Alleged labour abuses: Panasonic and Samsung reforms fall short, say activists

Rights groups welcome steps to improve treatment of migrant workers after Guardian revealed claims of exploitation in supply chains in Malaysia, but say more must be done

Labour rights groups have cast doubt on the impact and scope of proposals by Panasonic and Samsung to address the alleged abuse of foreign migrants in their supply chains in Malaysia.

Last November, a Guardian investigation highlighted claims that workers making goods for the global electronics brands were being exploited and had been deceived about pay. Both firms have since taken steps to reform their treatment of overseas migrant employees.

Panasonic has organised a series of human rights seminars for its suppliers and established a confidential whistleblowers’ hotline to report alleged abuse, while Samsung has issued fresh guidelines to its suppliers, imposing bans on recruitment fees and the retention of workers’ passports. read more »

The Kushners and Their Golden Visas

Jared Kushner, President Trump’s son-in-law and special adviser, is officially no longer managing his family’s businesses, but he still benefits from many of them. His sister Nicole Meyer was in Beijing and Shanghai this past weekend seeking investors for a luxury apartment project her family is developing in Jersey City, a short train ride from downtown Manhattan. Her sales pitch cited her brother and laid out how a $500,000 investment could provide a coveted path to American citizenship. The Kushner Companies later offered a mealy-mouthed apology “if that mention of her brother was in any way interpreted as an attempt to lure investors.”

The EB-5 program has been a scandal magnet. The Government Accountability Office and the inspector general of the Department of Homeland Security say that immigration officials do not properly vet applications for fraud and illicit sources of money. The real estate industry also games the system by using the dark arts of gerrymandering. Under the program, investors have to put at least $1 million, and it has to lead to creation or preservation of at least 10 permanent, full-time jobs. But the minimum investment drops to $500,000 if applicants invest in rural areas or places with elevated unemployment. Developers working in, say, Midtown Manhattan or Beverly Hills can say that nearby depressed neighborhoods are included in the area when they apply for the program. read more »

Samsung trial tests South Korea's rule of law

South Korea's rule of law is on trial. Bribery charges have turned Samsung's de facto leader, Jay Y. Lee, into a public enemy. A guilty verdict, if merited, could help rebuild trust in the system after an epic corruption scandal. It is equally important that he gets a fair trial, instead of being punished based on popular outrage.

The special prosecutor has dubbed this the "trial of the century". Among the allegations Lee is facing is that he ordered payments to outfits backed by a friend of former President Park Geun-hye, in exchange for state support for a controversial merger of two Samsung companies. He denies the charges.

The saga has taken South Korea into unfamiliar waters. Park is South Korea's first democratically elected leader to be forced out of office – leading to Tuesday's election. Samsung's bosses have been in legal trouble before. But before the third-generation Lee, none of them had been in handcuffs during a trial, or have actually had to serve a prison sentence. Lee's father was convicted in 1996 and again twelve years later for charges including bribery and tax evasion, but he received suspended sentences both times, which spared him from actual imprisonment, followed by presidential pardons. That has been a routine for other tycoons too. read more »

US Appeals Court Holds Crisis Bailout of AIG Lawful

A federal appeals court has upheld as lawful the government's bailout of American International Group in the heat of the financial crisis. It overturned a lower-court decision favoring the insurance giant's former CEO.

The ruling Tuesday by the U.S. Court of Appeals for the Federal Circuit said a company controlled by ex-AIG chief Maurice Greenberg didn't have a legal right to pursue its claim against the government. Greenberg had alleged that the $85 billion bailout of the teetering AIG in September 2008 violated the Constitution's Fifth Amendment by taking control of the company without "just compensation."

The unusual case raised the issue of limits on the government's power in responding to financial catastrophe. The new ruling handed a victory to the government.

Barclays boss to face grilling at AGM over whistleblowing scandal

Jes Staley was publicly reprimanded for his role in the whistleblowing incident and could have his bonus cut.

Barclays' chief executive Jes Staley faces an uphill battle to retain shareholders' support at the bank's annual general meeting (AGM) later this week.

Two of the FTSE 100-listed lender's main shareholders have strongly criticised Staley for his "poor judgment" over two separate incidents in recent weeks and the 60-year-old could face further scrutiny at the AGM on Wednesday (10 May). read more »

Consolidation, emerging duopoly in ski resort industry might raise antritrust concerns

Twenty years ago, a merger of giants in the ski industry triggered antitrust concerns that the lack of competition could lead to price spikes for skiers.

Today, with recent consolidation deals setting up a battle between two major resort operators in an industry driven by season-pass sales, the competition could involve two titans offering more for less.

But regardless of how the competition between the continent’s largest resort operator, Vail Resorts, and the newly formed KSL-Aspen Skiing alliance will affect prices, the duopoly — involving 22 major resorts across North America — could trigger federal antitrust concerns. It’s happened before. read more »