream team that consulted with a company. that company still exists. they had a $100 million ipo. the second he got the patent, she left that company and help found the company. it is a competing company down the road. they are civil. they are competing for a patent. share?couldn't they robert: they might. the nobel committee typically only gives out three people. -- other nameser in the mix. in terms of the patent, that is how this is often resolved. that may happen or it may not. they filed in court saying they have talked about settling and decided not to. they will let it ride for now. david: looking at the possible applications going forward, it's not worth thinking about the ethical implications. where are we in terms of the development of this tech knowledge he? how soon could treat diseases? robert: there has been nothing close to human trials. sean parker is funding a nonprofit one. they are going to try to do human trials and cure one particular disease. that has not been cleared by the fda. nobody is actually trying it in the human body at red -- yet. why donald trump's rallies are so ask answer to taxpayers. ♪ david: welcome back. carol: you can find us on radio and in new york. david: the politics and policy section, the real cost of donald trump's rallies. see, theyrallies you are costing quite a bit of money. more so than they ever really have. donald trump is having big rallies that are costing tons of police overtime at additional personnel. david: who is shouldering that cost right now? it is the taxpayers? it's not the campaign? kate: i talked to 50 different towns. said they hadem been reimbursed by the campaign. they got a check a couple of days prior to me calling them. he had to do a double take when he sought in the mail. everyone had either not submitted a reimbursement because they have no obligation to reimburse for the cost. some haven't gotten anything yet. carol: why hasn't this issue come up before? kate: it's not the first political campaign. rallies nature of the are the mood. it's different than what we've seen in prior cycles. when you compare hillary to donald trump in this election cycle, the way they go about these rallies are completely different. i found this fascinating. multiple towns of talk to me about the process. the campaign will call you. it will be a couple of days prior. that's no exaggeration. for the level of security required, they have to do this in two days. they have other duties. carol: they are responsible for doing this. kate: and the secret service. hillary would come in. her campaign will come in and say we will be visiting you on saturday and it's wednesday. we would like a venue of 200 people. maybe the veterans hall. they distribute 300 tickets. campaign,nald trump the staffers will call and say we are visiting. what is your biggest venue? that fits 1800 people. then they distribute unlimited tickets and there is no cap. what will happen is, they distributed 6000 tickets to an event that could hold 1800 people. you have thousands of people who have driven god knows how long to get there, they are fitted physically next to all of the protesters. you're going to have these incredible op six of people trying to get into the rally. it is so obvious. you have a lot of extra police needed to handle that situation. with the clinton campaign, everyone got in. i wonder what the donald trump campaign said about this. i could see this being an easy argument to make. why would be on the for this if there were counter protesters there wreaking havoc? kate: it's not their fault. when i reached out to the donald trump campaign, the campaign is responsible for the security inside the venue. they have to handle all of that and pay for the venue. it isn't that expensive. outside, it's the towns responsibility. there is a process by which you can submit however much it costs. the campaigns are under no obligation to do so. carol: a dilemma facing airlines. david: there is a pilot shortage. mary: currently they are fine. it's the regional industry that is being hit by the shortage of pilots. the concern is the forecast that in four years the major airlines like united and delta will start feeling the shortage of pilots and by 2026, the shortage will reach 15,000 pilots. david: this used to be seen as a good job. you could be making six figures and making $300,000 by the end of your career. a what changed? the changehing was in flight hours. that was increased six fold or in it's hard to get that flight time and to expensive. before that, there was a downturn in the industry after 9/11. there were bankruptcies and mergers. they weren't hiring very many people. you had people who look at the career and said i know this guy who was a first officer at american. i don't want to go into that job and those things started to combine and made the career a lot less attractive than it was at one time. carol: are the younger generations interested in being pilots? mary: they have done studies. only 60% of the kids who think they want to go into the pilot as a career, only 60% of them say they want to stick with that career. they are going down to colleges. they are even going to elementary schools in trying to generate more interest in the career. they are working with flight schools. with the regional carriers, they want to help the pilots more. they want to help them financially to give them incentives like a signing bonus. david: did the airlines see this coming? they have mandatory retirement ages. that feare is always of a bubble. now they are coming upon a time in 2026 where half of the current pilots will be eligible for -- they will have to retire because they are 65. that will be 15,000 of the 30,000 pilots in the industry. carol: kickstarter finds a way to making its investors happy. david: and happy hour outside the bar. ♪ carol: welcome back. david: the tech knowledge he section, kickstarter is forging its own path. joshua: they would not give me any particulars about the financials. carol: they don't have to. joshua: they are a private company. they don't have to. kickstarter has said it's not interested in going public they are not interested in being acquired. carol: that's interesting. they are running the business differently than others. you were going to pick a company to have done something like this, they would have been on the top your list. they donate 5% of profits to charities that are like-minded. made into their financial documents that they won't be too clever with their taxes. they will just pay them. carol: what is going on in the world? does it question the traditional model that has been out there for so long with the endgame being an ipo? essentially a rejection of the vc model. you put a bunch of money into companies, nine out of 10 just dies. kickstarter says we are happy to just move along. we don't need to have astronomical growth. we don't need to reach these heights here in we have a good as this and we like what we are doing and it's sustainable. carol: venture capital is ok with this? cap is fredr main wilson's. he said he wanted to experiment with something different. he knew this was the deal with kickstarter and he was ok with it. i talked to some other venture people who were not invested external. they said it's an anomaly. that's what i think when i read your story. there are going to the other companies that will follow like kickstarter. joshua: there will be an increasing number of companies that try this. are seeing themselves as do-gooders. they are not a cold, hard profit machine. that is part of their company. exactly. they just want, i got the sense that companies are interested in this, but it will be a small part of the industry. david: moving happy hour outside. brett: there are many things you can do that don't involve alcohol. you're happy hour doesn't have to happen to work. if you know you won't be able to get out of work, switch up your routine in the morning. don't drink between 7:00 and 9:00. that's wise advice. coffee try it night tro which is coming to 500 starbucks did -- starbucks. it's delicious. they do it in houston right now. you can workout. chicago, you can go to the roof of a hotel and do a cardio workout up there. in a late instead of being struck in traffic, you can take the new light rail line. you can bring us are ordered on there and it's cheap. david: you asked her colleagues to chart out how they spent their evenings. one of them walked the dog. there are other things you can do besides going to the bars. brett: you don't have to put that much time into it. be conscious of how you spend your time. you can go to an art park. one of our editors went to play basket all and then got frozen yogurt. they really changed up their night. carol: bloomberg businessweek is on business in the stands. david: what was your favorite story? carol: i had no idea about the pilot shortage. millennials, they are not getting into being a pilot anymore. it's expensive to do. piece i really like the on what could be this immense breakthrough in medicine and agriculture. i love the back story about how the two sides are fighting it out over who found it first. universities are fighting it out as well. we will see you back here next week on "bloomberg businessweek." ♪ ♪ coming up on "bloomberg best, the stories that shape the weekend business around the world. the shock of the u.k. brexit vote, who is in charge? >> jeremy corbyn was a resounding defeat. cameron: for heavens sake man, go. united kingdom will not be the last member state to leave the european union. >> the european union is in mortal danger. shery: initial market turmoil