Corporate Corruption Media Articles

Excerpts of Key Corporate Corruption Media Articles in Major Media

Below are key excerpts of revealing news articles on corporate corruption from reliable news media sources. If any link fails to function, a paywall blocks full access, or the article is no longer available, try these digital tools.

Note: Explore our full index to key excerpts of revealing major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.

Citigroup Inc. and Bank of America Corp. were the reigning champions of finance in 2006 as home prices peaked, leading the 10 biggest U.S. banks and brokerage firms to their best year ever with $104 billion of profits. By 2008, the housing market’s collapse forced those companies to take more than six times as much, $669 billion, in emergency loans from the U.S. Federal Reserve. The loans dwarfed the $160 billion in public bailouts the top 10 got from the U.S. Treasury, yet until now the full amounts have remained secret. Fed Chairman Ben S. Bernanke’s [actions] included lending banks and other companies as much as $1.2 trillion of public money, about the same amount U.S. homeowners currently owe on 6.5 million delinquent and foreclosed mortgages. The largest borrower, Morgan Stanley, got as much as $107.3 billion, while Citigroup took $99.5 billion and Bank of America $91.4 billion, according to a Bloomberg News compilation of data obtained through Freedom of Information Act requests, months of litigation and an act of Congress. It wasn’t just American finance. Almost half of the Fed’s top 30 borrowers, measured by peak balances, were European firms. Data gleaned [under the Freedom of Information Act] make clear for the first time how deeply the world’s largest banks depended on the U.S. central bank to stave off cash shortfalls. Even as the firms asserted in news releases or earnings calls that they had ample cash, they drew Fed funding in secret.

Note: For a treasure trove of information from reliable sources on the government transfer of public assets to private banks and financial corporations, click here.

The SEC has violated federal law by destroying the records of thousands of enforcement cases in which it decided not to file charges against or conduct full-blown investigations of Wall Street firms and others initially suspected of wrongdoing, a former agency official has alleged. The purged records involve major firms such as Goldman Sachs, Citigroup, Bank of America, Morgan Stanley and hedge-fund manager SAC Capital. At issue were suspicions of actions such as insider trading, financial fraud and market manipulation. A file closed in 2002 involved Lehman Brothers, the investment bank whose collapse fueled the financial meltdown of 2008, according to the former official. A file closed in 2009 involved suspected insider trading in securities related to American International Group, the insurance giant bailed out by the government at the height of the financial crisis. The allegations were leveled in a July letter to Sen. Charles E. Grassley (R-Iowa) from Gary J. Aguirre, a former SEC enforcement lawyer now representing a current SEC enforcement lawyer, Darcy Flynn. Flynn last year began managing SEC enforcement records and became concerned that records that were supposed to be preserved under federal law were being purged as a matter of SEC policy, Aguirre wrote.

Note: For more on this important news by Rolling Stone's Matt Taibbi, click here. For lots more from reliable sources on the criminal practices of Wall Street corporations which led to global economic recession and massive government bailouts, click here.

It is one of the mysteries of Japan's ongoing nuclear crisis: How much damage did the 11 March earthquake inflict on the Fukushima Daiichi reactors before the tsunami hit? The stakes are high: if the earthquake structurally compromised the plant and the safety of its nuclear fuel, then every similar reactor in Japan may have to be shut down. Throughout the months of lies and misinformation, one story has stuck: it was the earthquake that knocked out the plant's electric power, halting cooling to its six reactors. The tsunami then washed out the plant's back-up generators 40 minutes later, shutting down all cooling and starting the chain of events that would cause the world's first triple meltdown. But what if recirculation pipes and cooling pipes burst after the earthquake – before the tidal wave reached the facilities; before the electricity went out? This would surprise few people familiar with the 40-year-old reactor one, the grandfather of the nuclear reactors still operating in Japan. Problems with the fractured, deteriorating, poorly repaired pipes and the cooling system had been pointed out for years. In September 2002, Tepco admitted covering up data about cracks in critical circulation pipes.

Note: For revealing reports from major media sources on corporate and government corruption, click here and here.

US-based pharmaceutical giant Pfizer has made the first compensation payment to Nigerian families affected by a controversial drug trial 15 years ago. It paid $175,000 (Ł108,000) each to four families in the first of a series of payments it is expected to make. The payouts are part of an out-of-court settlement reached in 2009. In 1996, 11 children died and dozens were left disabled after Pfizer gave them the experimental anti-meningitis drug, Trovan. The payouts were made to the parents of four of the children who died. Their parents told the BBC they welcomed the payment, but it would not replace the loss of their loved ones. The children were part of a group of 200 given the drug during a meningitis epidemic in the northern city of Kano as part of a medical trial comparing Trovan's effectiveness with the established treatment. For years Pfizer maintained that meningitis - not the drug - caused the deaths and disabilities. But after a lengthy and expensive litigation process, it reached a settlement with the Kano government in northern Nigeria. The trials were carried out in Kano and the state government fought Pfizer on behalf of victims and their families. It has taken two years and DNA tests to establish who is entitled to payments, the BBC's Jonah Fisher in Lagos says. It could take another year for payments to be concluded, he says. Pfizer also agreed to sponsor health projects in Kano as well as creating a fund of $35m to compensate those affected.

Note: A BMJ article about this case states, "The families allege that the company failed to tell them that their children were being enrolled in an experimental drug trial and that free, effective treatment was available ... at the same hospital. Five children in the trovafloxacin arm and six in the ceftriaxone arm died, according to Pfizer." For more along these lines, see concise summaries of deeply revealing news articles on Big Pharma corruption from reliable major media sources.

A longtime judge has been ordered to spend nearly three decades in prison for his role in a massive juvenile justice bribery scandal that prompted the state's high court to toss thousands of convictions. Former Luzerne County Judge Mark Ciavarella Jr. was sentenced ... to 28 years in federal prison for taking $1 million in bribes from the builder of a pair of juvenile detention centers in a case that became known as "kids-for-cash." The Pennsylvania Supreme Court tossed about 4,000 convictions issued by Ciavarella between 2003 and 2008, saying he violated the constitutional rights of the juveniles, including the right to legal counsel and the right to intelligently enter a plea. Ciavarella, 61, was tried and convicted of racketeering charges earlier this year. Federal prosecutors accused Ciavarella and a second judge, Michael Conahan, of taking more than $2 million in bribes from the builder of the PA Child Care and Western PA Child Care detention centers and extorting hundreds of thousands of dollars from the facilities' co-owner. Ciavarella, known for his harsh and autocratic courtroom demeanor, filled the beds of the private lockups with children as young as 10, many of them first-time offenders convicted of petty theft and other minor crimes.

Note: For lots more from reliable sources on government and corporate corruption, click here and here.

Doctors have treated only three leukemia patients, but the sensational results from a single shot could be one of the most significant advances in cancer research in decades. Doctors at the University of Pennsylvania say the treatment made the most common type of leukemia completely disappear in two of the patients and reduced it by 70 percent in the third. In each of the patients as much as five pounds of cancerous tissue completely melted away in a few weeks, and a year later it is still gone. The results of the preliminary test “exceeded our wildest expectations,” says immunologist Dr. Carl June a member of the Abramson Cancer Center's research team. Chemotherapy and radiation can hold this form of leukemia at bay for years, but until now the only cure has been a bone marrow transplant. A bone marrow transplant requires a suitable match, works only about half the time, and often brings on severe, life-threatening side effects such as pain and infection. So why has this remarkable treatment been tried so far on only three patients? Both the National Cancer Institute and several pharmaceutical companies declined to pay for the research. Neither applicants nor funders discuss the reasons an application is turned down.

Note: For key reports from reliable sources on hopeful new cancer treatments, click here.

Investors are pouring into farmland in the U.S. and parts of Europe, Latin America and Africa as global food prices soar. A fund controlled by George Soros, the billionaire hedge-fund manager, owns 23.4 percent of South American farmland venture Adecoagro SA. Hedge funds Ospraie Management LLC and Passport Capital LLC as well as Harvard University's endowment are also betting on farming. TIAA-CREF, the $466 billion financial services giant, has $2 billion invested in some 600,000 acres (240,000 hectares) of farmland in Australia, Brazil and North America and wants to double the size of its investment. The growth in demand for food, spurred by the rising middle classes in China, India and other emerging markets, shows no signs of abating. Food prices in June, as measured by a United Nations index of 55 food commodities, were just slightly below their peak in February. The UN's Food and Agriculture Organization said in a June report that it expects food costs to remain high through 2012. So many investors have rushed to capitalize on food prices in the past three years that they may be creating a farmland bubble. The Federal Reserve Bank of Kansas City, which covers Colorado, Kansas, Nebraska and other agricultural states, said in May that farmland prices had surged 20 percent in the first quarter compared with a year earlier.

Note: This news is further clear evidence that the rapid increases in food prices is another ploy to funnel money from the pockets of the public into the uber wealthy.

It was the kind of study that made doctors around the world sit up and take notice: Two popular high-blood-pressure drugs were found to be much better in combination than either alone. Unfortunately, it wasn't true. Six and a half years later, the prestigious medical journal the Lancet retracted the paper, citing "serious concerns" about the findings. The damage was done. Doctors by then had given the drug combination to well over 100,000 patients. Instead of protecting them from kidney problems, as the study said the drug combo could do, it left them more vulnerable to potentially life-threatening side effects, later studies showed. Today, "tens of thousands" of patients are still on the dual therapy, according to research firm SDI. When a study is retracted, "it can be hard to make its effects go away," says Sheldon Tobe, a kidney-disease specialist at the University of Toronto. And that's more important today than ever because retractions of scientific studies are surging. Since 2001, while the number of papers published in research journals has risen 44%, the number retracted has leapt more than 15-fold, data compiled for The Wall Street Journal by Thomson Reuters reveal. Just 22 retraction notices appeared in 2001, but 139 in 2006 and 339 last year

Note: To learn lots more of how the medical industry puts profit above public health, click here.

The insurer AIG is suing Bank of America to recover more than $10 billion of losses from a "massive fraud" on mortgage debt, deepening the morass of litigation faced by the largest U.S. bank. American International Group Inc, still largely owned by taxpayers after $182.3-billion of government bailouts, is the latest of a growing number of investors filing lawsuits to hold banks responsible for losses on soured mortgages that contributed to the financial crisis. The AIG complaint accuses Bank of America and its Countrywide and Merrill Lynch units of misrepresenting the quality of mortgages placed in securities and sold to investors. "Defendants were engaged in a massive scheme to manipulate and deceive investors, like AIG, who had no alternative but to rely on the lies and omissions made," said the complaint, being filed in the New York State Supreme Court in Manhattan. Bank of America bought Countrywide for $2.5 billion in July 2008 and acquired Merrill six months later. The Countrywide acquisition is almost universally considered a disaster because of the costs of litigation and writing down bad loans.

Note: For lots more from reliable sources on the government bailout of major banks and Wall Street corporations, click here.

In 2008, voters approved a $10 billion bond to begin construction of a bullet train from Los Angeles to San Francisco that would make that trip in less than three hours. So who knew that by 2011 the general consensus would be that the project is an ill-conceived, mismanaged boondoggle? Former Amtrak spokesman and Reason Foundation writer Joseph Vranich knew. In 2008, before the state Senate Transportation and Housing Committee, he called the project "science fiction." He said the train won't travel from Los Angeles to San Francisco in less than three hours because that exceeds the speed of all existing high-speed rail. But on French railway schedules, a TGV (Train Ŕ Grande Vitesse) takes two hours, 38 minutes to go from Paris to Avignon. That's 430 miles. The route for the L.A.-to-San Francisco line is 432. So what's going on here? It's simple. Vranich makes stuff up. The Reason Foundation is funded by Chevron, ExxonMobil, Shell Oil, the American Petroleum Institute, Delta Airlines, the National Air Transportation Association and, of course, the Koch Family Foundation. They know what will happen once Americans, furious about gas prices and the way airlines treat them, experience electrically powered 200-mph trains.

Note: For lots more evidence that progress in the transportation sector is stymied by big money interests, click here.

It's fraudulent for academics to give their names to medical articles ghostwritten by pharmaceutical industry writers, say two Canadian law professors who call for potential legal sanctions. Studies suggest that industry-driven drug trials and industry-sponsored publications are more likely to downplay a drug's harms and exaggerate a drug's virtues, said Trudo Lemmens, a law professor at the University of Toronto. The integrity of medical research is also harmed by ghostwritten articles, he said. Ghostwriting is part of marketing that can distort the evidence on a drug, Lemmens said. Industry authors are concealed to insert marketing messages and academic experts are recruited as "guest" authors to lend credibility despite not fulfilling criteria for authorship, such as participating in the design of the study, gathering data, analyzing the results and writing up of the findings. Lemmens and his colleague Prof. Simon Stern argue that legal remedies are needed for medical ghostwriting since medical journals, academic institutions and professional disciplinary bodies haven't succeeded in enforcing sanctions against the practice. Ghostwritten publications are used in court to support a manufacturer's arguments about a drug's safety and effectiveness, and academic experts who appear as witnesses for pharmaceutical and medical device companies also boost their credibility with the publications on their CV, Lemmens said.

Note: For a respected doctor's powerful analysis of fraud in the pharmaceutical industry, click here. For lots more from reliable sources on key health issues, click here.

Fuel efficiency of automobiles in the United States will increase dramatically under an agreement reached by the federal government, auto manufacturers and the state of California that was announced by President Obama on [July 29]. The agreement requires that cars and light-duty trucks achieve an average fuel economy of 54.5 miles per gallon by 2025, up from the requirement of 35.5 miles per gallon that is mandated by 2016. The new requirement will ... reduce oil consumption by 2.2 million barrels per day by 2025. Currently, the United States imports 9.1 million barrels of oil per day. Thirteen auto manufacturers, which account for 90 percent of vehicles sold in the United States, agreed to the standard. They are Ford, GM, Chrysler, BMW, Honda, Hyundai, Jaguar/Land Rover, Kia, Mazda, Mitsubishi, Nissan, Toyota and Volvo. The fuel economy standard is an average for a fleet of cars, which means that the actual miles per gallon for some vehicles will be lower because fleets also include electric cars and other vehicles that will far exceed the standard. The average vehicle at a dealership is likely to be closer to 40 miles per gallon, though that is double the average today.

Note: Some people believe the market drives innovation in gas mileage. As this article clearly shows, this is not the case. For a revealing article showing how car manufacturers have avoided better gas mileage, click here.

Oil giant Royal Dutch Shell has reported a 77% jump in second-quarter profit, thanks to higher energy prices. Shell's profit for the three months to June came in at $8bn (Ł4.9bn) on a current cost of supplies basis, up from $4.5bn in the same period last year. Earlier this week, rival BP announced second-quarter profits of $5.3bn. Larger US rival Exxon Mobil said that net profit rose 41% to $10.7bn for the three months to June from the same period last year. The price of oil is much higher now than it was a year ago, in part inflated by political unrest in oil-producing countries such as Libya. Twelve months ago, US light sweet crude oil was trading at about $78 a barrel. It is currently trading at about $97 a barrel, having topped $110 at the end of April.

Note: Why aren't any of the major media questioning the practice of oil companies making huge profits from gas price increases, profits which come directly from the pockets of consumers? Shouldn't they all be responsible for at least part of the burden?

The extraordinary access that Cabinet ministers granted Rupert Murdoch and his children was revealed for the first time yesterday, with more than two dozen private meetings between the family and senior members of the Government in the 15 months since David Cameron entered Downing Street. In total, Cabinet ministers have had private meetings with Murdoch executives more than 60 times and, if social events such as receptions at party conferences are included, the figure is at least 107. On two occasions, James Murdoch and former News International chief executive Rebekah Brooks were given confidential defence briefings on Afghanistan and Britain's strategic defence review by the Defence Secretary, Liam Fox. A further briefing was held with Ms Brooks, Rupert Murdoch and the Sunday Times editor John Witherow. The Chancellor, George Osborne, has had 16 separate meetings since May 2010 with News International editors and executives, including two with the Murdochs within just a month of taking office. He also invited Elisabeth Murdoch as a guest to his 40th birthday party last month. The Culture Secretary, Jeremy Hunt, dined with Rupert Murdoch within days of the Government coming to power and, after being given quasi-judicial oversight for the Murdochs' Ł8bn attempted takeover of BSkyB, had two meetings with James Murdoch in which they discussed the takeover.

Note: For key reports from major media sources on corporate and government corruption, click here and here.

Ending a six-year legal battle, the Army Corps of Engineers has agreed to pay nearly $1 million to a former top contracting official who charged that she was demoted after she objected to a $7 billion no-bid contract granted to a Halliburton subsidiary to repair oil fields in Iraq. In a settlement agreement signed this month and made final by a federal judge this week, the Army Corps of Engineers agreed to pay the former official, Bunnatine H. Greenhouse, $970,000 to cover lost wages, legal fees and compensatory damages, including for harm to her reputation and her mental health. The payment for damages is unusually large for a lawsuit by a federal employee. In early 2003, the Army, in secret and without competitive bidding, put KBR, then a subsidiary of Halliburton, in charge of restoring Iraqi oil production, in a contract potentially worth $7 billion over five years. Ms. Greenhouse, a career civil servant who was the chief contracts monitor at the Army Corps of Engineers at the time, objected that the contract was based on repair plans and cost estimates that KBR itself had been hired by the corps to prepare, and that the emergency conditions did not justify a multiyear no-bid contract. After internal clashes and threats of demotion, she went public with her concerns in 2004. Ms. Greenhouse was demoted from the Senior Executive Service and given a poor performance rating, prompting her to bring the lawsuit. As part of the settlement, Ms. Greenhouse, 67, formally retired this week with full benefits.

Note: The press has reported little on this most important case. For a much better description of all that went on and the intense corruption revealed, click here.

Scientists say they have bred a dog that glows under ultraviolet light when an antibiotic is added to its food. Scientists started cloning glow-in-the-dark puppies two years ago by inserting genes from other species that produce fluorescent proteins, such as jellyfish and coral. In the journal Genesis, researchers from Seoul National University report that they produced a dog that expresses the green fluorescent protein gene when it eats food containing a doxycycline antibiotic. When the drug is no longer added to the food, the glow-in-the-dark effect fades away. The technique could be used to help find cures for human diseases such as Alzheimer's and Parkinson's, South Korea's Yonhap news agency reported. The genetically modified female beagle, named Tegon, was born in 2009. Other methods can produce dogs that glow, but "the uncontrollable expression often results in unwanted outcomes," they said.

Note: Though this may have some beneficial applications, why doesn't the article raise any of the serious ethical considerations?

Scientists are in danger of turning animals into monsters unless an ethical watchdog is appointed to prevent Frankenstein-like experiments, the Academy of Medical Sciences has warned. A new report into experiments which transplant human cells into animals for medical purposes said scientists may not be far from giving apes the ability to think and talk like humans. Concerns about the creation of talking apes should be taken seriously along with "what one might call the 'Frankenstein fear' that the medical research which creates 'humanised' animals is going to generate monsters", it was claimed. A regulatory body is needed to closely monitor any experiments that risk creating animals with human-like consciousness, spawning hybrid human-animal embryos, or giving animals any appearance or behavioural traits that too closely resemble humans, the report said. Scientists would, for example, be prevented from replacing a large number of an ape's brain [cells] with human cells – as has already been done in simpler animals like mice – until much more is known about the potential results.

Note: For more on this in another media article, click here.

The judicial screws are tightening on Rupert Murdoch's empire in America as the US justice department prepares to subpoena News Corporation in its investigation into whether the company broke anti-bribery and hacking laws on both sides of the Atlantic. The news that subpoenas are being drawn up, reported by News Corp's flagship newspaper the Wall Street Journal, comes a week after attorney general Eric Holder said he was launching a preliminary investigation into the media group as a result of the UK phone-hacking scandal. In addition, it has emerged that federal prosecutors have begun probing allegations that News Corp's advertising arm in the US hacked into a computer of a competitor as part of a campaign to crush its rival. News Corp also faces a possibly lengthy and costly federal probe into whether it broke anti-bribery laws as part of the illegal News of the World phone hacking in the UK. The company is potentially liable under the Foreign Corrupt Practices Act (FCPA), which bans US-based companies from profiting from bribery and corruption in other countries. News Corp is a US-based firm, its headquarters on Sixth Avenue in Manhattan. FCPA experts have suggested that it could be brought under the auspices of the act because News of the World journalists bribed police officers in the UK in search of exclusive stories that in turn increased sales and generated profits.

Note: For lots more from major media sources on corporate and government corruption, click here and here.

The first top-to-bottom audit of the Federal Reserve uncovered eye-popping new details about how the U.S. provided a whopping $16 trillion in secret loans to bail out American and foreign banks and businesses during the worst economic crisis since the Great Depression. Among the [Government Accountability Office] investigation's key findings is that the Fed unilaterally provided trillions of dollars in financial assistance to foreign banks and corporations from South Korea to Scotland, according to the GAO report. The [report] also determined that the Fed lacks a comprehensive system to deal with conflicts of interest, despite the serious potential for abuse. In fact, according to the report, the Fed provided conflict of interest waivers to employees and private contractors so they could keep investments in the same financial institutions and corporations that were given emergency loans. For example, the CEO of JP Morgan Chase served on the New York Fed's board of directors at the same time that his bank received more than $390 billion in financial assistance from the Fed. The investigation also revealed that the Fed outsourced most of its emergency lending programs to private contractors, many of which also were recipients of extremely low-interest and then-secret loans.

Note: We don't normally use the website of a member of the U.S. Senate as a source, but as amazingly none of the media covered this vitally important story other than one blog on Forbes, we are publishing this here. The GAO report to back up these claims is available for all to see at this link. For how the media is so controlled, don't miss the powerful two-page summary with reports by many award-winning journalists at this link. For another good article on the Fed's manipulations, click here.

After giving a nearly six-month tryout for the Internet talk show host Cenk Uygur, the cable news channel MSNBC is preparing to instead hand its 6 p.m. time slot to the Rev. Al Sharpton. Cenk Uygur said MSNBC's management decided that they did not care for his aggressive style. Mr. Uygur, who had been made a paid contributor to MSNBC months earlier, was handed 6 p.m., a big coup given that he had earlier campaigned to have his progressive Web show “The Young Turks” picked up by MSNBC. Mr. Uygur, who by most accounts was well liked within MSNBC, said in an interview that he turned down the new contract because he felt [MSNBC President Phil] Griffin had been the recipient of political pressure. In April, he said, Mr. Griffin “called me into his office and said that he’d been talking to people in Washington, and that they did not like my tone.” He said he guessed Mr. Griffin was referring to White House officials, though he had no evidence for the assertion. He also said that Mr. Griffin said the channel was part of the “establishment,” and “that you need to act like it.”

Note: To understand why Uygur was forced out by powerful forces behind the scenes, watch the amazing 10-minute video of him exposing the blatant corruption of the bankers at this link. For an interview of MSNBC's Keith Olbermann on Uygur's resignation, click here.

Important Note: Explore our full index to key excerpts of revealing major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.