Category Archives: Business

Trump White House Taking ‘Marching Orders’ from Hundreds of CEOs: Report

'One of every five of the corporate executives who met with the Trump administration within the first 100 days represented the banking or financial sector'

"President Trump not only has betrayed the promises of candidate Trump by failing to break up the special-interest monopoly in Washington, D.C., he has invited the special interests into the White House and asked them for guidance on how to deepen and perpetuate their monopoly." (Photo: Mike Maguire/flickr/cc)

Since his inauguration, President Donald Trump has met with at least 190 corporate executives, not including phone calls with heads of banks or his numerous Wall Street appointees, the watchdog group Public Citizen reported Monday in a new analysis.

And since the November election itself, he's met with at least 224.

"One of every five of the corporate executives who met with the Trump administration within the first 100 days represented the banking or financial sector, a particular focus of Trump's criticism during the campaign," Public Citizen noted in a write-up of its findings.

The group's report comes just days after the Trump administration announced it would not disclose visitor logs from the White House, Trump Towers, or the president's Mar-a-Lago resort to the public.

With those documents unavailable, Public Citizen developed its analysis via news reports and White House press releases.

The gatherings reflect the administration's interest in giving special treatment to corporate sectors, such as Big Pharma, banks, and the automotive industry, among others—and it's yet another example of Trump breaking his "drain the swamp" campaign promises, Public Citizen said.

"Donald Trump has asked America's CEOs for marching orders, and in meeting after meeting, they are happily issuing instructions," said the group's president Robert Weissman. "As best anyone can decipher what's going on at the White House, the CEOs are in charge now—and they are predictably advocating their narrow, short-term profitability interests, not what's in America's interest."

Sheldon Adelson, David Koch, and Carl Lindner III are among the wealthy benefactors that Trump has met with in his first 100 days; he's also entertained JPMorgan Chase CEO Jamie Dimon, Andrew Liveris of Dow Chemical, and Doug McMillon of Wal-Mart, along with four separate executives from Fox News.

"President Trump not only has betrayed the promises of candidate Trump by failing to break up the special-interest monopoly in Washington, D.C., he has invited the special interests into the White House and asked them for guidance on how to deepen and perpetuate their monopoly," Weissman said.


Republished with permission under license from CommonDreams

Auto Insurance Industry Attacks Story about African-Americans Paying Higher Premiums

An industry representative disputed findings that many disparities in auto insurance prices between minority and white neighborhoods are wider than differences in risk can explain. His analysis is flawed.

Earlier this week, ProPublica published an investigation with Consumer Reports in which they found that many minority neighborhoods pay higher car insurance premiums than white areas with the same risk. Their findings were based on analysis of insurance premiums and payouts in California, Illinois, Texas, and Missouri. They found insurers such as Allstate, Geico, and Liberty Mutual were charging premiums that were as much as 30 percent higher in zip codes where most residents are minorities than in whiter neighborhoods with similar accident costs. How to buy auto insurance.

In 2015, Consumer Reports published an article, "Car Insurance Can Cost More in African American Communities," that reached similar conclusions and reported that on average, premium rate quotes for its example driver were 70 percent higher in predominantly African American communities than in communities that are mostly white. 

An industry representative disputed ProPublica's findings that many disparities in auto insurance prices between minority and white neighborhoods are wider than differences in risk can explain. His analysis is flawed. (Here are details on how they did the analysis.)

An industry trade group, the Insurance Information Institute, responded in the Insurance Journal. The piece, by James Lynch, vice president of research and information services, called ProPublic's article “inaccurate, unfair, and irresponsible.” We disagree. As they typically do with their reporting, ProPublica contacted the industry well ahead of publication and gave it an opportunity to review their data and methodology and respond to our findings.

Here is the response ProPublic and Consumer Reports sent to the Insurance Journal.


While we appreciate that Mr. Lynch and the industry may disagree with our findings and conclusions, we want to correct for readers several errors he made in describing our work. In fact, we released a detailed methodology of our study, primarily to be as transparent and forthright as possible about what we did and did not do, and about the limitations of our analysis.

Mr. Lynch writes that we concluded that “auto insurers charge unfairly high rates to people in minority and low-income communities.” In fact, we found that the disparities were not limited to low-income communities and persist even in affluent minority neighborhoods.

Mr. Lynch writes that we made a mistake by “comparing the losses of all drivers within a ZIP code to the premium charged to a single person.” This assertion does not properly characterize what we did. We compared the average premium in minority zip codes to the average premium in neighborhoods with similar accident costs and a higher proportion of white residents.

Mr. Lynch writes that insurance companies do not set rates based on race or income. Our article does not say that they do. However, as our article pointed out, companies can use such criteria as credit score and occupation, which have been shown to result in higher prices for minorities.

Mr. Lynch writes that we did not address “how auto insurers priced policies where data about the policyholders and a ZIP code’s loss costs was thin.” In fact, we analyzed in detail California’s system of allowing insurers to set rates for sparsely populated rural areas by considering risk in contiguous zip codes.

Mr. Lynch writes that we do not consider that “an auto insurer’s individual loss costs … could vary from the statewide average.” In fact, we acknowledged this point in our article as a potential limitation of our study, while noting that the internal data of one insurance company, Nationwide, showed a greater disparity than the statewide average.

Mr. Lynch also implies we only applied our analysis to a 30-year-old driver. As we acknowledged in our methodology, we could not take every variable into account. We did repeat our analysis for more than 40 driver profiles that differed by age, gender, number of drivers and number of cars. When we ran the numbers, we found consistent results.

Our methodology was developed over more than a year and reviewed by a variety of independent experts in the field (including academics, statisticians and former regulators), whose feedback we incorporated. We were transparent with the Insurance Information Institute and with the firm the trade group hired, providing all our data and even our code to ensure they could fairly respond.

We would welcome the same transparency in return. While the industry criticizes ProPublica and Consumer Reports for not using company-specific data, such as individual insurers’ losses in each zip code, it does not make this information available. If the industry would release it, we would welcome the opportunity to take a look and continue the conversation.


Republished with edits under license from ProPublica


See related post:

How to Buy Auto Insurance

Annie Malone – Chemist, Inventor, Entrepreneur, philanthropist

Annie Minerva Turnbo Malone (August 9, 1869 – May 10, 1957) was an American businesswoman, inventor, and philanthropist. In the first three decades of the 20th century, she founded and developed a large and prominent commercial and educational enterprise centered on cosmetics for African-American women.

Annie Minerva Turnbo was born in southern Illinois, the daughter of enslaved Africans Robert and Isabella (Cook) Turnbo. When her father went off to fight for the Union with the 1st Kentucky Cavalry in the Civil War, Isabella took the couple's children and escaped from Kentucky, a neutral border state that maintained slavery. After traveling down the Ohio River, she found refuge in Metropolis, Illinois. There Annie Turnbo was later born, the tenth of eleven children.

Annie Turnbo was born on a farm near Metropolis in Massac County, Illinois. Orphaned at a young age, Annie attended a public school in Metropolis before moving to Peoria to live with her older sister Ada Moody in 1896. There Annie attended high school, taking particular interest in chemistry. However, due to frequent illness, Annie was forced to withdraw from classes.

While out of school, Annie grew so fascinated with hair and hair care that she often practiced hairdressing with her sister. With expertise in both chemistry and hair care, Turnbo began to develop her own hair care products.  At the time, many women used goose fat, heavy oils, soap, or bacon grease to straighten their curls, which damaged both scalp and hair.

By the beginning of the 1900s, Turnbo moved with her older siblings to Lovejoy, now known as Brooklyn, Illinois. While experimenting with hair and different hair care products, she developed and manufactured her own line of non-damaging hair straighteners, special oils, and hair-stimulant products for African-American women. She named her new product “Wonderful Hair Grower”. To promote her new product, Turnbo sold the Wonderful Hair Grower in bottles from door-to-door. Her products and sales began to revolutionize hair care methods for all African Americans.

A variety of Poro products available for sale during the companies operations.
Price list of select Poro products

In 1902, Turnbo moved to a thriving St. Louis, where she and three hired assistants sold her hair care products from door-to-door. As part of her marketing, she gave away free treatments to attract more customers.

Due to the high demand for her product in St. Louis, Turnbo opened her first shop on 2223 Market Street in 1902. She also launched a wide advertising campaign in the black press, held news conferences, toured many southern states, and recruited many women whom she trained to sell her products.

One of her selling agents, Sarah Breedlove Davis (who became known as Madam C. J. Walker when she set up her own business), operated in Denver, Colorado until a disagreement led Walker to leave the company.

Madame C. J. Walker

This development was one of the reasons which led the then Mrs. Pope to copyright her products under the name "Poro" because of what she called fraudulent imitations and to discourage counterfeit versions. Madame C. J. Walker became one of the wealthiest African-American women in the country. Annie Malone was a millionaire before Walker, yet unlike Madame Walker, Malone lived quite modestly, so Walker is often mistakenly credited as the first black female millionaire.

In 1902 she married Nelson Pope; the couple divorced in 1907. Poro was a combination of the married names of Annie Pope and her sister Laura Roberts. Due to the growth in her business, in 1910 Turnbo moved to a larger facility on 3100 Pine Street.

On April 28, 1914, Annie Turnbo married Aaron Eugene Malone, a former teacher, and religious book salesman. Turnbo Malone, by then worth well over a million dollars, built a five-story multipurpose facility.

Poro Lobby

Poro College advertising

In addition to a manufacturing plant, it contained facilities for a beauty college, which she named Poro College. 

General offices of Poro Products
Poro College Auditorium

The building included a manufacturing plant, a retail store where Poro products were sold, business offices, a 500-seat auditorium, dining and meeting rooms, a roof garden, dormitory, gymnasium, bakery, and chapel.

Poro rooftop garden

The Poro College building served the African-American community as a center for religious and social functions.

Shipping Department of Poro

The College's curriculum addressed the whole student; students were coached on personal style for work: on walking, talking, and a style of dress designed to maintain a solid persona. 

Poro College employed nearly 200 people in St. Louis. Through its school and franchise businesses, the college created jobs for almost 75,000 women in North and South America, Africa and the Philippines.

Vintage photo of graduation class with Annie Malone in the center (back row, with glasses) held at Big Bethel AME Church, Atlanta.
Diploma Day at Poro College, 1920

By the 1920s, Annie Turnbo Malone had become a multi-millionaire. In 1924 she paid income tax of nearly $40,000, reportedly the highest in Missouri.

While extremely wealthy, Malone lived modestly, giving thousands of dollars to the local black YMCA and the Howard University College of Medicine in Washington, DC. She also donated money to the St. Louis Colored Orphans Home, where she served as president on the board of directors from 1919 to 1943. 

St. Louis Colored Orphans Home, opened in 1922. Annie Malone donated $10,000 for its construction.

With her help, in 1922 the Home bought a facility at 2612 Goode Avenue (the street which was renamed Annie Malone Drive in her honor).

A more modern representation of Annie Malone's Children Home

The Orphans Home is still located in the historic Ville neighborhood. Upgraded and expanded, the facility was renamed in the entrepreneur's honor as the Annie Malone Children and Family Service Center. As well as funding many programs, Malone ensured that her employees, all African American, were paid well and given opportunities for advancement.

Her business thrived until 1927 when her husband filed for divorce. Having served as president of the company, he demanded half of the business' value, based on his claim that his contributions had been integral to its success. The divorce suit forced Poro College into court-ordered receivership. With support from her employees and powerful figures such as Mary McLeod Bethune, she negotiated a settlement of $200,000. This affirmed her as the sole owner of Poro College, and the divorce was granted.

After the divorce, Turnbo Malone moved most of her business to Chicago’s South Parkway, where she bought an entire city block. Other lawsuits followed. In 1937, during the Great Depression, a former employee filed suit, also claiming credit for Poro's success. To raise money for the settlement, Turnbo Malone sold her St. Louis property. Although much reduced in size, her business continued to thrive.

On May 10, 1957, Annie Malone suffered a stroke and died at Chicago's Provident Hospital. Childless, she had bequeathed her business and remaining fortune to her nieces and nephews.  At the time of her death, Poro beauty colleges were in operation in more than thirty U.S. cities. Her estate was valued at $100,000.


Part of the Court.rchp.com 2017 Black History Month Series


Much of the article text republished under license from Wikipedia

Frederick Patterson – Black Automobile Manufacturer

Frederick Douglas Patterson (1871–1932) was an American entrepreneur known for the Greenfield-Patterson automobile of 1915, built in Ohio. He later converted his business to the Greenfield Bus Body Company. 

While in college at Ohio State University, he was the first African-American to play on its football team. He returned to Greenfield to join his father in his carriage business, which became C.R. Patterson and Sons.

C.R. Patterson & Son Carriage Ad

The younger man saw opportunity in the new horseless carriages, and converted the company in the early 1900s to manufacture automobiles, making 150 of them.

Development of an automobile began in 1914 and the first Patterson-Greenfield rolled out of the company’s Washington St. facility on Sept. 23, 1915. Priced at $850, the Patterson-Greenfield was offered as a touring or roadster and featured a 30hp Continental 4-cylinder engine, full floating rear axle, cantilever springs, demountable rims, electric starting and lighting and a split windshield for ventilation.

Later he shifted to making buses and trucks and renamed his company as Greenfield Bus Body Company. After Patterson's death in 1932, his son kept the business going through much of the Great Depression, finally closing it in 1939.

1917 Patterson-Greenfield Roadster

Named after the noted abolitionist, Frederick Douglas Patterson was born in 1871 as the youngest of four children of Josephine Utz (aka Outz) and Charles Richard Patterson. He had an older brother Samuel. Their father was an ex-slave who had escaped to Greenfield, Ohio from Virginia shortly before the American Civil War.

Charles Richard Patterson of C.R. Patterson & Sons

After getting established as a blacksmith in town, Charles had married Josephine Utz, a young local white woman. By the time Frederick was born, his father had a successful carriage business with a partner. The Pattersons encouraged the education of their children: Samuel, two daughters, and Frederick.

Just before the Civil War, Charles Patterson left slavery and headed north, bringing blacksmithing skills he learned in Virginia. Not long after settling in, Patterson began working at a carriage company. By 1870 he was a foreman and by 1873, Patterson had gone into business with J.P. Lowe, a white carriage maker.

The State of Ohio’s 1888 Bureau of Labor Statistics Report lists J.P. Lowe & Co., carriages, etc. with a staff of 10. It is believed that Patterson became a partner in the business that was popularly known as Lowe & Patterson, although its legal name remained J.P. Lowe & Co. until 1893 when Patterson bought out Lowe's share in the business and reorganized as C.R. Patterson, Son & Co. to reflect the involvement of Samuel C. Patterson, Charles’ youngest son.

Frederick graduated from the old Greenfield High School in 1888 and went on to Ohio State University. While at the university, he played on the football team in his junior year in 1891, the first African American to do so. He withdrew from college in his senior year before graduating, taking a job as a high school history teacher in Louisville, Kentucky. It was a different career than his father's business, where his older brother was already working.

Frederick's brother Samuel entered the family business with their father. In 1893, Charles bought out his 20-year partner, J.P. Lowe, and renamed the carriage business C.R. Patterson & Son Company. In 1897, Charles became ill. By this time, Samuel had died. Frederick resigned his teaching position to return and help operate the family business. His father renamed it C.R. Patterson and Sons, and the younger man took on an increasing role.

Patterson got married in 1899 and had a family, including a son Postell Patterson.

After his father died in 1910, Frederick D. Patterson took over the business. Seeing the rise of "horseless carriages", he started development of the first Patterson-Greenfield car, completed in 1915. His two styles competed with Henry Ford's model T and sold for about $850. He was the first African-American to own and operate a car manufacturing company.

C.R. Patterson & Sons Automobile Ad

After producing about 150 vehicles, and having difficulty getting financing for expansion, Patterson decided to change his business rather than compete head on with the major Detroit industry.

A Patterson-Greenfield bus used by the local Greenfield school district

He built bodies for trucks and buses set upon a chassis made by Ford or GM. In 1920, he changed the name of his company to Greenfield Bus Body Company. 

Between 1922 and 1925 advertisements and press releases for the Greenfield Bus Body Co. appeared in the nation’s commercial vehicle trade journals. Although the firm's factory was located on Washington Street, near Lafayette, the 90 Webster Ave. address refers to its shipping address, which was located across from the railroad depot on the outskirts of town.

Early advertisement of Greenfield Bus Bodies

He built strong business relationships with numerous school districts, which became steady customers.

The Crash and Great Depression had a devastating effect on his company, as widespread financial problems caused his customers to cut back on bus orders. Patterson died in 1932. His son Postell Patterson, who had worked with him, closed the business in 1939.

No Patterson-Greenfield autos are known to exist, but some of his father's C.R. Patterson & Sons Company carriages have survived.


Note: There was another unrelated Dr. Frederick Douglass Patterson born 30 years later, who became president of Tuskegee University and the found of the United Negro College Fund.


Part of the Court.rchp.com 2017 Black History Month Series


Article text republished from Wikipedia with additional source material from AfricaSource and Coachbuilt.

Cathy Hughes – Radio One and TV One Founder

Catherine L. Hughes, more commonly known as "Cathy" Hughes is an entrepreneur, radio and television personality, and business executive.

Hughes founded the media company Radio One, and when the company went public in 1999, she became the first African-American woman to head a publicly traded corporation. 

Cathy Hughes was born Catherine Elizabeth Woods on April 22, 1947, to Helen Jones Woods, a trombonist with the International Sweethearts of Rhythm, and William Alfred Woods, who was the first African-American to earn an accounting degree from Creighton University.

The family lived in the Logan Fontenelle Housing Projects while Hughes' father attended college. Hughes attended University of Nebraska-Omaha and Creighton University, her father's alma mater, but never completed her degree.

Cathy Hughes and her son Alfred Liggins III

Cathy Hughes became pregnant at age 16, her friends said her life was over. Her mother kicked her out of the house. Hughes said she “was in shock.” Pregnancy “was the beginning,” Hughes said. The birth of her son, Alfred Liggins, was “an impetus to achieve,” “It was the reason I took my life seriously for the first time as a teenager and made a promise to myself, my son and God that he would not become a black statistic.”

Cathy Hughes and son Alfred C. Liggins III

In the 1970s, Hughes created the urban radio format called "The Quiet Storm" on Howard University's radio station WHUR with disc jockey and fellow Howard student Melvin Lindsay.

Before radio, in the mid-1960s, Hughes worked for an African American newspaper called the Omaha Star. Hughes began her career in 1969 at KOWH in Omaha but left for Washington, D.C. after she was offered a job as a lecturer at the School of Communications at Howard University. 

In 1973, she became General Sales Manager of the university's radio station, WHUR-FM, increasing station revenue from $250,000 to $3 million in her first year. In 1975, Hughes became the first woman Vice President and General Manager of a station in the nation’s capital and created the format known as the “Quiet Storm,” which revolutionized urban radio and was aired on over 480 stations nationwide.

In 1980, Hughes founded Radio One, and with then-husband, Dewey Hughes, bought AM radio station WOL 1450 in Washington, D.C.  After the previous employees had destroyed the facility, she faced financial difficulties and subsequently lost her home and moved with her young son to live at the station. Her fortunes began to change when she revamped the R&B station to a 24-hour talk radio format with the theme, “Information is Power.” Hughes served as the station's Morning Show Host for 11 years. WOL is still the most listened to talk radio station in the nation’s capital.

Cathy's son Alfred joined the company in 1985 as a salesman and by 1989 Alfred had risen to president. Cathy credits Alfred's leadership and vision as the driving force that took the company public and grew it into the media powerhouse it is today.

Radio One went on to own 70 radio stations in nine major markets in the U.S. In 1999, Radio One became a publicly traded company, listed on the NASDAQ stock exchange. As of 2007, Hughes's son, Alfred Liggins, III, serves as CEO and president of Radio One, and Hughes as chairperson. Hughes is also a minority owner of BET industries.

In January 2004, Radio One launched TV One, a national cable and satellite television network which bills itself as the "lifestyle and entertainment network for African-American adults." Hughes interviews prominent personalities, usually in the entertainment industry, for the network's talk program TV One on One.

Both Cathy Hughes and her son, Alfred Liggins have been named Entrepreneur of the Year by the company Ernst & Young. She is a notable member of Alpha Kappa Alpha sorority.

In 2015, a local business organization unofficially named the corner of 4th Street and H Street NE in Washington, D.C. “Cathy Hughes Corner”.


Part of the Court.rchp.com 2017 Black History Month Series


Article text republished from Wikipedia.

Percy Julian – Chemical and Drug Pioneer

African-American chemist Percy Julian was a pioneer in the chemical synthesis of medicinal drugs such as cortisone, steroids and birth control pills. His research at academic and corporate institutions led to the chemical synthesis of drugs to treat glaucoma and arthritis.

Percy Lavon Julian (April 11, 1899 – April 19, 1975) was an African American research chemist and a pioneer in the chemical synthesis of medicinal drugs from plants. He was the first to synthesize the natural product physostigmine, and a pioneer in the industrial large-scale chemical synthesis of the human hormones progesterone and testosterone from plant sterols such as stigmasterol and sitosterol. His work laid the foundation for the steroid drug industry's production of cortisone, other corticosteroids, and birth control pills.

He later started his own company to synthesize steroid intermediates from the wild Mexican yam. His work helped greatly reduce the cost of steroid intermediates to large multinational pharmaceutical companies, helping to significantly expand the use of several important drugs

Julian received more than 130 chemical patents. He was one of the first African Americans to receive a doctorate in chemistry. He was the first African-American chemist inducted into the National Academy of Sciences, and the second African-American scientist inducted (behind David Blackwell) from any field.

In 1993 the U.S. Postal Service issued the Julian stamp in the Black Heritage Commemorative Stamp series.

Early life and education

Percy Lavon Julian was born in Montgomery, Alabama, as the first child of six born to James Sumner Julian and Elizabeth Lena Julian, née Adams. Both of his parents were graduates of what was to be Alabama State University. His father, James, whose own father had been a slave, was employed as a clerk in the Railway Service of the United States Post Office, while his mother, Elizabeth, worked as a schoolteacher. Percy Julian grew up in the time of racist Jim Crow culture and legal regime in the southern United States. Among his childhood memories was finding a lynched man hanged from a tree while walking in the woods near his home. At a time when access to an education beyond the eighth grade was extremely rare for African-Americans, Julian's parents steered all of their children toward higher education.

Julian attended DePauw University in Greencastle, Indiana. The college accepted few African-American students. The segregated nature of the town forced social humiliations. Julian was not allowed to live in the college dormitories and first stayed in an off-campus boarding home, which refused to serve him meals. It took him days before Julian found an establishment where he could eat. He later found work firing the furnace, waiting tables, and doing other odd jobs in a fraternity house; in return, he was allowed to sleep in the attic and eat at the house.

Julian is at top left. Juilan's advisor, William Blanchard, is in the bottom row, third from left. image © DePauw University & United Methodist Church

Julian graduated from DePauw in 1920 as a Phi Beta Kappa and valedictorian. By 1930 Julian's father would move the entire family to Greencastle so that all his children could attend college at DePauw. He still worked as a railroad postal clerk.

After graduating from DePauw, Julian wanted to obtain his doctorate in chemistry, but learned it would be difficult for an African-American to do so. Instead he obtained a position as a chemistry instructor at Fisk University. In 1923 he received an Austin Fellowship in Chemistry, which allowed him to attend Harvard University to obtain his M.S. However, worried that Euro-American students would resent being taught by an African-American, Harvard withdrew Julian's teaching assistantship, making it impossible for him to complete his Ph.D. at Harvard.

In 1929, while an instructor at Howard University, Julian received a Rockefeller Foundation fellowship to continue his graduate work at the University of Vienna, where he earned his Ph.D. in 1931. He studied under Ernst Späth and was considered an impressive student. In Europe, he found freedom from the racial prejudices that had stifled him in the States. He freely participated in intellectual social gatherings, went to the opera and found greater acceptance among his peers. Julian was one of the first African Americans to receive a Ph.D. in chemistry, after St. Elmo Brady and Dr. Edward M.A. Chandler.

After returning from Vienna, Julian taught for one year at Howard University. At Howard, in part due to his position as a department head, Julian became caught up in university politics, setting off an embarrassing chain of events. At university president Mordecai Wyatt Johnson's request, he goaded white Professor of chemistry, Jacob Shohan (Ph.D from Harvard), into resigning.

In late May 1932, Shohan retaliated by releasing to the local African-American newspaper the letters Julian had written to him from Vienna. The letters described "a variety of subjects from wine, pretty Viennese women, music and dances, to chemical experiments and plans for the new chemical building." In the letters, he spoke with familiarity, and with some derision, of specific members of the Howard University faculty, terming one well-known Dean, an "ass".

Around this same time, Julian also became entangled in an interpersonal conflict with his laboratory assistant, Robert Thompson. Julian had recommended Thompson for dismissal in March 1932. Thompson sued Julian for "alienating the affections of his wife", Anna Roselle Thompson, stating he had seen them together in a sexual tryst. Julian counter-sued him for libel. When Thompson was fired, he too gave the paper intimate and personal letters which Julian had written to him from Vienna. Dr. Julian's letters revealed "how he fooled the [Howard] president into accepting his plans for the chemistry building" and "how he bluffed his good friend into appointing" a professor of Julian's liking. Through the summer of 1932, the Baltimore Afro-American published all of Julian's letters. Eventually, the scandal and accompanying pressure forced Julian to resign. He lost his position and everything he had worked for.

Some happiness for Dr. Julian, however, was to come from this scandal. On December 24, 1935 he married Anna Roselle (Ph.D. in Sociology, 1937, University of Pennsylvania). They had two children: Percy Lavon Julian, Jr. (August 31, 1940 – February 24, 2008), who became a noted civil rights lawyer in Madison, Wisconsin;[20] and Faith Roselle Julian (1944– ), who still resides in their Oak Park home and often makes inspirational speeches about her father and his contributions to science.

At the lowest point in Julian's career, his former mentor, William Blanchard, threw him a much-needed lifeline. Blanchard offered Julian a position to teach organic chemistry at DePauw University in 1932. Julian then helped Josef Pikl, a fellow student at the University of Vienna, to come to the United States to work with him at DePauw. In 1935 Julian and Pikl completed the total synthesis of physostigmine and confirmed the structural formula assigned to it. Robert Robinson of Oxford University in the U.K. had been the first to publish a synthesis of physostigmine, but Julian noticed that the melting point of Robinson's end product was wrong, indicating that he had not created it. When Julian completed his synthesis, the melting point matched the correct one for natural physostigmine from the calabar bean.

Julian also extracted stigmasterol, which took its name from Physostigma venenosum, the west African calabar bean that he hoped could serve as raw material for synthesis of human steroidal hormones. At about this time, in 1934, Butenandt and Fernholz, in Germany, had shown that stigmasterol, isolated from soybean oil, could be converted to progesterone by synthetic organic chemistry.

Private sector work: Glidden

In 1936 Julian was denied a professorship at DePauw for racial reasons. DuPont had offered a job to fellow chemist Josef Pikl but declined to hire Julian, despite his superlative qualifications as an organic chemist, apologizing that they were "unaware he was a Negro". Julian next applied for a job at the Institute of Paper Chemistry (IPC) in Appleton, Wisconsin. However, Appleton was a sundown town, forbidding African Americans from staying overnight, stating directly: "No Negro should be bed or boarded overnight in Appleton."

Meanwhile, Julian had written to the Glidden Company, a supplier of soybean oil products, to request a five-gallon sample of the oil to use as his starting point for the synthesis of human steroidal sex hormones (in part because his wife was suffering from infertility). After receiving the request, W. J. O'Brien, a vice-president at Glidden, made a telephone call to Julian, offering him the position of director of research at Glidden's Soya Products Division in Chicago. He was very likely offered the job by O'Brien because he was fluent in German, and Glidden had just purchased a modern continuous countercurrent solvent extraction plant from Germany for the extraction of vegetable oil from soybeans for paints and other uses.

Julian at his desk at Glidden, where he worked from 1936 to 1954

Julian supervised the assembly of the plant at Glidden when he arrived in 1936. He then designed and supervised construction of the world's first plant for the production of industrial-grade, isolated soy protein from oil-free soybean meal. Isolated soy protein could replace the more expensive milk casein in industrial applications such as coating and sizing of paper, glue for making Douglas fir plywood, and in the manufacture of water-based paints.

At the start of World War II, Glidden sent a sample of Julian's isolated soy protein to National Foam System Inc. (today a unit of Kidde Fire Fighting), which used it to develop Aer-O-Foam, the U.S. Navy's beloved fire-fighting "bean soup." While it was not exactly Julian's brainchild, his meticulous care in the preparation of the soy protein made the fire fighting foam possible. When a hydrolyzate of isolated soy protein was fed into a water stream, the mixture was converted into a foam by means of an aerating nozzle. The soy protein foam was used to smother oil and gasoline fires aboard ships and was particularly useful on aircraft carriers. It saved the lives of thousands of sailors and airmen. Citing this achievement, in 1947 the NAACP awarded Julian the Spingarn Medal, its highest honor.

Steroids

Julian's research at Glidden changed direction in 1940 when he began work on synthesizing progesterone, estrogen, and testosterone from the plant sterols stigmasterol and sitosterol, isolated from soybean oil by a foam technique he invented and patented. At that time clinicians were discovering many uses for the newly discovered hormones. However, only minute quantities could be extracted from hundreds of pounds of the spinal cords of animals.

In 1940 Julian was able to produce 100 lb of mixed soy sterols daily, which had a value of $10,000 ($80,000 today) as sex hormones. Julian was soon ozonizing 100 pounds daily of mixed sterol dibromides. The soy stigmasterol was easily converted into commercial quantities of the female hormone progesterone, and the first pound of progesterone he made, valued at $63,500 ($509,000 today), was shipped to the buyer, Upjohn, in an armored car. Production of other sex hormones soon followed.

His work made possible the production of these hormones on a larger industrial scale, with the potential of reducing the cost of treating hormonal deficiencies. Julian and his co-workers obtained patents for Glidden on key processes for the preparation of progesterone and testosterone from soybean plant sterols. Product patents held by a former cartel of European pharmaceutical companies had prevented a significant reduction in wholesale and retail prices for clinical use of these hormones in the 1940s. He saved many lives with this discovery.

Percy Julian circa 1940–1950

On April 13, 1949, rheumatologist Philip Hench at the Mayo Clinic announced the dramatic effectiveness of cortisone in treating rheumatoid arthritis. The cortisone was produced by Merck at great expense using a complex 36-step synthesis developed by chemist Lewis Sarett, starting with deoxycholic acid from cattle bile acids. On September 30, 1949, Julian announced an improvement in the process of producing cortisone. This eliminated the need to use osmium tetroxide, which was a rare and expensive chemical.[33] By 1950, Glidden could begin producing closely related compounds which might have partial cortisone activity. Julian also announced the synthesis, starting with the cheap and readily available pregnenolone (synthesized from the soybean oil sterol stigmasterol) of the steroid cortexolone (also known as Reichstein's Substance S), a molecule that differed from cortisone by a single missing oxygen atom; and possibly 17α-hydroxyprogesterone and pregnenetriolone, which he hoped might also be effective in treating rheumatoid arthritis, but unfortunately they were not.

On April 5, 1952, biochemist Durey Peterson and microbiologist Herbert Murray at Upjohn published the first report of a fermentation process for the microbial 11α-oxygenation of steroids in a single step (by common molds of the order Mucorales). Their fermentation process could produce 11α-hydroxyprogesterone or 11α-hydroxycortisone from progesterone or Compound S, respectively, which could then by further chemical steps be converted to cortisone or 11β-hydroxycortisone (cortisol).

After two years, Glidden abandoned production of cortisone to concentrate on Substance S. Julian developed a multistep process for conversion of pregnenolone, available in abundance from soybean oil sterols, to cortexolone. In 1952, Glidden, which had been producing progesterone and other steroids from soybean oil, shut down its own production and began importing them from Mexico through an arrangement with Diosynth (a small Mexican company founded in 1947 by Russell Marker after leaving Syntex). Glidden's cost of production of cortexolone was relatively high, so Upjohn decided to use progesterone, available in large quantity at low cost from Syntex, to produce cortisone and hydrocortisone.

In 1953, Glidden decided to leave the steroid business, which had been relatively unprofitable over the years despite Julian's innovative work. On December 1, 1953, Julian left Glidden after 18 years, giving up a salary of nearly $50,000 a year (equivalent to $450,000 in 2016) to found his own company, Julian Laboratories, Inc., taking over the small, concrete-block building of Suburban Chemical Company in Franklin Park, Illinois.

On December 2, 1953, Pfizer acquired exclusive licenses of Glidden patents for the synthesis of Substance S. Pfizer had developed a fermentation process for microbial 11β-oxygenation of steroids in a single step that could convert Substance S directly to 11β-hydrocortisone (cortisol), with Syntex undertaking large-scale production of cortexolone at very low cost.

Oak Park and Julian Laboratories

Circa 1950, Julian moved his family to the Chicago suburb of Oak Park, becoming the first African-American family to reside there. Although some residents welcomed them into the community, there was also opposition. Before they even moved in, on Thanksgiving Day, 1950, their home was fire-bombed.

The Julian home, which was firebombed twice when the family moved to Oak Park in 1950

Later, after they moved in, the house was attacked with dynamite on June 12, 1951. The attacks galvanized the community, and a community group was formed to support the Julians. Julian's son later recounted that during these times, he and his father often kept watch over the family's property by sitting in a tree with a shotgun.

In 1953, Julian founded his own research firm, Julian Laboratories, Inc. He brought many of his best chemists, including African-Americans and women, from Glidden to his own company. Julian won a contract to provide Upjohn with $2 million worth of progesterone (equivalent to $16 million today). To compete against Syntex, he would have to use the same Mexican yam Mexican barbasco trade as his starting material. Julian used his own money and borrowed from friends to build a processing plant in Mexico, but he could not get a permit from the government to harvest the yams. Abraham Zlotnik, a former Jewish University of Vienna classmate whom Julian had helped escape from the Nazi European holocaust, led a search to find a new source of the yam in Guatemala for the company.

In July 1956, Julian and executives of two other American companies trying to enter the Mexican steroid intermediates market appeared before a U.S. Senate subcommittee. They testified that Syntex was using undue influence to monopolize access to the Mexican yam. The hearings resulted in Syntex signing a consent decree with the U.S. Justice Department. While it did not admit to restraining trade, it promised not to do so in the future. Within five years, large American multinational pharmaceutical companies had acquired all six producers of steroid intermediates in Mexico, four of which had been Mexican-owned.

Syntex reduced the cost of steroid intermediates more than 250-fold over twelve years, from $80 per gram in 1943 to $0.31 per gram in 1955. Competition from Upjohn and General Mills, which had together made very substantial improvements in the production of progesterone from stigmasterol, forced the price of Mexican progesterone to less than $0.15 per gram in 1957. The price continued to fall, bottoming out at $0.08 per gram in 1968.

In 1958, Upjohn purchased 6,900 kg of progesterone from Syntex at $0.135 per gram, 6,201 kg of progesterone from Searle (who had acquired Pesa) at $0.143 per gram, 5,150 kg of progesterone from Julian Laboratories at $0.14 per gram, and 1,925 kg of progesterone from General Mills (who had acquired Protex) at $0.142 per gram.

Despite continually falling bulk prices of steroid intermediates, an oligopoly of large American multinational pharmaceutical companies kept the wholesale prices of corticosteroid drugs fixed and unchanged into the 1960s. Cortisone was fixed at $5.48 per gram from 1954, hydrocortisone at $7.99 per gram from 1954, and prednisone at $35.80 per gram from 1956. Merck and Roussel Uclaf concentrated on improving the production of corticosteroids from cattle bile acids. In 1960 Roussel produced almost one-third of the world's corticosteroids from bile acids.

Julian Laboratories chemists found a way to quadruple the yield on a product on which they were barely breaking even. Julian reduced their price for the product from $4,000 per kg to $400 per kg. He sold the company in 1961 for $2.3 million (equivalent to $18 million today). The U.S. and Mexico facilities were purchased by Smith Kline, and Julian's chemical plant in Guatemala was purchased by Upjohn.

In 1964, Julian founded Julian Associates and Julian Research Institute, which he managed for the rest of his life.

National Academy of Sciences

He was elected to the National Academy of Sciences in 1973 in recognition of his scientific achievements. He became the second African-American to be inducted, after David Blackwell.


Part of the Court.rchp.com 2017 Black History Month Series


Much of the content above republished under license from Wikipedia

Billionaire President Equals Massive Military Industrial Complex Profits

In less than three weeks, President-Elect Trump will be sworn into office, on January 20, 2017. Billionaires used to be content by controlling power from behind the scenes, but not anymore. Billionaires have effectively overthrown the U.S. Government

According to Title 3 of the US Code, the US President "shall earn" a salary of  $400,000, along with a $50,000 annual expense account, a $100,000 nontaxable travel account, and $19,000 for entertainment. In a tweet, Trump stated, "I won't take even one dollar. I'm totally giving up my salary if I become president," but later stated on "60 Minutes" that he would take a $1 salary because the law required him to.

Billionaires earn a tremendous amount money, some as much as $37 million dollars per day. So why does a billionaire who has a history and reputation for looking out for only himself suddenly decide to spend $66 million of his own money and give up his huge earning potential to become president? 

Trump hasn't even donated to his own foundation since 2008, which is currently under multiple investigations.

Common sense requires you to consider a profit motive especially considering the President-Elect is also the author of "The Art of the Deal". As President, Trump gains incredible bargaining power with bankers, governments, and others. Trump has an estimated billion dollar debt including $300 million with Deutsche Bank which he recently renegotiated. Deutsche is currently under investigation by the U.S. Attorney General’s Office over stock trades for Russian customers. As President, Trump will choose the next Attorney General, Trump would then be the the Attorney General's boss, a significant bargaining chip.

Defense Contractors – The Military Industrial Complex

In 1961, President Dwight D. Eisenhower tried to warn the American public during his farewell speech to beware of the military-industrial complex. The "War Dogs" clip on our "War is a Racket" page mentions, "war is an economy; anybody who tells you otherwise is either in on or stupid". If profits are your motivation, there is not a greater engine for profits than war.

War disproportionate affects poor and minority populations. People with limited opportunities are drawn to the military more than any other segment of society. Martin Luther King Jr. expressed a chilling sentiment about war that could just as easy be expressed today; see the clip below from the documentary, "War Made Easy".

I have two draft-age sons. When Trump makes incendiary statements toward other nations, I am naturally concerned about future ramifications for my sons. Trump had a stellar education which included: The Kew-Forest School, New York Military Academy, Fordham University and the Wharton School of the University of Pennsylvania, so I have no reason to believe he doesn't understand that his statements have consequences. If he understands, those consequences are part of his stategy or end game.

Trump may be the sort of billionaire mentioned in chapter 2 of "None Dare Call it Conspiracy". Trump may even have a king complex, any chess player knows that all the other pieces on the board ultimate sacrifice themselves in defense of the king. I am not interested in my son's or the sons and daughters of others, being used as pawns to increase someone else's profits.

Nuclear Buildup

Trump has mentioned expanding the United States nuclear capacity. From a profit standpoint, nothing comes close to nuclear armaments.

 One-third of the Energy Department’s budget is allocated to nuclear weapons. The United States spends an average of $20 billion per year on its nuclear arsenal. The U.S. hasn't built a new warhead since 1990, however, many of the existing warheads are being refurbished at a cost of $2 – $20 million each depending on the type. Recently, the Pentagon said it needs $200 billion dollars to modernize it's U.S. nuclear weapons.

Imagine a scenario where the United States spends hundreds of billions, maybe even trillions to build up our nuclear capacity then later sign another non-proliferation agreement where we spend billions more decommissioning many of those weapons. Can you imagine a more profitable situation? There is no profit if nukes are used, but building and then destroying nukes – very profitable.

Trump once made the following statement about Libyan leader Moammar Gadhafi: "I rented him a piece of land. He paid me more for one night than the land was worth for two years, and then I didn't let him use the land," Trump boasted. "That's what we should be doing. I don't want to use the word 'screwed', but I screwed him." 

Now imagine a defense contractor that made hundreds of billions in profits during Trump's tenure paying billions of dollars for real estate owned by Trump years from now. See the Huffington's Post "10 Well-Kept Secrets That All Billionaires Know".

Fake News

Independent journalist using cell phones equipped with a camera and video capability have transformed how people get information. Social media brought attention to incidents that major media probably may not have even noticed on its own. The killings of Mike Brown in Ferguson, Eric Garner in New York, and others may have gone unnoticed if not but for cell phones and social media. 

Major media is controlled by members of the billionaire's boys club and those billionaires have lost some media influence and they want it back. Calling into question the reporting of independent journalists by labeling their product as "fake news" is an attempt to regain total control of the narrative.

Denzel Washington recently responded to a question concerning "fake news" by quoting Mark Twain, “If you don't read the newspaper, you're uninformed. If you read the newspaper, you're mis-informed.”

As we mentioned in our recent corporation post, there are five corporations that control most major media outlets. Major media originally questioned whether President Elect Trump and Russian President Putin were friends.  Then the narrative changed and suddenly there is talk of sanctions and retaliation against Russia

There is a long tradition of "fake news" from the mainstream media. Since the revolutionary war, the government has used propaganda, censored information and news under the guise of national security. The Declaration of Independence contained a compelling piece of propaganda, “All men are created equal,” which conveniently ignored slaves.

The Committee on Public Information was established during the first World War. During World War II there was an official office of censorship that the CIA reports even reprimanded the First Lady, Eleanor Roosevelt.

After Pearl Harbor, Americans had a strong sense of why the U.S. had entered the war, but by 1942, a poll showed 30% of the population had doubts. The Office of War Information began a propaganda campaign of "presenting the war in simple terms of good versus evil".

The top 50 U.S. metropolitan statistical areas contain more than a million people each, the next 50 largest contain at least half a million each and there are an additional 250 areas with at least 100,000 people. However, turn on the evening news and the same few stories are being reported by all the major networks. You would think that a country with 50 states and a population of more than 345 million people would have a number of diverse and interesting stories every day.

The real fake news story is major networks ignoring major stories that independent journalist seem to have no problem finding and reporting to same news as all the other networks. There are fake news stories in both mainstream and independent media. Use common sense and critical thinking to determine for yourself what is relevant and what is true.

Nothing would make me happier than for Trump to end up becoming a great president and for some of my assumptions and opinions to be wrong. I won't, however, hold my breath while we wait to find out. 


War Made Easy – How Presidents and Pundits Keep Spinning Us To Death

The full 2007 documentary that attempted to show the parallels between the Vietnam war and the war in Iraq and expose how the American government used the media as a propaganda tool.

 

 

AT&T’s CEO Forcefully Supported Black Lives Matter

In July, I wrote about boycotting companies that don't actively speak out against injustice and oppression perpetrated against the Black community. The CEO of AT&T has provided one of the best examples of how a company can voice support and concern about major issues that affect us.

Randall Stephenson, the CEO of AT&T, was the keynote speaker at an AT&T ERG conference. Stephenson shared a personal story about one of his closest friends, who happens to be a black physician who served three tours in Iraq and Afghanistan. Stephenson revealed an epiphany he had when confronted by statements his friend made. He used that experience to illustrate how his view on diversity, inclusion, and Black Lives Matter was recently influenced. Because of this speech, Stephenson has become one of the most outspoken corporate leaders concerning the Black Lives Matter movement. 

Stephenson admitted he had always been "confused" by the racial views of his friend, But when he saw a video of him addressing a mostly white church congregation about being refused service at restaurants, being called "boy" and even fearing being stopped by police in his own neighborhood, Stephenson finally understood where those views came from. Stephenson stated, "Our "Tolerance is for cowards" … "Being tolerant requires nothing from you but to be quiet and not make waves." … "communities are being destroyed by racial tension and we're too polite to talk about it."

"If two very close friends of different races don't talk openly about this issue, that's tearing our communities apart, how do we expect to find common ground and solutions for what's a really serious, serious problem?" he asked. Stephenson ended his speech with the statement, "If this is a dialogue that's to begin at AT&T, I feel like it probably ought to start with me," he received a standing ovation. Watch the speech for yourself below.

Employee Resource Groups – or ERGs, are groups within AT&T that provide like-minded employees a way to connect over a shared background and experience. The 12 ERGs include Community NETwork — The African American Telecommunications Professionals of AT&T, HACEMOS — The Hispanic/Latino Employee Association of AT&T, LEAGUE at AT&T — The Lesbian, Gay, Bisexual, Transgender and Allies Employees of AT&T and other groups.

$5 or $10 High Speed Internet

I switched my home Internet provider from Charter to AT&T two days ago. For those receiving SNAP (food stamp) benefits, AT&T offers high-speed Internet for only $5 or 10 per month, depending on the speed available in your area. For additional information, see Access from AT&T

Don't get me wrong, AT&T still has problems. In fact, I ran into some minor irritation caused by AT&T during the shipping and installation and I'm sure like with many companies, I'll have issues moving forward. However, Stephen's epiphany seems genuine and as CEO of one of the largest corporations in the world, he can have a real effect on institutionalized racism, at least within his own organization. We must support the people and institutions that support us, otherwise, why should we expect them to do it. You can expect Randall Stephenson to be criticized for his public support of Black Lives Matters. Some will comment that he is a CEO and his responsibility is to the stockholders and he shouldn't be talking about BLM. Now as an AT&T customer, my voice will carry more weight if the stockholders of AT&T respond too negatively. Remember how our support of WNBA players and calls to boycott caused the league to reverse fines against players speaking out?

Maybe now, other CEOs will be prompted to reexamine their own support or lack of support of this issue. There may be some who want to speak out but have remained silent, fearing the repercussions and may now find the courage to speak. One person can make a tremendous difference. After Colin Kaepernick refused to stand for the national anthem, other athletes all over the country followed his example and joined his protest, creating a movement.

 

 

Over 700,000 People Urge DOJ to Reject Biotech Mega-Mergers

'The shocking consolidation in the biotech seed and agrochemical industry turns our food system over to a cabal of chemical companies, undermining family farmers and consumers'

Monsanto accepted Bayer's $66 billion takeover bid last week—the latest in a series of mega-mergers in the agrochemical industry. (Photo: AP)

Hundreds of thousands have signed petitions calling on the U.S. Department of Justice and elected officials to block three proposed mega-mergers of chemical and biotech behemoths:Bayer-MonsantoDow-Dupont, and ChemChina-Syngenta.

"Additional consolidation will increase prices and further limit choices for farmers, while allowing Monsanto and friends to continue pushing a model of agriculture that has given us superweeds, superbugs, and health-harming pesticides." —Marcia Ishii-Eiteman, Pesticide Action Network

"The continuing consolidation of seed and pesticide companies essentially creates a monopoly of toxicity in control of the world's seed market and food supply. These agrichemical giants threaten the availability and genetic diversity of seeds that are critical to a sustainable food system and to our ability to respond to the impacts of climate change," Andrew Kimbrell, executive director of Center for Food Safety, said Tuesday.

The petitions signed by over 700,000 people were delivered by nine consumer advocacy and environmental groups—including Food & Water Watch, Sierra Club, Pesticide Action Network, Friends of the Earth, and Center for Food Safety, among others—as the U.S. Senate Judiciary Committee met Tuesday to examine the wave of consolidation in the biotech and agrochemical industry.

"I'm afraid this consolidation wave has become a tsunami," said Iowa Sen. Charles Grassley, the Republican chairman of the Senate Judiciary Committee, as the hearing opened.

"Just six corporations already dominate worldwide seed and pesticide markets," commented Marcia Ishii-Eiteman, senior scientist with Pesticide Action Network, in a statement released by the groups. "Additional consolidation will increase prices and further limit choices for farmers, while allowing Monsanto and friends to continue pushing a model of agriculture that has given us superweeds, superbugs, and health-harming pesticides. Instead, we need to invest in agroecological, resilient, and productive farming."

Kiki Hubbard, director of advocacy for Organic Seed Alliance, noted that all farmers "experience the negative consequences of seed consolidation. Organic farmers in particular are already underserved by the industry because the dominant players only invest in seed technologies and chemical production systems that are in conflict with organic farming practices."

"The last thing that U.S. agriculture needs now is more concentration," added Michael Sligh of the Rural Advancement Foundation International. "What farmers need is more regionally and locally-adapted seeds choices and more biodiversity. Concentration lead to higher seed prices for farmers and lower take home pay."

"The shocking consolidation in the biotech seed and agrochemical industry turns our food system over to a cabal of chemical companies, undermining family farmers and consumers," noted Food & Water Watch Executive Director Wenonah Hauter. "We urge federal regulators to block these pending mergers to prevent further corporate control of our food system."


Republished with permission under license from CommonDreams.

Bayer and Monsanto: A Marriage Made in Hell

Today, the St. Louis Post Dispatch reported that, "Bayer, Monsanto said to be moving closer to a merger deal". Considering the history of Black people being victimized by medical experimentation and the history of Bayer's participation in the Holocaust while part of IG Farben, the merger is not welcome news to me.

On December 25, 1925 six companies Bayer, BASF, Hoechst including Cassella and Chemische Fabrik Kalle, Agfa, Chemische Fabrik Griesheim-Elektron, and Chemische Fabrik vorm merged to form IG Farben. 

The IG Farben Trial concluded that IG Farben had committed war crimes including active participation in the Holocaust. IG Farben had constructed a plant next to the concentration camp  Auschwitz, with the clear intent to use inmates as slave workers. The indictment against IG Farben included:

  • Planning, preparation, initiation, and waging of wars of aggression and invasions of other countries.
  • War crimes and crimes against humanity through the plundering and spoliation of occupied territories, and the seizure of plants in Austria, Czechoslovakia, Poland, Norway, France, and Russia.
  • War crimes and crimes against humanity through participation in the enslavement and deportation to slave labor on a gigantic scale of concentration camp inmates and civilians in occupied countries, and of prisoners of war, and the mistreatment, terrorization, torture, and murder of enslaved persons.

The Soviet Union seized most of IG Farben's assets located in the Soviet occupation zone. However, because of the company's large investment of American companies, the idea of destroying IG Farben was quickly abandoned in the western occupation zone. In 1951, the company was split into its original companies and the four largest including Bayer quickly bought the smaller ones. IG Farben was officially put into liquidation in 1952, however, as of 2012, it still existed as a corporation in liquidation.

It's important to consider a company's past history and consider what it may be capable of in the future. The article below provides information concerning the history of both Bayer and Monsanto.


By Martha Rosenberg, Ronnie Cummins

The two multinationals that teamed up during the Vietnam War to poison millions of people with its Agent Orange herbicide—St. Louis, Mo.-based Monsanto and Germany’s Bayer AG—are looking to become one. 

Bayer has announced a bid  to buy Monsanto in a deal that would expand Bayer's GMO and pesticide holdings and add drugs to Monsanto’s global portfolio. Monsanto has rejected the latest bid, but the two are still in talks.

If Monsanto, perhaps the most hated GMO company in the world, joins hands with Bayer, one of the most hated Big Pharma corporations on Earth (whose evil deeds date back to World War I and the Nazi era), the newly formed seed-pesticide-drug behemoth would have combined annual sales of $67 billion.

That’s a staggering figure. But here’s another, even more alarming: Combined, the new mega-chemical/seed company would control 29 percent of the world’s seed market and 24 percent of the pesticide market. 

The Bayer-Monsanto merger is the third recent proposed consolidation in the agriculture markets in just months, following on the heels of proposed mergers between chemical and agritoxics titans Dow and DuPont, and ChemChina and Syngenta.  

"All of a sudden we have three major transactions at the same time," Matt Arnold, an Edward Jones analyst, told the News Journal. "One would think that would prompt regulators to really dial up the scrutiny and think long and hard about whether that much consolidation is in the best interest of farmers and consumers."

Indeed, reports the Journal, all three proposed mergers face antitrust reviews by agencies in the U.S., Europe and China, reports the Journal, including by the Federal Trade Commission, U.S. Department of Justice, the European Commission and stockholders of the publicly traded companies.

Already shareholders have spoken out, terming the move "arrogant empire-building," reported Reuters. Shareholders also worry that the takeover would dilute Bayer’s core drug business currently flush with sales of its blood-thinner Xarelto and Eylea, a drug to treat blindness.

As noted, this is not the first time Bayer and Monsanto will have teamed up, if the deal goes through. “During the Vietnam war, Bayer was involved in the development of Agent Orange production….carried out at the firm Mobay, founded jointly by Bayer and Monsanto,”says Coalition Against Bayer Dangers. The defoliant herbicide Agent Orange was sprayed over millions of acres in Vietnam for over a decade in “Operation Ranch Hand,” despite numerous scientific studies and thousands, later millions of medical cases linking the toxic chemical to birth defects and stillbirths in animals and humans.

Bayer, a history of unsafe drugs

Bayer and Monsanto both sell controversial toxic agricultural chemicals and GMO seeds. But if Bayer’s bid to take over Monsanto goes through, it would mark Monsanto’s first entry into Big Pharma. 

Last year, Bayer was named the ninth largest drug company in the world on the basis of its yearly revenue of $25.47 billion. The drug giant, though, has been beset with drug safety scandals, including deaths, for at least three decades. Here are just a few of the scandals that made the news,

•    Blood clotting drug spread AIDS

In the 1980s, Bayer sold Factor VIII concentrate, a blood-clotting medicine acquired from Cutter Laboratories in 1978. Though Factor VIII carried a high risk of transmitting AIDS and Bayer knew, Bayer continued to sell the drug in Asia and Latin America while selling a new, safer product in the West. 

In Hong Kong and Taiwan alone, more than 100 hemophiliacs got H.I.V. and "many have since died, "reported the New York Times. Cutter's "financial investment in the product was considered too high to destroy the inventory," said William Heisel of the Center for Health Reporting. "Cutter continued to sell the contaminated AHF to markets willing to accept it, including overseas markets in Asia and Latin America, without the recommended precaution of heat treating the product to eliminate the risk."

•    Statin Baycol recalled

In 2001, Bayer withdrew its lucrative new statin drug Baycol because more than 50 people had died and more than six million patients were at risk from the deadly side effects of rapidly dissolving of muscle tissue. Bayer removed the drug from pharmacy shelves in the U.S., Europe and Japan, and U.S. and German lawyers announced that they are planning an amended class-action lawsuit in the U.S. that would allow European victims to seek damages.

As deaths grew, Bayer stuck to its story "that there is currently no proof that the drug is the cause of the deaths" and assured shareholders that "Our sales this year will increase even though Baycol will now be absent." Recently, Bayer was sentenced to pay damages to Baycol victims in in Argentina and Italy. "Internal documents show that Bayer’s management was aware of the serious health risk for patients and even ignored warnings from within the company," . 

•    Yaz birth control pill causes deaths

Bayer's Yaz birth control pills promised to clear up acne and treat severe PMS in addition to preventing pregnancy. But soon after the Yaz launch in 2006, there were reports of associated blood clots, gall bladder disease, heart attacks and even strokes. The Bayer birth control pills contained drospirenone, a drug that was never before marketed in the U.S. and likely caused the heart problems through elevated potassium, and a change in acid balance of the blood.

TV ads for Yaz in 2008 were so misleading, the U.S. Food & Drug Administration (FDA), in a rare move, ordered Bayer to run correction ads. Thousands of injuries and approximately 100 deaths were linked to Yaz in law filings that followed. 

•    Xarelto, shady approval of a dangerous drug

In 2012, the New York Times reported on a class of new anti-clotting drugs which have no antidote and can cause alarming bleeding deaths. Xarelto is one of them. Even as 379 deaths have been linked to Xarelto, there are reports of hidden and falsified data and faulty technology that helped win the controversial drug FDA approval. Trials were conducted by Duke's Robert Califf, who later became the new FDA Commissioner. No conflict of interest there. 

•    Baytril, animal antibiotic blocked by FDA

2015 Bayer brochure, coinciding with public awareness of antibiotic abuse in livestock, says Bayer Animal Health "objects" to "routine prophylactic use in healthy animals" of fluoroquinolones, a type of antibiotic. 

Yet it was just such "prophylactic use" that got Bayer's fluoroquinolone Baytril blocked by the FDA a decade ago.  The FDA said  the routine use of Baytril in chickens "has made it difficult for doctors to treat human patients who have food poisoning." Union of Concerned Scientists called the decision a "big victory for public health." The FDA Commissioner at the time, Lester Crawford, remarked that Baytril "has not been shown to be safe for use in poultry." The FDA continues to struggle against the powerful lobbying of drug companies selling livestock antibiotics, often by the ton.

The devil’s chemist

Many people have heard rumors about Bayer’s roles in WWI and WWII. Sadly, they are true and sometimes worse than have been reported. “Carl Duisberg, the Bayer General Director for decades, was personally involved in the development of poison gas such as ‘Mustard Gas’ in World War I and pushed for its use on the front–contrary to international law,”reports Coalition against Bayer Dangers. Duisberg demanded the deportation of tens of thousands of Belgian forced laborers, according to the Coalition, and “strongly supported the merging of the German chemical industry to create the Ig Farben” implicated in Nazi atrocities.

“The Ig Farben cartel was crucial to the Nazi war effort by supplying synthetic fuel, rubber, and other chemicals,” reports Natural News. The cartel also manufactured Zyklon-B, the nerve gas used to kill millions at the concentration camps of Auschwitz, Birkenau and elsewhere. Later known as the Devil's Chemists, Ig Farben used unwilling inmates of the concentration camps as slave laborers and guinea pigs to test chemicals, pharmaceuticals, and vaccines. Tens of thousands died, and those who became too ill to be of any use were murdered in the gas chambers, according to a Natural News report. 

It is hard to believe a company linked to the Holocaust, including grisly human experiments conducted on concentration camp victims, would be thriving in the pharmaceutical, agrochemical and GMO sectors. But it’s true, as evidenced by this correspondence between an Auschwitz camp commander and Bayer Leverkusen, which cites the “sale” of 150 female prisoners for experiments:

With a view to the planned experiments with a new sleep-inducing drug we would appreciate it if you could place a number of prisoners at our disposal (…)" – "We confirm your response, but consider the price of 200 RM per woman to be too high. We propose to pay no more than 170 RM per woman. If this is acceptable to you, the women will be placed in our possession. We need some 150 women (…)" – "We confirm your approval of the agreement. Please prepare for us 150 women in the best health possible (…)" – "Received the order for 150 women. Despite their macerated condition they were considered satisfactory. We will keep you informed of the developments regarding the experiments (…)" – "The experiments were performed. All test persons died. We will contact you shortly about a new shipment (…)"

From chemical warfare to “crop science”

Bayer is in agrochemicals and GMOs as deeply as Monsanto, the company it seeks to buy. In 2008, the German Coalition against Bayer brought a charge against the Bayer Board of Management with the Public Prosecutor in Freiburg (south-western Germany) accusing Bayer of contributing to the mass death of bees all over the world through its aggressive pesticide marketing. Since then, the bee debacle has only grown worse, with thousands of hives collapsing after poisoning by the pesticide clothianidin, producing a worldwide crisis.

Since 1991, Bayer has been producing the insecticide Imidacloprid, one of the world’s best-selling insecticides. Imidacloprid is used to pre-treat genetically engineered corn, sunflower and rapeseed (canola) seeds, despite evidence seeds with insecticides is ineffective. Imidacloprid was one of Bayer´s top pesticides, exported to more than 120 countries. When its patent expired, Bayer brought a similarly functioning successor product, Clothianidin, onto the market in 2003. Both substances are systemic chemicals that work their way from the seed through the plant. The substances also get into the pollen and the nectar and can damage beneficial insects such as bees.

In 2006, the Washington Post reported that Bayer’s GMO rice, LLRICE 601 rice, endowed with bacterial DNA that makes rice plants resistant to a weed killer made by the agricultural giant Aventis, was spreading out of control. U.S. commercial supplies of long-grain rice had become inadvertently contaminated with the rice not approved for human consumption, said Agriculture Secretary Mike Johanns. 

The following year, Bayer admitted it was unable to control the spread of its genetically-engineered organisms despite “the best practices [to stop contamination],” demonstrating once again that all outdoors field trials or commercial growing of GMO crops must be stopped

Europe has been way ahead of the U.S. in acknowledging the dangers and banning GMOs and dangerous pesticides.

Is merger a sign of decline?

While a Bayer-Monsanto deal (like a DuPont-Dow deal or ChemChina-Syngenta deal) certainly threatens the world food supply with domination by GMOs and destructive agrochemicals, there may be an underreported bright side: Industries that are doing well generally spin off; industries that are performing poorly generally merge and consolidate.

Recent reports suggest the stock of large agricultural, biotech and seed companies, including Monsanto, is foundering, –a likely reflection of the growing, world-wide rejection of their products.  Moreover, even though the long-awaited, industry-friendly National Academies of Sciences, Engineering and Medicine report did not find human “dangers” in eating GMOs, it also definitively did not find they produced greater crop yields. Wait—wasn’t that the justification given for creating GMO crops? 

Thanks in large part to the global anti-GMO and Millions Against Monsanto movement, the Biotech Tech Bully from St. Louis is on the ropes. By changing its name, Monsanto hopes we’ll forget its evil deeds.

Not a chance, On October 14-16, merged or not with Bayer, the OCA and the global grassroots will expose Monsanto’s crimes against humanity and the environment at the Monsanto Tribunal, a citizens’ tribunal which will take place in The Hague, Netherlands. 

Perhaps it’s time to put Bayer and Big Pharma on trial as well and build an even larger global united front: Billions Against Bayer-Monsanto.


Republished with permission under license by CommonDreams