Government Corruption News Articles

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Note: Explore our full index to revealing excerpts of key major media news articles on dozens of engaging topics. And read excerpts from 20 of the most revealing news articles ever published.

The Army has dropped the Vietnam-era name "psychological operations" for its branch in charge of trying to change minds behind enemy lines, acknowledging the term can sound ominous. The Defense Department picked a more neutral moniker: "Military Information Support Operations," or MISO. Fort Bragg is home to the 4th Psychological Operations Group, the Army's only active duty psychological operations unit. Psychological operations soldiers are trained at the post. The change was driven from the top, by Pentagon policymakers working for Defense Secretary Robert Gates. It reflects unease with the Cold War echoes of the old terminology, and the implication that the work involved subterfuge. Psychological operations have been cast as spooky in movies and books over the years portraying the soldiers as master manipulators. The 2009 movie "The Men Who Stare at Goats," staring George Clooney, was about an army unit that trains psychic spies, based on Jon Ronson's nonfiction account of the U.S. military's hush-hush research into psychic warfare and espionage.

Note: For more on psychological operations and mind control, click here.

The former chief executive of a British chemical company faces the prospect of extradition to the US after the firm admitted million-dollar bribes to officials to sell toxic fuel additives to Iraq. Paul Jennings, until last year chief executive of the Octel chemical works ... and his predecessor, Dennis Kerrison, exported tonnes of tetra ethyl lead (TEL), to Iraq. TEL is banned from cars in western countries because of links with brain damage to children. Iraq is believed to be the only country that still adds lead to petrol. The company recently admitted that, in a deliberate policy to maximise profits, executives from Octel – which since changed its name to Innospec – bribed officials in Iraq and Indonesia with millions of dollars to carry on using TEL, despite its health hazards. Senior Iraqi oil ministry officials are accused of taking British bribes throughout the UK-US occupation, up until 2008. US prosecutors say multi-million dollar bribes to Iraq were agreed in 2001-3, when Kerrison was chief executive. A decade ago, Octel decided to remain the world's only manufacturer of TEL for cars, after it was banned in the US and Europe. They used high profits from non-western countries to diversify into other products and to pay back investors, mainly US hedge funds run by Connecticut billionaire Jeffrey Gendell. According to prosecutors, the strategy included the corrupt blocking of health campaigns.

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

Police forces in charge of security at the G20 summit in Toronto have been granted special powers for the duration of the summit. The new powers took effect [on June 21] and apply along the border of the G20 security fence that encircles a portion of the downtown core. This area — the so-called red zone — includes the Metro Toronto Convention Centre, where delegates will meet. Under the new regulations, anyone who comes within five metres of the security area is obliged to give police their name and state the purpose of their visit on request. Anyone who fails to provide identification or explain why they are near the security zone can be searched and arrested. The new powers are designed specifically for the G20, CBC's Colin Butler reported Friday. Ontario's cabinet quietly passed the new rules on June 2 without legislature debate. Civil liberties groups are concerned about the new regulations. Anyone who refuses to identify themselves or refuses to provide a reason for their visit can be fined up to $500 and face up to two months in jail. The regulation also says that if someone has a dispute with an officer and it goes to court "the police officer's statement under oath is considered conclusive evidence under the act."

The bio-tech company Monsanto can sell genetically modified seeds before safety tests on them are completed, the US Supreme Court has ruled. A lower court had barred the sale of the modified alfalfa seeds until an environmental impact study could be carried out. But seven of the nine Supreme Court Justices decided that ruling was unconstitutional. The seed is modified to be resistant to Monsanto's brand of weedkiller. The US is the world's largest producer of alfalfa, a grass-like plant used as animal feed. It is the fourth most valuable crop grown in the country. Environmentalists had argued that there might be a risk of cross-pollination between genetically modified plants and neighbouring crops. They also argued over-use of the company's weedkiller Roundup, the chemical treatment the alfalfa is modified to be resistant to, could cause pollution of ground water and lead to resistant "super-weeds".

Note: For a powerful summary of the dangers of genetically-modified organisms, click here.

The Securities and Exchange Commission suspected Texas financier R. Allen Stanford of running a Ponzi scheme as early as 1997 but took more than a decade to pursue him seriously. The report by the SEC's inspector general says SEC examiners concluded four times between 1997 and 2004 that Mr. Stanford's businesses were fraudulent, but each time decided not to go further. It singles out the former head of the SEC's enforcement office in Fort Worth, Texas, accusing him of repeatedly quashing Stanford probes and then trying to represent Mr. Stanford as a lawyer in private practice. The former SEC official, Spencer Barasch, is now a partner at law firm Andrews Kurth LLP. The inspector general referred Mr. Barasch for possible disbarment from practicing law. Mr. Stanford was indicted last June and accused of orchestrating a Ponzi scheme that swindled investors out of $7 billion. SEC Inspector General David Kotz's report suggests the agency's mistakes in the Stanford case were in part the result of a culture that favored easily resolved cases over messier ones. Cases such as the alleged Stanford fraud weren't considered "quick-hit" and "slam-dunk," and examiners were discouraged from pursuing them, Mr. Kotz found.

Note: For many more examples from major media sources of the astonishing performance of the SEC in the runup to the Wall Street crisis, click here.

Succumbing to the politics of fear during the 2008 campaign, Congress seriously diluted the First and Fourth Amendment rights of Americans by changing the 1978 law that governs electronic surveillance. In addition to supplying retroactive approval for President George W. Bush�s warrantless wiretapping, the FISA Amendments Act vastly expanded the government�s ability to eavesdrop without warrants in the future. It gave the National Security Agency authority to monitor the international phone calls and e-mail messages of Americans who are not engaged in criminal activity and pose no threat to national security. The measure weakened judicial supervision of how these powers are exercised, making abuse far more likely. An important case being argued [April 16] in New York City will help determine the extent of the damage. At issue is a constitutional challenge to the 2008 law filed on behalf of human rights, labor, legal, and news media organizations whose work requires sensitive telephone and e-mail communication with people abroad. Embracing the Bush administration�s approach, the Obama administration has sought to block the suit, contending that the plaintiffs lack the requisite �standing� to bring the challenge because they cannot show with certainty that they have been spied on. (Of course, any attempt to prove spying would likely be met by a flimsy claim of state secrecy.)

Note: For lots more from reliable sources on government threats to civil liberties, click here.

Every year, thousands of people find themselves caught up in the government’s terrorist screening process. Some are legitimate targets of concern, others are victims of errors in judgment or simple mistaken identity. Either way, their numbers are likely to rise as the Obama administration recalibrates the standards for identifying potential terrorists. On Friday, the administration altered rules for identifying which passengers flying to the United States should face extra scrutiny at the gate. And it is reviewing ways to make it easier to place suspects on the watch list. “The entire federal government is leaning very far forward on putting people on lists,” Russell E. Travers, a deputy director of the National Counterterrorism Center, said at a recent Senate hearing. Before the attempted attack on Christmas, Mr. Travers said, “I never had anybody tell me that the list was too small.” Now, he added, “It’s getting bigger, and it will get even bigger.” Even as the universe of those identified as a risk expands, the decision-making involved remains so secretive that people cannot be told whether they are on the watch list, why they may be on it or even whether they have been removed. Civil liberties advocates say [the secrecy] can hide mistakes and keep people wrongly singled out from seeking redress.

Note: For lots more on government threats to civil liberties, click here.

The introduction of a genetically modified potato in Europe risks the development of human diseases that fail to respond to antibiotics, it [has been claimed]. German chemical giant BASF this week won approval from the European Commission for commercial growing of a starchy potato with a gene that could resist antibiotics – useful in the fight against illnesses such as tuberculosis. Farms in Germany, Sweden, the Netherlands and the Czech Republic may plant the potato for industrial use, with part of the tuber fed to cattle, according to BASF, which fought a 13-year battle to win approval for Amflora. But other EU member states, including Italy and Austria and anti-GM campaigners angrily attacked the move, claiming it could result in a health disaster. During the regulatory tussle over the potato, the EU's pharmaceutical regulator had expressed concern about its potential to interfere with the efficacy of antibiotics on infections that develop multiple resistance to other antibiotics, a growing problem in human and veterinary medicine. Drug resistance is part of the explanation for the resurgence of TB, which infects eight million people worldwide every year.

Note: For an excellent summary of the threats to health from genetically-modified foods, click here.

It's time to reflect on the immense powers Americans have ceded to the government and [the] potential for abuse by federal, state and local authorities. The global Internet and telecommunications infrastructure provides massive information on almost ... every person on the planet. One power truly stands out --- the all-encompassing reach and technological capabilities of the US National Security Agency. If you want to be secure, don't use a phone, a computer, credit card or any other technologically linked system because it guarantees that Big Brother will find you. Big Brother is not just the government. Most consumer "spying" comes from subpoenas and requests from non-terrorist-related federal, state, local agency requests and non-governmental private litigation and discovery. Simply put, a subpoena issued by a court in support of private litigation and discovery may have the same impact on an individual as the full force of the NSA. What information is typically requested from a company by say a plaintiff's lawyer during some discovery phase? Well, it's everything. In fact, it's generally a fishing expedition for every log file, every uploaded video, photo, chat session and anything else they can get their hands on.

Note: For lots more from major media sources on the continuing development of a global society under Big Brother's constant gaze, click here.

This country hasn't used land mines in nearly 20 years. It no longer makes the indiscriminate killers nor provides them to allies. Why then is President Obama - off to Oslo this week to collect a Nobel Peace Prize - refusing to sign an international treaty to ban the shrapnel-spewing buried bombs? His refusal is ... shameful. The devices, which maim and kill for years after a conflict ends, caused more than 5,000 casualties last year in the world's poorest places such as Cambodia, Angola and Central America. Obama's stance puts him in line with Presidents George W. Bush and Bill Clinton, who both ducked a chance to put this country in line with more than 150 nations that have signed the treaty. Other notable non-signers: China, Russia, India, Pakistan and Cuba. Is this the company we want to keep? Sticking with land mines is a puzzler. The United States has a reported stockpile of 10 million devices, though it hasn't deployed any since the 1991 Gulf War. By signing the agreement, the Pentagon would hardly be giving up a mainstay weapon. It's time for Obama to go in a new direction. He should sign, not equivocate, on a treaty that Washington has avoided for over a decade. Here's a thought while typing up your Peace Prize acceptance speech, Mr. President: It's time to ban land mines.

Note: The refusal to sign the worldwide landmine ban treaty seems to be a puzzler, until you realize the US government is protecting the rights to profit of US arms corporations. For a retired Marine general's analysis of the profiteering that is the principal purpose for war, "War is a Racket,"click here.

American soldiers are committing suicide in the greatest numbers since official records began in 1980, with the US Army at a loss to explain the phenomenon since a third of the dead have never been deployed in combat. Suicides in the army alone have passed last year’s record of 140 — 141 in 2009 so far. The upward trend has defied efforts to improve access to appropriate counselling for veterans returning from combat tours in Iraq and Afghanistan. The figure for the first ten months of the year excludes 71 suicides among troops taken off active duty in 2009, and 42 in the US Marine Corps. Roughly a third of this year’s suicides have been by soldiers taking their own lives in war zones, a third by returning soldiers and a third by those based permanently in the US or awaiting deployment overseas. Many military suicides can be traced in part to an inability to process the guilt of having killed in battle.

Note: For lots more from major media sources on the horrific effects of modern war on both combatants and civilians, click here. And for the writings of a top general on why this is happening, click here.

A $112 million settlement involving alleged drug kickbacks that the Justice Dept. announced with the nation's largest nursing home pharmacy and a generic drug manufacturer on Nov. 3 is part of a wide-ranging investigation of suspected Medicaid fraud by the pharmaceutical industry. Critics say the continuing probe, which involves ... major drugmakers, highlights what they describe as an industry practice of paying money to outfits that provide drugs to consumers, in return for preferential treatment. Because those alleged payoffs have the effect of compromising patient care and driving up costs for government and private health insurers, cases like the settlement unsealed with Omnicare (OCR) in Covington, Ky., and IVAX Pharmaceuticals in Weston, Fla., could bolster opposition to the controversial deal the Obama Administration reached with the pharmaceutical industry to win its support for health-reform legislation. Many Democrats say the Administration should have asked for much bigger cost savings from drugmakers. Patrick Burns, a spokesman for Taxpayers Against Fraud, a nonprofit Washington group that promotes whistleblower suits, says the Justice Dept. is backed up with pharmaceutical fraud cases. Since drugmakers offer so many similar products, he contends, they rely on kickbacks to give their products a market edge. "In the pharmaceutical industry, the business isn't selling the best drug, it's the best scheme of kickbacks to the prescriber."

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

Did you know that Lunesta will help you fall asleep just 15 minutes faster? Or that a higher dose of the osteoporosis drug Zometa could damage a cancer patient’s kidneys and raise their risk of death? Chances are you didn’t, and neither did your doctor. Much of what the Food and Drug Administration knows about a drug’s safety and effectiveness is not included on the label, say two drug safety experts who are calling on the agency to make that information more accessible. In ... the New England Journal of Medicine, researchers ... argue that drug labels don’t reflect the nuanced decisions the FDA makes when deciding to approve a drug. The editorial from Drs. Lisa Schwartz and Steven Woloshin recommends easy-to-read fact boxes to help patients weigh the benefits and risks of medications. If drug labels sometimes exaggerate benefits and play down drug risks, the authors say there’s a very good reason: they are written by drugmakers. While FDA must approve the final labeling, the actual language is drafted by the manufacturer, with input from FDA scientists. The labeling is based on results from company studies, which generally compare results for patients taking the drug versus those taking placebo. If FDA decides the drug’s ability to treat or prevent a disease outweighs its side effects, the agency is obligated to approve it. But Schwartz and Woloshin point out that benefits may be slim and potential harms may not be fully understood. “The take home point is that just because a drug is approved doesn’t mean it works very well,” said Schwartz, in an interview with the Associated Press. “You really need to know more to see whether it’s worth the cost.” Schwartz and Woloshin say FDA labeling frequently fails to provide a full picture of a drug’s effects.

Note: For a powerful summary of corruption in the pharmaceutical industry, click here.

The Obama administration [has said] that the federal budget deficit for the fiscal year that just ended was $1.4 trillion, nearly a trillion dollars greater than the year before and the largest shortfall relative to the size of the economy since 1945. The shortfall for the fiscal year 2009, which ended Sept. 30, translates to 10 percent of the economy, according to a joint statement from the Treasury secretary, Timothy F. Geithner, and the director of the Office of Management and Budget, Peter R. Orszag. For the 2008 fiscal year, the deficit of $459 billion was 3.2 percent of the economy, as measured by the gross domestic product. At 10 percent of the gross domestic product, the 2009 deficit is the highest since the end of World War II, when it was 21.5 percent. The overall national debt, which is the accumulation of annual deficits, is nearly $12 trillion, and projected deficits for the next decade will add an estimated $9 trillion more. Administration officials say two-thirds of that is due to Bush administration policies.

Note: The current debt of $12 trillion equals $40,000 for every man, woman, and child in the U.S. Most of the increased deficit is due to the government bailout of the biggest Wall Street banks and investment houses. For lots more on the realities of the Wall Street bailout, click here.

The head of the U.S. Federal Deposit Insurance Corp. said on Sunday that she wanted to end the "too big to fail" doctrine and shrink the shadow banking system that operates outside the reach of regulators. FDIC Chairman Sheila Bair ... said a U.S. proposal to create the authority to shut down failing systemically important financial firms may need to be extended to insurers and hedge funds. "We need to end 'too big to fail' and this needs to be an overarching policy that applies to everyone," Bair said. Bair said she believed that bank holding companies with subsidiaries that are shut down by regulators also should be made to pay the price of failure by being subject to the same wind-down process. "I believe that the new regime should apply to all bank holding companies that are more than just shells and their affiliates regardless or not whether they are considered to be systemic risks," she said, adding that including only systemically important firms in the shut-down regime could reinforce the 'too big to fail' doctrine. Financial firms subject to systemic risk shutdown authority should likely also be required to publish "living wills" -- details on how an orderly wind-down would play out -- on their websites to provide more clarity to shareholders and customers. And by applying the resolution authority more broadly outside of normal regulated bank holding companies, it would help shrink the shadow banking system by discouraging regulatory arbitrage under which financial firms shop for the most lenient supervisors. "If you tighten regulation of the banks even more without dealing with the shadow sector you could make the problem even worse," she said.

Note: For a comprehensive overview of the realities underlying the government's bailout of the biggest financial institutions, click here.

Attorney General Eric H. Holder Jr. named a veteran federal prosecutor on Monday to examine abuse of prisoners held by the Central Intelligence Agency, after the Justice Department released a long-secret report showing interrogators choked a prisoner repeatedly and threatened to kill another detainee’s children. Mr. Holder chose John H. Durham, a prosecutor from Connecticut who has been investigating the C.I.A.’s destruction of interrogation videotapes, to determine whether a full criminal investigation of the conduct of agency employees or contractors was warranted. The attorney general said his decision to order an inquiry was based in part on the recommendation of the Justice Department’s ethics office, which called for a new review of several interrogation cases. He said he was also influenced by a 2004 report by the C.I.A. inspector general at the time, John L. Helgerson, on the agency’s interrogations. The report was released Monday under a court order in a Freedom of Information Act lawsuit. Although large portions of the 109-page report are blacked out, it gives new details about a variety of abuses inside the C.I.A.’s overseas prisons, including suggestions about sexually assaulting members of a detainee’s family, staging mock executions, intimidation with a handgun and power drill, and blowing cigar and cigarette smoke into prisoners’ faces to make them vomit. The inspector general’s review raised broad questions about the legality, political acceptability and effectiveness of the harshest of the C.I.A.’s methods, including some not authorized by the Justice Department and others that were approved, like the near-drowning technique of waterboarding.

Note: And what do you think might have been in the blacked out portions of the report? For lots more on the use of illegal methods by the CIA and US military in their prosecution of the "war on terror," click here.

The violence-scarred elections in Afghanistan provided a stage for the Taliban to show war-weary Americans and Afghans that it has rebounded and can strike - even after eight years of war. For President Obama's policies, the timing couldn't be worse. With memories of the Sept. 11 terrorist attacks dimming, Americans are tiring of the conflict. New polling shows a majority - 51 percent - of those surveyed now believe the war is not worth the fight, an increase of 6 percentage points in a month. Obama's answer to the mounting skepticism is to say that, in a way, the war has just begun. The final push to wipe out [the] Taliban ... is not 8 years old but really got started when he took office and ordered 17,000 more troops into Afghanistan. In short order, he also installed a new commander and persuaded Pakistan to join the United States in what on Thursday he called a pincer movement to squeeze the enemy astride the common border.

Note: As shown over and over again, presidents and politicians of both major political parties in the U.S. support the war machine in order to get the war chest they need to be elected or re-elected. Obama is no exception. For lots more on this, click here.

An alien with a lemon-shaped head and a jazz-themed encounter with a UFO at the Glastonbury Festival are among hundreds of UFO sightings detailed in the latest batch of documents released Monday by the UK's Ministry of Defence. Fourteen files, containing over 4,000 pages of UFO sightings from 1981 to 1996, have now been placed on Britain's National Archives database and are publicly available online. The sightings range from lights in the sky to close contact with aliens, and the files contain detailed analysis on some of the UK's most popular cases -- a number of which remain officially unexplained. The files ... shed new light on Britain's own 'Roswell', the Rendlesham Forest sightings of December 1980 in which American air force men saw a series of mysterious lights in the trees at the perimeter of an air base used by the U.S. Air Force. The then government of Margaret Thatcher was quick to dismiss the incident, but a letter from a former chief of defense staff in 1985 warned that the affair could prove a 'banana skin' for the Ministry of Defence. "The case has puzzling and disquieting features which have never been satisfactorily explained ... which continue to preoccupy informed sections of the public," said the letter. This latest release of documents represents the fourth set of UFO files released since 2008 as part of a three-year project in conjunction with the National Archives.

Note: For a powerful two-page summary of evidence for UFOs presented by highly respected and credible former government and military personnel from many countries, click here. For excellent information on the Rendlesham Forest case, click here.

Three quarters of a century ago, President Franklin Roosevelt earned the undying enmity of Wall Street when he used his enormous popularity to push through a series of radical regulatory reforms that completely changed the norms of the financial industry. Wall Street hated the reforms, of course, but Roosevelt didn’t care. Wall Street and the financial industry had engaged in practices they shouldn’t have, and had helped lead the country into the Great Depression. Those practices had to be stopped. To the president, that’s all that mattered. On Wednesday, President Obama unveiled what he described as “a sweeping overhaul of the financial regulatory system, a transformation on a scale not seen since the reforms that followed the Great Depression.” In terms of the sheer number of proposals, outlined in an 88-page document the administration released on Tuesday, that is undoubtedly true. But in terms of the scope and breadth of the Obama plan — and more important, in terms of its overall effect on Wall Street’s modus operandi — it’s not even close to what Roosevelt accomplished during the Great Depression. Rather, the Obama plan is little more than an attempt to stick some new regulatory fingers into a very leaky financial dam rather than rebuild the dam itself. Everywhere you look in the plan, you see the same thing: additional regulation on the margin, but nothing that amounts to a true overhaul. The plan places enormous trust in the judgment of the Federal Reserve — trust that critics say has not really been borne out by its actions during the Internet and housing bubbles. Firms will have to put up a little more capital, and deal with a little more oversight, but once the financial crisis is over, it will, in all likelihood, be back to business as usual.

Note: To watch the Inspector General of the Federal Reserve testify to Congress that she knows pracitcally nothing of trillions of dollars that are unaccounted for, click here. For many revealing reports from reliable sources on the hidden realities of the continuing taxpayer bailout of the biggest financial corporations, click here.

An inventory of potentially deadly pathogens at Fort Detrick's infectious disease laboratory found more than 9,000 vials that had not been accounted for, Army officials said yesterday, raising concerns that officials wouldn't know whether dangerous toxins were missing. After four months of searching about 335 freezers and refrigerators at the U.S. Army Medical Research Institute of Infectious Diseases in Frederick, investigators found 9,220 samples that hadn't been included in a database of about 66,000 items listed as of February, said Col. Mark Kortepeter, the institute's deputy commander. The vials contained some dangerous pathogens, among them the Ebola virus, anthrax bacteria and botulinum toxin, and less lethal agents such as Venezuelan equine encephalitis virus and the bacterium that causes tularemia. Most of them, forgotten inside freezer drawers, hadn't been used in years or even decades. Officials said some serum samples from hemorrhagic fever patients dated to the Korean War. The overstock and the previous inaccuracy of the database raised the possibility that someone could have taken a sample outside the lab with no way for officials to know something was missing. The institute has been under pressure to tighten security in the wake of the 2001 anthrax attacks, which killed five people and sickened 17. FBI investigators say they think the anthrax strain used in the attacks originated at the Army lab, and its prime suspect, Bruce E. Ivins, researched anthrax there. Ivins committed suicide last year during an investigation into his activities.

Note: Fort Detrick is the home of the government lab which is suspected to be involved with the creation of many previously unknown lethal viruses and germs. For lots more, see the excellent work of Dr. Leonard Horowitz at this link and this one.

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