Corporate Corruption News Articles

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A globalized world that could bring down the Berlin Wall, and deliver fresh fruit in the middle of the coldest winter months, wasn't supposed to foster one of the darkest of human practices — slavery. This version of the world was supposed to make life for everyone, everywhere, better. Better medicine, better prices, better democracies. Not so, says John Bowe in his incredible book, Nobodies: Modern American Slave Labor and the Dark Side of the New Global Economy. Not only is slavery a reality, but how we've executed this rush toward globalization may have created the very conditions necessary for slavery to gain a toehold in the modern world. Nobodies is investigative, immersion reporting at its best. The line between observer and participant blurs, and the reality of time, place and subject come crashing out in full detail. Bowe is a master storyteller whose work is finely tuned and fearless. When the time is appropriate, he goes so far as to question his own assumptions, ideals and practices without holding back. "Go out into this newly globalized world you're profiting from," he writes, "go visit the people being 'lifted' out of poverty, the workers who are making your products. Go live in their huts, eat their rice and plantains, squat on their floors, and listen to their babies cry. Sniff some glue and pray with them. Try to get justice from their police if someone hurts you. And then come back and let's talk about freedom." There's a chill in the air when he writes: "If you can read this page, you are on top of the world and billions of people are beneath you. Your ignorance and your lack of a program will likely equal the squalor of your grandchildren's existence."

Ten days ago, the Consumer Product Safety Commission announced another in a series of well-publicized recalls of Chinese-made goods: children's art sets containing crayons, markers, pastels, pencils, water colors -- and lead -- distributed by Toys "R" Us. "Consumers should immediately take the products away from children," warned a news release from the federal government's watchdog for thousands of household items. "The CPSC is committed to protecting consumers and families." But 13 months earlier, in July 2006, the CPSC ... authorized a Los Angeles company to export to Venezuela 16,520 art sets that violated the same CPSC standard protecting children from dangerous art supplies. The following month, the agency authorized a Miami company to export to Jamaica 5,184 sets of wax crayons that also violated the standard. For decades the federal agency has allowed American-based companies to export products deemed unsafe here. Those products can present an even greater danger in a country that has only a handful of government employees devoted to consumer protection, said R. David Pittle, a former acting CPSC chairman who spent 22 years as a senior vice president for Consumers Union. "If the United States doesn't have very many inspectors, how many do you think there are in Honduras or Jamaica or Trinidad or Bulgaria?" Pittle asked. Using the CPSC's database of exports of non-approved products and hundreds of pages of documents obtained through the federal Freedom of Information Act, The Bee found that between October 1993 and September 2006, the CPSC received 1,031 requests from companies to export products the agency had found unsafe for American consumers. The CPSC approved 991 of those requests, or 96 percent.

The Defense Department is paying private contractors more than $1 billion in more than 30 separate contracts to collect and analyze intelligence for the four military services and its own Defense Intelligence Agency, according to contract documents and a Pentagon spokesman. The disclosure marks the first time a U.S. intelligence service has made public its outside payments. Intelligence payments to contractors have climbed dramatically since the terror attacks in September 2001, but none had been made public, according to a report filed in April by the Office of the Director of National Intelligence. Outside contracting ... places critical security tasks and sensitive information in the hands of private parties, says Steven Aftergood, a government secrecy specialist at the Federation of American Scientists, a Washington privacy group. "Private contractors don't have to undergo congressional oversight or justify their budgets to appropriators," Aftergood says. "We're starting to create a new kind of intelligence bureaucracy, one that is both more expensive and less accountable (than government's own intelligence agencies)." Most of the contracts, which extend up to five years, pay for analysis of intelligence data and for related services, such as translation and interpretation of photo and electronic intelligence. A small fraction, which [a Pentagon spokesman] declined to specify, pay for private spies. Private contractors often hire former intelligence officers, sometimes leasing them back at higher salaries to the agencies that first recruited and trained them.

US cash dispenser and security company Diebold has admitted that it has failed to find a buyer for its troubled electronic voting machine business. Diebold and other manufacturers of such voting machines have been hit by criticism that they are unreliable and vulnerable to tampering. Growing unease about the machines in the US has led to a number of delayed orders from states. Diebold said that as a result, its 2007 revenues would fall $120m (Ł61m). It added that it would now allow the unit to operate more independently, with a separate board of directors and, possibly, a new management structure. Diebold said it had not ruled out another attempt at a full or partial sale. Some 50 million Americans, about 30% of registered voters, used electronic machines to cast their vote in the 2004 presidential election. The machines were introduced in the aftermath of the problems caused by antiquated punch-card systems in the 2000 presidential election. However, there has since been growing concern that electronic machines may be equally as unreliable.

Note: For more reliable information on the serious problems with the new electronic voting machines, click here.

One of the largest American contractors working in Iraq, Bechtel National, met its original objectives on fewer than half of the projects it received as part of a $1.8 billion reconstruction contract, while most of the rest were canceled, reduced in scope or never completed as designed. But the report, by the Special Inspector General for Iraq Reconstruction, an independent agency, places a large share of the blame for the failures on the government overseers at the United States Agency for International Development who administered the contract. [USAID] assigned just two people in Iraq to oversee the giant contract, which included some 24 major projects and 150 subcontractors and stipulated that all invoices be approved or denied in just 10 days. The report is the first of a planned series of audits of Western contractors that have received large slices of the roughly $40 billion in American taxpayer money that has been spent on the troubled program to rebuild Iraq. Stuart Bowen Jr., who heads the special inspector general's office, said the United States government clearly shared responsibility with the company for the project failures. "I would say there's fault on both sides," Bowen said in an interview Wednesday. He added that neither the aid agency nor the United States Army Corps of Engineers, which also oversaw aspects of the contract, ever came close to filling all their staff positions in Iraq. "This isn't so much an indictment of Bechtel as it is a criticism of the system," said Stephen Ellis, a vice president at Taxpayers for Common Sense in Washington.

A proposed new FBI program would skirt federal laws by paying private companies to hold millions of phone and Internet records which the bureau is barred from keeping itself, experts say. The $5 million project would apparently pay private firms to store at least two years' worth of telephone and Internet activity by millions of Americans, few of whom would ever be considered a suspect in any terrorism, intelligence or criminal matter. The FBI is barred by law from collecting and storing such data if it has no connection to a specific investigation or intelligence matter. In recent years the bureau has tried to encourage telecommunications firms to voluntarily store such information, but corporations have balked at the cost of keeping records they don't need. "The government isn't allowed to warehouse the information, and the companies don't want to, so this creates a business incentive for the companies to warehouse it, so the government can access it later," said Mike German, a policy expert on national security and privacy issues for the American Civil Liberties Union (ACLU).  "It's a public-private partnership that puts civil liberties to the test." In March, an FBI official identified the companies as Verizon, MCI and AT&T. Even the bureau's own top lawyer said she found the [FBI's] behavior "disturbing," noting that when requesting access to phone company records, it repeatedly referenced "emergency" situations that did not exist, falsely claimed grand juries had subpoenaed information and failed to keep records on much of its own activity.

The U.S. Department of Agriculture gave interim approval Friday to a controversial proposal to allow 38 nonorganic ingredients to be used in foods carrying the "USDA Organic" seal. Manufacturers of organic foods had pushed for the change, arguing that the 38 items are minor ingredients in their products and are difficult to find in organic form. But consumers opposed to the use of pesticides, chemical fertilizers, antibiotics and growth hormones in food production bombarded the USDA with more than 1,000 complaints last month. "If the label says organic, everything in that food should be organic," wrote Kimberly Wilson of Austin, Texas, in one typical comment. "If they put something in the food that isn't organic, they shouldn't be able to call it organic. No exception." The list approved Friday includes 19 food colorings, two starches, hops, sausage casings, fish oil, chipotle chili pepper, gelatin, celery powder, dill weed oil, frozen lemongrass, Wakame seaweed, Turkish bay leaves and whey protein concentrate. Manufacturers will be allowed to use conventionally grown versions of these ingredients in foods carrying the USDA seal, provided that they can't find organic equivalents and that nonorganics comprise no more than 5% of the product. A wide range of organic food could be affected, including cereal, sausage, bread, beer, pasta, candy and soup mixes. The Organic Consumers Assn. ... has led the opposition to the USDA proposal. Ronnie Cummins, executive director of the consumers group, said ... that the USDA was caving in to pressure from large food companies. USDA officials "don't seem to care what the public wants. They're just more interested in what's convenient for the big companies."

The Bush administration said Tuesday it will fight to keep meatpackers from testing all their animals for mad cow disease. The Agriculture Department tests less than 1 percent of slaughtered cows for the disease, which can be fatal to humans who eat tainted beef. But Kansas-based Creekstone Farms Premium Beef wants to test all of its cows. Larger meat companies feared that move because, if Creekstone tested its meat and advertised it as safe, they might have to perform the expensive test, too. The Agriculture Department regulates the test and argued that widespread testing could lead to a false positive that would harm the meat industry. A federal judge ruled in March that such tests must be allowed. U.S. District Judge James Robertson noted that Creekstone sought to use the same test the government relies on and said the government didn't have the authority to restrict it. The ruling was to take effect June 1, but the Agriculture Department said Tuesday it would appeal -- effectively delaying the testing until the court challenge plays out. Mad cow disease, or bovine spongiform encephalopathy, is linked to more than 150 human deaths worldwide, mostly in Britain. There have been three cases of mad cow disease in the U.S.

Investigations led by a Republican lawyer named Stuart W. Bowen Jr. in Iraq have sent American occupation officials to jail on bribery and conspiracy charges, exposed disastrously poor construction work by well-connected companies like Halliburton and Parsons, and discovered that the military did not properly track hundreds of thousands of weapons it shipped to Iraqi security forces. And tucked away in a huge military authorization bill that President Bush signed two weeks ago is what some of Mr. Bowen’s supporters believe is his reward for repeatedly embarrassing the administration: a pink slip. An obscure provision...terminates his federal oversight agency, the Office of the Special Inspector General for Iraq Reconstruction. The clause was inserted by the Republican side of the House Armed Services Committee. It has generated surprise and some outrage among lawmakers who say they had no idea it was in the final legislation. Susan Collins, a Maine Republican who followed the bill closely as chairwoman of the Senate Committee on Homeland Security and Government Affairs, says that she still does not know how the provision made its way into what is called the conference report, which reconciles differences between House and Senate versions of a bill. Neither the House nor the Senate version contained such a termination clause before the conference, all involved agree. Mr. Bowen’s office has 55 auditors and inspectors in Iraq and about 300 reports and investigations already to its credit, far outstripping any other oversight agency in the country.

The level of nicotine that smokers typically consume per cigarette has risen 10 percent in the past six years, making it harder to quit and easier to be addicted, said a report that the Massachusetts Department of Health released on Tuesday. The study shows a steady increase in the amount of nicotine delivered to the smokers? lungs regardless of brand, with overall yields increasing 10 percent. Massachusetts is one of three states to require tobacco companies to submit information on nicotine testing to its specifications and is the sole state with data as far back as 1998. The study found that the three most popular brands with young smokers, Marlboro, Newport and Camel, delivered significantly more nicotine than they did six years ago. Nicotine consumed in Kool, a popular menthol brand, rose 20 percent.

For the second time in two months, The Journal of the American Medical Association says it was misled by researchers who failed to reveal financial ties to drug companies. The latest incident, disclosed in letters to the editor and a correction in Wednesday's journal, involves a study showing that pregnant women who stop taking antidepressants risk slipping back into depression. Most of the 13 authors have financial ties to drug companies including antidepressant makers, but only two of them revealed their ties when the study was published in February.

Note: To understand how the drug companies manipulate results and even exert tremendous influence over the U.S. Congress, see http://www.WantToKnow.info/healthcoverup

Among those who worry that hackers might sabotage election tallies, Ion Sancho is something of a hero. The maverick elections supervisor in Leon County, Fla., last year helped show that electronic voting machines from one of the major manufacturers are vulnerable...and would allow election workers to alter vote counts without detection. Now, however, Sancho may be paying an unexpected price for his whistle-blowing: None of the state-approved companies here will sell him the voting machines the county needs. "I believe I'm being singled out for punishment by the vendors," he said. The trouble began last year when Sancho allowed a Finnish computer scientist to test Leon County's Diebold voting machines, a common type that uses an optical scanner to count votes from ballots that voters have marked. Some tests...showed that elections workers could alter the vote tallies by manipulating the removable memory cards in the voting machines, and do so without detection. Last month, California elections officials arranged for experts to perform a similar analysis of the Diebold machines and also found them vulnerable -- noting a wider variety of flaws than Sancho's experts had. A spokesman said Diebold will not sell to Sancho without assurances that he will not permit more such tests, which the company considers a reckless use of the machines.

I went to hear Jeff Faux talk recently about his new book "The Global Class War," an account of how the corporate elite has been selling out American workers. I don't entirely buy his argument. Faux is founder of the Economic Policy Institute, a Washington think tank...which I think is best described as "gloomy." There is no economic news that the EPI can't find a way to spin negatively. That said, the work the group does is always meticulous and usually thought-provoking. The same can be said of Faux's book. His main point is that there now exists a global "party of Davos" (the Swiss ski resort where politicians, businesspeople, journalists, and scholars gather every January for the annual meeting of the World Economic Forum), whose members have more in common with each other than with the peoples of their home countries. I can testify that there is truth to this. I am a member of the junior auxiliary of the party of Davos. Faux's point is not that people like me are sinister and evil -- there's no Trilateral Commission/Council on Foreign Relations/Bilderberg Group conspiracy nonsense in his book -- just that the interests of corporate America aren't necessarily the same as America's interests. My chief solace is that Faux doesn't seem to have an obviously better alternative. Or maybe that shouldn't be a solace -- because Faux is right that a global economic system designed entirely by corporations, without any democratic input to speak of, isn't what anybody really wants.

Note: This is a heartening article from one who rubs elbows with the power elite. If you don't know about the secret gatherings of the global elite, the BBC and other articles available here are essential reading.

Shareholders of Exxon Mobil Corp., whose departing chief executive got a $357 million retirement package, overwhelmingly rejected resolutions to rein in compensation at the company's annual meeting yesterday. Chairman and Chief Executive Officer Rex W. Tillerson said predecessor Lee Raymond deserved a $357 million retirement package that he received in January because he delivered record profits.

Note: So price gouging at the gas pumps brings record oil profits and one of the CEO's responsible gets hundreds of millions of dollars as a retirement gift. What kind of message does that send? Why didn't other major newspapers pick up this little "detail."

British businesses have profited by at least Ł1.1bn since coalition forces toppled Saddam Hussein three years ago. The company roll-call of post-war profiteers includes some of the best known names in Britain's boardrooms. The evidence of massive investments and the promise of more multimillion-pound profits to come was discovered in a joint investigation by Corporate Watch, an independent watchdog, and The Independent. The findings show how much is [at] stake if Britain were to withdraw military protection from Iraq. British company involvement at the top of Iraq's new political and economic structures means Iraq will be forced to rely on British business for many years to come. A total of 61 British companies are identified as benefiting from at least Ł1.1bn of contracts and investment in the new Iraq. But that figure is just the tip of the iceberg. It could be as much as five times higher, because many companies prefer to keep their relationship secret. The waters are further muddied by the Government's refusal to release the names of companies it has helped to win contracts in Iraq. The report acknowledges that British business still lags behind the huge profits paid to American companies. In five years, the Ł1.1bn of contracts identified in the report will be dwarfed by what Britain and the US hope to reap from investments. Highly lucrative oil contracts have yet to be handed out.

Note: For more powerful information on war-profiteering revealed by a highly decorated U.S. general see http://www.WantToKnow.info/warisaracket

Ministers are trying to scrap an international agreement banning the world's most controversial genetic modification of crops, grimly nicknamed "terminator technology", a move which threatens to increase hunger in the Third World. The Government is to push for terminator crops to be considered for approval on a "case-by-case basis" at two meetings this month; its position closely mirrors the stance of the United States and other GM [genetically modified organisms]-promoting countries. Terminator technology...would stop hundreds of millions of poor farmers from saving seeds from their crops for resowing for the following harvest, forcing them to buy new ones from biotech companies every year. The technique is officially known as genetic use restriction technology (Gurt), making crops produce sterile seeds. It could be applied to any crop, including maize and rice, widely grown in developing countries. The UK working group on terminator technology...says: "It could destroy traditional farming methods, damage farmers' livelihoods and threaten food security, particularly in developing countries." [Former UK Minister of Environment Michael] Meacher said: "For the first time in the history of the world, farmers would be stopped from using their own seeds."

Note: For more on this alarming development: http://www.WantToKnow.info/deception10pg

Twenty-one-year-old Katia...left home on what she believed would be a trip to buy goods in Turkey, but instead she was sold into sexual slavery for $1,000. In "Sex Slaves," FRONTLINE follows [her husband] Viorel on an extraordinary journey deep into the world of sex trafficking to try to find his wife...and then free her from the violent pimp who now "owns" her. Along the way, the production team takes a rare, hidden-camera look at the various traffickers, pimps and middlemen who illegally buy and sell hundreds of thousands of women each year. Lured by traffickers who prey on their dreams of employment abroad, many of the women are then kidnapped and "exported" to Europe, the Middle East, the United States and elsewhere. During this process, they may be sold to pimps, locked in brothels, drugged, terrorized and raped repeatedly. "How much will a girl cost?" co-producer Felix Golubev asks a trafficker in Moldova while posing undercover as an interested buyer from North America. "Five hundred to 600 dollars" replies the trafficker." As Viorel searches for Katia, we learn what she might be enduring from other trafficked women. Twenty-eight-year-old Oksana was sold 13 times over an eight-month period before finally being allowed to return to her native Ukraine. "There were 22 girls in a three-bedroom apartment, and each girl got beaten up at least once a day. One girl ran away and went to the police for help, but she was taken back. Policemen…used our services." "Sex Slaves" exposes the government indifference that allows the global sex trade to continue virtually unchecked and what needs to be done.

Note: If you want to know about secret government involvement in the sex trade and sex abuse, see the harrowing, yet powerful essay at http://www.WantToKnow.info/nationbetrayed10pg and a highly revealing, free Discovery Channel documentary at http://www.WantToKnow.info/060501conspiracyofsilence

Just how far will corporate lobbyists go to tilt governmental decisions in their favor? Last fall, the U.S. Court of Appeals for the District of Columbia Circuit ruled that the Clean Air Act does not require regulating carbon dioxide emissions that are heating up the planet at an unprecedented rate. It turns out that two of the jurists who helped decide the case -- Chief Judge Douglas H. Ginsburg and Judge David B. Sentelle -- attended a six-day global warming seminar at Yellowstone National Park sponsored by a free-market foundation and featuring presentations from companies with a clear financial interest in limiting regulation. Exxon Mobil Corp. and other large businesses contribute to conservative think tanks to help "educate" federal judges through seminars like the one at Yellowstone. The Code of Conduct for federal judges does not prohibit attending such seminars -- as long as participation does not "cast reasonable doubt on the capacity to decide impartially issues that may come before them." Leaders of Congress and the federal courts seem to recognize that the federal judiciary ought to be out of bounds for lobbyists. Judges are appointed for life, and allowing insider access threatens the integrity of the one branch of government that should stand above politics. Court cases must be won by argument, not by influence, and that means putting a stop to judicial junkets that give one side of the debate an unfair advantage.

More than 50 years after DuPont started producing Teflon ... federal officials are accusing the company of hiding information suggesting that [the chemical] might cause cancer, birth defects and other ailments. Environmental regulators are particularly alarmed because scientists are finding perfluorooctanoic acid, or PFOA, in the blood of people worldwide and it takes years for the chemical to leave the body. The U.S. Environmental Protection Agency reported last week that exposure even to low levels of PFOA could be harmful. With virtually no government oversight, PFOA has been used since the early 1950s. Questions about potential effects on human health and the environment often aren't raised until years after a chemical is introduced to the marketplace. The long and mostly secret history of PFOA began to unravel down the road from DuPont's Teflon plant...where a Parkersburg family began asking questions in the late 1990s about a mysterious wasting disease killing their cattle. Their lawsuit ended with a monetary settlement ... but the legal battle uncovered a trove of industry documents about PFOA. One document detailed how DuPont scientists started warning company executives to avoid human contact with PFOA as early as 1961. Industry tests later determined the chemical accumulates in the body [and] doesn't break down in the environment. Tests on lab animals have found links to illnesses including liver and testicular cancer, reduced weight of newborns and immune-system suppression. The findings concern EPA officials because rats flush the chemical out of their bodies within days, while PFOA stays in human blood for at least four years.

Note: As this article is no longer available on the Chicago Tribune website, to read it in full, click here.

When Anya Bailey developed an eating disorder after her 12th birthday, her mother took her to a psychiatrist at the University of Minnesota who prescribed a powerful antipsychotic drug called Risperdal. Created for schizophrenia, Risperdal is not approved to treat eating disorders, but increased appetite is a common side effect and doctors may prescribe drugs as they see fit. Anya gained weight but within two years developed a crippling knot in her back. She now receives regular injections of Botox to unclench her back muscles. She often awakens crying in pain. Isabella Bailey, Anya’s mother, said she had no idea that children might be especially susceptible to Risperdal’s side effects. Nor did she know that Risperdal and similar medicines were not approved at the time to treat children. Just as surprising, Ms. Bailey said, was learning that the university psychiatrist who supervised Anya’s care received more than $7,000 from 2003 to 2004 from Johnson & Johnson, Risperdal’s maker, in return for lectures about one of the company’s drugs. The intersection of money and medicine, and its effect on the well-being of patients, has become one of the most contentious issues in health care. Nowhere is that more true than in psychiatry, where increasing payments to doctors have coincided with the growing use in children of a relatively new class of drugs known as atypical antipsychotics. These best-selling drugs, including Risperdal, Seroquel, Zyprexa, Abilify and Geodon, are now being prescribed to more than half a million children in the United States to help parents deal with behavior problems despite profound risks and almost no approved uses for minors.

Note: For lots more reliable information on cover-ups affecting your health, click here. To read an inspiring story on the benefits of healthy school diet for students' health, behavior and studies, click here.

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.