Corporate Corruption News Articles

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The nation’s biggest telecommunications companies, working closely with the White House, have mounted a secretive lobbying campaign to get Congress to quickly approve a measure wiping out all private lawsuits against them for assisting the U.S. intelligence community’s warrantless surveillance programs. The campaign — which involves some of Washington's most prominent lobbying and law firms — has taken on new urgency in recent weeks because of fears that a U.S. appellate court in San Francisco is poised to rule that the lawsuits should be allowed to proceed. If that happens, the telecom companies say, they may be forced to terminate their cooperation with the U.S. intelligence community — or risk potentially crippling damage awards for allegedly turning over personal information about their customers to the government without a judicial warrant. But critics say the language proposed by the White House — drafted in close cooperation with the industry officials — is so extraordinarily broad that it would provide retroactive immunity for all past telecom actions related to the surveillance program. Its practical effect, they argue, would be to shut down any independent judicial or state inquires into how the companies have assisted the government in eavesdropping on the telephone calls and e-mails of U.S. residents in the aftermath of the September 11 terror attacks. “It’s clear the goal is to kill our case," said Cindy Cohn, legal director of the Electronic Frontier Foundation, [which] filed the main lawsuit against the telecoms after The New York Times first disclosed, in December 2005, that President Bush had approved a secret program to monitor the phone conversations of U.S. residents without first seeking judicial warrants. “I find it a little shocking that Congress would participate in the covering up of what has been going on," added Cohn.

At least 20,000 police surveillance cameras are being installed along streets here [in Shenzhen] in southern China and will soon be guided by sophisticated computer software from an American-financed company to recognize automatically the faces of police suspects and detect unusual activity. Starting this month in a port neighborhood and then spreading across Shenzhen, a city of 12.4 million people, residency cards fitted with powerful computer chips programmed by the same company will be issued to most citizens. Data on the chip will include not just the citizen’s name and address but also work history, educational background, religion, ethnicity, police record, medical insurance status and landlord’s phone number. Even personal reproductive history will be included, for enforcement of China’s controversial “one child” policy. Plans are being studied to add credit histories, subway travel payments and small purchases charged to the card. Security experts describe China’s plans as the world’s largest effort to meld cutting-edge computer technology with police work to track the activities of a population. But they say the technology can be used to violate civil rights. “We have a very good relationship with U.S. companies like I.B.M., Cisco, H.P., Dell,” said Robin Huang, the chief operating officer of China Public Security. “All of these U.S. companies work with us to build our system together.” The role of American companies in helping Chinese security forces has periodically been controversial in the United States. Executives from Yahoo, Google, Microsoft and Cisco Systems testified in February 2006 at a Congressional hearing called to review whether they had deliberately designed their systems to help the Chinese state muzzle dissidents on the Internet; they denied having done so.

Two years into a fraud investigation, veteran federal prosecutor David Maguire told colleagues he'd uncovered one of the biggest cases of his career. Maguire described crimes "far worse" than those of Arthur Andersen, the accounting giant that collapsed in the wake of the Enron scandal. Among those in his sights: executives from a subsidiary of Berkshire Hathaway, the investment empire overseen by billionaire Warren Buffett. In May 2006, he felt strongly enough about his case that he prepared a draft indictment accusing executives from a Virginia insurer, Reciprocal of America, of concocting a series of secret deals to hide its losses from regulators. Although he didn't name anyone from Berkshire Hathaway's subsidiary, he described the company as a participant in the scheme. But Maguire never brought those charges. Months after preparing the draft, he was removed as the lead prosecutor on the case and reassigned. His replacement, a prosecutor who hadn't been involved in the case until then, soon announced that the Berkshire Hathaway subsidiary, General Reinsurance, would not be indicted. By April of this year, the entire investigation ... had fizzled. Former employees and policyholders of the Richmond-based insurer were astounded. Why had the Justice Department spent upward of $2 million to investigate the case only to decline to prosecute? Maguire and his team of investigators had secured two related guilty pleas, interviewed dozens of witnesses and gathered 7,000 boxes of documents. Tom Gober, a certified fraud examiner who worked on the case ... concluded that the Justice Department had buckled under pressure from defense lawyers. "It just stinks," he said. "You don't come in out of nowhere and in no time kill three years of sophisticated effort."

AAA asked the U.S. Senate Tuesday to investigate why oil companies are making huge profits at a time when glitches at gas refineries have caused pump prices to soar. "We are concerned about the number and frequency of refinery outages this year in light of the large profits the industry has been reporting," AAA Public Affairs Director Geoff Sundstrom told the Senate Committee on Energy and Natural Resources. "AAA doesn't know why refiners appear to be failing at this task, but we do think it would be worth the committee's time and trouble to find out." Sundstrom spoke at a Senate hearing at which lawmakers asked energy experts to explain the spell of unplanned refinery shutdowns that have thrown gas supplies into disarray from coast to coast, boosting average pump prices to a record $3.09 per gallon in the United States. California Energy Commission spokesman Bob Aldrich said his agency does not investigate the industry but does track its practices. This year the big story was a series of glitches in the annual switchover from winter gas to a differently formulated summer gas. Tom Kloza, publisher of the Oil Price Information Service ... said the surprise this year was that refineries outside California also had unplanned problems with their normal spring maintenance. "I did not think we'd see the same downtime elsewhere in the country," he said. Sean Comey, spokesman for AAA of Northern California, said the gas refining business is unusual because it seems that even when production goes down, prices and profits go up. "When most industries have production problems, profits suffer as a result," he said.

Food safety experts have advised parents to eliminate a series of additives from their children's diet while they await the publication of a new study that is understood to link these ingredients to behaviour problems in youngsters. The latest scientific research into the effect of food additives on children's behaviour is thought to raise fresh doubts about the safety of controversial food colourings and a preservative widely used in sweets, drinks and processed foods. It will be several months before the results are published, despite the importance of the findings for children's health. Researchers at Southampton University have tested combinations of synthetic colourings and preservative that an average child might consume in a day to measure what effect they had on behaviour. A source at the university [said] their results supported findings first made seven years ago that linked the additives to behavioural problems, such as temper tantrums, poor concentration and hyperactivity, and to allergic reactions. Independent experts say that consumers should consider removing these additives from their children's diets now. Dr Alex Richardson, the director of Food and Behaviour Research and senior research scientist at Oxford University, said: "There are well-documented potential risks from these additives. In my view the researchers had done an excellent piece of work first time round and there was enough evidence to act. If this new study essentially replicates that, what more evidence do they need to remove these additives from children's food and drink?"

Note: For how drug companies collude with government to suppress this kind of information, click here.

Data supplied by tobacco companies strongly suggest that in recent years manufacturers deliberately boosted nicotine levels in cigarettes to more effectively hook smokers, Harvard researchers conclude in a study being released today. The companies increasingly used tobacco richer in nicotine and made design changes to give smokers more puffs per cigarette, according to the analysis from the Harvard School of Public Health. The report expands on a landmark Massachusetts Department of Public Health study issued last August showing that the amount of nicotine that could be inhaled from cigarettes increased an average of 10 percent from 1998 through 2004. A 1996 state law required cigarette makers to test the nicotine that could be inhaled from their products, and the state ordered the use of machines that simulate a typical smoker's puffing. The Harvard researchers, who corroborated the basic findings of the state study, wanted to determine why cigarettes were delivering more nicotine. "Industry says it's changed," said Greg Connolly, an author of the Harvard study. "They've changed -- maybe for the worse." The Harvard study relies on information supplied by the industry. "It was systematic, it was pervasive, it involved all the manufacturers, and it was by design," said Dr. Howard Koh, an associate dean at the Harvard School of Public Health and an author of the study. Another author said that the likelihood that the nicotine increase happened by chance was less than 1 in 1,000.

Chief executive officers in the United States earned 262 times the pay of an average worker in 2005. In fact, a CEO earned more in one workday than an average worker earned in 52 weeks, said the Economic Policy Institute in Washington, D.C. The typical worker's compensation averaged just under $42,000 for the year, while the average CEO brought home almost $11 million. In 1965, U.S. CEOs at major companies earned 24 times a worker's pay. In recent years, compensation has been a hot issue with shareholders who have been bombarded with news stories about chief executives who are given multimillion dollar bonus and pay packages even if shares have declined. The chief executives of 11 of the largest companies were awarded a total of $865 million in pay in the last two years, even as they presided over a total loss of $640 billion in shareholder value, a recent study from governance firm the Corporate Library, found.

Imagine the dilemma of having so much cash in your bank account that you didn't know what to do with it. This pipe dream for the average American is now reality for the country's biggest corporations. The industrial companies that make up the Standard & Poor's 500 index...have a staggering $643 billion in cash and equivalents. "We're in a time that is out of whack with all historical numbers," said Howard Silverblatt, equity market analyst at Standard & Poor's. "People are demanding why corporations need so much cash, what are they going to do with it?" Companies began propping up their reserves through 16 straight quarters of double-digit profit growth. Leading the pack with the most cash is Exxon Mobil Corp., which has about $36.55 billion on its balance sheet. That amount is nearly equal to its 2005 profit of $36.13 billion, the highest ever for a U.S. company. Some results of the cash riches: An unprecedented $500 billion of stock buybacks. Last year, ExxonMobil spent $18.2 billion buying its shares. One of the biggest avenues in which companies have spent this excess money has been through mergers and acquisitions. Some 75.4 percent of all deals under $1 billion so far this year were done purely with cash.

Note: A Google search reveals that though this Associated Press article was widely picked up by medium-sized newspapers in the U.S., none of the top 10 papers picked it up. The Seattle newspaper above also removed the word "huge" from the title after it was published. $36 billion means that more than $100 for every man, woman, and child in the U.S. went into ExxonMobil profits last year, and another $100 for each person went into their cash reserves. If ExxonMobil and other oil companies have so much extra cash, why are gas prices so high? It's also quite interesting that the advertisements of these mega-corporations continually invite us to go into debt buying their products, while their profits and cash reserves grow ever higher.

Is there a case for conspiracy theories about 9/11 and the Iraq war? About 10 minutes into the ultra-low-budget documentary 'Loose Change,' now making its way around the Internet, that late, great genius of addled truth-telling, Hunter S. Thompson, is heard giving his gonzo opinion of the way the American press behaved after 9/11. "Well, let's see, 'shamefully' is the word that comes to mind," he says. The kernel of truth in all the conspiracy theories is that the Bush administration's biggest supporters and closest political allies have benefited mightily from its policy of open-ended war. Halliburton, Vice President Dick Cheney's old company -- which is all about both oil and defense -- has seen its stock rise from about $12 a share to about $80 a share under this administration. ExxonMobil, which has contributed mightily to the Republican Party, has seen its stock soar from about $32 to $64 since Bush took office. Share prices in both companies, and in their industries, were plunging before the Bush administration came to office in early 2001. 'Loose Change' doesn't present a plausible case for conspiracy, only a collection of innuendoes. But the invasion of Iraq, well, that's a rather different matter. As a whole raft of books by former members of the administration, Bush admirers and outside analysts have established over the last couple of years, the president and vice president were hell-bent on toppling Saddam Hussein even before September 2001.

Note: Though the author belittles 'Loose Change,' he also makes some great points and alerts people to the fact that this free documentary has gained wide popularity.

The pharmaceutical industry is bracing itself for criticism when the film 'The Constant Gardener' opens next month. Away from the Hollywood script is a true story of how multinational drug companies took liberties with African lives with devastating consequences. Directed by Fernando Meirelles, of City of God fame, it is a thriller, a love story and a blistering attack on the drugs industry and the way it carelessly expends the lives of innocent citizens in the Third World in the quest for billion-dollar medicines to sell to the first world. After the credits roll, a note from John Le Carré appears on screen that reads: "As my journey through the pharmaceutical jungle progressed, I came to realise that, by comparison with the reality, my story was as tame as a holiday postcard." The film features two brutal killings, a savage beating, a campaign of harassment, intimidation and threats. The crimes of the pharmaceutical industry - from the price protection of Aids drugs which have denied life-saving medicines to millions, to the cover up of lethal side effects to protect profits - are well documented. The companies are not obliged to disclose a lot of information about how they test or make their drugs. There's big, big money involved. Editors of medical journals including The Lancet and The Journal of the American Medical Association had come under pressure not to publish data or to change it. The bigger scandal...lies in the rapacious pricing of the pharmaceutical industry that puts lifesaving drugs out of reach of individuals, hospitals and even nations.

I am honored to be with you today at your commencement from one of the finest universities in the world. I never graduated from college. This is the closest I've ever gotten to a college graduation. I dropped out of Reed College after the first 6 months. If I had never dropped out, I would have never dropped in on this calligraphy class, and personal computers might not have the wonderful typography that they do. You have to trust in something — your gut, destiny, life, karma, whatever. This approach has never let me down, and it has made all the difference in my life. I was lucky — I found what I loved to do early in life. Woz and I started Apple in my parents garage when I was 20. We worked hard, and in 10 years Apple had grown from just the two of us in a garage into a $2 billion company with over 4000 employees. We had just released our finest creation — the Macintosh — a year earlier, and I had just turned 30. And then I got fired. I didn't see it then, but it turned out that getting fired from Apple was the best thing that could have ever happened to me. The heaviness of being successful was replaced by the lightness of being a beginner again, less sure about everything. It freed me to enter one of the most creative periods of my life. During the next five years, I started a company named NeXT, another company named Pixar, and fell in love with an amazing woman who would become my wife. Sometimes life hits you in the head with a brick. Don't lose faith. I'm convinced that the only thing that kept me going was that I loved what I did. You've got to find what you love. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.

Note: The full speech (available at the link above) is highly inspiring. For some excellent ideas on how to find what you love and develop the courage to follow your heart and intuition, click here.

Note: The following is the New York Times website's abstract of this article, which is a very good summary.

2003 Medicare bill is object lesson in how special interests hold America's health care system hostage; says law subsidizes private health plans, which have repeatedly failed to deliver promised cost savings, and creates unnecessary layer of middlemen by requiring that drug benefit be administered by private insurers; says it specifically prohibits Medicare from using its purchasing power to negotiate lower drug prices; notes that Rep Billy Tauzin, who shepherded drug bill through Congress, now heads all-powerful drug-industry lobbying group, and Thomas Scully, former Medicare administrator, negotiated for future health industry lobbying job at same time he was pushing drug bill; calls Medicare bill corrupt deal created by corrupt system.

The Bush administration made plans for war and for Iraq's oil before the 9/11 attacks, sparking a policy battle between neo-cons and Big Oil. Two years ago today - when President George Bush announced US, British and Allied forces would begin to bomb Baghdad - protesters claimed the US had a secret plan for Iraq's oil once Saddam had been conquered. In fact there were two conflicting plans, setting off a hidden policy war between neo-conservatives at the Pentagon, on one side, versus a combination of "Big Oil" executives and US State Department "pragmatists". "Big Oil" appears to have won. The latest plan [was] drafted with the help of American oil industry consultants. Insiders told Newsnight that planning began "within weeks" of Bush's first taking office in 2001, long before the September 11th attack on the US. The industry-favoured plan was pushed aside by a secret plan, drafted just before the invasion in 2003, which called for the sell-off of all of Iraq's oil fields. The new plan was crafted by neo-conservatives intent on using Iraq's oil to destroy the Opec cartel. Philip Carroll, the former CEO of Shell Oil USA who took control of Iraq's oil production for the US Government a month after the invasion, stalled the sell-off scheme. Mr Carroll told us he made it clear to Paul Bremer, the US occupation chief who arrived in Iraq in May 2003, that: "There was to be no privatisation of Iraqi oil resources or facilities while I was involved." Formerly US Secretary of State, [James] Baker is now an attorney representing Exxon-Mobil and the Saudi Arabian government.

Two weeks ago, conservative commentator David Harris Jr. took a video of himself posting to Facebook. Why video something so common? Because he had a hunch what would happen. Sure enough, his post went through, but a photo of a letter that accompanied the post mysteriously vanished and did not show up in his feed until days later – proof, he said, that the sharing service was biased against conservatives. At a Wednesday House committee meeting, Twitter CEO Jack Dorsey was barraged with examples from Republican congressmen of how conservative voices were being suppressed on its service. On the same day, the US Department of Justice announced that Attorney General Jeff Sessions would meet with state attorneys general to discuss concerns tech companies "may be hurting competition and intentionally stifling the free exchange of ideas on their platforms." The immediate result is increasing and bipartisan pressure for social media platforms to be more transparent about their algorithms and how they block certain content. Longer-term, the threat is more regulation of the platforms, something that even free-market conservatives are reluctantly talking about doing if social media doesn’t clean up its act. Twitter’s Dorsey and Facebook’s chief operating officer Sheryl Sandberg repeatedly denied that their companies were trying to tip the scales for or against any party or political ideology. But the pileup of anecdotal evidence clearly has exasperated conservative lawmakers.

Note: For more along these lines, see concise summaries of deeply revealing media corruption news articles from reliable major media sources.

Edward Snowden has no regrets five years on from leaking the biggest cache of top-secret documents in history. He is wanted by the US. He is in exile in Russia. But he is satisfied with the way his revelations of mass surveillance have rocked governments, intelligence agencies and major internet companies. What has happened in the five years since? The most important change, he said, was public awareness. “The government and corporate sector preyed on our ignorance. But now we know. People are aware now. People are still powerless to stop it but we are trying. The revelations made the fight more even.” He said he had no regrets. His own life is uncertain, perhaps now more than ever, he said. His sanctuary in Russia depends on the whims of the Putin government, and the US and UK intelligence agencies have not forgiven him. For them, the issue is as raw as ever. One of the disclosures to have most impact was around the extent of collaboration between the intelligence agencies and internet companies. In 2013, the US companies were outsmarting the EU in negotiations over data protection. Snowden landed like a bomb in the middle of the negotiations and the data protection law that took effect last month is a consequence. But he will not be marking the anniversary with a “victory lap”. There is still much to be done. “The fightback is just beginning,” said Snowden. “The governments and the corporates have been in this game a long time and we are just getting started.”

Note: For more along these lines, see concise summaries of deeply revealing news articles on intelligence agency corruption and the disappearance of privacy.

Protesters – mainly women – are defying police and energy companies in non-violent environmental activism. Way out in the Appalachian hills ... an orderly clutch of tents were surrounded by a plastic yellow ribbon that read, “police line do not cross”. Past that, a woman sat on top of a 50ft pole. Opposite the knot of tents where the woman’s supporters kept 24-hour vigil lay an encampment of police, pipeline workers, and private security. On Wednesday 23 May, the protester, nicknamed Nutty, finally came down after a record-breaking 57 days spent in the trees ... to stop a fracked natural-gas pipeline from being built through the state. Her final three days in the trees were spent without food. There are others, too, who remain in the forest and are still blocking construction by putting their lives on the line. These activists hold the typical concerns of having a gas pipeline run through the yard: if it leaks it poisons the water, the font of the incredible biodiversity in the area; there’s a two-and-a-half-mile blast radius if it explodes; the pipeline is taking their land through eminent domain against their will for resource extraction. But they also say this is about more than just a pipeline, built by Mountain Valley Pipeline LLC. It is, they say, also about the erosion of democracy and the natural world. Virginia’s governor, Ralph Northam, took $50,000 from MVP’s largest shareholder, EQT Corp, and another $199,251 from Dominion Energy, [a] major shareholder of the Atlantic Coast Pipeline being built nearby.

Note: For more along these lines, see concise summaries of deeply revealing news articles on corruption in government and in the corporate world.

In 2017, officials at the Stewart immigration detention center in Georgia placed Shoaib Ahmed, a 24-year-old immigrant from Bangladesh, in solitary confinement for encouraging fellow workers to stop working. His punishment was solitary confinement for 10 days. Stewart is operated by the largest prison corporation in the US, CoreCivic (formerly Corrections Corporation of America), under a contract with Immigration and Customs Enforcement (Ice). A growing number of detained immigrants ... are subjected to forced labor. In April, we filed a lawsuit ... against CoreCivic, alleging that the prison corporation violates human trafficking laws and employs a deprivation scheme to force immigrants detained at Stewart to work for sub-minimum wages, and then threatens to punish them for refusing to work through solitary confinement or loss of access to necessities. A lawsuit against Geo Group, another prison corporation, is moving forward for using similar practices. CoreCivics abuse and exploitation ... constitute a contemporary form of slavery as we detailed in a submission to the UN special rapporteur on the human rights of migrants. None of this bothered a group of 18 Republican lawmakers ... who sent a letter to Jeff Sessions, Ice, and the Department of Labor asking them to help ... Geo Group defend itself against the lawsuits. These legislators support for the prison corporations perhaps should not come as a surprise. Private prison companies contributed $1.6m during the 2016 federal election cycle.

Note: The federal class action lawsuit described in the article above was filed against CoreCivic by Project South jointly with the Southern Poverty Law Center, attorney Andrew Free, and the law firm Burns Charest LLP. For more along these lines, see concise summaries of deeply revealing news articles on prison industry corruption and the erosion of civil liberties.

Millions of German workers are winning the fight for a 28-hour work week. Labor union IG Metall secured an unprecedented deal this week to give a large portion of its 2.3 million members more flexible working hours and a big pay rise. From next year, workers at many of Germany's top engineering firms - such as Mercedes-Benz owner Daimler - can opt to work 28 hours a week for up to two years, before returning to the standard 35-hour week. The deal was negotiated with representatives of more than 700 companies in southwest Germany. It is expected to have ripple effects across German industry. "This sets the standard for everyone else," said Megan Greene, chief economist at Manulife Asset Management. IG Metall said the flexibility would help employees who want to care for children or relatives. Pay will be reduced to reflect the shorter working week. The deal also gives workers the option to work 40 hours to earn more. And non-unionized workers could also benefit from the agreement as firms that employ IG Metall workers offer the same terms to their wider workforce. Daimler said it would offer the new flexible hours to all its employees starting in 2019. Bosch, which employs 138,000 people in Germany, said it would offer the same pay rises and perks to the majority of its German workers. It said the flexible hours wouldn't be disruptive. But other companies may find it harder to swallow.

Note: Several major studies have found that long working hours negatively impact health.

Heather Kokesch Del Castillo launched a dietary advice business in Monterey, Calif., in 2014. Ms. Del Castillo eventually established a nationwide client base as a “health coach.” But when her husband, who is in the Air Force, was transferred to a base in Florida, her business hit a roadblock. A Florida Department of Health investigator showed up ... with a cease-and-desist letter and a $750 fine. After nearly two years of operating her business in Florida, Ms. Del Castillo learned that she had run afoul of a law requiring any person offering dietary advice to possess a state-issued license. Qualifying for that permit requires a bachelor’s degree in dietetics, a 900-hour internship, a passing grade on an exam administered by the state Commission on Dietetic Registration, and a $355 fee. A licensed dietitian had tipped off the Health Department that Ms. Del Castillo was giving unauthorized advice. She retained the Institute for Justice, a public-interest law firm, to fight the law that stripped her of her livelihood. About 1 in 4 Americans need licenses to perform their occupations. In some states, florists, taxidermists and even fortune-tellers need licenses to operate. Far too often, these licenses serve less as safeguards of public health and safety than as barriers to entry. In many cases, the state-appointed boards that issue licenses are stocked with industry insiders seeking to restrict competition. Aggressive licensing regimes limit the ability of Americans to move from state to state. All Americans ought to have access to license portability.

Note: The full text of this document is available on this webpage. For more along these lines, see concise summaries of deeply revealing government corruption news articles from reliable major media sources.

President Trump has some advice for National Football League owners: Fire players who kneel during the national anthem. He's also encouraging fans to walk out in protest. And the president is bemoaning what he describes as a decline in violence in the sport. Several athletes, including a handful of NFL players, have refused to stand during "The Star-Spangled Banner" to protest of the treatment of blacks by police. Quarterback Colin Kaepernick, who started the trend last year when he played for the San Francisco 49ers, hasn't been signed by an NFL team for this season. The NFL Players Association reacted to Mr. Trump's comments Saturday morning in a statement: "This union ... will never back down when it comes to constitutional rights of our players as citizens as well as their safety as men in a game that exposes them to great risks." During his campaign, Mr. Trump often expressed nostalgia for the "old days" - claiming, for example, that protesters at his rallies would have been carried out on stretchers back then. He recently suggested police officers should be rougher with criminals and shouldn't protect their heads when pushing them into squad cars. It's also not the first time he's raised the kneeling issue. Earlier this year he took credit for the fact that Kaepernick hadn't been signed.

Note: For more along these lines, see concise summaries of deeply revealing civil liberties news articles from reliable major media sources.

Important Note: Explore our full index to revealing excerpts of key 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.