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While we have had no trouble unearthing double standards, misrepresentations, distortions and outright lies in our coverage of the Jindal administration, political campaigns often take the practice to a new level.

The mind-numbing campaign for the U.S. Senate comes to mind. At this point in the campaign, voters just wish Mary Landrieu and Bill Cassidy would both shut up and leave us alone. But those TV ads from both camps keep pounding away at us, each accusing the other of distortions, lies, misrepresentations, pro-this, and anti-that.

The comic strip Non Sequitur would well have been referencing either candidate with this submission:

nq141010[1]

Or it could have been alluding to the recently ramped-up campaign of 6th Congressional District candidate Garrett Graves, former chairman of the Louisiana Coastal Protection and Restoration Authority (CPRA) and director of the Governor’s Office of Coastal Activities, who only recently kicked off his media blitz.

Of course most observers are accustomed to grandiose promises.

For at least the past 20 years or so, the challenger in the Baton Rouge mayor-president’s election without fail has promised to improve public education in East Baton Rouge Parish—never mind the fact that the mayor’s office has absolutely nothing to do with the East Baton Rouge Parish School Board. Zero. Zilch. They are two entirely separate political entities.

And we’re all used to congressional candidates saying they are going to fight waste, work to improve infrastructure, and vote to defend the Constitution blah, blah, blah.

But Graves has taken the rhetoric to a new extreme. He has one TV spot running on the Baton Rouge in which he says not that he will “work to” or “vote to,” but that he “will” repeal Obamacare, he “will” cut spending, he “will” stop illegal immigration, and he “will” eliminate terrorism.

Those are pretty big promises, folks, and unless he’s Clark Kent in disguise, we just can’t see how one freshman tea party congressman can impose his will on 434 other members of the House and 100 senators, not all of whom are tea partiers.

And while we are on the subject of political rhetoric, there has been much said about U.S. Sen. Mary Landrieu’s ownership of an $800,000 home in Washington, D.C. while not owning a home outright in Louisiana (though she is part owner, along with her siblings, of her parents’ home in New Orleans).

But not a peep has been said about Graves’ 2005 purchase of a home at 210 11th Street SE in Washington, also appraised at more than $800,000. Nothing on his federal financial disclosure statement for Jan. 1, 2013 through July 15, 2014, indicates ownership of a home in Louisiana—not even part ownership of his father’s home—although he does list ownership of property in Gulf Shores, Alabama. And Graves has never been elected to any office, let alone one that demands his presence in Washington.

He apparently purchased the home during his tenure in Washington. He worked as a policy adviser to former U.S. Sen. John Breaux and U.S. Congressman Billy Tauzin and worked for the Senate Commerce, Science and Transportation Committee and the House Energy and Commerce Committee. He also served as staff director of the U.S. Senate Subcommittee on Climate Change and Impacts. http://www.epa.gov/gcertf/bios/graves.html

Apparently he liked Washington well enough to plan on returning because he did not sell the home when he grabbed onto Gov. Bobby Jindal’s coattails in 2008 to head up CPRA at $135,000 per year through 2012. His salary was bumped up to $147,300 in 2013, according to his financial disclosure records.

Even though he left the state’s employ on February 28, his financial statement indicates he still received $52,961 in salary from the state this year and another $31,346 from Evans-Graves Engineers, the firm owned by his father, John Graves.

Graves flew pretty much under the radar until he became a high-profile opponent of the lawsuit filed by the Southeast Louisiana Flood Protection Authority-East against 97 oil and gas companies for damage to the state’s wetlands while at the same time carping at the U.S. Coast Guard for its failure to force BP to be more responsive to the Deepwater Horizon oil disaster. http://theadvocate.com/home/8290180-125/graves-to-step-down-from

His opposition to the lawsuit seeking to hold big oil responsible for the damage it has done to the state’s coastline for the past century notwithstanding, the real story of Garrett Graves is the awarding of more than $130 million in government contracts to his father’s engineering firm while he was head of CPRA, which oversees such contracts.

That figure represented an 1800 percent increase over contracts awarded to Evans-Graves for all years prior to Garrett Graves’ tenure at CPRA.

Some might call this old news, given the fact that Jeremy Alford first reported on this as far back as 2008. http://www.houmatoday.com/article/20080203/news/659908125

But the practice went unabated for years after his story and even more curious, when an ethics opinion was sought as to the propriety of the contracts, it was not the Louisiana Board of Ethics that was consulted, but attorney Jimmy Faircloth.

Faircloth, who was Jindal’s first executive counsel before running unsuccessfully for the Louisiana Supreme Court, has done extensive legal work for the administration, collecting fees in excess of $1 million defending losing positions that Jindal has championed.

But his issuing an ethics opinion in the case of Evans-Graves Engineering appears to have been a conflict in itself: Faircloth at the time was the legal counsel for Evans-Graves.

“As we discussed, Governor Jindal has asked that we disclose and commit to avoiding even the appearance of conflict,” Faircloth said in his opinion. “Thus, as we agreed, out of an abundance of caution, the appropriate solution is that your father’s company not pursue an interest in or receive any state contract that involves coastal restoration, levees or hurricane protection while you serve in the administration. This would explicitly include such contracts overseen by DOTD (Department of Transportation and Development) and DNR (Department of Natural Resources).”

Even though Garrett Graves in February of 2008 agreed to cease pursuing projects that could cause a conflict of interest, Evans-Graves kept receiving lucrative contracts from the U.S. Army Corps of Engineers, CPRA’s primary partner. And while Garrett Graves did not actually sign the contracts, his agency did set priorities for the state on corps-related work.

“I said from the beginning there was a potential conflict of interest, and apparently that fell on deaf ears,” said John Graves when the issue first arose more than six years ago. Jindal’s office professed to know nothing of the potential conflict.

And even though Garrett Graves was working for the state and his father’s company was receiving millions of dollars in contracts with the Corps of Engineers through Garrett Graves’ agency, Garrett Graves was given a Toyota Tundra truck by the elder graves in 2009, a clear violation of state ethics rules against state employees accepting gifts from vendors.

And while Evans-Graves was receiving millions of dollars in CPRA-approved contracts with the Corps of Engineers, Evans-Graves was subcontracting nearly $66.5 million in work to 18 construction and contract companies, compared to only $3.5 million prior to Garrett Graves’ appointment. Those 18 subcontractors have combined to contribute more than $250,000 to Graves’ congressional campaign.

Additionally, 11 of those 18 companies, along with corporate officers and family members, have combined to contribute nearly $316,000 to various political campaigns of Jindal.

Here is the list of subcontractors and the amounts they and/or their corporate officers and families contributed to Jindal:

  • Daybrook Fisheries—$1,000;
  • Industrial Specialty Contractors—$29,500;
  • Bollinger Shipyards—$65,850;
  • Major Equipment and Remediation—$50,000;
  • Arkel Constructors—$4,500;
  • Delta Launch Services—$11,000;
  • Cajun Constructors—$52,000;
  • Coastal Environments—$30,500;
  • Performance Contractors—$41,500;
  • H. Fenstermaker & Associates—$20,500;

JNB Operating—$5,000.

And now Garrett Graves just wants to move back into his $800,000 home in D.C.

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Between U.S. Mary Landrieu and U.S. Rep. Bill Cassidy, the man who wants to replace her, incumbents in five of the state’s six November congressional races have received more than $21.5 million in campaign contributions, of which more than $6.5 million has come from political action committees, or PACs, according to figures provided by the Federal Elections Commission.

The number of corporate dollars that have flowed into the races is somewhat deceptive, however, because money given by corporate officers and board members are listed as individual contributions and is not counted with the PAC money.

LouisianaVoice has always maintained that political clout no longer belongs to the citizenry, but to special interest groups like corporations and corporate officers who pour money into political campaigns, in the process drowning out the voice of individual voters.

In two of the congressional races, PAC contributions to incumbents actually outpace those of individuals—Reps. Charles Boustany of the 3rd District ($984,000 to $769,000) and Cedric Richmond of the 2nd District ($723,000 to $278,000).

Even more alarming, each candidate we’ve reported on thus far has accepted money from PACs connected to corporations that have serious legal and ethical issues. Those issues include, among others, insider trading, influence peddling, environmental pollution, and fraud.

It might be of no real consequence if these were isolated occurrences, but they’re not. The same companies keep turning up in report after report is what has become a dangerous trend of corporate control of the entire Congress as the welfare of the American people has been all but crowded out of the picture and excluded from the national dialog.

Following is a partial list of some of Richmond’s PAC contributions:

ALTRIA GROUP PAC: $1,500

  • Altria Group, Inc. (previously named Philip Morris Companies Inc.) The name change alternative offers the possibility of masking the negatives associated with the tobacco business,” thus enabling the company to improve its image and raise its profile without sacrificing tobacco profits,
  • According to the Center for Public Integrity, Altria spent around $101 million on lobbying the U.S. government between 1998 and 2004, making it the second most active organization in the nation.
  • Altria also funded The Advancement of Sound Science Coalition which lobbied against the scientific consensus on climate change.
  • Daniel Smith, representing Altria, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

ARCHER DANIELS MIDLAND CO.: $1,000

  • On December 20, 2013 the SEC announced that it had charged ADM for failing to prevent illicit payments (bribes) made by its foreign subsidiaries to Ukrainian government officials in violation of federal statutes. ADM agreed to pay more than $36 million to settle the SEC’s charges.
  • In 1993, the company was the subject of a lysine price-fixing investigation. Senior ADM executives were indicted on criminal charges. Three of ADM’s top officials, including vice chairman Michael Andreas were eventually sentenced to federal prison in 1999. Moreover, in 1997, the company was fined $100 million, the largest antitrust fine in U.S. history at the time.
  • One hundred percent or more of overcharges resulting from price fixing are passed through to consumers.
  • The company has been the subject of several major federal lawsuits related to air pollution. In 2001, it agreed to pay a $1.46 million fine for violating federal and Illinois clean-air regulations at its Decatur feed plant and to spend $1.6 million to reduce air pollution there.
  • The company paid $4.5 million in penalties and more than $6 million to support environmental projects. In addition, ADM agreed to eliminate more than 60,000 tons of emissions of carbon monoxide, particulate matter, organic volatile chemicals and other pollutants from 42 plants in 17 states at a cost of hundreds of millions of dollars.

AT&T PAC: $6,000

  • AT&T is the second-largest donor to United States political campaigns, and the top American corporate donor, having contributed more than US$47.7 million since 1990, 56% and 44% of which went to Republican and Democratic recipients, respectively. Also, during the period of 1998 to 2010, the company expended US$130 million on lobbying in the United States. A key political issue for AT&T has been the question of which businesses win the right to profit by providing broadband internet access in the United States.
  • Bobby Jindal rejected an $80 million federal grant for the expansion of broadband internet service in rural Louisiana even as AT&T was contributing $250,000 to the Foundation run by Jindal’s wife Supriya after Gov. Jindal signed SB- 807 into law (Act 433) in 2008 over the objections of the Louisiana Municipal and the State Police Jury associations. The bill, the Consumer Choice for Television Act removed from local and parish governments their authority and responsibility to negotiate cable franchise agreements with companies that relied largely on locally-owned public infrastructure such as utility poles. The bill also allows AT&T to sell cable television service without the necessity of obtaining local franchises.
  • Bill Leahy, representing AT&T, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

CHESAPEAKE ENERGY CORP. PAC: $2,000

  • Former Chief Executive Aubrey McClendon borrowed $1.1 billion against his stake in thousands of company wells. The loans, undisclosed to shareholders, were used to fund McClendon’s operating costs for the Founders Well Participation Program, which offered him a chance to invest in a 2.5 percent interest in every well the company drills. McClendon in turn used the 2.5 percent stakes as collateral on those same loans. Analysts, academics and attorneys who reviewed the loan documents said the structure raised the potential for conflicts of interest and raised questions on the corporate governance and business ethics of Chesapeake Energy’s senior management. The company disagreed that this is a conflict of interest or a violation of business ethics.
  • Current CEO Doug Lawler was responsible for laying off over 800 employees—roughly 16 percent of the workforce—within a few months of taking the position. Lawler released waves of employees over the course of a few months. All of the layoffs culminated in October of 2013 when Lawler released a staggering 800 employees nationwide, 640 of whom were from the corporate office in Oklahoma City.
  • In June of 2014, the state of Michigan filed felony fraud and racketeering charges against Chesapeake Energy, alleging that the company canceled hundreds of land leases on false pretenses after it sought to obtain oil and gas rights. Chesapeake Energy disputed all charges.

CHEVRON EMPLOYEES PAC: $4,500

  • In 2003 a class action lawsuit against Chevron was sued in Ecuadorian court for $28 billion for making residents ill and damaging forests and rivers by discharging 18 billion US gallons of formation water into the Amazon. Chevron claimed that agreements with the Ecuadorian Government exempted the company from any liabilities.
  • In 2011, Ecuadorian residents were awarded $8.6 billion, based on claims of loss of crops and farm animals as well as increased local cancer rates. The award was later revised to $19 billion on appeals, which was then appealed to the Ecuadorean National Court of Justice. Chevron described the lawsuit as an “extortion scheme” and refused to pay the fine.
  • Chevron’s activities at its century-old Richmond refinery have been the subject of ongoing controversy. The project generated over 11 million pounds of toxic materials and caused more than 304 accidents. The Richmond refinery paid $540,000 in 1998 for illegally bypassing waste water treatments and failing to notify the public about toxic releases. Overall, Chevron is listed as potentially liable for 95 Superfund sites, with funds set aside by the EPA for clean-up.
  • Chevron’s operations in Africa have also been criticized as environmentally unsound. In 2002, Angola became the first country in Africa to levy a fine on a major multinational corporation operating within its borders when it demanded $2 million in compensation for oil spills allegedly caused by Chevron.
  • On October 16, 2003, Chevron U.S.A. settled a charge under the Clean Air Act, which reduced harmful air emissions by about 10,000 tons a year. In San Francisco, Chevron was ordered to spend almost $275 million to install and utilize innovative technology to reduce nitrogen and sulfur dioxide emissions at its refineries. In 2000, after violating the Clean Air Act at an offline loading terminal in El Segundo, California, Chevron paid a $6 million penalty as well as $1 million for environmental improvement projects.

CH2M HILL COMPANIES: $1,000

  • CH2M HILL used nearly $10 million in stimulus funding to design the elaborate Solyndra solar panel facility in Fremont, California. While CH2M HILL is in no danger of suffering the same bankruptcy plight, they also languish in a pool of mismanaged taxpayer funds. The firm has a history of fraud, kickbacks, violations, and cover-ups, not to mention one particular parallel with the Solyndra scandal—layoffs. This, despite receiving almost $2 billion in stimulus funding.
  • CH2M Hill has agreed to pay a total of $18.5 million in 2013 after admitting to defrauding the public by engaging in years of widespread time card fraud in its contract with the Department of Energy.

COMCAST: $5,000

  • Comcast’s customer satisfaction often ranks among the lowest in the cable industry.
  • With $18.8 million spent in 2013, Comcast has the seventh largest lobbying budget of any individual company or organization in the United States. Comcast employs multiple former U.S. congressmen as lobbyists.
  • Comcast also supports lobbying and PACs on a regional level, backing organizations such as the Tennessee Cable Telecommunications Association and the Broadband Communications Association of Washington PAC. Comcast and other cable companies have lobbied state governments to pass legislation restricting or banning individual cities from offering public broadband service. Municipal broadband restrictions of varying scope have been passed in a total of 20 US States, including Louisiana.

DELOITTE & TOUCHE PAC: $5,000

  • Deloitte has delayed payments to hundreds of thousands of unemployed in the State of California.
  • The firm has been working on a statewide case management system for California courts which originally had a budget of around $260 million. Almost $500 million has already been spent and costs are expected to run as high as $2 billion. No single court is yet fully operational. California’s Judicial Council terminated the project in 2012 citing actual deployment costs associated with the project and California’s budget concerns

DUKE ENERGY: $5,000

  • In 1999 the EPA initiated an enforcement action against Duke Energy for making modifications to old and deteriorating coal-burning power plants without getting permits under the Clean Air Act.
  • In 2002, researchers identified Duke Energy as the 46th-largest corporate producer of air pollution in the United States, with roughly 36 million pounds of toxic chemicals released into the air annually. Major pollutants included sulfuric and hydrochloric acid, chromium compounds, and hydrogen fluoride. The Political Economy Research Institute ranks Duke Energy 13th among corporations emitting airborne pollutants in the United States.

EMPLOYEES OF NORTHROP GRUMMAN PAC: $5,000

  • From 1990-2002, Northrop Grumman contributed $8.5 million to federal campaigns. The company gave more than $1 million to federal candidates in 2005-2006 election cycle, compared to $10.6 million given by all defense contractors in the same cycle. This was behind only General Dynamics and Lockheed Martin in the defense industry. Former Northrop Grumman Electronics Systems chief James Roche served as Secretary of the Air Force for two years under George W. Bush. Roche was eventually nominated to head the Army, but was forced to withdraw his nomination among accusations of mismanaging a contract with Boeing and of failing to properly handle the Air Force sexual assault scandals of 2003. At least seven former officials, consultants, or shareholders of Northrop Grumman held posts in the Bush administration.
  • Northrop Grumman has dealt with multiple scandals during its history. In 1995, Robert Ferro, an employee for TRW, a company acquired by Northrop Grumman, discovered that satellite components manufactured for the U.S. Air Force were faulty and likely to fail in operation. TRW allegedly suppressed Ferro’s report and hid the information from the Air Force, even after a satellite in space equipped with the faulty components experienced serious anomalies. Ferro later sued Northrop Grumman in federal court under the federal whistle-blower law. In April 2009 Northrop Grumman agreed to pay $325 million to settle the suit. Ferro was awarded $48.8 million of the settlement.
  • The company was sued in 1999 for allegedly knowingly giving the Navy defective aircraft. This suit sought $210 million in damages. Then in 2003, the company was sued for allegedly overcharging the U.S. government for space projects in the 1990s. Northrop Grumman paid $111.2 million to settle out of court.
  • In 2010, Virginia’s computer operations experienced a week-long computer outage. Northrop Grumman operated these systems under a $2.4 billion contract. As a result, as many as 45,000 citizens could not renew their driver’s licenses prior to their expiration. Computer systems for 26 of the state’s 89 agencies were affected and some data may have been permanently lost.

EXXON MOBIL CORP. PAC: $2,500

  • ExxonMobil has drawn criticism from scientists, science organizations and the environmental lobby for funding organizations critical of the Kyoto Protocol and seeking to undermine public opinion about the scientific conclusion that global warming is caused by the burning of fossil fuels. Mother Jones Magazine said the company channeled more than $8 million to 40 different organizations that have employed disinformation campaigns including “skeptical propaganda masquerading as journalism” to influence opinion of the public and of political leaders about global warming and that the company was a member of one of the first such groups, the Global Climate Coalition, founded in 1989. ExxonMobil’s support for these organizations has drawn criticism from the Royal Society, the academy of sciences of the United Kingdom. The Union of Concerned Scientists released a report in 2007 accusing ExxonMobil of spending $16 million, between 1998 and 2005, towards 43 advocacy organizations which dispute the impact of global warming. The report argued that ExxonMobil used disinformation tactics similar to those used by the tobacco industry in its denials of the link between lung cancer and smoking, saying that the company used “many of the same organizations and personnel to cloud the scientific understanding of climate change and delay action on the issue.” These charges are consistent with a purported 1998 internal ExxonMobil strategy memo, posted by the environmental group Environmental Defense, which said:

“Victory will be achieved when

  • Average citizens [and the media] ‘understand’ (recognize) uncertainties in climate science; recognition of uncertainties becomes part of the conventional wisdom;
  • Industry senior leadership understands uncertainties in climate science, making them stronger ambassadors to those who shape climate policy;
  • Those promoting the Kyoto treaty on the basis of extant science appear out of touch with reality.”

 

  • In 2003, the United States Attorney for the Southern District of New York announced that J. Bryan Williams, a former senior executive of Mobil Oil Corp., had been sentenced to three years and ten months in prison on charges of evading income taxes on more than $7 million in unreported income, including a $2 million kickback he received in connection with Mobil’s oil business in Kazakhstan. Documents filed with the court said Williams’ unreported income included millions of dollars in kickbacks from governments, persons, and other entities with whom Williams conducted business while employed by Mobil. In addition to his sentence, Williams must pay a fine of $25,000 and more than $3.5 million in restitution to the IRS, in addition to penalties and interest.

GLAXOSMITHKLINE PAC:  $1,000

  • In July 2012 GSK pleaded guilty to criminal charges and agreed to a pay $3 billion to settle the criminal charges as well as civil lawsuits in the largest settlement paid by a drug company at the time. The criminal charges were for promoting Paxil and Wellbutrin and for unapproved uses and failing to report safety data about Avandia:; GSK paid $1 billion to settle the criminal charges. The remaining $2 billion were part of the civil settlement over unapproved promotion and paying kickbacks, making false statements concerning the safety of Avandia; and reporting false prices to Medicaid. GSK also signed an agreement which obligated it to make major changes to the way it did business.

HONEYWELL PAC: $5,000

  • The EPA says that no corporation has been linked to a greater number of Superfund toxic waste sites than has Honeywell. Honeywell ranks 44th among U.S. corporations causing air pollution. The firm released more than 9.4 million pounds of toxins per year into the air. In 2001, Honeywell agreed to pay $150,000 in civil penalties and to perform $772,000 worth of reparations for environmental violations.
  • In 2003, a federal judge in New Jersey ordered the company to perform an estimated $400 million environmental remediation of chromium waste, citing “a substantial risk of imminent damage to public health and safety and imminent and severe damage to the environment.” In the same year, Honeywell paid $3.6 million to avoid a federal trial regarding its responsibility for trichloroethylene contamination in Illinois. In 2004, the State of New York announced that it would require Honeywell to complete an estimated $448 million cleanup of more than 165,000 pounds of mercury and other toxic waste dumped into Onondaga Lake in Syracuse, N.Y.

LOCKHEED MARTIN EMPLOYEES’ PAC: $5,000

  • Lockheed Martin received $36 billion in government contracts in 2008, more than any company in history. It does work for more than two dozen government agencies from the Department of Defense and the Department of Energy to the Department of Agriculture and the Environmental Protection Agency. It’s involved in surveillance and information processing for the CIA, the FBI, the Internal Revenue Service (IRS), the National Security Agency (NSA), The Pentagon, the Census Bureau and the Postal Service.
  • Lockheed is listed as the largest U.S. government contractor and ranks third for number of incidents, and 21st for size of settlements. Since 1995 the company has agreed to pay $606 million to settle 59 instances of misconduct.
  • Through its political action committee (PAC), the company provides low levels of financial support to candidates who advocate national defense and relevant business issues. It was the top contributor to House Armed Services Committee chairman Howard P. “Buck” McKeon (R-California), giving more than $50,000 in the most recent election cycle. It also topped the list of donors to Sen. Daniel Inouye (D-HI), chairman of the Senate Appropriations Committee before his death in 2012.
  • Lockheed Martin Employees Political Action Committee is one of the 50 largest in the country. With contributions from 3,000 employees, it donates $500,000 a year to about 260 House and Senate candidates.
  • In March 2013, Maryland State Senate Majority Leader Rob Garagiola, while he was said to be dating a Lockheed Martin lobbyist, cosponsored a resolution which would give Lockheed Martin tax rebate worth millions of dollars related to hotel taxes paid at its CLE facility in Bethesda, MD. This was after Montgomery County Council refused to pass a similar resolution.

MARATHON OIL EMPLOYEES PAC: $10,000

  • Marathon gave $250,000 to the Supriya Jindal Foundation and Gov. Bobby Jindal’s administration promptly awarded Marathon subsidiaries $5.2 million in state funds.

MICROSOFT CORP. PAC: $4,500

  • One of Microsoft’s business tactics, described by an executive as “embrace, extend and extinguish,” initially embraces a competing standard or product, then extends it to produce their own version which is then incompatible with the standard, which in time extinguishes competition that does not or cannot use Microsoft’s new version. Various companies and governments have sued Microsoft over this set of tactics, resulting in billions of dollars in rulings against the company.
  • Microsoft has been criticized for its involvement in censorship in the People’s Republic of China. Microsoft has also come under criticism for outsourcing jobs to China and India. There were reports of poor working conditions at a factory in southern China that makes some of Microsoft’s products.
  • To avoid providing stock options and medical and retirement benefits to employees, Microsoft hires thousands of temporary workers (temps) for the designing, editing and testing of its software. When a federal judge (upheld by the U.S. Supreme Court) outlawed the hiring of temps for longer than six months, Microsoft got around the ruling by laying off its temps for 100 days and then rehiring them.

MONSANTO CO.: $4,000

 

  • In 2003, Monsanto reached a $300 million settlement for manufacturing and dumping of the toxic chemical polychlorinated biphenyls (PCBs) in Alabama.
  • In 2004, Monsanto, along with Dow and other chemical companies, were sued by a group of Vietnamese for the effects of its Agent Orange defoliant, used by the U.S. military in the Vietnam War. The case was dismissed.
  • In 2005, the US DOJ filed a Deferred Prosecution Agreement in which Monsanto admitted to violations of the Foreign Corrupt Practices Act and making false entries into its books and records. Monsanto also agreed to pay a $1.5 million fine. The case involved bribes paid to an Indonesian official.
  • The Monsanto Company Citizenship Fund has donated more than $10 million to various candidates since 2003. In 2011, Monsanto spent about $6.3 million lobbying Congress and the U.S. Department of Agriculture about regulations that would affect the production and distribution of genetically engineered produce.
  • US diplomats in Europe have worked directly for Monsanto.
  • Monsanto gave $186,250 to federal candidates in the 2008 election.
  • Monsanto spent $8.1 million opposing the passage of Proposition 37 in California, making it the largest donor against the initiative. Proposition 37, which was rejected in November 2012, would have mandated the disclosure of genetically modified crops used in the production of California food products.
  • More recently, as of October 2013, Monsanto and DuPont Co. are backing an anti- labeling campaign with roughly $18 million so far dedicated to the campaign.

 

PFIZER, INC. PAC: $2,500

 

  • In September 2009, Pfizer pleaded guilty to the illegal marketing of the arthritis drug Bextra for uses unapproved by the U.S. Food and Drug Administration (FDA), and agreed to a $2.3 billion settlement, the largest health care fraud settlement at that time. Pfizer also paid the U.S. government $1.3 billion in criminal fines related to the “off-label” marketing of Bextra, the largest monetary penalty ever rendered for any crime. Called a repeat offender by prosecutors, this was Pfizer’s fourth such settlement with the U.S. Department of Justice in the previous ten years.

 

RAYTHEON CO. PAC: $7,500

  • In March 1990, Raytheon pleaded guilty to one felony count of illegally obtaining classified Air Force budget and planning documents. U.S. District Judge Albert V. Bryan, Jr. imposed a $10,000 criminal fine for one felony count of “conveyance without authority” and $900,000 in civil penalties and damages. The documents allegedly gave Raytheon an unfair advantage against its competitors in bidding for weapons contracts. Although the plea only involved 1983 Air Force documents, U.S. Attorney Henry Hudson said Raytheon also illegally obtained a wide range of secret Pentagon documents.
  • In October 1994, Raytheon paid $4 million to settle a U.S. government claim that it inflated a defense contract for antimissile radar. The PAVE PAWS (Precision Acquisition Vehicle Entry Phased Array Warning System) system was designed to detect incoming submarine-launched ballistic missiles. The government claimed in a federal lawsuit that Raytheon inflated a contract to upgrade two of four PAVE PAWS sites by proposing to hire higher-skilled employees than were necessary for the job.
  • Just one year earlier, on October 14, 1993, Raytheon paid $3.7 million to settle allegations that it misled the U.S. Department of Defense by overstating the labor costs involved in manufacturing Patriot missiles. “The recovery of this money is yet another warning to contractors that the Truth in Negotiations Act’s information disclosure requirements will be strictly and sternly enforced,” Assistant Attorney General Frank Hunger said.
  • The Patriot missile system was not the spectacular success in the Persian Gulf War that the American public was led to believe. There is little evidence to prove that the Patriot hit more than a few Scud missiles launched by Iraq during the Gulf War, and there are some doubts about even these engagements. The public and the U.S. Congress were misled by definitive statements of success issued by administration and Raytheon representatives during and after the war.

BOEING CO. PAC.: $2,000

  • In 2003, Lockheed Martin sued Boeing for industrial espionage to win the Evolved Expendable Launch Vehicle (EELV) competition. Lockheed Martin claimed that the former employee Kenneth Branch, who went to work for McDonnell Douglas and Boeing, passed nearly 30,000 pages of proprietary documents to his new employers. Lockheed Martin argued that these documents allowed Boeing to win 19 of the 28 tendered military satellite launches.
  • In July 2003, Boeing was penalized, with the Pentagon stripping seven launches away from the company and awarding them to Lockheed Martin. Furthermore, the company was forbidden to bid for rocket contracts for a twenty-month period, which expired in March 2005. Boeing settled with the U.S. Department of Justice for $615 million.
  • On September 15, 2010, the World Trade Organization ruled that Boeing had received billions of dollars in illegal government subsidies.

DOW CHEMICAL EMPLOYEES PAC: $10,000

  • Dow was one of several manufacturers who began producing the napalm B compound under government contract from 1965. After experiencing protests and negative publicity, the other suppliers discontinued manufacturing the product, leaving Dow as the sole provider. The company said that it carefully considered its position, and decided, as a matter of principle, “its first obligation was to the government.” Despite a boycott of its products by anti-war groups and harassment of recruiters on some college campuses, Dow continued to manufacture napalm B until 1969. The USA continued to drop napalm bombs on North Vietnam until 1973.
  • Until the late 1970s, Dow produced DBCP (1,2-dibromo-3-chloropropane), a soil fumigant, and nematicide, sold under the names the Nemagon and Fumazone. Workers at Dow’s DBCP production plants were made sterile by exposure to the compound. These effects were consistent with animal experiments showing that DBCP sterilized rabbits. The workers successfully sued the company, and most domestic uses of DBCP were banned in 1977.
  • Areas along Michigan’s Tittabawassee River, which runs within yards of Dow’s main plant in Midland, were found to contain elevated levels of the cancer-causing chemical dioxin in November 2006. In July 2007, Dow reached an agreement with the EPA to remove 50,000 cubic yards of sediment from three areas of the riverbed and levees of the river that had been found to be contaminated. In November 2008, Dow Chemical along with the EPA and Michigan Department of Environmental Quality agreed to establish a Superfund to address dioxin cleanup of the Tittabawassee River, Saginaw River and Saginaw Bay.[48]
  • According to the EPA, Dow has some responsibility for 96 of the United States’ Superfund toxic waste sites, placing it in 10th place by number of sites.

GOLDMAN SACHS PAC: $5,000

  • A federal appeals court upheld the conviction of former Goldman Sachs Group Inc director Rajat Gupta, one of the biggest successes in federal prosecutors’ long-running probe to stop insider trading on Wall Street.
  • Federal prosecutors and Securities and Exchange Commission officials also investigated whether a senior Goldman investment banker, Matthew Korenberg, fed inside information to a Galleon Group portfolio manager named Paul Yook, according to separate reports in the New York Times and the Wall Street Journal.

 

HOME DEPOT PAC: $2,500

  • In July 2005, former employee Michael Davis filed a whistleblower lawsuit against the Home Depot, alleging that his discharge was in retaliation for refusing to make unwarranted backcharges against vendors. Davis alleges that the Home Depot forced its employees to meet a set quota of backcharges to cover damaged or defective merchandise, forcing employees to make chargebacks to vendors for merchandise that was undamaged and not defective.
  • In the settlement of the litigation, Home Depot changed some of its corporate governance provisions. Home Depot also agreed to pay the plaintiff’s counsel $6 million in cash and $8.5 million in common stock.

WALMART STORES PAC: $6,000

  • Wal-Mart is the beneficiary of $96.5 million in economic development subsidies in Louisiana and $1.2 billion in tax breaks nationwide. Yet, in 2011, Walmart, four of whose owners are among the 11 richest Americans, decided to roll back health care coverage and to increase premiums for its employees. Wal-Mart still boasted that 90 percent of its employees had health coverage, neglecting to mention that more than half of those got their coverage through their spouses’ group coverage. The company provides no health coverage at all for new part time employees despite the company’s 24.7 percent gross profit martin that same year.
  • An April 2012 New York Times investigative report revealed that a former Walmart executive alleged that, in September 2005, Walmart de Mexico paid bribes throughout Mexico in order to obtain construction permits, information, and other favors. Concerns were raised that Walmart executives in the United States concealed the allegations. Reportedly, bribes were given to speed up construction permits, which gave Walmart a substantial advantage over its business competitors. A follow-up investigation by The New York Times published December 17, 2012, revealed evidence that regulatory permission for siting, construction, and operation of 19 stores were obtained through bribery.
  • A paper published in Farm Foundation in 1997 found that some small towns can lose almost half of their retail trade within ten years of a Walmart store opening.
  • A 2004 paper by two professors at Penn State University found that counties with Walmart stores suffered increased poverty compared with counties without Walmarts due to displacement of workers from higher-paid jobs in retail stores which customers no longer choose to patronize. A study in Nebraska looked at two different Walmarts, the first of which had just arrived and was in the process of driving everyone else out of business by cutting their prices to the bone. In the other Walmart, “they had successfully destroyed the local economy, there was a sort of economic crater with Wal-Mart in the middle; and, in that community, the prices were 17 percent higher.”
  • The Economic Policy Institute estimates that between 2001 and 2006, Walmart’s trade deficit with China alone eliminated nearly 200,000 U.S. jobs. Another study found that a new store increases net retail employment in the county by 100 jobs in the short term, half of which disappear over five years as other retail establishments close.
  • Walmart has been criticized by labor unions, community groups, grassroots organizations, religious organizations, environmental groups, and even Walmart’s own customers and employees. They have protested against the company’s policies and business practices, including charges of racial and gender discrimination. Other areas of criticism include the corporation’s foreign product sourcing, treatment of product suppliers, employee compensation and working conditions, environmental practices, the use of public subsidies, the company’s security policies and slavery. Wal-Mart denies doing anything wrong and maintains that low prices are the result of efficiency.

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Regardless of how you might feel about Common Core, Gov. Bobby Jindal has shown in no uncertain terms that he is either a liar willing to twist facts to his own political advantage or that he is just too dense to comprehend the English language.

As our friend Stephen Sabludowsky over at Bayou Buzz noted in his blog post today (Monday, Sept. 22), Jindal, having crashed and burned in state court (for what seems like the umpteenth time) has now filed a “frivolous” lawsuit in federal court challenging Common Core and by some extension as yet undefined, President Barak Obama. http://www.bayoubuzz.com/buzz/item/748889-jindal-misleads-in-his-legislative-auditor-common-core-spin

Jindal, Sabludowsky noted, said in a press release following the release of an issue brief by Legislative Auditor Daryl Purpera’s office that the report “declared that Common Core Standards are driving curriculum in the classroom.” http://gov.louisiana.gov/index.cfm?md=newsroom&tmp=detail&articleID=4678

Jindal added that while the report says that standards are not synonymous with curricula, “the report clearly declares that standards drive curriculum.”

The report, however, says nothing of the sort.

That sent Sabludowsky into orbit. “The word ‘drive’ does not even appear in the report, nor does the word ‘drives’ or even ‘driving.’”

Jindal filed his lawsuit against the Obama administration, saying the federal government (read: Obama) “has hijacked and destroyed the Common Core initiative.”

That, of course is the only tact he could have taken, given the fact that he once was an ardent proponent of Common Core

Yet, blaming Obama for the Common Core standards is more than a little misleading. Our friend Gregory DuCote correctly pointed out that the standards were adopted by the National Governors Association and the Council of Chief State School Officers. “I do not see Barak Obama’s name” in the report. “I do not see him credited with the standards.”

All of which got us to wondering what would happen should Jindal somehow, against all odds, be elected POTUS and attempt (either by misinterpreting or by manipulating) to skew the meeting of an international communique or a clause in a peace treaty or trade agreement?

With that in mind, we take you to the White House Oval Office sometime in say, 2018 or 2019:

President Jindal: I’ve just read the report on the Chinese economy and I don’t like what I see.

Press Secretary Mike Reed: Why is that, Mr. President?

Jindal: Well, it says here in black and white they want to initiate an “aggressive tirade mission aimed at exploding western markets. It’s obvious they’re planning to bomb Wall Street.”

Reed: No sir, it says “aggressive trade mission aimed at exploiting western markets.”

Jindal: Don’t correct me. I’m POTUS. Get me the Joint Chiefs of Staff, the NSC, Homeland Security and CIA Director Edmonson. Where’s my Budget Office director?

Kristy Kreme Nichols: I’m right here, Mr. President. I’ve been practicing my half-truths, distortions and denials.

Jindal: Kristy Kreme, where do we stand on Social Security and Medicare?

Kristy Kreme: It’s just Kristy, Sir. Some jerk in Louisiana hung that stupid name on me. Our program to cut Social Security and to offer less coverage under Medicare at higher premiums has resulted in 93 percent of senior citizens having to go back to work to supplement their retirement income. And eliminating the funding for unemployment certainly was effective. We have handicapped military veterans and homeless people cutting lawns and doing landscaping now. By the way, Susan West is doing a great job running Medicare under DHH Secretary Greenstein.

Jindal: Excellent. More people working. That’s what we wanted. Mike, put out a press release about our full employment program. How does Attorney General Faircloth feel about the legal issues involved?

Executive Counsel Thomas Enright: I spoke with him on this and he thinks it’s a slam dunk.

Jindal: Good. I knew I could rely on Jimmy. Always there when I need him. Oh, I need to talk to Secretary of State Teepell about that Russian threat to deploy its nuclear missiles.

Teepell: I’m here, Mr. President. That communique from Putin said he was offering to destroy his nuclear weapons, not deploy them.

Jindal: Destroy, deploy. Whatever happens, we know it’ll be Obama’s fault. Is the Secretary of the Interior here to give his report?”

Scott Angelle: Yes sir, Mr. President, I’m here. I’m happy to report that we have finalized contracts with Exxon/Mobil to open up oil and gas drilling in all the National Forests. Of course, we may have to cut down a few redwood and sequoia trees. Fracking in Yellowstone, however, could pose a problem with the geysers. Especially Old Faithful.

Jindal: Frack it. Those tree huggers probably believe in global warming, too. Do we have a report from Treasury?

Secretary of Treasury Tim Barfield: Everyone on Wall Street sends their best, Mr. President. The Dow set an all time record yesterday, thanks to our sweeping deregulation programs.

Jindal: You’re doing a heckuva job, Barfee. How’re we doing on our legislation to create a new cabinet position?

Chief of Staff Kyle Plotkin: It looks good, Mr. President. I believe we have the votes for the Secretary of Morality position.

Jindal: How does Gene Mills feel about his nomination to the post?

Plotkin: He’s warming up to it, sir. He’s taking a page from the Koran and informing senators and congressmen that if they adhere to a strict monogamous marriage, they will go to heaven where they will be rewarded with 70 virgins.

Jindal: How’s that working out?

Plotkin: We have complete bipartisanship in the House and Senate on this. And ALEC is seriously considering it for their model legislative package for state legislatures next year. We’ve never seen such enthusiasm. It’s a breakthrough of historic proportions.

Jindal: Well, I fail to see the hysterics in that but I’m glad they’re receptive.

Reed: Sir, it seems to me that you spent eight years as governor beating up on the federal government for trying to run our lives and now you’re trying to get it to monitor America’s bedrooms.

Jindal: But don’t you see, now I am the federal government. And you’re fired. This is great! I really do have the job I want.

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Members of Congress enter office already soliciting funds for the next election. It’s unfortunate that the system works this way but the concentration of wealth in the hands of the uncontrolled rich and powerful who want to be richer and more powerful, unfortunately, has made this an unavoidable fact of political life.

Warren Buffet said as much when he said, “There’s class warfare, all right, but it’s my class, the rich class, that’s making war, and we’re winning.” Buffet, for the record, wasn’t boasting, just stating a fact.

The foundation of rights in America is eroding from beneath our feet with every dollar poured into a political campaign by some political action committee. Every check written goes a little further in silencing the voice of the American middle class, a class that is shrinking with every vote case in Congress in favor of Wall Street, PhRMA, big oil, or defense contractors who often contribute to opposing candidates in the same race to hedge their bets.

Nowhere is that more evident than the page after page after page of PAC contributions to various candidates reported by the Federal Elections Commission. To ignore the dark money of these organizations would be to commit political suicide.

Yet, with each contribution accepted, our elected officials sink ever deeper into ethical gray areas, conflicts of interest and outright corruption. That’s because they never expected anyone to be looking over their shoulder when they took the contributions.

After scrolling through the lengthy list that follows, you might find yourself wondering if 3rd Congressional District Rep. Charles Boustany, Jr., would have accepted many of the following contributions had he known we were watching.

And keep in mind this is just a partial list of his $984,000 in PAC contributions.

ABBOTT LABORATORIES PAC: $5,000

  • In October 2011, the company agreed to pay at least $1.3 billion for illegally marketing its epilepsy drug Depakote to the U.S. government and 24 states. It is the third-largest pharmaceutical settlement in U.S. history. Shareholders then brought derivative suits against the company directors for breach of fiduciary duty.
  • On October 2, 2012, the company was charged with a $500 million fine and $198.5 million forfeiture for illegal marketing, and in a plea agreement was assessed the second-largest criminal fine in U.S. history for a drug company. U.S. District Court Judge Samuel G Wilson of the Western District of Virginia imposed it given Abbott’s guilty plea related to its unlawful promotion of Depakote for uses not approved by the FDA.
  • Abbotts Laboratories has been reported to use tax avoidance strategies. In 2011, two Irish subsidiaries of Abbott Laboratories made a profit of $1.8 billion and $1.1 billion respectively, but paid no tax. This is possible due to the Double Irish arrangement. While the directors of the company are all US-based, the first one is a direct subsidiary of an Abbott company in Switzerland which has no staff and has its registered office in Bermuda. It is considered as a “non-resident Irish entity incorporated in Bermuda” and therefore is exempted of taxes in both US and Irish jurisdiction.

ALTRIA GROUP PAC: $1,000

  • Altria Group, Inc. (previously named Philip Morris Companies Inc.) The name change alternative offers the possibility of masking the negatives associated with the tobacco business,” thus enabling the company to improve its image and raise its profile without sacrificing tobacco profits,
  • According to the Center for Public Integrity, Altria spent around $101 million on lobbying the U.S. government between 1998 and 2004, making it the second most active organization in the nation.
  • Altria also funded The Advancement of Sound Science Coalition which lobbied against the scientific consensus on climate change.
  • Daniel Smith, representing Altria, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

AMERICAN BANKERS ASSOCIATION PAC: $8,500

  • The financial crisis of 2007-2010 led to a sweeping overhaul of the United States financial regulatory system. The ABA spent $4.38 million on lobbying Congress in the first two quarters of 2011 alone. The ABA lobbied the White House, the departments of Agriculture, Treasury and Labor, and regulators such as the Federal Reserve, Commodity Futures Trading Commission and Securities and Exchange Commission.
  • As soon as the Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law on July 21, 2011, the American Bankers Association announced it would continue to lobby for fewer regulations on the Volcker Rule, derivatives regulations, and other pieces of the bill.

AT&T PAC: $3,500

  • AT&T is the second-largest donor to United States political campaigns, and the top American corporate donor, having contributed more than US$47.7 million since 1990, 56% and 44% of which went to Republican and Democratic recipients, respectively. Also, during the period of 1998 to 2010, the company expended US$130 million on lobbying in the United States. A key political issue for AT&T has been the question of which businesses win the right to profit by providing broadband internet access in the United States.
  • Bobby Jindal rejected an $80 million federal grant for the expansion of broadband internet service in rural Louisiana even as AT&T was contributing $250,000 to the Foundation run by Jindal’s wife Supriya after Gov. Jindal signed SB- 807 into law (Act 433) in 2008 over the objections of the Louisiana Municipal and the State Police Jury associations. The bill, the Consumer Choice for Television Act removed from local and parish governments their authority and responsibility to negotiate cable franchise agreements with companies that relied largely on locally-owned public infrastructure such as utility poles. The bill also allows AT&T to sell cable television service without the necessity of obtaining local franchises.
  • Bill Leahy, representing AT&T, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

BANK OF AMERICA PAC: $10,000

  • Bank of America (BOA) received $20 billion in the federal bailout from the U.S. government through the Troubled Asset Relief Program (TARP) in 2009, as well as a guarantee of $118 billion to cover potential losses by the company—in addition to the $25 billion given to them in the fall 2008 through TARP. The additional payment was part of a deal with the U.S. government to preserve BOA’s merger with the troubled investment firm Merrill Lynch. Since then, members of Congress expressed concern that some of the recipients had been accused of misusing the bailout money and that loan applicants (particularly small business owners) were denied loans and credit card holders faced stiffer terms on the debt in their card accounts.
  • BOA received an additional $5.2 billion in government bailout money, channeled through American International Group (AIG).
  • On August 3, 2009, BOA agreed to pay a $33 million fine, without admission or denial of charges, to the U.S. Securities and Exchange Commission (SEC) over the non-disclosure of an agreement to pay up to $5.8 billion of bonuses at Merrill Lynch. The bank approved the bonuses before the merger but did not disclose them to its shareholders when the shareholders were considering approving the Merrill acquisition in December 2008. New York State Attorney General Andrew Cuomo commented after the suit and announced settlement that “the timing of the bonuses, as well as the disclosures relating to them, constituted a ‘surprising fit of corporate irresponsibility.”
  • In 2010, the bank was accused by the U.S. government of defrauding schools, hospitals, and dozens of state and local government organizations via misconduct and illegal activities involving the investment of proceeds from municipal bond sales. As a result, the bank agreed to pay $137.7 million, including $25 million to the Internal Revenue service and $4.5 million to state attorney general, to the affected organizations to settle the allegations.
  • On October 24, 2012, the top federal prosecutor in Manhattan filed a lawsuit alleging that BOA fraudulently cost American taxpayers more than $1 billion when it sold toxic mortgages to Fannie Mae and Freddie Mac. The scheme was called ‘Hustle’, or High Speed Swim Lane.
  • In August 2014, BOA agreed to a near-$17 billion deal to settle claims against it relating to the sale of toxic mortgage-linked securities including subprime home loans, in what was believed to be the largest settlement in U.S. corporate history. The bank agreed to pay $9.65 billion in fines and $7 billion in relief to the victims of the faulty loans which included homeowners, borrowers, pension funds and municipalities.

BECHTEL GROUP PAC: $2,500

  • Bechtel’s work has been the subject of controversy, including a number of cases of contractor misconduct in the United States in the past decade. These cases have included significant issues at a site in Hanford, Washington, where Bechtel was decommissioning a former nuclear weapons site without conducting adequate safety reviews of some of the equipment used. Bechtel’s failure to conduct safety reviews of the equipment led to at least some underground tanks leaking radioactive waste in to nearby groundwater. Senator Ron Wyden alleged that Bechtel fired a whistleblower at the Hanford site, and expressed concern that this would discourage further whistleblowers from coming forward.
  • In Bolivia, one of Latin America’s poorest countries, Bechtel increased water rates by more than 50 percent after it secured a very controversial concession in the country just after a privatization program of water systems led by the US based World Bank in the late 90s.

BOEING PAC: $8,500

  • In 2003, Lockheed Martin sued Boeing for industrial espionage to win the Evolved Expendable Launch Vehicle (EELV) competition. Lockheed Martin claimed that the former employee Kenneth Branch, who went to work for McDonnell Douglas and Boeing, passed nearly 30,000 pages of proprietary documents to his new employers. Lockheed Martin argued that these documents allowed Boeing to win 19 of the 28 tendered military satellite launches.
  • In July 2003, Boeing was penalized, with the Pentagon stripping seven launches away from the company and awarding them to Lockheed Martin. Furthermore, the company was forbidden to bid for rocket contracts for a twenty-month period, which expired in March 2005. Boeing settled with the U.S. Department of Justice for $615 million.
  • On September 15, 2010, the World Trade Organization ruled that Boeing had received billions of dollars in illegal government subsidies.

BP CORP. PAC: $6,000

  • Technically, it is illegal for foreign entities to contribute to political campaigns in the U.S. but BP gets around that law by contributing through its U.S. arm of the company, BP Corp. North America.
  • In September 1999, one of BP’s US subsidiaries, BP Exploration Alaska (BPXA), pleaded guilty to criminal charges stemming from its illegally dumping of hazardous wastes on the Alaska North Slope, paying fines and penalties totaling $22 million. BP paid the maximum $500,000 in criminal fines, $6.5 million in civil penalties, and established a $15 million environmental management system at all of BP facilities in the US and Gulf of Mexico that are engaged in oil exploration, drilling or production. The charges stemmed from the 1993 to 1995 dumping of hazardous wastes on Endicott Island, Alaska by BP’s contractor Doyon Drilling. The firm illegally discharged toxic and hazardous substances by injecting them down the outer rim, or annuli, of the oil wells.
  • In 2006, a group of Colombian farmers reached a multimillion dollar out-of-court settlement with BP for alleged environmental damage caused by the Ocensa pipeline.
  • In 2009, another group of 95 Colombian farmers filed a suit against BP, saying the company’s Ocensa pipeline caused landslides and damage to soil and groundwater, affecting crops, livestock, and contaminating water supplies, making fish ponds unsustainable. Most of the land traversed by the pipeline was owned by peasant farmers who were illiterate and unable to read the environmental impact assessment conducted by BP prior to construction, which acknowledged significant and widespread risks of damage to the land.
  • BP attained a negative public image from the series of industrial accidents that occurred through the 2000s, and its public image was severely damaged after the Deepwater Horizon explosion and Gulf Oil spill that killed 11 men. In the immediate aftermath of the spill, BP initially downplayed the severity of the incident and made many of the same PR errors that Exxon had made after the Exxon Valdez CEO Tony Hayward was criticized for his statements and had committed several gaffes, including stating that he “wanted his life back.”
  • A federal judge ruled on Sept. 4, 2014, that BP was grossly negligent in helping cause the Deepwater Horizon oil spill of 2010, and that the oil company is liable for 67 percent of the blame.

CHESAPEAKE ENERGY CORP. PAC: $10,000

  • Chesapeake Energy Corp must face trial on charges of felony racketeering and using false pretenses related to its land-leasing practices, a state judge has ruled. Cheboygan District Court Judge Maria Barton ruled on Sept. 8, 2014, that Oklahoma-based Chesapeake will be tried on one charge of racketeering and 20 counts of using false pretenses to allegedly defraud private landowners in the state during an oil and gas leasing boom in 2010.
  • Former Chief Executive Aubrey McClendon borrowed $1.1 billion against his stake in thousands of company wells. The loans, undisclosed to shareholders, were used to fund McClendon’s operating costs for the Founders Well Participation Program, which offered him a chance to invest in a 2.5 percent interest in every well the company drills. McClendon in turn used the 2.5 percent stakes as collateral on those same loans. Analysts, academics and attorneys who reviewed the loan documents said the structure raised the potential for conflicts of interest and raised questions on the corporate governance and business ethics of Chesapeake Energy’s senior management. The company disagreed that this is a conflict of interest or a violation of business ethics.
  • Current CEO Doug Lawler was responsible for laying off over 800 employees—roughly 16 percent of the workforce—within a few months of taking the position. Lawler released waves of employees over the course of a few months. All of the layoffs culminated in October of 2013 when Lawler released a staggering 800 employees nationwide, 640 of whom were from the corporate office in Oklahoma City.

CITIGROUP: $4,500

  • In 2003, Citigroup published an investment brochure advising clients that “There is no ‘average consumer…Economic growth is powered by and largely consumed by the wealthy few.”
  • Heavy exposure to troubled mortgages compounded by poor risk management led Citigroup into trouble as the subprime mortgage crisis worsened in 2008. Citigroup announced on April 11, 2007, that it would eliminate 17,000 jobs, or about 5 percent of its workforce. Even after brokerage firm Bear Stearns ran into serious trouble in summer 2007, Citigroup decided the possibility of trouble with its CDO’s was so tiny that they excluded them from their risk analysis. With the crisis worsening, Citigroup announced on January 7, 2008 that it was considering cutting another 5 to 10 percent of its 327,000 member-workforce.
  • By November 2008, Citigroup was insolvent, despite its receipt of $25 billion in taxpayer funded federal TARP funds. On November 17, 2008, Citigroup announced plans for about 52,000 new job cuts—on top of 23,000 cuts already made during 2008.

DUKE ENERGY: $2,000

  • In 1999 the EPA initiated an enforcement action against Duke Energy for making modifications to old and deteriorating coal-burning power plants without getting permits under the Clean Air Act.
  • In 2002, researchers identified Duke Energy as the 46th-largest corporate producer of air pollution in the United States, with roughly 36 million pounds of toxic chemicals released into the air annually. Major pollutants included sulfuric and hydrochloric acid, chromium compounds, and hydrogen fluoride. The Political Economy Research Institute ranks Duke Energy 13th among corporations emitting airborne pollutants in the United States.

ERNST & YOUNG PAC: $5,500

  • In 2009, EY agreed to pay US$200m out of court to settle a negligence claim by the liquidators of Akai Holdings. It was alleged that EY falsified dozens of documents to cover up the theft of over US$800m by Akai’s chairman. In a separate lawsuit a former EY partner, Cristopher Ho, made a “substantial payment” to Akai creditors in his role as chairman of the company that had bought Akai just before it went bust in 2000. Police raided the Hong Kong office and arrested an EY partner who had been an audit manager on the Akai account from December 1997, although audit documents had been doctored dating back to 1994.
  • A few months later EY settled a similar claim of up to HK$300m from the liquidators of Moulin Global Eyecare, an audit client of the Hong Kong affiliate between 2002 and 2004. The liquidators described the Moulin accounts as a “morass of dodginess.”

GENERAL ELECTRIC: $4,000

  • According to the New York Times story, GE reported U.S. profits of $5.1 billion in 2010 (and $14.2 billion worldwide). “Its American tax bill?” asked the Times. “None. In fact, G.E. claimed a tax benefit of $3.2 billion,” an amount GE balanced out against other tax obligations. The company accomplished this, the story said, due to “an aggressive strategy that mixes fierce lobbying for tax breaks and innovative accounting that enables it to concentrate its profits offshore.”
  • Earlier this year, GE filed suit seeking a $658 million federal tax refund. That sum represents the $439 million in taxes and $219 million in interest GE coughed up in 2010 after Internal Revenue Service auditors disallowed a $2.2 billion loss it claimed from the 2003 sale of a small subsidiary, ERC Life Reinsurance Corp., to Scottish Re Group for $151 million.

HALLIBURTON CO. PAC: $2,000

  • Following the end of Operation Desert Storm in February 1991, the Pentagon, led by then defense secretary Dick Cheney, paid Halliburton subsidiary Brown & Root Services more than $8.5 million to study the use of private military forces with American soldiers in combat zones. Halliburton crews also helped bring 725 burning oil wells under control in Kuwait.
  • In 1995, Cheney replaced Thomas H. Cruikshank, as chairman and CEO.
  • In the early 1990s, Halliburton was found to be in violation of federal trade barriers in Iraq and Libya, having sold these countries dual-use oil drilling equipment and, through its former subsidiary, Halliburton Logging Services, sending six pulse neutron generators to Libya. After pleading guilty, the company was fined $1.2 million, with another $2.61 million in penalties.
  • From 1995 to 2002, Halliburton Brown & Root Services Corp. (BRS) was awarded at least $2.5 billion to construct and run military bases, some in secret locations, as part of the Army’s Logistics Civil Augmentation Program. This contract was a cost plus 13 percent contract and BRS employees were trained on how to pass GAO audits to ensure maximum profits were attained. Any mention in the Balkans of Cheney’s being CEO was grounds for termination. BRS was awarded and re-awarded contracts termed “noncompetitive” because BRS was the only company capable of pulling off the missions. DynCorp actually won the competitively let second contract, but never received any work orders in the Balkans.
  • In May 2003, Halliburton revealed in SEC filings that its KBR subsidiary had paid a Nigerian official $2.4 million in bribes in order to receive favorable tax treatment.
  • On January 24, 2006, Halliburton’s subsidiary KBR (formerly Kellogg, Brown and Root) announced that it had been awarded a $385 million contingency contract by the Department of Homeland Security to build “temporary detention and processing facilities” or internment camps.
  • On May 14, 2010, President Barack Obama said in an interview with CNN that “you had executives of BP and Transocean and Halliburton falling over each other to point the finger of blame at somebody else” when referring to the congressional hearings held during the Deepwater Horizon oil spill.

HONEYWELL INTERNATIONAL PAC: $5,000

  • In December 2011, the non-partisan liberal organization Public Campaign criticized Honeywell International for spending $18.3 million on lobbying while paying no taxes during 2008–2010, instead getting $34 million in tax rebates, despite making a profit of $4.9 billion, laying off 968 workers since 2008, and increasing executive pay by 15% to $54.2 million in 2010 for its top 5 executives.
  • Honeywell has been criticized in the past for its manufacture of deadly and maiming weapons. The Honeywell Project, for example, targeted Honeywell executives in an attempt to halt the production of cluster bombs.
  • The EPA said that no corporation has been linked to a greater number of Superfund toxic waste sites than has Honeywell. Honeywell ranks 44th in a list of US corporations most responsible for air pollution, releasing more than 9.4 million pounds of toxins per year into the air. In 2001, Honeywell agreed to pay $150,000 in civil penalties and to perform $772,000 worth of reparations for environmental violations involving:
  • failure to prevent or repair leaks of hazardous organic pollutants into the air
  • failure to repair or report refrigeration equipment containing chlorofluorocarbons
  • inadequate reporting of benzene, ammonia, nitrogen oxide, dichlorodifluoromethane, sulfuric acid, sulfur dioxide and caprolactam emissions
  • In 2003, a federal judge in New Jersey ordered the company to perform an estimated $400 million environmental remediation of chromium waste, citing “a substantial risk of imminent damage to public health and safety and imminent and severe damage to the environment.” In the same year, Honeywell paid $3.6 million to avoid a federal trial regarding its responsibility for trichloroethylene contamination in Illinois. In 2004, the State of New York announced that it would require Honeywell to complete an estimated $448 million cleanup of more than 165,000 pounds of mercury and other toxic waste dumped into Onondaga Lake in Syracuse. In 2005, the state of New Jersey sued Honeywell, Occidental Petroleum and PPG to compel cleanup of more than 100 sites contaminated with chromium, a metal linked to lung cancer, ulcers and dermatitis. In 2008, the state of Arizona made a settlement with Honeywell to pay a $5 million fine and contribute $1 million to a local air-quality cleanup project, after allegations of breaking water-quality and hazardous-waste laws on hundreds of occasions between the years of 1974 and 2004.

INVESTMENT COMPANY INSTITUTE PAC: $11,100

  • ICI lobbies on behalf of investment companies, working closely with policymakers and regulators through outreach efforts involving economic and legal analysis, sometimes advocating directly to the public on issues important to its members. It also donated $1.6 million for the 2012 PAC election cycle. In 2012, the ICI spent an additional $5 million on lobbying.

JOHNSON & JOHNSON PAC: $3,500

  • Juries in several U.S. states have found J&J guilty of hiding what it knew about the adverse effects of its antipsychotic medication Risperdal in order to promote it to doctors and patients as better than cheaper generics. J&J falsely marketed it to nursing home professionals and physicians for treating patients with dementia. States that have awarded damages include Texas ($158 million), South Carolina ($327 million), Louisiana ($258 million), and most notably Arkansas ($1.2 billion) – the Attorney General stated: “These two companies put profits before people, and they are rightfully being held responsible for their actions
  • Johnson and Johnson has also been subject to congressional investigations over secret payments and misleading ghost written articles given to leading psychiatrists promoting its products.

KOCH INDUSTRIES PAC: $5,000

  • From 1999 to 2003, Koch Industries was assessed more than $400 million in fines, penalties and judgments. In 2000, for 300 reported oil spills which had taken place across six states, Koch paid the largest civil fine ever imposed on a company for the illegal discharge of crude oil and petroleum products. The company agreed to pay a $30 million civil penalty, improve its leak-prevention programs and spend $5 million on environmental projects.
  • In 1996, an 8-inch-diameter steel pipeline operated by Koch Pipeline Company ruptured near Lively, Texas and began leaking butane gas. The vapor cloud ignited when two residents drove their pickup truck through the flammable vapors to get to a neighbor’s house to report the leak. The two were killed in the explosion. In 1999, a Texas jury found that negligence had led to the rupture of the Koch pipeline and awarded the victims’ families $296 million—the largest compensatory damages judgment in a wrongful death case against a corporation in U.S. history.
  • In 2000, a federal grand jury returned a 97-count indictment against Koch Industries for excess emissions of 85 metric tons of benzene, a known carcinogen. In 2001, Koch Industries was fined $20 million, of which $10 million was a criminal fine and $10 million to clean up the environment.
  • In 2008, Koch Industries discovered that the French affiliate Koch-Glitsch had violated bribery laws allegedly securing contracts in Algeria, Egypt, India, Morocco, Nigeria and Saudi Arabia after an investigation by Ethics Compliance officer, Egorova-Farines. After Koch Industries’ investigative team looked into her findings, the four employees involved were terminated. Egorova-Farines reported her findings immediately, and even after Koch’s investigators substantiated the findings, her “superiors removed her from the inquiry in August 2008 and fired her in June 2009, calling her incompetent.”
  • Koch Industries has spent more than $50 million to lobby in Washington between 2006 and October 2011.
  • The company has opposed the regulation of financial derivatives and limits on greenhouse gases. It sponsors free market foundations and causes and is one of the leading benefactors of the American Legislative Exchange Council (ALEC).
  • According to the Center for Responsive Politics, many of Koch Industries’ contributions have gone toward achieving legislation on energy issues, defense appropriations and financial regulation reform. Koch Industries has been criticized for the role the company plays in affecting climate change policy in the U.S.

LOCKHEED MARTIN EMPLOYEES’ PAC: $6,500

  • Lockheed Martin received $36 billion in government contracts in 2008, more than any company in history. It does work for more than two dozen government agencies from the Department of Defense and the Department of Energy to the Department of Agriculture and the Environmental Protection Agency. It’s involved in surveillance and information processing for the CIA, the FBI, the Internal Revenue Service (IRS), the National Security Agency (NSA), The Pentagon, the Census Bureau and the Postal Service.
  • Lockheed is listed as the largest U.S. government contractor and ranks third for number of incidents, and 21st for size of settlements. Since 1995 the company has agreed to pay $606 million to settle 59 instances of misconduct.
  • Through its political action committee (PAC), the company provides low levels of financial support to candidates who advocate national defense and relevant business issues. It was the top contributor to House Armed Services Committee chairman Howard P. “Buck” McKeon (R-California), giving more than $50,000 in the most recent election cycle. It also topped the list of donors to Sen. Daniel Inouye (D-HI), chairman of the Senate Appropriations Committee before his death in 2012.
  • Lockheed Martin Employees Political Action Committee is one of the 50 largest in the country. With contributions from 3,000 employees, it donates $500,000 a year to about 260 House and Senate candidates.
  • In March 2013, Maryland State Senate Majority Leader Rob Garagiola, while he was said to be dating a Lockheed Martin lobbyist, cosponsored a resolution which would give Lockheed Martin tax rebate worth millions of dollars related to hotel taxes paid at its CLE facility in Bethesda, MD. This was after Montgomery County Council refused to pass a similar resolution.

MARATHON OIL EMPLOYEES PAC: $12,000

  • Marathon gave $250,000 to the Supriya Jindal Foundation and Gov. Bobby Jindal’s administration promptly awarded Marathon subsidiaries $5.2 million in state funds.

MERCK & CO.:  $2,500

  • A US Justice Department fraud investigation began in 2000 when allegations were brought in two separate lawsuits filed by whistleblowers who alleged that Merck failed to pay proper rebates to Medicaid and other health care programs and paid illegal remuneration to health care providers. In 2008, Merck agreed to pay more than $650 million to settle charges that it routinely overbilled Medicaid for its most popular medicines. The settlement was one of the largest pharmaceutical settlements in history. The federal government received more than $360 million, plus 49 states and Washington, DC, received over $290 million. One whistleblower received a $68 million reward. Merck made the settlement without an admission of liability or wrongdoing.
  • From 2002 through 2005 the Australian affiliate of Merck sponsored the eight issues of a medical journal, the Australasian Journal of Bone and Joint Medicine, published by Elsevier. Although it gave the appearance of being an independent peer-reviewed journal, without any indication that Merck had paid for it, the journal actually reprinted articles that originally appeared in other publications and that were favorable to Merck. The misleading publication came to light in 2009 during a personal injury lawsuit filed over Vioxx; 9 of 29 articles in the journal’s second issue referred positively to Vioxx. In 2009, the CEO of Elsevier’s Health Sciences Division, Michael Hansen, admitted that the practice was “unacceptable”.
  • In December 2013, Merck agreed to pay a total of $27.7 million dollars to 1,200 plaintiffs in a class action lawsuit alleging that the company’s osteoporosis drug had caused them to develop osteonecrosis of the jaw.

MORGAN STANLEY: $7,000

  • In 2003, Morgan Stanley agreed to pay $125 million in order to settle its portion of a $1.4 billion settlement brought by New York Attorney General Eliot Spitzer, the National Association of Securities Dealers, the United States Securities and Exchange Commission, (SEC) and a number of state securities regulators, relating to intentionally misleading research motivated by a desire to win investment banking business with the companies covered.
  • Morgan Stanley settled a sex discrimination suit brought by the Equal Employment Opportunity Commission for $54 million in July 2004. In 2007, the firm agreed to pay $46 million to settle a class action lawsuit brought by eight female brokers.
  • In July 2004, the firm paid NASD a $2.2 million fine for more than 1,800 late disclosures of reportable information about its brokers.
  • In September 2004, the firm paid a $19 million fine imposed by NYSE for failure to deliver prospectuses to customers in registered offerings, inaccurate reporting of certain program trading information, short sale violations, failures to fingerprint new employees and failure to timely file exchange forms.
  • The New York Stock Exchange imposed a $19 million fine on January 12, 2005 for alleged regulatory and supervisory lapses, the largest fine ever imposed by NYSE at the time.
  • In 2005, a Florida jury found that Morgan Stanley failed to give adequate information to Ronald Perelman about Sunbeam thereby defrauding him and causing damages to him of $604 million. In addition, punitive damages were added for total damages of $1.450 billion after the firm’s attorneys infuriated the court by failing and refusing to produce documents, and falsely telling the court that certain documents did not exist. The ruling was overturned in 2007.
  • Morgan Stanley settled a class action lawsuit in 2006 by both current and former Morgan Stanley employees for unfair labor practices instituted upon those in the financial advisor training program. Employees of the program had claimed the firm expected trainees to clock overtime hours without additional pay and handle various administrative expenses as a result of their expected duties. Morgan Stanley settled for $42.5 million.
  • In May the firm agreed to pay a $15 million fine after the Securities and Exchange Commission accused the firm of deleting emails and failing to cooperate with SEC investigators.
  • FINRA announced a $12.5 million settlement with Morgan Stanley in 2007 over charges that the firm’s former affiliate, Morgan Stanley DW, Inc. (MSDW), failed on numerous occasions to provide emails to claimants in arbitration proceedings as well as to regulators. The company had claimed that the destruction of the firm’s email servers in the September 11, 2001 terrorist attacks on New York’s World Trade Center resulted in the loss of all email before that date. In fact, the firm had millions of earlier emails that had been retrieved from backup copies stored in another location that was not destroyed in the attacks. Customers who had lost their arbitration cases against Morgan Stanley DW Inc. because of their inability to obtain these emails to demonstrate Morgan Stanley’s misconduct received a token amount of money as a result of the settlement.
  • In July 2007, Morgan Stanley agreed to pay $4.4 million to settle a class-action lawsuit for incorrectly charging clients for storage of precious metals.
  • In August 2007, Morgan Stanley was fined $1.5 million and paid $4.6 million in restitution to customers related to excessive mark-ups in 2,800 transactions. An employee was charged $40,000 and suspended for 15 days.
  • Under a 2008 settlement with New York Attorney General Andrew M. Cuomo, the firm agreed to repurchase approximately $4.5 billion worth of auction rate securities. The firm was accused of misrepresenting auction rate securities in their sales and marketing.
  • In April 2010, the Commodity Futures Trading Commission announced the firm agreed to pay $14 million related to an attempt to hide prohibited trading activity in oil futures.
  • The Department of Justice sought a $4.8 million fine from Morgan Stanley for its part in an electricity price-fixing scandal. Con Edison estimated that the crime cost New York state consumers about $300 million. Morgan Stanley earned revenues of $21.6 million from the fraud.
  • Morgan Stanley agreed to pay a $5 million fine to the Commodity Futures Trading Commission and an addition $1.75 million to CME and the Chicago Board of Trade after employees improperly executed fictitious sales in Eurodollar and Treasury note futures contracts.
  • On August 7, 2012, it was announced that Morgan Stanley would have to pay $4.8 million in fines in order to settle a price fixing scandal, which has been estimated to have cost New Yorkers $300 million.

OCCIDENTAL PETROLEUM PAC: $6,000

  • Occidental entered the chemical business with the acquisition of Hooker Chemical Co. in 1968, 26 years after the contamination at Love Canal. It added to its chemical industries portfolio in 1988 with the outright purchase for $2 billion of Cain Chemical. On July 6, 1988, an explosion on the Piper Alpha platform, operated by Occidental Petroleum in the Scottish North Sea, resulted in 167 fatalities in what remains the world’s most deadly offshore disaster.
  • Occidental’s coal interests were represented for many years by attorney and former U.S. Sen. Albert Gore, Sr., among others. Gore, who had a long-time close friendship with Occidental Chairman Armand Hammer, became the head of the subsidiary Island Creek Coal Company, upon his re-election loss. Much of Occidental’s coal and phosphate production was in Tennessee, the state Gore represented in the Senate, and Gore owned shares in the company. Former Vice President Albert Gore, Jr. received much criticism from environmentalists, when he became executor of his father’s estate.

PFIZER, INC. PAC: $3,000

  • In September 2009, Pfizer pleaded guilty to the illegal marketing of the arthritis drug Bextra for uses unapproved by the U.S. Food and Drug Administration (FDA), and agreed to a $2.3 billion settlement, the largest health care fraud settlement at that time. Pfizer also paid the U.S. government $1.3 billion in criminal fines related to the “off-label” marketing of Bextra, the largest monetary penalty ever rendered for any crime. Called a repeat offender by prosecutors, this was Pfizer’s fourth such settlement with the U.S. Department of Justice in the previous ten years.

R.J. REYNOLDS PAC: $3,500

(It seems curious that a physician would accept campaign money from a tobacco company.)

  • In 1994, then CEO James Johnston testified under oath before Congress, saying that he didn’t believe that nicotine is addictive.
  • In 2002, the company was fined $15m for handing out free cigarettes at events attended by children, and was fined $20m for breaking the 1998 Master Agreement, which restricted targeting youth in its tobacco advertisements.
  • In May 2006 former R.J. Reynolds vice-president of sales Stan Smith pleaded guilty to charges of defrauding the Canadian government of $1.2 billion through a cigarette smuggling operation. Smith confessed to overseeing the 1990s operation while employed by RJR. Canadian-brand cigarettes were smuggled out of and back into Canada, or smuggled from Puerto Rico, and sold on the black market to avoid taxes. The judge referred to it as biggest fraud case in Canadian history.

RAYTHEON CO. PAC: $3,500

  • In March 1990, Raytheon pleaded guilty to one felony count of illegally obtaining classified Air Force budget and planning documents. U.S. District Judge Albert V. Bryan, Jr. imposed a $10,000 criminal fine for one felony count of “conveyance without authority” and $900,000 in civil penalties and damages. The documents allegedly gave Raytheon an unfair advantage against its competitors in bidding for weapons contracts. Although the plea only involved 1983 Air Force documents, U.S. Attorney Henry Hudson said Raytheon also illegally obtained a wide range of secret Pentagon documents.
  • In October 1994, Raytheon paid $4 million to settle a U.S. government claim that it inflated a defense contract for antimissile radar. The PAVE PAWS (Precision Acquisition Vehicle Entry Phased Array Warning System) system was designed to detect incoming submarine-launched ballistic missiles. The government claimed in a federal lawsuit that Raytheon inflated a contract to upgrade two of four PAVE PAWS sites by proposing to hire higher-skilled employees than were necessary for the job.
  • Just one year earlier, on October 14, 1993, Raytheon paid $3.7 million to settle allegations that it misled the U.S. Department of Defense by overstating the labor costs involved in manufacturing Patriot missiles. “The recovery of this money is yet another warning to contractors that the Truth in Negotiations Act’s information disclosure requirements will be strictly and sternly enforced,” Assistant Attorney General Frank Hunger said.
  • The Patriot missile system was not the spectacular success in the Persian Gulf War that the American public was led to believe. There is little evidence to prove that the Patriot hit more than a few Scud missiles launched by Iraq during the Gulf War, and there are some doubts about even these engagements. The public and the U.S. Congress were misled by definitive statements of success issued by administration and Raytheon representatives during and after the war.

DOW CHEMICAL EMPLOYEES PAC: $3,000

  • Dow was one of several manufacturers who began producing the napalm B compound under government contract from 1965. After experiencing protests and negative publicity, the other suppliers discontinued manufacturing the product, leaving Dow as the sole provider. The company said that it carefully considered its position, and decided, as a matter of principle, “its first obligation was to the government.” Despite a boycott of its products by anti-war groups and harassment of recruiters on some college campuses, Dow continued to manufacture napalm B until 1969. The USA continued to drop napalm bombs on North Vietnam until 1973.
  • Until the late 1970s, Dow produced DBCP (1,2-dibromo-3-chloropropane), a soil fumigant, and nematicide, sold under the names the Nemagon and Fumazone. Workers at Dow’s DBCP production plants were made sterile by exposure to the compound. These effects were consistent with animal experiments showing that DBCP sterilized rabbits. The workers successfully sued the company, and most domestic uses of DBCP were banned in 1977.
  • Areas along Michigan’s Tittabawassee River, which runs within yards of Dow’s main plant in Midland, were found to contain elevated levels of the cancer-causing chemical dioxin in November 2006. In July 2007, Dow reached an agreement with the EPA to remove 50,000 cubic yards of sediment from three areas of the riverbed and levees of the river that had been found to be contaminated. In November 2008, Dow Chemical along with the EPA and Michigan Department of Environmental Quality agreed to establish a Superfund to address dioxin cleanup of the Tittabawassee River, Saginaw River and Saginaw Bay.[48]
  • According to the EPA, Dow has some responsibility for 96 of the United States’ Superfund toxic waste sites, placing it in 10th place by number of sites.

GOLDMAN SACHS PAC: $7,500

  • A federal appeals court upheld the conviction of former Goldman Sachs Group Inc director Rajat Gupta, one of the biggest successes in federal prosecutors’ long-running probe to stop insider trading on Wall Street.
  • Federal prosecutors and Securities and Exchange Commission officials also investigated whether a senior Goldman investment banker, Matthew Korenberg, fed inside information to a Galleon Group portfolio manager named Paul Yook, according to separate reports in the New York Times and the Wall Street Journal.

THE WILLIAMS COMPANIES PAC: $4,000

  • In 2002, Williams Communications Group was sued for that company officials did not properly disclose the failing company’s true financial condition, and that officials’ public statements belied the firm’s plummeting fiscal picture. In 2007, the Williams Companies agreed to pay $290 million.
  • Boardwalk Pipeline Partners and the Williams Companies were fined $2.4 million for 18 incidents that took place between 2006 and 2013 that include failing to monitor corrosion and waiting to repair a natural gas line showing metal loss in Kentucky.

UBS (UNION BANK OF SWITZERLAND) AMERICAS PAC:

  • As is the case of BP, UBS is a foreign company and circumvents the prohibition on foreign contributions to political campaigns through its American offices. But that technicality is minor compared to the company’s other enterprises.
  • The activities of the Union Bank of Switzerland during World War II were not publicly known until decades after the war, when it was demonstrated that UBS likely took active roles in trading stolen gold, securities, and other assets during World War II. The issue of “unclaimed property” of Holocaust victims became a major issue for UBS in the mid-1990s and a series of revelations in 1997 brought the issue to the forefront of national attention in 1996 and 1997. UBS confirmed that a large number of accounts had gone unclaimed as a result of the bank’s policy of requiring death certificates from family members to claim the contents of the account. UBS’s handling of these revelations were largely criticized and the bank received significant negative attention in the U.S. UBS came under significant pressure, particularly from American politicians, to compensate Holocaust survivors who were making claims against the bank.
  • In January 1997, Christoph Meili, a night watchman at the Union Bank of Switzerland, found employees shredding archives compiled by a subsidiary that had extensive dealings with Nazi Germany. The shredding was in direct violation of a then-recent Swiss law adopted in December 1996 protecting such material. UBS acknowledged that it had “made a deplorable mistake”, but an internal historian maintained that the destroyed archives were unrelated to the Holocaust. Criminal proceedings then began against the archivist for possible violation of a recent Federal Document Destruction decree and against Meili for possible violation of bank secrecy, which is a criminal offence in Switzerland. Both proceedings were discontinued by the District Attorney in September 1997.
  • Long Term Capital Management (LTCM) was a U.S. hedge fund used for trading strategies such as fixed income arbitrage, statistical arbitrage, and pairs trading, combined with high leverage. Its collapse in 1998 led to a bailout by major banks and investment houses, and resulted in massive losses for UBS at a time when it had merged with Swiss Bank Corporation. However, UBS involvement with LTCM pre-dated the merger.
  • In early 2007, UBS became the first Wall Street firm to announce heavy losses in the subprime mortgage sector as the subprime mortgage crisis began to unfold. In May 2007, UBS announced the closure of its Dillon Read Capital Management (DRCM) division. During 2006 and 2007 the bank’s losses continued to mount in 2008 when UBS announced in April 2008 that it was writing down a further US$19 billion of investments in subprime and other mortgage assets. UBS’s total losses in the mortgage market were in excess of $37 billion, the largest such losses of any of its peers.
  • UBS announced in February 2009 that it had lost nearly CHF20 billion (US$17.2 billion) in 2008, the biggest single-year loss of any company in Swiss history. Since the beginning of the financial crisis in 2007, UBS has written down more than US$50 billion from subprime mortgage investments and cut more than 11,000 jobs.

UNITED TECHNOLOGIES CORP. PAC: $8,500

  • During the 2004 election cycle, UTC was the sixth largest defense industry donor to political campaigns, contributing a total of $789,561. 64% of UTC’s 2004 contributions went to Republicans. UTC was also the sixth largest donor to federal candidates and political parties in the 2006 election cycle. 35% of those contributions went to Democrats; 53% of the funds were contributed to Republicans.
  • In 2005, United Technologies was among 53 entities that contributed the maximum of $250,000 to the second inauguration of President George W. Bush.
  • Researchers at the University of Massachusetts Amherst have identified UTC as the 38th-largest corporate producer of air pollution in the United States as of 2008. UTC released roughly 110,000 pounds of toxic chemicals annually into the atmosphere including manganese, nickel, chromium and related compounds.

UNITEDHEALTH GROUP PAC: $10,000

  • In 2010, UnitedHealth Group spent more than $1.8 million on lobbying activities to achieve favorable legislation, and hired seven different lobbying firms to work on its behalf. In addition, its corporate political action committee spent an additional $1 million on lobbying activities in 2010.
  • In 2006, the Securities and Exchange Commission (SEC) began investigating the conduct of UnitedHealth Group’s management and directors, for backdating of stock options. Investigations were also begun by the Internal Revenue Service and prosecutors in the U.S. attorney’s office for the Southern District of New York. The investigations came to light after a series of Wall Street Journal stories in May 2006, claiming backdating of hundreds of millions of dollars worth of stock options by UHC management. The backdating apparently occurred with the knowledge and approval of the directors, according to the Journal. On October 15, 2006, CEO William McGuire was forced to resign, and relinquish hundreds of millions of dollars in stock options. In December 2007, the SEC announced a settlement under which McGuire would repay $468 million, as a partial settlement.
  • In June 2006, the American Chiropractic Association filed a national class action lawsuit against the American Chiropractic Network (ACN), which is owned by UnitedHealth Group and administers chiropractic benefits, and against UnitedHealth Group itself, for alleged practices in violation of the federal Racketeer Influence and Corrupt Organizations Act (RICO).

WALMART STORES PAC: $6,000

  • Wal-Mart is the beneficiary of $96.5 million in economic development subsidies in Louisiana and $1.2 billion in tax breaks nationwide. http://www.walmartsubsidywatch.org/state_detail.html?state=LA Yet, in 2011, Walmart, four of whose owners are among the 11 richest Americans, decided to roll back health care coverage and to increase premiums for its employees. (Does this sound familiar, Bobby Jindal?) Wal-Mart still boasted that 90 percent of its employees had health coverage, neglecting to mention that more than half of those got their coverage through their spouses’ group coverage. The company provides no health coverage at all for new part time employees despite the company’s 24.7 percent gross profit martin that same year.
  • An April 2012 New York Times investigative report revealed that a former Walmart executive alleged that, in September 2005, Walmart de Mexico paid bribes throughout Mexico in order to obtain construction permits, information, and other favors. Concerns were raised that Walmart executives in the United States concealed the allegations. Reportedly, bribes were given to speed up construction permits, which gave Walmart a substantial advantage over its business competitors. A follow-up investigation by The New York Times published December 17, 2012, revealed evidence that regulatory permission for siting, construction, and operation of 19 stores were obtained through bribery.
  • A paper published in Farm Foundation in 1997 found that some small towns can lose almost half of their retail trade within ten years of a Walmart store opening.
  • A 2004 paper by two professors at Penn State University found that counties with Walmart stores suffered increased poverty compared with counties without Walmarts due to displacement of workers from higher-paid jobs in retail stores which customers no longer choose to patronize. A study in Nebraska looked at two different Walmarts, the first of which had just arrived and was in the process of driving everyone else out of business by cutting their prices to the bone. In the other Walmart, “they had successfully destroyed the local economy, there was a sort of economic crater with Wal-Mart in the middle; and, in that community, the prices were 17 percent higher.”
  • The Economic Policy Institute estimates that between 2001 and 2006, Walmart’s trade deficit with China alone eliminated nearly 200,000 U.S. jobs. Another study found that a new store increases net retail employment in the county by 100 jobs in the short term, half of which disappear over five years as other retail establishments close.
  • Walmart has been criticized by labor unions, community groups, grassroots organizations, religious organizations, environmental groups, and even Walmart’s own customers and employees. They have protested against the company’s policies and business practices, including charges of racial and gender discrimination. Other areas of criticism include the corporation’s foreign product sourcing, treatment of product suppliers, employee compensation and working conditions, environmental practices, the use of public subsidies, the company’s security policies and slavery. Wal-Mart denies doing anything wrong and maintains that low prices are the result of efficiency.

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With $1.1 million reported U.S. Rep. Steve Scalise, the House Majority Whip, is slightly ahead of Rep. Charles Boustany’s $984,000 but less than half of U.S. Sen. Mary Landrieu’s $2.6 million to rank as the second leading recipient of contributions from political action committees (PACs) among Louisiana’s congressional delegation, according to information provided by the Federal Elections Commission.

While opponents in congressional races are quick to point out opponents’ vulnerability to political influence from special interest groups, each of the state’s eight-member (two senators and six representatives) accept contributions from PACs.

And it’s very important to them that they accept this money in private and out of the public eye. The last thing they want is for us to be watching to see where they get their funding.

It is this practice that is becoming more and more grating to the individual voters who do not have the means to match PACs on a dollar-for-dollar basis. And that imbalance long ago tipped the scales in favor of pharmaceutical companies, Wall Street banks, oil companies, tobacco (disguised under innocent-sounding corporate names) and defense contractors, to name only a few, at the expense of the interests of John Q. Citizen.

The various business and industry lobbyists, once a rare animal in Washington, had by the late 1970s become such a force that they outnumbered the 535 members of Congress 130 to one. The number of companies with offices in the nation’s capital grew from 175 in 1971 to 2,445 a decade later.

By 1978, nearly 2,000 different trade associations employed 50,000 staff members in Washington and in 1980 the U.S. Chamber of Commerce employed 45 full-time lobbyists.

They are all there for one reason and one reason only: to feed the beast and with each election (every two years for House members and every six year for the Senate) the beast grows ever-hungrier and it is the American voter who is being devoured.

Each incumbent has accepted PAC contributions but not all challengers have. For this reason, LouisianaVoice has taken on the project of providing a sampling of PAC contributions to each candidate for the House and Senate where applicable. Contributions to each candidate will be duly reported over the coming weeks.

Our fourth installment, presented here, is on the PAC contributions to U.S. Rep. Steve Scalise.

ALTRIA GROUP PAC: $6,500

  • Altria Group, Inc. (previously named Philip Morris Companies Inc.) The name change alternative offers the possibility of masking the negatives associated with the tobacco business,” thus enabling the company to improve its image and raise its profile without sacrificing tobacco profits,
  • According to the Center for Public Integrity, Altria spent around $101 million on lobbying the U.S. government between 1998 and 2004, making it the second most active organization in the nation.
  • Altria also funded The Advancement of Sound Science Coalition which lobbied against the scientific consensus on climate change.
  • Daniel Smith, representing Altria, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

AMERICAN AIRLINES: $2,000

  • American was accused of hiding repeated maintenance lapses from the FAA. Repair issues included such items as faulty emergency slides, improper engine coatings, incorrectly drilled holes, and other examples of shoddy workmanship. The most serious alleged lapse was a failure to repair cracks to pressure bulkheads; the rupture of a bulkhead could lead to cabin depressurization. It is also alleged that the airline retired one airplane in order to hide it from FAA inspectors.
  • AMR Corporation filed for Chapter 11 bankruptcy protection in 2011, and American announced capacity cuts in July 2012 due to the grounding of several aircraft associated with its bankruptcy and lack of pilots due to retirements. American notified more than 11,000 workers of possible job loss as part of its bankruptcy reorganization, and cut flights in September and October 2012.
  • As of November 2013 American Airlines and American Eagle received $10 million in annual federal subsidies.

AMERICAN BANKING ASSOCIATION PAC: $9,500

  • The financial crisis of 2007-2010 led to a sweeping overhaul of the United States financial regulatory system. The ABA spent $4.38 million on lobbying Congress in the first two quarters of 2011 alone. The ABA lobbied the White House, the departments of Agriculture, Treasury and Labor, and regulators such as the Federal Reserve, Commodity Futures Trading Commission and Securities and Exchange Commission.
  • As soon as the Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law on July 21, 2011, the American Bankers Association announced it would continue to lobby for fewer regulations on the Volcker Rule, derivatives regulations, and other pieces of the bill.

AMERICAN PETROLEUM INSTITUTE: $2,000

  • To help fight climate control legislation, API supports the Energy Citizens group. A leaked summer 2009 memo from API President Jack Gerard asked its member companies to urge their employees to participate in planned protests (designed to appear independently organized) against cap-and-trade legislation. “The objective of these rallies is to put a human face on the impacts of unsound energy policy and to aim a loud message at [20 different] states.” Gerard said that API would cover all organizational costs and handling of logistics. In response to the memo, an API spokesman told media that participants will be there (at protests) because of their own concerns, and that API is just helping them assemble. Texas residents who were not employed by the energy industry were turned away from the event.

BANK OF AMERICA CORP. PAC: $2,000

  • Bank of America (BOA) received $20 billion in the federal bailout from the U.S. government through the Troubled Asset Relief Program (TARP) in 2009, as well as a guarantee of $118 billion to cover potential losses by the company—in addition to the $25 billion given to them in the fall 2008 through TARP. The additional payment was part of a deal with the U.S. government to preserve BOA’s merger with the troubled investment firm Merrill Lynch. Since then, members of Congress expressed concern that some of the recipients had been accused of misusing the bailout money and that loan applicants (particularly small business owners) were denied loans and credit card holders faced stiffer terms on the debt in their card accounts.
  • BOA received an additional $5.2 billion in government bailout money, channeled through American International Group (AIG).
  • On August 3, 2009, BOA agreed to pay a $33 million fine, without admission or denial of charges, to the U.S. Securities and Exchange Commission (SEC) over the non-disclosure of an agreement to pay up to $5.8 billion of bonuses at Merrill Lynch. The bank approved the bonuses before the merger but did not disclose them to its shareholders when the shareholders were considering approving the Merrill acquisition in December 2008. New York State Attorney General Andrew Cuomo commented after the suit and announced settlement that “the timing of the bonuses, as well as the disclosures relating to them, constituted a ‘surprising fit of corporate irresponsibility.”
  • In 2010, the bank was accused by the U.S. government of defrauding schools, hospitals, and dozens of state and local government organizations via misconduct and illegal activities involving the investment of proceeds from municipal bond sales. As a result, the bank agreed to pay $137.7 million, including $25 million to the Internal Revenue service and $4.5 million to state attorney general, to the affected organizations to settle the allegations.
  • On October 24, 2012, the top federal prosecutor in Manhattan filed a lawsuit alleging that BOA fraudulently cost American taxpayers more than $1 billion when it sold toxic mortgages to Fannie Mae and Freddie Mac. The scheme was called ‘Hustle’, or High Speed Swim Lane.
  • In August 2014, BOA agreed to a near-$17 billion deal to settle claims against it relating to the sale of toxic mortgage-linked securities including subprime home loans, in what was believed to be the largest settlement in U.S. corporate history. The bank agreed to pay $9.65 billion in fines and $7 billion in relief to the victims of the faulty loans which included homeowners, borrowers, pension funds and municipalities.

BRIDGE POINT EDUCATION PAC: $3,000

  • In 2011, Senator Tom Harkin (D-Iowa) chaired a hearing of the Health, Education, Labor, and Pensions Committee that examined Bridgepoint Education, Inc., which had experienced near-exponential profit growth despite low graduation rates. Bridgepoint purchased two universities both were near bankruptcy—Ashford University in Iowa and the University of the Rockies in Colorado. When it purchased Ashford University in 2005, the university had less than 300 students but today has over 78,000 students, 99 percent of whom are online.
  • Harkin was critical of the fact that despite such growth of the company, student success was lacking. Sixty-three percent of students who enrolled at Ashford University during the 2008–2009 school year withdrew before completion of their respective programs. Harkin noted that Bridgepoint recorded more than $216 million in profits in 2010—86.5 percent of which came from federal funds. Harkin said of those figures, “In the world of for-profit higher education, spectacular business success is possible despite an equally spectacular record of student failure. Bridgepoint is a private company, but it is almost entirely dependent upon public funds … I think this is a scam, an absolute scam.”

BRISTOL-MYERS SQUIBB EMPLOYEE PAC: $2,000

  • The company was caught up in an accounting scandal in 2002 over a significant restatement of revenues from 1999 to 2001, the result of an improper booking of sales related by offering excess inventory to customers to create higher sales numbers. The company settled with the U.S. Department of Justice and the Securities and Exchange Commission for $150 million. In 2002, the company was involved in illegally maintaining a monopoly on Taxol, its cancer treatment, and it was again sued. The company settled for $125 million.

CAPITAL ONE FINANCIAL CORP.: $5,000

  • In July 2012, Capital One was sued for misleading millions of its customers, by charging them for payment protection or credit monitoring when they took out a card. The company agreed to pay $210 million and to refund two million customers.
  • In August 2014, Capital One and three collection agencies entered into an agreement to pay $75.5 million to end a consolidated class action lawsuit alleging that the companies used an automated dialer to call customers’ cellphones without consent.
  • In 2014, Capital One amended its terms of service to create a right for it to “contact you in any manner we choose”, including a” personal visit . . . at your home and at your place of employment.” It also asserted its right to “modify or suppress caller ID and similar services and identify ourselves on these services in any manner we choose.”

CHESAPEAKE ENERGY CORP. PAC: $10,000

  • Former Chief Executive Aubrey McClendon borrowed $1.1 billion against his stake in thousands of company wells. The loans, undisclosed to shareholders, were used to fund McClendon’s operating costs for the Founders Well Participation Program, which offered him a chance to invest in a 2.5 percent interest in every well the company drills. McClendon in turn used the 2.5 percent stakes as collateral on those same loans. Analysts, academics and attorneys who reviewed the loan documents said the structure raised the potential for conflicts of interest and raised questions on the corporate governance and business ethics of Chesapeake Energy’s senior management. The company disagreed that this is a conflict of interest or a violation of business ethics.
  • Current CEO Doug Lawler was responsible for laying off over 800 employees—roughly 16 percent of the workforce—within a few months of taking the position. Lawler released waves of employees over the course of a few months. All of the layoffs culminated in October of 2013 when Lawler released a staggering 800 employees nationwide, 640 of whom were from the corporate office in Oklahoma City.
  • In June of 2014, the state of Michigan filed felony fraud and racketeering charges against Chesapeake Energy, alleging that the company canceled hundreds of land leases on false pretenses after it sought to obtain oil and gas rights. Chesapeake Energy disputed all charges.

CHEVRON EMPLOYEES PAC: $10,000

  • In 2003 a class action lawsuit against Chevron was sued in Ecuadorian court for $28 billion for making residents ill and damaging forests and rivers by discharging 18 billion US gallons of formation water into the Amazon. Chevron claimed that agreements with the Ecuadorian Government exempted the company from any liabilities.
  • In 2011, Ecuadorian residents were awarded $8.6 billion, based on claims of loss of crops and farm animals as well as increased local cancer rates. The award was later revised to $19 billion on appeals, which was then appealed to the Ecuadorean National Court of Justice. Chevron described the lawsuit as an “extortion scheme” and refused to pay the fine.
  • Chevron’s activities at its century-old Richmond refinery have been the subject of ongoing controversy. The project generated over 11 million pounds of toxic materials and caused more than 304 accidents. The Richmond refinery paid $540,000 in 1998 for illegally bypassing waste water treatments and failing to notify the public about toxic releases. Overall, Chevron is listed as potentially liable for 95 Superfund sites, with funds set aside by the EPA for clean-up.
  • Chevron’s operations in Africa have also been criticized as environmentally unsound. In 2002, Angola became the first country in Africa to levy a fine on a major multinational corporation operating within its borders when it demanded $2 million in compensation for oil spills allegedly caused by Chevron.
  • On October 16, 2003, Chevron U.S.A. settled a charge under the Clean Air Act, which reduced harmful air emissions by about 10,000 tons a year. In San Francisco, Chevron was ordered to spend almost $275 million to install and utilize innovative technology to reduce nitrogen and sulfur dioxide emissions at its refineries. In 2000, after violating the Clean Air Act at an offline loading terminal in El Segundo, California, Chevron paid a $6 million penalty as well as $1 million for environmental improvement projects.

CITIGROUP: $3,500

  • In 2003, Citigroup published an investment brochure advising clients that “There is no ‘average consumer…Economic growth is powered by and largely consumed by the wealthy few.”
  • Heavy exposure to troubled mortgages compounded by poor risk management led Citigroup into trouble as the subprime mortgage crisis worsened in 2008. Citigroup announced on April 11, 2007, that it would eliminate 17,000 jobs, or about 5 percent of its workforce. Even after brokerage firm Bear Stearns ran into serious trouble in summer 2007, Citigroup decided the possibility of trouble with its CDO’s was so tiny that they excluded them from their risk analysis. With the crisis worsening, Citigroup announced on January 7, 2008 that it was considering cutting another 5 to 10 percent of its 327,000 member-workforce.
  • By November 2008, Citigroup was insolvent, despite its receipt of $25 billion in taxpayer funded federal TARP funds. On November 17, 2008, Citigroup announced plans for about 52,000 new job cuts—on top of 23,000 cuts already made during 2008.

COMCAST: $10,000

  • Comcast’s customer satisfaction often ranks among the lowest in the cable industry.
  • With $18.8 million spent in 2013, Comcast has the seventh largest lobbying budget of any individual company or organization in the United States. Comcast employs multiple former U.S. congressmen as lobbyists.
  • Comcast also supports lobbying and PACs on a regional level, backing organizations such as the Tennessee Cable Telecommunications Association and the Broadband Communications Association of Washington PAC. Comcast and other cable companies have lobbied state governments to pass legislation restricting or banning individual cities from offering public broadband service. Municipal broadband restrictions of varying scope have been passed in a total of 20 US States, including Louisiana.

DUKE ENERGY: $4,000

  • In 1999 the EPA initiated an enforcement action against Duke Energy for making modifications to old and deteriorating coal-burning power plants without getting permits under the Clean Air Act.
  • In 2002, researchers identified Duke Energy as the 46th-largest corporate producer of air pollution in the United States, with roughly 36 million pounds of toxic chemicals released into the air annually. Major pollutants included sulfuric and hydrochloric acid, chromium compounds, and hydrogen fluoride. The Political Economy Research Institute ranks Duke Energy 13th among corporations emitting airborne pollutants in the United States.

EMPLOYEES OF NORTHROP GRUMMAN PAC: $9,000

  • From 1990-2002, Northrop Grumman contributed $8.5 million to federal campaigns. The company gave more than $1 million to federal candidates in 2005-2006 election cycle, compared to $10.6 million given by all defense contractors in the same cycle. This was behind only General Dynamics and Lockheed Martin in the defense industry. Former Northrop Grumman Electronics Systems chief James Roche served as Secretary of the Air Force for two years under George W. Bush. Roche was eventually nominated to head the Army, but was forced to withdraw his nomination among accusations of mismanaging a contract with Boeing and of failing to properly handle the Air Force sexual assault scandals of 2003. At least seven former officials, consultants, or shareholders of Northrop Grumman held posts in the Bush administration.
  • Northrop Grumman has dealt with multiple scandals during its history. In 1995, Robert Ferro, an employee for TRW, a company acquired by Northrop Grumman, discovered that satellite components manufactured for the U.S. Air Force were faulty and likely to fail in operation. TRW allegedly suppressed Ferro’s report and hid the information from the Air Force, even after a satellite in space equipped with the faulty components experienced serious anomalies. Ferro later sued Northrop Grumman in federal court under the federal whistle-blower law. In April 2009 Northrop Grumman agreed to pay $325 million to settle the suit. Ferro was awarded $48.8 million of the settlement.
  • The company was sued in 1999 for allegedly knowingly giving the Navy defective aircraft. This suit sought $210 million in damages. Then in 2003, the company was sued for allegedly overcharging the U.S. government for space projects in the 1990s. Northrop Grumman paid $111.2 million to settle out of court.
  • In 2010, Virginia’s computer operations experienced a week-long computer outage. Northrop Grumman operated these systems under a $2.4 billion contract. As a result, as many as 45,000 citizens could not renew their driver’s licenses prior to their expiration. Computer systems for 26 of the state’s 89 agencies were affected and some data may have been permanently lost.

EXXON MOBIL CORP. PAC: $2,500

  • ExxonMobil has drawn criticism from scientists, science organizations and the environmental lobby for funding organizations critical of the Kyoto Protocol and seeking to undermine public opinion about the scientific conclusion that global warming is caused by the burning of fossil fuels. Mother Jones Magazine said the company channeled more than $8 million to 40 different organizations that have employed disinformation campaigns including “skeptical propaganda masquerading as journalism” to influence opinion of the public and of political leaders about global warming and that the company was a member of one of the first such groups, the Global Climate Coalition, founded in 1989. ExxonMobil’s support for these organizations has drawn criticism from the Royal Society, the academy of sciences of the United Kingdom. The Union of Concerned Scientists released a report in 2007 accusing ExxonMobil of spending $16 million, between 1998 and 2005, towards 43 advocacy organizations which dispute the impact of global warming. The report argued that ExxonMobil used disinformation tactics similar to those used by the tobacco industry in its denials of the link between lung cancer and smoking, saying that the company used “many of the same organizations and personnel to cloud the scientific understanding of climate change and delay action on the issue.” These charges are consistent with a purported 1998 internal ExxonMobil strategy memo, posted by the environmental group Environmental Defense, which said:

“Victory will be achieved when

  • Average citizens [and the media] ‘understand’ (recognize) uncertainties in climate science; recognition of uncertainties becomes part of the conventional wisdom;
  • Industry senior leadership understands uncertainties in climate science, making them stronger ambassadors to those who shape climate policy;
  • Those promoting the Kyoto treaty on the basis of extant science appear out of touch with reality.”
  • In 2003, the United States Attorney for the Southern District of New York announced that J. Bryan Williams, a former senior executive of Mobil Oil Corp., had been sentenced to three years and ten months in prison on charges of evading income taxes on more than $7 million in unreported income, including a $2 million kickback he received in connection with Mobil’s oil business in Kazakhstan. Documents filed with the court said Williams’ unreported income included millions of dollars in kickbacks from governments, persons, and other entities with whom Williams conducted business while employed by Mobil. In addition to his sentence, Williams must pay a fine of $25,000 and more than $3.5 million in restitution to the IRS, in addition to penalties and interest.

 GENERAL DYNAMICS: $2,000

  • In 2008, General Dynamics agreed to pay $4 million to settle a lawsuit brought by the US Government claiming a GD unit fraudulently billed the government for defectively manufactured parts used in US military aircraft and submarines. The US alleged that from September 2001 to August 2003 GD defectively manufactured or failed to test parts used in US military aircraft.

GLAXOSMITHKLINE PAC:  $1,000

  • In July 2012 GSK pleaded guilty to criminal charges and agreed to a pay $3 billion to settle the criminal charges as well as civil lawsuits in the largest settlement paid by a drug company at the time. The criminal charges were for promoting Paxil and Wellbutrin for unapproved uses and failing to report safety data about Avandia. GSK paid $1 billion to settle the criminal charges. The remaining $2 billion was part of the civil settlement over unapproved promotion and paying kickbacks, making false statements concerning the safety of Avandia; and reporting false prices to Medicaid.

KOCH INDUSTRIES: $10,000

  • From 1999 to 2003, Koch Industries was assessed more than $400 million in fines, penalties and judgments. In 2000, for 300 reported oil spills which had taken place across six states, Koch paid the largest civil fine ever imposed on a company for the illegal discharge of crude oil and petroleum products. The company agreed to pay a $30 million civil penalty, improve its leak-prevention programs and spend $5 million on environmental projects.
  • In 1996, an 8-inch-diameter steel pipeline operated by Koch Pipeline Company ruptured near Lively, Texas and began leaking butane gas. The vapor cloud ignited when two residents drove their pickup truck through the flammable vapors to get to a neighbor’s house to report the leak. The two were killed in the explosion. In 1999, a Texas jury found that negligence had led to the rupture of the Koch pipeline and awarded the victims’ families $296 million—the largest compensatory damages judgment in a wrongful death case against a corporation in U.S. history.
  • In 2000, a federal grand jury returned a 97-count indictment against Koch Industries for excess emissions of 85 metric tons of benzene, a known carcinogen. In 2001, Koch Industries was fined $20 million, of which $10 million was a criminal fine and $10 million to clean up the environment.
  • In 2008, Koch Industries discovered that the French affiliate Koch-Glitsch had violated bribery laws allegedly securing contracts in Algeria, Egypt, India, Morocco, Nigeria and Saudi Arabia after an investigation by Ethics Compliance officer, Egorova-Farines. After Koch Industries’ investigative team looked into her findings, the four employees involved were terminated. Egorova-Farines reported her findings immediately, and even after Koch’s investigators substantiated the findings, her “superiors removed her from the inquiry in August 2008 and fired her in June 2009, calling her incompetent.”
  • Koch Industries has spent more than $50 million to lobby in Washington between 2006 and October 2011.
  • The company has opposed the regulation of financial derivatives and limits on greenhouse gases. It sponsors free market foundations and causes and is one of the leading benefactors of the American Legislative Exchange Council (ALEC).
  • According to the Center for Responsive Politics, many of Koch Industries’ contributions have gone toward achieving legislation on energy issues, defense appropriations and financial regulation reform. Koch Industries has been criticized for the role the company plays in affecting climate change policy in the U.S.

LOCKHEED MARTIN EMPLOYEES’ PAC: $2,000

  • Lockheed Martin received $36 billion in government contracts in 2008, more than any company in history. It does work for more than two dozen government agencies from the Department of Defense and the Department of Energy to the Department of Agriculture and the Environmental Protection Agency. It’s involved in surveillance and information processing for the CIA, the FBI, the Internal Revenue Service (IRS), the National Security Agency (NSA), The Pentagon, the Census Bureau and the Postal Service.
  • Lockheed is listed as the largest U.S. government contractor and ranks third for number of incidents, and 21st for size of settlements. Since 1995 the company has agreed to pay $606 million to settle 59 instances of misconduct.
  • Through its political action committee (PAC), the company provides low levels of financial support to candidates who advocate national defense and relevant business issues. It was the top contributor to House Armed Services Committee chairman Howard P. “Buck” McKeon (R-California), giving more than $50,000 in the most recent election cycle. It also topped the list of donors to Sen. Daniel Inouye (D-HI), chairman of the Senate Appropriations Committee before his death in 2012.
  • Lockheed Martin Employees Political Action Committee is one of the 50 largest in the country. With contributions from 3,000 employees, it donates $500,000 a year to about 260 House and Senate candidates.
  • In March 2013, Maryland State Senate Majority Leader Rob Garagiola, while he was said to be dating a Lockheed Martin lobbyist, cosponsored a resolution which would give Lockheed Martin tax rebate worth millions of dollars related to hotel taxes paid at its CLE facility in Bethesda, MD. This was after Montgomery County Council refused to pass a similar resolution.

MARATHON OIL EMPLOYEES PAC: $12,000

  • Marathon gave $250,000 to the Supriya Jindal Foundation and Gov. Bobby Jindal’s administration promptly awarded Marathon subsidiaries $5.2 million in state funds.

MERCK & CO.:  $5,000

  • A US Justice Department fraud investigation began in 2000 when allegations were brought in two separate lawsuits filed by whistleblowers who alleged that Merck failed to pay proper rebates to Medicaid and other health care programs and paid illegal remuneration to health care providers. In 2008, Merck agreed to pay more than $650 million to settle charges that it routinely overbilled Medicaid for its most popular medicines. The settlement was one of the largest pharmaceutical settlements in history. The federal government received more than $360 million, plus 49 states and Washington, DC, received over $290 million. One whistleblower received a $68 million reward.
  • From 2002 through 2005 the Australian affiliate of Merck sponsored the eight issues of a medical journal, the Australasian Journal of Bone and Joint Medicine, published by Elsevier. Although it gave the appearance of being an independent peer-reviewed journal, without any indication that Merck had paid for it, the journal actually reprinted articles that originally appeared in other publications and that were favorable to Merck. The misleading publication came to light in 2009 during a personal injury lawsuit filed over Vioxx. Nine of 29 articles in the journal’s second issue referred positively to Vioxx. In 2009, the CEO of Elsevier’s Health Sciences Division, Michael Hansen, admitted that the practice was “unacceptable.”
  • In December 2013, Merck agreed to pay a total of $27.7 million dollars to 1,200 plaintiffs in a class action lawsuit alleging that the company’s osteoporosis drug had caused them to develop osteonecrosis of the jaw.

 MICROSOFT CORP. PAC: $8,500

  • One of Microsoft’s business tactics, described by an executive as “embrace, extend and extinguish,” initially embraces a competing standard or product, then extends it to produce their own version which is then incompatible with the standard, which in time extinguishes competition that does not or cannot use Microsoft’s new version. Various companies and governments have sued Microsoft over this set of tactics, resulting in billions of dollars in rulings against the company.
  • Microsoft has been criticized for its involvement in censorship in the People’s Republic of China. Microsoft has also come under criticism for outsourcing jobs to China and India. There were reports of poor working conditions at a factory in southern China that makes some of Microsoft’s products.
  • To avoid providing stock options and medical and retirement benefits to employees, Microsoft hires thousands of temporary workers (temps) for the designing, editing and testing of its software. When a federal judge (upheld by the U.S. Supreme Court) outlawed the hiring of temps for longer than six months, Microsoft got around the ruling by laying off its temps for 100 days and then rehiring them.

MORGAN STANLEY: $2,000

  • In 2003, Morgan Stanley agreed to pay $125 million in order to settle its portion of a $1.4 billion settlement brought by New York Attorney General Eliot Spitzer, the National Association of Securities Dealers, the United States Securities and Exchange Commission, (SEC) and a number of state securities regulators, relating to intentionally misleading research motivated by a desire to win investment banking business with the companies covered.
  • Morgan Stanley settled a sex discrimination suit brought by the Equal Employment Opportunity Commission for $54 million in July 2004. In 2007, the firm agreed to pay $46 million to settle a class action lawsuit brought by eight female brokers.
  • In July 2004, the firm paid NASD a $2.2 million fine for more than 1,800 late disclosures of reportable information about its brokers.
  • In September 2004, the firm paid a $19 million fine imposed by NYSE for failure to deliver prospectuses to customers in registered offerings, inaccurate reporting of certain program trading information, short sale violations, failures to fingerprint new employees and failure to timely file exchange forms.
  • The New York Stock Exchange imposed a $19 million fine on January 12, 2005 for alleged regulatory and supervisory lapses, the largest fine ever imposed by NYSE at the time.
  • In 2005, a Florida jury found that Morgan Stanley failed to give adequate information to Ronald Perelman about Sunbeam thereby defrauding him and causing damages to him of $604 million. In addition, punitive damages were added for total damages of $1.450 billion after the firm’s attorneys infuriated the court by failing and refusing to produce documents, and falsely telling the court that certain documents did not exist. The ruling was overturned in 2007.
  • Morgan Stanley settled a class action lawsuit in 2006 by both current and former Morgan Stanley employees for unfair labor practices instituted upon those in the financial advisor training program. Employees of the program had claimed the firm expected trainees to clock overtime hours without additional pay and handle various administrative expenses as a result of their expected duties. Morgan Stanley settled for $42.5 million.
  • In May the firm agreed to pay a $15 million fine after the Securities and Exchange Commission accused the firm of deleting emails and failing to cooperate with SEC investigators.
  • FINRA announced a $12.5 million settlement with Morgan Stanley in 2007 over charges that the firm’s former affiliate, Morgan Stanley DW, Inc. (MSDW), failed on numerous occasions to provide emails to claimants in arbitration proceedings as well as to regulators. The company had claimed that the destruction of the firm’s email servers in the September 11, 2001 terrorist attacks on New York’s World Trade Center resulted in the loss of all email before that date. In fact, the firm had millions of earlier emails that had been retrieved from backup copies stored in another location that was not destroyed in the attacks. Customers who had lost their arbitration cases against Morgan Stanley DW Inc. because of their inability to obtain these emails to demonstrate Morgan Stanley’s misconduct received a token amount of money as a result of the settlement.
  • In July 2007, Morgan Stanley agreed to pay $4.4 million to settle a class-action lawsuit for incorrectly charging clients for storage of precious metals.
  • In August 2007, Morgan Stanley was fined $1.5 million and paid $4.6 million in restitution to customers related to excessive mark-ups in 2,800 transactions. An employee was charged $40,000 and suspended for 15 days.
  • Under a 2008 settlement with New York Attorney General Andrew M. Cuomo, the firm agreed to repurchase approximately $4.5 billion worth of auction rate securities. The firm was accused of misrepresenting auction rate securities in their sales and marketing.
  • In April 2010, the Commodity Futures Trading Commission announced the firm agreed to pay $14 million related to an attempt to hide prohibited trading activity in oil futures.
  • The Department of Justice sought a $4.8 million fine from Morgan Stanley for its part in an electricity price-fixing scandal. Con Edison estimated that the crime cost New York state consumers about $300 million. Morgan Stanley earned revenues of $21.6 million from the fraud.
  • Morgan Stanley agreed to pay a $5 million fine to the Commodity Futures Trading Commission and an addition $1.75 million to CME and the Chicago Board of Trade after employees improperly executed fictitious sales in Eurodollar and Treasury note futures contracts.
  • On August 7, 2012, it was announced that Morgan Stanley would have to pay $4.8 million in fines in order to settle a price fixing scandal, which has been estimated to have cost New Yorkers $300 million.

MONSANTO CO. CITIZENSHIP PAC: $1,000

  • In 2003, Monsanto reached a $300 million settlement for manufacturing and dumping of the toxic chemical polychlorinated biphenyls (PCBs) in Alabama.
  • In 2004, Monsanto, along with Dow and other chemical companies, were sued by a group of Vietnamese for the effects of its Agent Orange defoliant, used by the U.S. military in the Vietnam War. The case was dismissed.
  • In 2005, the US DOJ filed a Deferred Prosecution Agreement in which Monsanto admitted to violations of the Foreign Corrupt Practices Act and making false entries into its books and records. Monsanto also agreed to pay a $1.5 million fine. The case involved bribes paid to an Indonesian official.
  • The Monsanto Company Citizenship Fund has donated more than $10 million to various candidates since 2003. In 2011, Monsanto spent about $6.3 million lobbying Congress and the U.S. Department of Agriculture about regulations that would affect the production and distribution of genetically engineered produce.
  • US diplomats in Europe have worked directly for Monsanto.
  • Monsanto gave $186,250 to federal candidates in the 2008 election.
  • Monsanto spent $8.1 million opposing the passage of Proposition 37 in California, making it the largest donor against the initiative. Proposition 37, which was rejected in November 2012, would have mandated the disclosure of genetically modified crops used in the production of California food products.
  • More recently, as of October 2013, Monsanto and DuPont Co. are backing an anti- labeling campaign with roughly $18 million so far dedicated to the campaign.

NATIONAL RIFLE ASSOCIATION POLITICAL VICTORY FUND: $4,500

NEWS CORP. PAC: $1,000

  • In 1999, The Economist reported that NewsCorp paid comparatively lower taxes and NewsCorp Investments made $20.1 billion in profits over the previous 11 years but had not paid net corporation tax. It also reported that after an examination of the available accounts, NewsCorp could normally have been expected to pay a corporate tax of approximately $350 million. The article explained that in practice, the corporation’s complex structure, international scope and use of offshore tax havens allowed News Corporation to pay minimal taxes.
  • In July 2011, NewsCorp closed down the News of the World newspaper in the United Kingdom due to allegations of phone hackings. The allegations include trying to access former Prime Minister Gordon Brown‘s voice mail, and obtain information from his bank accounts, family’s medical records, and private legal files. Allegations of hacking have also been brought up in relation to former Prime Minister Tony Blair, and the Royal Family.

 PHARMACEUTICAL RESEARCH & MANUFACTURERS OF AMERICA (PhRMA): $2,000

  • Former Congressman Billy Tauzin (R-Louisiana) resigned from Congress and began work as the head of the Pharmaceutical Research and Manufacturers of America, or PhRMA, a powerful trade group for pharmaceutical companies. Two months before resigning as chair of the committee which oversees the drug industry, switching from regulator to lobbyist, Tauzin played a key role in shepherding through Congress the Medicare Prescription Drug Bill, a bill which was criticized by opponents for being too generous to the pharmaceutical industry.
  • This link was explored at great length in an April 1, 2007 interview by Steve Kroft of 60 Minutes. The report, Under the Influence, pitted Rep. Walter B. Jones (R-N.C.) and Rep. Dan Burton (R-Ind.) against Tauzin and accused him of using unethical tactics to push a bill that “the pharmaceutical lobbyists wrote.” Along with Tauzin, many of the other individuals who worked on the bill are now lobbyists for the pharmaceutical industry.

 

PFIZER, INC. PAC: $6,500

  • In September 2009, Pfizer pleaded guilty to the illegal marketing of the arthritis drug Bextra for uses unapproved by the U.S. Food and Drug Administration (FDA), and agreed to a $2.3 billion settlement, the largest health care fraud settlement at that time. Pfizer also paid the U.S. government $1.3 billion in criminal fines related to the “off-label” marketing of Bextra, the largest monetary penalty ever rendered for any crime. Called a repeat offender by prosecutors, this was Pfizer’s fourth such settlement with the U.S. Department of Justice in the previous ten years.

SAFARI CLUB INTERNATIONAL PAC: $1,000

  • SCI has been criticized by the Humane Society for supporting the hunting of endangered African antelope at fenced game ranches in Texas and Florida and for giving awards for the hunting of big cats and elephant, lion, rhino and buffalo in Africa.
  • In 2005, controversy erupted over tax write-offs taken by big game hunters for donations of trophies to museums. IRS rules allowed only the fair market value of such donations to be deducted. In most cases, the donations were worth only a fraction of the claimed value, and often accumulated in museum storage facilities.
  • For the tax year ending June 2006, SCI reported $2.9 million in revenue from SCI publications, $3.2 million in membership dues, $205,967 in interest on savings and temporary investments, $75,771 from sales of assets other than inventory, $6.9 million from special events such as the annual convention, $156,014 from sales of inventory, and $6,089 miscellaneous income.
  • In 2007, the New York legislature earmarked $50,000 of public funds for SCI.

GOLDMAN SACHS GROUP PAC: $4,000

  • A federal appeals court upheld the conviction of former Goldman Sachs Group Inc director Rajat Gupta, one of the biggest successes in federal prosecutors’ long-running probe to stop insider trading on Wall Street.
  • Federal prosecutors and Securities and Exchange Commission officials also investigated whether a senior Goldman investment banker, Matthew Korenberg, fed inside information to a Galleon Group portfolio manager named Paul Yook, according to separate reports in the New York Times and the Wall Street Journal.

HOME DEPOT PAC: $10,000

  • In July 2005, former employee Michael Davis filed a whistleblower lawsuit against the Home Depot, alleging that his discharge was in retaliation for refusing to make unwarranted backcharges against vendors. Davis alleges that the Home Depot forced its employees to meet a set quota of backcharges to cover damaged or defective merchandise, forcing employees to make chargebacks to vendors for merchandise that was undamaged and not defective.
  • In the settlement of the litigation, Home Depot changed some of its corporate governance provisions. Home Depot also agreed to pay the plaintiff’s counsel $6 million in cash and $8.5 million in common stock.

UNITEDHEALTH GROUP PAC: $5,000

 

  • In 2010, UnitedHealth Group spent more than $1.8 million on lobbying activities to achieve favorable legislation, and hired seven different lobbying firms to work on its behalf. In addition, its corporate political action committee spent an additional $1 million on lobbying activities in 2010.
  • In 2006, the Securities and Exchange Commission (SEC) began investigating the conduct of UnitedHealth Group’s management and directors, for backdating of stock options. Investigations were also begun by the Internal Revenue Service and prosecutors in the U.S. attorney’s office for the Southern District of New York. The investigations came to light after a series of Wall Street Journal stories in May 2006, claiming backdating of hundreds of millions of dollars worth of stock options by UHC management. The backdating apparently occurred with the knowledge and approval of the directors, according to the Journal. On October 15, 2006, CEO William McGuire was forced to resign, and relinquish hundreds of millions of dollars in stock options. In December 2007, the SEC announced a settlement under which McGuire would repay $468 million, as a partial settlement.
  • In June 2006, the American Chiropractic Association filed a national class action lawsuit against the American Chiropractic Network (ACN), which is owned by UnitedHealth Group and administers chiropractic benefits, and against UnitedHealth Group itself, for alleged practices in violation of the federal Racketeer Influence and Corrupt Organizations Act (RICO).

WALMART STORIES PAC: $4,000

  • Wal-Mart is the beneficiary of $96.5 million in economic development subsidies in Louisiana and $1.2 billion in tax breaks nationwide. http://www.walmartsubsidywatch.org/state_detail.html?state=LA Yet, in 2011, Walmart, four of whose owners are among the 11 richest Americans, decided to roll back health care coverage and to increase premiums for its employees. (Does this sound familiar, Bobby Jindal?) Wal-Mart still boasted that 90 percent of its employees had health coverage, neglecting to mention that more than half of those got their coverage through their spouses’ group coverage. The company provides no health coverage at all for new part time employees despite the company’s 24.7 percent gross profit martin that same year.
  • An April 2012 New York Times investigative report revealed that a former Walmart executive alleged that, in September 2005, Walmart de Mexico paid bribes throughout Mexico in order to obtain construction permits, information, and other favors. Concerns were raised that Walmart executives in the United States concealed the allegations. Reportedly, bribes were given to speed up construction permits, which gave Walmart a substantial advantage over its business competitors. A follow-up investigation by The New York Times published December 17, 2012, revealed evidence that regulatory permission for siting, construction, and operation of 19 stores were obtained through bribery.
  • A paper published in Farm Foundation in 1997 found that some small towns can lose almost half of their retail trade within ten years of a Walmart store opening.
  • A 2004 paper by two professors at Penn State University found that counties with Walmart stores suffered increased poverty compared with counties without Walmarts due to displacement of workers from higher-paid jobs in retail stores which customers no longer choose to patronize. A study in Nebraska looked at two different Walmarts, the first of which had just arrived and was in the process of driving everyone else out of business by cutting their prices to the bone. In the other Walmart, “they had successfully destroyed the local economy, there was a sort of economic crater with Wal-Mart in the middle; and, in that community, the prices were 17 percent higher.”
  • The Economic Policy Institute estimates that between 2001 and 2006, Walmart’s trade deficit with China alone eliminated nearly 200,000 U.S. jobs. Another study found that a new store increases net retail employment in the county by 100 jobs in the short term, half of which disappear over five years as other retail establishments close.
  • Walmart has been criticized by labor unions, community groups, grassroots organizations, religious organizations, environmental groups, and even Walmart’s own customers and employees. They have protested against the company’s policies and business practices, including charges of racial and gender discrimination. Other areas of criticism include the corporation’s foreign product sourcing, treatment of product suppliers, employee compensation and working conditions, environmental practices, the use of public subsidies, the company’s security policies and slavery. Wal-Mart denies doing anything wrong and maintains that low prices are the result of efficiency.

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Occasionally we manage to strike a raw nerve with our blog posts about political shenanigans in Louisiana. Our post on Tuesday (Sept. 2) about U.S. Rep. John C. Fleming’s campaign contributions apparently was a case in point.

But it wasn’t the fact that Fleming, a Republican from Minden and a physician, has taken more than $200,000 from special interest political action committees (PACs) this election cycle.

Nor was there any dispute about our claim that Fleming brooks no dissenting opinion and blocks access to his Facebook page to anyone who disagrees with him.

But apparently, he doesn’t want it known that he once owned and/or operated a payday loan company.

On Friday (Sept. 5) we received a terse email from Fleming’s communications director, one Doug Sachleben, protesting that part of our post as being incorrect.

Sachleben did not say whether he works out of Louisiana or Washington, but that really is irrelevant. Here is the verbatim content of his email:

In your piece on my boss, the portion below is wrong. Rep Fleming has never owned or operated a payday loan company. I’d appreciate if you removed that.

 Doug Sachtleben

Communications Dir.

Rep John Fleming

He then lifted a quote from our Tuesday blog post, apparently for our benefit:

“Fleming, a doctor who apparently did not make enough money as a medical practitioner, once ran a payday loan company, an enterprise that offers short-term loans to low income families at the friendly annualized interest rate of up to 390 percent.”

Well, we hate being wrong. That’s why we researched our story in advance.

Accordingly, we went to our original source, the corporate records contained on the Louisiana Secretary of State’s web page.

In response to Sachleben, we copied and pasted a number of corporations listed in John C. Fleming’s name. These included Fleming Expansions, Fleming Acquisitions, Minden Family Care Center (a Professional Medical Corporation), Fleming for Congress, LLC, 1 Subway, LLC, Fleming Payday Loans, LLC.

Each of the corporations included the name of John C. Fleming as either an officer or an agent and in some instances, both. In a few cases, Fleming’s wife Cynthia also was listed as an officer.

More importantly, each of the six corporations had the same domicile address: 119 Homer Road in Minden.

Fleming and his wife also were owners, officers and agents in a dating service, Fleming Dating Development, Inc.

We replied to Sachleben, attaching a copy of the Fleming Payday Loans, LLC corporate records.

He wrote back this explanation:

At that time there were a lot of employees requesting advances on their paychecks. To pay people in advance of their work would have been problematic for many reasons and an accounting nightmare. The Fleming Group formed an LLC on paper with the thought of offering temporary interest-free loans to only its employees to accommodate their requests. The more it was considered, the more problematic it appeared; so they scrapped the idea entirely. There was never any desire or consideration to get into the payday loan industry as a business.

Wow.

In his incredulous clarification, he neglected to explain how a “problematic idea” managed to be incorporated on September 2, 2004, and the affidavit to dissolve was not filed until Aug. 4, 2009—a year after he elected to Congress. Why would Fleming leave a “problematic idea” on the books for five years when he would have been required to file annual reports, tax returns and other paperwork?

And while he’s at it, perhaps Sachleben can also offer either a denial of those campaign contributions (taken directly from Fleming’s campaign finance reports) or explain why his boss would accept funds from outfits with such tawdry records of fraud, influence peddling and other unsavory activity.

Here are the Secretary of State’s web page printouts on Fleming’s corporate entities:

 

FLEMING EXPANSIONS, L.L.C. Limited Liability Company MINDEN Active

 

Previous Names
Business: FLEMING EXPANSIONS, L.L.C.
Charter Number: 34627521K
Registration Date: 4/20/1998

 

Domicile Address
119 HOMER RD
MINDEN, LA 71055

 

Mailing Address
119 HOMER ROAD
MINDEN, LA 71055

 

Status
Status: Active
Annual Report Status: In Good Standing
File Date: 4/20/1998
Last Report Filed: 3/27/2014
Type: Limited Liability Company

 

Registered Agent(s)

 

Agent: MIKE TOLAND
Address 1: 119 HOMER RD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 3/30/2011

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING
Title: Member
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055
FLEMING PAYDAY LOANS, L.L.C. Limited Liability Company MINDEN Inactive

 

Previous Names
Business: FLEMING PAYDAY LOANS, L.L.C.
Charter Number: 35772196K
Registration Date: 9/2/2004

 

Domicile Address
119 HOMER ROAD
MINDEN, LA 71055

 

Mailing Address
C/O JOHN C. FLEMING
119 HOMER ROAD
MINDEN, LA 71055

 

Status
Status: Inactive
Inactive Reason: Voluntary Action
File Date: 9/2/2004
Last Report Filed: 8/18/2008
Type: Limited Liability Company

 

Registered Agent(s)

 

Agent: JOHN C. FLEMING
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 9/2/2004

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING
Title: Manager
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055

 

FLEMING FOR CONGRESS, L.L.C. Limited Liability Company MINDEN Active

 

Previous Names
Business: FLEMING FOR CONGRESS, L.L.C.
Charter Number: 36736015K
Registration Date: 4/30/2008

 

Domicile Address
119 HOMER ROAD
MINDEN, LA 71055

 

Mailing Address
119 HOMER ROAD
MINDEN, LA 71055

 

Status
Status: Active
Annual Report Status: In Good Standing
File Date: 4/30/2008
Last Report Filed: 4/8/2014
Type: Limited Liability Company

 

Registered Agent(s)

 

Agent: MIKE TOLAND
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 11/30/2011

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING, III
Title: Manager
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055

 

MINDEN FAMILY CARE CENTER (A PROFESSIONAL MEDICAL CORPORATION) Business Corporation MINDEN Active

 

Previous Names
PARK CITY HEALTH SERVICES (A PROFESSIONAL MEDICAL CORPORATION) (Changed: 3/14/2012)
Business: MINDEN FAMILY CARE CENTER (A PROFESSIONAL MEDICAL CORPORATION)
Charter Number: 34480626D
Registration Date: 12/19/1994

 

Domicile Address
119 HOMER RD.
MINDEN, LA 71055

 

Mailing Address
119 HOMER RD.
MINDEN, LA 71055

 

Status
Status: Active
Annual Report Status: In Good Standing
File Date: 12/19/1994
Last Report Filed: 12/3/2013
Type: Business Corporation

 

Registered Agent(s)

 

Agent: MIKE TOLAND
Address 1: 119 HOMER RD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 12/2/2010

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING, M.D.
Title: President, Director
Address 1: 1240 COUNTRY CLUB CIRCLE
City, State, Zip: MINDEN, LA 71055

 

Officer: CYNTHIA B. FLEMING
Title: Director, Secretary
Address 1: 1240 COUNTRY CLUB CIRCLE
City, State, Zip: MINDEN, LA 71055

 

FLEMING ACQUISITIONS, L.L.C. Limited Liability Company MINDEN Inactive

 

Previous Names
MAIL BOXES 1, L.L.C. (Changed: 10/8/1999)
Business: FLEMING ACQUISITIONS, L.L.C.
Charter Number: 34525360K
Registration Date: 4/25/1996

 

Domicile Address
119 HOMER RD.
MINDEN, LA 71055

 

Mailing Address
119 HOMER RD.
MINDEN, LA 71055

 

Status
Status: Inactive
Inactive Reason: Voluntary Action
File Date: 4/25/1996
Last Report Filed: 5/2/2012
Type: Limited Liability Company

 

Registered Agent(s)

 

Agent: MIKE TOLAND
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 4/8/2011

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING, JR.
Title: Member
Address 1: 119 HOMER RD.
City, State, Zip: MINDEN, LA 71055

 

Officer: CYNTHIA B. FLEMING
Title: Member, Manager
Address 1: 119 HOMER RD.
City, State, Zip: MINDEN, LA 71055

 

Officer: MIKE TOLAND
Title: Manager
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055

 

1 SUBWAY, L.L.C. Limited Liability Company MINDEN Active

 

Previous Names
Business: 1 SUBWAY, L.L.C.
Charter Number: 34529383K
Registration Date: 5/31/1996

 

Domicile Address
119 HOMER RD.
MINDEN, LA 71055

 

Mailing Address
119 HOMER RD.
MINDEN, LA 71055

 

Status
Status: Active
Annual Report Status: In Good Standing
File Date: 5/31/1996
Last Report Filed: 5/12/2014
Type: Limited Liability Company

 

Registered Agent(s)

 

Agent: MIKE TOLAND
Address 1: 119 HOMER RD
City, State, Zip: MINDEN, LA 71055
Appointment Date: 5/16/2011

 

Officer(s) Additional Officers: No 

 

Officer: JOHN C. FLEMING, JR.
Title: Member
Address 1: 119 HOMER RD.
City, State, Zip: MINDEN, LA 71055

 

Officer: CYNTHIA B. FLEMING
Title: Member
Address 1: 119 HOMER RD.
City, State, Zip: MINDEN, LA 71055

 

Officer: MIKE TOLAND
Title: Manager
Address 1: 119 HOMER ROAD
City, State, Zip: MINDEN, LA 71055

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The process of tracking PAC campaign contributions for the candidates for Louisiana’s U.S. Senate race and the six congressional seats up for grabs this November is a daunting task but one which we feel is important in order that voters can cut through all the trash ads on TV and make intelligent choices for themselves.

By now Louisiana citizens have to be completely turned off both U.S. Sen. Mary Landrieu and challenger 6th District Rep. Bill Cassidy as the distortions, half-truths and outright lies bombard our living rooms from both camps.

Political consultant Ray Strother recently said on Baton Rouge Public Radio’s Jim Engster Show that after 200 times, listeners/viewers tend to tune out a political ad. If that is really the case, we long ago stopped listening to ads for those two.

Today, we examine the PAC contributions of 4th Congressional District incumbent Rep. John Fleming, probably one of the most narrow-minded members of Louisiana’s congressional delegation.

And as you scroll down this list, be sure to ask yourself where you fit in the overall scheme of things. Do you really matter or do you, like the rest of us, simply become an insignificant pawn as these PACs ply our elected officials with dirty money so that they can continue their quest for more power and money—at our expense?

Fleming, a doctor who apparently did not make enough money as a medical practitioner, once ran a payday loan company, an enterprise that offers short-term loans to low income families at the friendly annualized interest rate of up to 390 percent.

He even boasted that he “only” had $600,000 left over after his businesses (UPS and Subway sandwich shops) brought in $6.3 million because the remaining $5.7 million went to business expenses that included paying some 500 employees, according to his own figures. If you don’t even allow for rent, utilities, equipment and insurance for his businesses, that would compute to only $11,400 per year per employee (again, using numbers provided by Fleming), which was the approximate poverty level in this country in 2010.

But try as you might, you cannot open a dialogue with Fleming on these issues. You see, he brooks no dissenting opinion on his Facebook page.

Fleming, in his four terms in office, has become notorious for blocking critical comments on his Facebook page so even if a constituent attempted to initiate a discussion about legitimate concerns, Fleming simply cuts them off. Apparently he represents only select people in the 4th District.

But he cannot block LouisianaVoice. And we invite open discussion. That is why we never block comments on our blog posts unless they are racist or otherwise offensive to any person or group. So long as the topic is about an issue, our readers have carte blanche to speak their minds, which is more than Fleming can say.

So, without further discussion, here are some of the major PAC contributors to Fleming:

BURGER KING CORP. PAC: $1,000

  • Burger King’s plan to buy Canadian coffee chain Tim Horton’s and relocate over the border to reduce its U.S. tax liability isn’t going over well with some of the fast food store’s customers. Instead of the usual chatter on Burger King Facebook posts, recent updates on the company’s social media page have drawn dozens and dozens of angry comments relating to the merger and promising to boycott the company over its tax practices.
  • “If you become a tax cheat you can count my family of seven as former customers,” reads one post with 97 likes. “If Burger King moves to Canada then US will boycott its restaurants,” says another that’s been liked over 700 times. The top comment on the store’s most recent post includes a promise to “never step foot in another Burger King again.”

AT&T PAC: $4,000

  • AT&T is the second-largest donor to United States political campaigns, and the top American corporate donor, having contributed more than US$47.7 million since 1990, 56% and 44% of which went to Republican and Democratic recipients, respectively. Also, during the period of 1998 to 2010, the company expended US$130 million on lobbying in the United States. A key political issue for AT&T has been the question of which businesses win the right to profit by providing broadband internet access in the United States.
  • Bobby Jindal rejected an $80 million federal grant for the expansion of broadband internet service in rural Louisiana even as AT&T was contributing $250,000 to the Foundation run by Jindal’s wife Supriya after Gov. Jindal signed SB- 807 into law (Act 433) in 2008 over the objections of the Louisiana Municipal and the State Police Jury associations. The bill, the Consumer Choice for Television Act removed from local and parish governments their authority and responsibility to negotiate cable franchise agreements with companies that relied largely on locally-owned public infrastructure such as utility poles. The bill also allows AT&T to sell cable television service without the necessity of obtaining local franchises.
  • Bill Leahy, representing AT&T, sits on the Private Enterprise Board of the American Legislative Exchange Council (ALEC).

EMPLOYEES OF NORTHROP GRUMMAN PAC: $9,000

  • From 1990-2002, Northrop Grumman contributed $8.5 million to federal campaigns. The company gave more than $1 million to federal candidates in 2005-2006 election cycle, compared to $10,612,837 given by all defense contractors in the same cycle. This donation amount was only behind that of General Dynamics and Lockheed Martin in the defense industry. Former Northrop Grumman Electronics Systems chief James Roche served as Secretary of the Air Force for two years under George W. Bush. Roche was eventually nominated to head the Army, but was forced to withdraw his nomination among accusations of mismanaging a contract with Boeing and of failing to properly handle the Air Force sexual assault scandals of 2003. At least seven former officials, consultants, or shareholders of Northrop Grumman” have held posts in the Bush administration.
  • Northrop Grumman has had to deal with multiple scandals during its history. In 1995, Robert Ferro, an employee for TRW, a company acquired by Northrop Grumman, discovered that satellite components manufactured for the U.S. Air Force (USAF) were faulty and likely to fail in operation. TRW allegedly suppressed Ferro’s report of the problem and hid the information from the Air Force, even after a satellite in space equipped with the faulty components experienced serious anomalies. Ferro later sued Northrop Grumman in federal court under the federal whistle-blower law. On April 2, 2009 Northrop Grumman agreed to pay $325 million to settle the suit. Ferro was awarded $48.8 million of the settlement.
  • The company was sued in 1999 for allegedly knowingly giving the Navy defective aircraft. This suit seeks $210 million in damages and is ongoing. Then in 2003, the company was sued for allegedly overcharging the U.S. government for space projects in the 1990s. Northrop Grumman paid $111.2 million to settle that suit out of court.
  • In 2010, Virginia’s computer operations experienced a week-long computer outage. Northrop Grumman operated these systems under a $2.4 billion contract. As a result, as many as 45,000 citizens could not renew their driver’s licenses prior to their expiration. Computer systems for 26 of the state’s 89 agencies were affected and some data may have been permanently lost.

COMCAST CORP.: $2,000

  • Comcast has the seventh largest lobbying budget of any individual company or organization in the United States. Comcast employs multiple former U.S. Congressmen as lobbyists. The National Cable & Telecommunications Association, which has multiple Comcast executives on its board, also represents Comcast and other cable companies as the fifth largest lobbying organization in the United States, spending $19.8 million in 2013. Comcast’s PAC, the Comcast Corporation and NBCUniversal Political Action Committee, is among the largest PACs in the US, raising about $3.7 million from 2011-2012 for the campaigns of various candidates for federal office. Comcast is also a major backer of the National Cable and Telecommunications Association Political Action Committee, which raised $2.6 million from 2011-2012.
  • Comcast also backs lobbying and PACs on a regional level, backing organizations such as the Tennessee Cable Telecommunications Association and the Broadband Communications Association of Washington PAC. Comcast and other cable companies have lobbied state governments to pass legislation restricting or banning individual cities from offering public broadband service. Municipal broadband restrictions of varying scope have been passed in a total of 20 States.

CHESAPEAKE ENERGY CORP. PAC: $2,500

  • Former Chief Executive Aubrey McClendon borrowed as much as $1.1 billion against his stake in thousands of company wells. The loans, which had been undisclosed to shareholders, were used to fund McClendon’s operating costs for the Founders Well Participation Program, which offers him a chance to invest in a 2.5 percent interest in every well the company drills. McClendon in turn used the 2.5 percent stakes as collateral on those same loans. Analysts, academics and attorneys who reviewed the loan documents stated the structure raised the potential for conflicts of interest and raised questions on the corporate governance and business ethics of Chesapeake Energy’s senior management. The company disagreed that this is a conflict of interest or a violation of business ethics and issued a detailed statement.
  • Current CEO Doug Lawler is responsible for laying off over 800 employees—roughly 16 percent of the workforce—within a few months of taking the position. He released several directors and executives within two months of taking power. Shortly after the executive positions were cut, Lawler released waves of employees over the course of a few months. All of the layoffs culminated on Oct. 8, 2013 when Lawler released a staggering 800 employees nationwide, 640 of which were from the corporate office in Oklahoma City.[
  • On June 5, 2014, the state of Michigan filed felony fraud and racketeering charges against Chesapeake Energy, alleging that the company canceled hundreds of land leases on false pretenses after it sought to obtain oil and gas rights. Michigan attorney general Bill Schuette claimed that the company “obtained uncompensated land options from these landowners by false pretenses, and prevented competitors from leasing the land.” Chesapeake Energy disputed all charges.

CITIZENS UNITED POLITICAL VICTORY FUND: $5,000

  • The Citizens United ruling, released in January 2010, tossed out the corporate and union ban on making independent expenditures and financing electioneering communications. It gave corporations and unions the green light to spend unlimited sums on ads and other political tools, calling for the election or defeat of individual candidates.
  • That ultimately led to the creation of the super PACs, which act as shadow political parties. They accept unlimited donations from billionaires, corporations and unions and use it to buy advertising, most of it negative.

CHEVRON PAC: $1,000

  • In 2003 a class action lawsuit against Chevron was filed in Ecuadorian court for $28 billion by indigenous residents, who accused Texaco of making residents ill and damaging forests and rivers by discharging 18 billion US gallons of formation water into the Amazon. Chevron claimed that the 1998 agreements with the Ecuadorian Government exempted the company from any liabilities.
  • In 2011, Ecuadorian residents were awarded $8.6 billion, based on claims of loss of crops and farm animals as well as increased local cancer rates. The plaintiffs said this would not be enough to make up for the damage caused by the oil company. The award was later revised to $19 billion on appeals, which was then appealed again to the Ecuadorean National Court of Justice.
  • Chevron described the lawsuit as an “extortion scheme” and refused to pay the fine.
  • Chevron’s activities at its century-old Richmond refinery have been the subject of ongoing controversy. The project generated over 11 million pounds of toxic materials and caused more than 304 accidents. The Richmond refinery paid $540,000 in 1998 for illegally bypassing waste water treatments and failing to notify the public about toxic releases. Overall, Chevron is listed as potentially liable for 95 Superfund sites, with funds set aside by the EPA for clean-up.
  • Chevron’s operations in Africa have also been criticized as environmentally unsound. In 2002, Angola became the first country in Africa ever to levy a fine on a major multinational corporation operating within its borders, when it demanded $2 million in compensation for oil spills allegedly caused by Chevron.
  • On October 16, 2003, Chevron U.S.A. settled a charge under the Clean Air Act, which reduced harmful air emissions by about 10,000 tons a year. In San Francisco, Chevron was ordered to spend almost $275 million to install and utilize innovative technology to reduce nitrogen and sulfur dioxide emissions at its refineries. In 2000, after violating the Clean Air Act at an offline loading terminal in El Segundo, California, Chevron paid, a $6 million penalty as well as $1 million for environmental improvement projects.

GENERAL ELECTRIC CO. PAC:  $1,000

  • According to the New York Times story, GE reported U.S. profits of $5.1 billion in 2010 (and $14.2 billion worldwide). “Its American tax bill?” asked the Times. “None. In fact, G.E. claimed a tax benefit of $3.2 billion,” an amount GE balanced out against other tax obligations. The company accomplished this, the story said, due to “an aggressive strategy that mixes fierce lobbying for tax breaks and innovative accounting that enables it to concentrate its profits offshore.”
  • Earlier this year, GE filed suit seeking a $658 million federal tax refund. That sum represents the $439 million in taxes and $219 million in interest GE coughed up in 2010 after Internal Revenue Service auditors disallowed a $2.2 billion loss it claimed from the 2003 sale of a small subsidiary, ERC Life Reinsurance Corp., to Scottish Re Group for $151 million.

HOME DEPOT PAC: $2,000

  • The Home Depot was embroiled in whistleblower litigation. In July 2005, former employee Michael Davis filed a whistleblower lawsuit against the Home Depot, alleging that his discharge was in retaliation for refusing to make unwarranted backcharges against vendors. Davis alleges that the Home Depot forced its employees to meet a set quota of backcharges to cover damaged or defective merchandise, forcing employees to make chargebacks to vendors for merchandise that was undamaged and not defective.
  • Home Depot has settled the dispute in 2008. In the settlement, Home Depot changed some of its corporate governance provisions. Home Depot also agreed to pay the plaintiff’s counsel $6 million in cash and $8.5 million in common stock.

HONEYWELL PAC: $4,000

  • The EPA says that no corporation has been linked to a greater number of Superfund toxic waste sites than has Honeywell. Honeywell ranks 44th among U.S. corporations causing air pollution. The firm released more than 9.4 million pounds of toxins per year into the air. In 2001, Honeywell agreed to pay $150,000 in civil penalties and to perform $772,000 worth of reparations for environmental violations.
  • In 2003, a federal judge in New Jersey ordered the company to perform an estimated $400 million environmental remediation of chromium waste, citing “a substantial risk of imminent damage to public health and safety and imminent and severe damage to the environment.” In the same year, Honeywell paid $3.6 million to avoid a federal trial regarding its responsibility for trichloroethylene contamination in Illinois. In 2004, the State of New York announced that it would require Honeywell to complete an estimated $448 million cleanup of more than 165,000 pounds of mercury and other toxic waste dumped into Onondaga Lake in Syracuse, N.Y.

EXXON MOBIL CORP. PAC: $2,500

  • ExxonMobil has been accused of paying to fuel disinformation about and denial of anthropogenic global warming.
  • ExxonMobil has drawn criticism from scientists, science organizations and the environmental lobby for funding organizations critical of the Kyoto Protocol and seeking to undermine public opinion about the scientific conclusion that global warming is caused by the burning of fossil fuels. Mother Jones Magazine said the company channeled more than $8 million to 40 different organizations that have employed disinformation campaigns including “skeptic propaganda masquerading as journalism” to influence opinion of the public and of political leaders about global warming and that the company was a member of one of the first such groups, the Global Climate Coalition, founded in 1989. According to The Guardian, ExxonMobil has funded, among other groups, the Competitive Enterprise Institute, George C. Marshall Institute, Heartland Institute, Congress on Racial Equality, TechCentralStation.com, and International Policy Network. ExxonMobil’s support for these organizations has drawn criticism from the Royal Society, the academy of sciences of the United Kingdom. The Union of Concerned Scientists released a report in 2007 accusing ExxonMobil of spending $16 million, between 1998 and 2005, towards 43 advocacy organizations which dispute the impact of global warming. The report argued that ExxonMobil used disinformation tactics similar to those used by the tobacco industry in its denials of the link between lung cancer and smoking, saying that the company used “many of the same organizations and personnel to cloud the scientific understanding of climate change and delay action on the issue.” These charges are consistent with a purported 1998 internal ExxonMobil strategy memo, posted by the environmental group Environmental Defense, stating:

“Victory will be achieved when

  • Average citizens [and the media] ‘understand’ (recognize) uncertainties in climate science; recognition of uncertainties becomes part of the conventional wisdom;
  • Industry senior leadership understands uncertainties in climate science, making them stronger ambassadors to those who shape climate policy;
  • Those promoting the Kyoto treaty on the basis of extant science appear out of touch with reality.”

 

  • In 2003, the United States Attorney for the Southern District of New York announced that J. Bryan Williams, a former senior executive of Mobil Oil Corp., had been sentenced to three years and ten months in prison on charges of evading income taxes on more than $7 million in unreported income, including a $2 million kickback he received in connection with Mobil’s oil business in Kazakhstan. Documents filed with the court said Williams’ unreported income included millions of dollars in kickbacks from governments, persons, and other entities with whom Williams conducted business while employed by Mobil. In addition to his sentence, Williams must pay a fine of $25,000 and more than $3.5 million in restitution to the IRS, in addition to penalties and interest.

LOCKHEED MARTIN EMPLOYEES’ PAC: $6,000

  • Lockheed Martin is active in many aspects of government contracting. It received $36 billion in government contracts in 2008 alone, more than any company in history. It now does work for more than two dozen government agencies from the Department of Defense and the Department of Energy to the Department of Agriculture and the Environmental Protection Agency. It’s involved in surveillance and information processing for the CIA, the FBI, the Internal Revenue Service (IRS), the National Security Agency (NSA), The Pentagon, the Census Bureau and the Postal Service.”
  • Lockheed is listed as the largest US government contractor and “ranks third for number of incidents, and twenty-first for size of settlements on the ‘contractor misconduct’ database maintained by the Project on Government Oversight, a Washington-DC-based watchdog group.” Since 1995, the company has agreed to pay $606 million to settle 59 instances of misconduct.
  • The company’s 2010 lobbying expenditure by the third quarter was $9.9 million (2009 total: $13.7 million).
  • Through its political action committee (PAC), the company provides low levels of financial support to candidates who advocate national defense and relevant business issues. It was “the top contributor to the House Armed Services Committee chairman, Republican Howard P. “Buck” McKeon of California, giving more than $50,000 in the most recent election cycle. It also topped the list of donors to Sen. Daniel Inouye (D-HI), the chair of the Senate Appropriations Committee before his death in 2012.
  • Lockheed Martin Employees Political Action Committee is one of the 50 largest in the country, according to FEC data. With contributions from 3,000 employees, it donates $500,000 a year to about 260 House and Senate candidates. That compares with $515,000 from General Dynamics’ political action committee and $122,850 from BAE Systems North America, the center’s data showed.
  • In March 2013, Maryland State Senate Majority Leader Rob Garagiola cosponsored a resolution which would give Lockheed Martin tax rebate worth millions of dollars, related to hotel taxes paid at their CLE facility in Bethesda, MD, even while he was allegedly dating Lockheed Martin’s lobbyist. This was after Montgomery County Council refused to pass a similar resolution.

 

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