10.04.20

Journey Back in History: Misconduct or Disorderly Conduct (Stuffing Money Down the Fronts of Stewardesses’ Blouses, According to Witness Account) by Arthur Watson of IBM (Founder’s Son and Former IBM Chief), Followed by Watson’s Admission and Resignation

Posted in Finance, Fraud, IBM at 5:26 am by Dr. Roy Schestowitz

IBM Watsons

Summary: Techrights examines more of the past IBM does not want anyone to know about, ranging from serious crimes (like bribery, fraud, corruption, and bid-rigging) to abuse of women

ONE recurring theme here this past spring/summer was IBM weaponising diversity to oust men whom it cannot control (such as Richard Stallman) whilst ignoring IBM's own guilt. As covered here twice before [1, 2], IBM’s very leadership and top-level officials have much to hide themselves. Their history with women isn’t exactly stunning. It just takes a bit of effort to better understand what happened and at the moment we dig up very old press archives (1960s and 1970s) though “if anything is written,” an associate emphasised, “the direct relevance to today’s organization must be clearly visible. Arthur K. Watson (AKW) has been dead for almost half a century.” Here’s an old article about his appointment and his death one decade later. He died quite early.

For Watson, as a brand that IBM still champions (foremost marketing focus), the past should definitely matter. Not only did Watson the father receive a medal from the Nazis (for his service in implementing the Holocaust). What the Nazis did in the war didn't seem to bother him until the US entered the war. He became very wealthy and IBM became very powerful owing to racist eugenics agenda even prior to it. They literally helped the US Government commit ethnic cleansing of blacks, targeting “mixed” couples in particular (with sights on compelled sterilisation). The few historians who bother learning this subject are being obstructed by IBM, which goes out of its way to bury evidence.

That’s aside from the women’s rights aspects; and the purging of words, much like authoritarian regimes looking to control language itself. I reassured our associate that “the subject [of AKW] might become relevant and of use when IBM preaches from the high heels, claiming to be protector of women’s rights to defuse critics of its corporate conduct…”

4 years ago Arne Alsin published “The IBM Hall of Shame: A (Semi) Complete List of Bribes, Blunders and Fraud

Just over a year ago, in October 2015, IBM disclosed to its shareholders that the company was facing (yet another) SEC investigation. This time, federal agents opened up a probe into how Big Blue reported revenue on “certain transactions” in the United States, the UK, and Ireland. In layman’s terms, it means that the SEC is looking into whether or not IBM is cooking the books.

Surprised? I’m not.

The jury’s still out on that particular case, but I’ve been doing my own research and investigation into IBM for the last decade, and the new revelations fits within a certain pattern: IBM gets implicated or accused of some corporate wrongdoing, the company “cooperates” with investigators, and then — just maybe — the government will slap them with a relatively minor fine. But more often than not, it seems to me, nothing happens, and it’s business as usual.

Don’t believe me? Well, that’s why I’ve compiled this handy guide that exposes the long and sordid history of IBM’s alleged violations, both domestic and abroad. Though the company has defended itself in every single case, the list does not paint a pretty picture: There are multiple cases of bribery, fraud, corruption, and bid-rigging. And they appear to be happening with increasing frequency.

Microsoft does the same thing, in effect defrauding shareholders and faking its financial performance. But let’s focus on IBM for now. Here are some excepts:

1993 — 2000, Argentina: Bribery through Swiss bank accounts

Let’s begin with one of the first IBM bribery cases on record.

In Argentina, the scandal was front-page news: Three high-level executives at IBM were caught bribing government officials with multi-million dollar kickbacks, routed through Swiss bank accounts, in order to win a $250 million contract to modernize the computer system of Argentina’s largest government-owned bank.

[...]

2004–2009, South Korea and China: Slush funds and fake invoices with more than 100 IBM employees involved.

Only a few years after the Argentina scandal, IBM was accused of another overseas bribery case — this time in South Korea and China.

[...]

2013, Poland, Argentina, Bangladesh and Ukraine: “Allegations relating to transactions…”

For this case, it looks like the SEC took a break and let the Department of Justice try its hand at investigating the overseas alleged fraud.

[...]

2011–2014, India: Did top IBM executives cook the books in India?

The important thing to know about IBM’s troubles in India is the scope of what happened: repeat accounting troubles over a period of several years. While this may have been swept under the rug in American media, after doing my own research, IBM’s trouble in India (where it has likely over 100,000 employees) gives me a lot of concern.

[...]

2013, USA: IBM under investigation for how it reports cloud revenue

May 2013 was apparently busy month at IBM and the SEC.

As noted above, in the spring of 2013, the SEC opened up investigations into IBM abroad. But at the same time, SEC also apparently opened up an inquiry into IBM in the United States.

[...]

2013–2016, Australia: “The worst failure of public administration in Australia’s history” — IBM is banned from doing business with Queensland’s government

The average American probably has no idea that IBM is completely banned as a contractor within Queensland’s government. Yes, really.

[...]

2015, Canada: Another bribery case at IBM

More allegations continue to surface that IBM is bribing government officials.

[...]

2015 — Present:

Bribery always involves phony books and records — it’s necessary to hide the transactions on the balance sheet. And in order to circumvent internal controls, bribery usually requires the involvement of senior management.

As we noted here before, this kind of bribery is "business as usual" at Microsoft and fraudulent reporting about "cloud" likewise. It’s a longstanding tradition and Microsoft tries to bribe and/or blackmail whistleblowers. It’s all in the public record now, albeit it takes some digging to find.

Speaking of digging, we’ve managed to locate additional reporting on what happened to the IBM chief who fell from grace, left his job (maybe forcibly), and died not too long afterwards. Not much is said about his premature death in mainstream sources. Decades of googlebombing make that rather difficult. His New York Times profile is 100% a puff piece. The obituary from the New York Times says “Mr. Watson, who was 55 years old, had been injured in a fall at his home in New Canaan, Conn., on July 18, and had been taken to the hospital.” Another drunken tirade, this time at his home/mansion?

It does not say much. There was, however, quite a bit of press coverage about his airplane tirade (“incident”), which led to admission that he had serious problems (apparently with alcohol and with women). In the words of this old article:

Retiring Paris Envoy Sums Up Diplomatic Life

Key parts with our highlights added:

The report by Jack Anderson, the Washington columnist, that the Ambassador indulged in a “glorious drunk” on a transatlantic flight last March had hurt him. “Inwardly, and in the spin‐off on the family,” Mr. Watson said.

In the aftermath of the incident, Mr. Watson denied in a letter to Representative Wayne, L. Hays, Democrat of Ohio, that he had become intoxicated. He acknowledged in the letter, however, that “I was exceedingly, and, I think, uncharacteristically, rude.”

The incident was widely considered to have shortened his term at the embassy, but Mr. Watson said, “It didn’t hurt my job. There was hardly a ripple here.”

Here’s another one:

NIXON SAYS PACT ON ARMS DEPENDS ON MOSCOW TRIP

This article does not say who paid Mr. Nixon before getting this job/post:

He defended the conduct of Arthur K. Watson, the American Ambassador to France, who had been accused of being drunk on a recent flight from Paris to Washington.

Mr. Nixon, smiling, said that Mr. Watson had been carrying out talks with the Chinese Ambassador in Paris “with great competence — and, I understand, total sobriety.” [Question 18.]

He added that he had noted that some members of Congress had raised questions about “the personal conduct of an ambassador when he travels to his post.”

“I would say that people in glass houses should not throw stones,” he said.

Here’s yet another one:

President Accepts Resignation Of Watson as Envoy to France

Key parts with our highlights added:

Mr. Watson, a major contributor to Mr. Nixon’s 1968 campaign, was involved in a, controversy last March after Jack. Anderson, the columnist, reported “that he had been drunk and disorderly on a commercial trans. Atlantic flight, an accusation that Mr. Watson denied.

In his article, Mr. Anderson said that Mr. Watson became “gloriously drunk” on a flight from Paris to Washington shortly after he had been given the delicate job of establishing diplomatic contacts with the Chinese Communists in Paris.

He wrote that Mr. Watson had a chronic “liquor problem” that could spoil the Chinese American detente that followed President Nixon’s trip to Peking.

Both the Senate and Foreign Relations Committees and the House Foreign Affairs Committee opened investigations into the incident, and Mr. Watson said later that the Anderson account had been exaggerated.

The investigation was dropped after Secretary of State William P. Rogers wrote that Mr. Watson had apologized for the incident.

Some more:

CONFIDENCE VOICED IN ENVOY TO PARIS

Key parts with our highlights added:

The State Department expressed confidence today in Arthur K. Watson, Ambassador to France, following a newspaper columnist’s report that he had been “gloriously drunk” on an airliner.

The columnist, Jack Anderson, said the incident occurred aboard a flight from London to Washington last Thursday when Mr. Watson was returning for consultations on establishing contacts with the Chinese Ambassador in Paris.

The department spokesman, Charles W. Bray 3rd, declined direct comment on the columnist’s charges, but he said: “If you’re asking whether the department has confidence in Ambassador Watson and whether Ambassador Watson will continue to carry out his ambassadorial functions and other functions in connection with the ambassador of the People’s Republic of China, the answer is yes.”

Mr. Anderson quoted witnesses on the plane as saying:

“He kept up a holler for scotch and grabbed at passing stewardesses. He then tried to stuff $40 down the fronts of their blouses. Finally he passed out and slept for about three hours.”

And finally:

Senate Panel Drops Inquiry Into the Watson Incident

Key parts without highlights added:

The Senate Foreign Relations Committee announced yesterday that it would drop its inquiry into an alleged drinking incident involving Arthur K. Watson, United States Ambassador to France.

Senator J. W. Fulbright, chair man of the committee, said the committee “does not expect to pursue the matter further.” He made public a letter on the subject from Secretary of State William P. Rogers.

Columnist Jack Anderson wrote that Mr. Watson was “gloriously drunk” and abusive toward crew members on a Pan‐American flight, March 9, from Paris to Washington. Mr. Watson denied he was drunk, but acknowledged in a letter to Representative Wayne Hays, Democrat of Ohio, that he was rude and had “harsh exchanges” with the crew.

Mr. Rogers said in his letter to Mr. Fulbright “Ambassador Watson has said that he deeply regrets the episode, and assures me that it will not recur.”

So it’s his word against that of the eyewitness (we’re talking about First or Business Class here, so it’s not some random eyewitness but quite likely a high-profile person, maybe even plane crew like pilot).

Watson isn’t denying there was a major incident. Watson was very drunk at the time, so maybe his recollection is conveniently selective. He already acknowledged the rudeness and he left his position not too long afterwards. Airline crew was reportedly gagged about the incident, after threats had been made and deterrents issued (to protect the “VIP” and his reputation). As a reminder, as per tapes from the White House (President Nixon, who had received financial contributions from Watson), the abuse of women was seen as “OK” because Watson was “Chasing Girls” and not “Chasing Boys”; how typical of Nixon.

Mr. Watson died at his home (well, after hospitalisation albeit the incident occurred at his home) less than 2 years after stepping down.

08.26.20

The Morally and Financially Corrupt Linux Foundation

Posted in Fraud, Kernel, Microsoft at 9:21 am by Dr. Roy Schestowitz

A foundation as morally bankrupt/corrupt as all the men below (but guess who got banned and what for; guess who receives keynote speech positions and why)

Banned by Linux Foundation for wearing a hat; Welcomed by Linux Foundation for paying a bribe

Summary: The Linux Foundation bans people for supporting a man whom Linux Foundation sponsors help commit crimes against humanity; basically, it’s all about money (yes, just money); in fact, almost all Linux Foundation code is being outsourced to this proprietary software firm that commits very serious bribery crimes, works for ICE, and enables Trump’s abuses (for profit!)

07.23.20

Microsoft is Defrauding Its Shareholders While Laying Off About 5,000 Workers

Posted in Finance, Fraud, Microsoft at 4:20 pm by Dr. Roy Schestowitz

Microsoft’s financial situation has long been manipulated (it not only defrauded shareholders before, but it also got caught, then paid bribes to silence whistleblowers)

Sunsets

Summary: Contrary to what Microsoft ‘moles’ inside the media want us to believe, the layoffs at Microsoft are considerable and the financial results are at least partly faked

“Microsoft Corp.-owned LinkedIn today said that it is laying off about 960 employees, or approximately 6% of its global workforce,” says this article. We cited another article yesterday.

Who inside Microsoft decided on this number? We can imagine a conversation going on along the lines of:

“In recent weeks Microsoft laid off about 5,000 people (yes, we count contract workers too; it’s a loophole), assuming part-timers in stores add up to about 20 people per store, plus 2,000+ more layoffs that Microsoft failed to hide (the disposed-of employees spoke to journalists with strong cryptography “apps”).”“OK, so we can lay off 960 employees…”

“But why 960? Who decided on the number?”

“Well, it’s less than a thousand…”

“So why not 999? Or 990?”

“Obviously, because then people will realise Microsoft just creates an illusion of a small number…” (triple- rather than four-digit)

In recent weeks Microsoft laid off about 5,000 people (yes, we count contract workers too; it's a loophole), assuming part-timers in stores add up to about 20 people per store, plus 2,000+ more layoffs that Microsoft failed to hide (the disposed-of employees spoke to journalists with strong cryptography “apps”).

“What kind of company fires so many people if it has real and sustainable growth?”The Microsoft-friendly ‘journalists’ are bombarding the media (earlier this week to present) with claims of growth. What kind of company fires so many people if it has real and sustainable growth? As insiders told us, Microsoft is basically defrauding its shareholders (a complaint was submitted to the SEC). The supposed "big growth" areas are actually suffering layoffs and cuts.

As an associate of ours put it, having studied some of the latest puff pieces (Microsoft-connected ‘news’ sites), Microsoft is just “shuffling the diminishing money around” and it is trying to seize people’s medical records to assure/secure government bailout (if or when it becomes necessary; like JEDI); “this is where Microsoft is aiming its attacks of late,” he said, pointing to media puff pieces that lobby for outsourcing of people’s most sensitive data to Azure.

07.16.20

[Humour/Meme] Today’s EPO is Run by Con Men and Fraudsters

Posted in Europe, Finance, Fraud, Patents at 9:02 pm by Dr. Roy Schestowitz

Star Trek Kirk War two faces: So, EPO... I heard you recruit scientists. Of course we do... Of course we do...

Summary: Management of the EPO — just like Team UPC — is advertising job opportunities for jobs that are fictional at best according to internal documents

07.02.20

After 2 Years and 2 Days António Campinos is a Perfect Leader, Fostering EPO Abuses While Smiling

Posted in Europe, Fraud, Patents at 9:25 am by Dr. Roy Schestowitz

“When a man is able to take abuse with a smile, he is worthy to become a leader.”

Nachman of Bratslav

Summary: EPO corruption persists, but this time the corruption enjoys better marketing/PR and complicit (or at best silent) media

THE European Patent Office (EPO) under the management of incompetent friends of António Campinos and Benoît Battistelli (former colleagues and relatives) isn’t going to stave off criticism and look beyond the perils unless real changes are implemented, starting with mass resignation of existing top-level management (which is unlikely to happen; they love the salaries and the huge bonuses they give to themselves). Within a few years in the presidency (top seat) both Battistelli and Campinos sank to approval rates/levels (among staff) of 3%-5% and the media is paid to not talk about it (or most of it was intimidated into silence). See what happened to IP Kat

How many software patents were granted from people’s homes/apartments during the pandemic/lock-down? How many of these would prove invalid in courts?

“Apparently it doesn’t interest the media when Europe’s second-largest institution is rife with abuse and serious misconduct.”If you run a patent office, which is itself a sort of monopoly for granting monopolies, you have utmost responsibility to handle the authority sensibly. Instead, in the EPO at least, fiscal priorities took the front seat and then the EPO’s management had the audacity to moan about deficit and punish the staff (based on a lie). Nobody was fooled by it, but again, as we’ve noted before, the media did not mention this. It’s apathetic if not virtually dead. Apparently it doesn’t interest the media when Europe’s second-largest institution is rife with abuse and serious misconduct. Who cares anyway? Right…?

Happy birthday, Mr. António Campinos. May your next 3 years (if you last that long) be as prosperous for you and your colleagues/friends as much as the first two. Plunder it softly.

“There is nothing in the Constitution that authorizes or makes it the official duty of a president to have anything to do with criminal activities.”

Sam(uel) James Ervin, Jr.

06.25.20

[Humour] European Inventor Award (EIA) Still a Hallmark of EPO Corruption

Posted in Europe, Fraud, Patents at 8:47 pm by Dr. Roy Schestowitz

Dog comparison 3: Independent jury. Like the one you sent to exile? France gets EIA every other year?

Summary: A reminder that ‘Judge’ Battistelli profits from EIA and sits on the panel (warning: epo.org link) instead of in some prison cell

06.11.20

Internal Publication About the EPO’s Financial Fraud

Posted in Europe, Finance, Fraud, Patents at 4:37 am by Dr. Roy Schestowitz

Related: Today’s EPO is a Fraud Managed by Frauds

EPO demolition

Summary: The EPO’s staff representatives/union decided to speak about the unlawful ‘reforms’ at the EPO, which is happy to exploit a pandemic to let much of it slip under the radar (while press isn’t functioning or barely functioning)

“Things at the EPO are not getting better,” one reader told us yesterday, “on the contrary.” There’s information to that effect circulating at the moment; it organises known facts about what really happens while people are stuck in their homes, forced to work as if everything is normal (with same quotas and more illegal surveillance).

“Well, we already know where a large chunk of that money is funnelled into.”We’ve decided to air a number of articles and tidbits from the guts of the European Patent Office (EPO), where staff feels increasingly oppressed by António Campinos, who is nowadays being compared to Benoît Battistelli.

In times of pandemic, demolition works continues

Whilst staff struggles with the challenges created by the covid-19 pandemic and the ensuing massive home working (done in parallel with home schooling for many), Mr Campinos continues to push shamelessly his reform of the Salary Adjustment Procedure (SAP) that will strip off staff from a decent protection against the erosion of purchasing power. The new SAP will save 2 billions on the backs of staff and pensioners, when everyone (with the ability to read and count) knows that the need to “fill the gap” is just a big lie.

Thanks to Mr Battistelli and his crew, the EPO has since 2015 the worst career system of all international organisations (IO). If the Administrative Council supports the new SAP of Campinos in June, which is certain, we will also “enjoy” the worse SAP of all IOs…

Not only does Mr Campinos intend to remove the normal financial guarantees, which staff should enjoy, but he continues to deny their fundamental rights, such as a proper right to strike, the right to freedom of speech, or a decent access to a swift judicial system. Let’s take the case of freedom of speech and freedom of communication that goes with it. Since mid 2013, mass emails are banned for the staff representation. Campinos could have easily corrected this absurd anomaly in the world of IOs and EU agencies. He did not, and clearly does not intend to do so any time soon. He may not be the one who introduced the unlawful censorship 7 years ago, but he finds it very convenient after all…

Campinos is, no doubt, Battistelli’s true disciple, although perhaps with less brutality towards union officials than his mentor (but time will tell). After all, one should not forget that, like a king choosing his heir, Battistelli did his best to make sure Campinos would succeed him at the head of the EPO. So we should not be too surprised by the harshness of the reforms that Campinos wants to implement (he has a lot of them in mind, including on education allowances…). He basically shares the same “values” as his predecessor, and will continue – unsurprisingly – to protect Battistelli’s protégés (still very active and influent at the Office); he knows to whom he owes the crown of King of Eponia.

Cui Bono?

It is often said that many of the world’s great questions can be solved by finding the answer to the question “Where does the money go?”.

The EPO is no different – and the Salary Erosion Procedure is no exception. Upon an initiative of SUEPO, Ernst & Young reviewed the EPO’s Financial Study conducted by Mercer & Wyman. Evidently, they won’t say that Mercer were wrong – they just state ”we come to a different conclusion”. A conclusion that is shared with the many publications by SUEPO, Staff Representatives, EPO Pensioners and press: there is no financial gap at the EPO, and there won’t be any, even under Covid-19 circumstances.

At the latest Budget and Finance Committee meeting, this complementary study was swiftly disregarded, and the Member States’ representatives were all too happy to provide a positive opinion on the new Salary Erosion Procedure. In its June meeting the Administrative Council will follow suit in all likelihood, which will allow the EPO administration to pile even more money on top of the stack of banknotes we are already sitting on – all on the back of staff and pensioners, of course. Quite a thank you for the continued efforts staff has been demonstrating in recent years.

The question remains: who is going to benefit from these large flows of money? Cui Bono?

Well, we already know where a large chunk of that money is funneled into. This is likely an elaborate scam if not fraud. Does the EU care? Do member states care? If not, what does that tell us about the EPO’s immunity?

04.21.20

France Keeps Winning European Inventor Award (Millions of Euros of EPO Budget)

Posted in Europe, Fraud, Patents at 11:52 am by Dr. Roy Schestowitz

[Source]

2015: France
2016: Portugal
2017: Italy
2018: France
2019: Austria
2020: (COVID-19)
2021: Monaco France

And the winner is France again
A lot worse than FIFA

Summary: 50% of the ceremonies that should include about 30 nations were/will be held in France, sometimes even with 'Judge' Benoît Battistelli, who highlighted how corrupt and political it all became [1, 2, 3]

“Battistelli’s colleagues at Saint-Germain-en-Laye are also worried about it (too many European Inventor Award ceremonies had been held in France, representing a passage of large sums of money — the funds derived from stakeholders)”2018

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