E-mails Reveal Walmart CEO Was Repeatedly Informed of Bribery Scandal in 2005

E-mails Reveal Walmart CEO Was Repeatedly Informed of Bribery Scandal in 2005

Two Democratic Congressmen today released internal Walmart documents which they said appear to directly contradict Walmart’s recent claims regarding alleged rampant bribery by its Mexico subsidiary. They include what appear to be seven year-old e-mails in which current Walmart CEO Mike Duke was directly informed of the scandal. At the time, Duke was serving as Walmart vice chairman, responsible for Walmart international.

“We are concerned that your company’s public statements that the company was unaware of the allegations appear to be inconsistent with documents we have obtained through our investigation,” representatives Henry Waxman and Elijah Cummings wrote in a letter to Walmart CEO Michael Duke released this morning. “Contrary to Wal-Mart’s public statements, the documents appear to show that you were personally advised of the allegations in October 2005.” Cummings are Waxman the ranking Democrats on the House Oversight and Government Reform Committee and the House Education & Commerce Committee, respectively. Walmart did not immediately respond to The Nation’s request for comment.

The congressmen’s findings echo those of a separate investigation by the New York Times, the paper that first broke news of the scandal in April. In a 7,600 word expose published three weeks ago, the Times found that in 2006, Walmart headquarters shut down an internal investigation of bribery in Mexico, despite “a wealth of evidence” supporting the allegations, and thus “authorities were not notified.” Unlike today’s letter, the Times story did not mention Duke himself.

The December 17 New York Times story reported, also based on confidential documents, that Walmart de Mexico used illegal payoffs in its pursuit of at least 19 Mexico store sites. According to reporters David Barstow and Alejandra Xanic von Betrab, those included a field just outside the historic pyramids in Teotihuacan, an area where Walmart otherwise “almost surely would not have been allowed to build…”

Many Americans might be under the impression that since Republicans are constantly whining about  pro business policies, that conservatives are pro business. That is not the case. Republicans are pro organized crime. They do not want Congress to interfere with businesses like Walmart or Monsanto or BP perpetrating their crimes. It is all code words. Conservative business policies are pro organized crime policies. As simple as that. To add insult to injury - see chart above - middle-class and low wage Americans subsidize Walmart's crimes.