Midwest Today, WEB EXCLUSIVE, October 2001
DEMOCRACY, GENERAL ELECTRIC STYLE
By David Podvin and Carolyn Kay
Shortly after George W. Bush declared his candidacy for President in June of 1999, General Electric Chairman and Chief Executive Officer Jack Welch was contacted by Bush political advisor Karl Rove. Welch later informed associates that Rove told him a Bush administration would initiate comprehensive deregulation of the broadcast industry. Rove guaranteed that deregulation would be implemented in a way that would create phenomenal profits for conglomerates with significant media holdings, like GE. Rove forcefully argued that General Electric and the other media giants had a compelling financial interest to see Bush become President.
Welch told several people at GE that the conversation with
Rove convinced him that a Bush presidency would ultimately result
in billions of dollars of additional profits for General Electric.
Welch believed that it was his responsibility to operate in the
best interest of GE shareholders, and that now meant using the
full power of the world's biggest corporation to get Bush into
the White House.
Toward that end, Welch said that he would finally deal with a
longstanding grievance of his: the ludicrous idea that news organizations
should be allowed to operate in conflict with the best interests
of the corporations that own them.
Since the beginning of the country,
it has been considered appropriate for the business community
to exercise its right to aggressively support the candidate that
best represented its interests. The new dimension that Welch introduced
was the concept that the mainstream media should aggressively
advance the political agenda of the corporations that own it.
He did not see any difference between corporate journalism and
corporate manufacturing or corporate service industries. Business
was business, and the difference between winners and losers was
profit, whether you were selling nuclear power or ads on the network
news. From Welch's perspective, it was insanity, not to mention
bad business practice, for the corporate owners of the mainstream
media to restrain themselves from using all of their assets to
promote their financial well being.
In general, he saw corporate news organizations as untapped political
resources that should be freed from the burden of objectivity.
Specifically, NBC News was an asset owned by the shareholders
of General Electric. It existed to make profits and to serve the
interests of those who owned GE stock. Period.
Anything else, Welch told associates, was "liberal bullshit".
In 1988, NBC News president Lawrence Grossman insisted to Welch
that news was a public trust and should not be subjected to the
same pressure to make profits that was applied to other GE units.
Welch fired him.
In 1999, the GE chairman decided that it was no longer good enough
for NBC News to just be profitable. Seven years of a frequently
uncooperative Democratic Administration, combined with the Rove-inspired
vision of spectacular profits through deregulation, now motivated
Welch to take action.
He began to aggressively, but very discreetly, evangelize the
gospel of corporate media as corporate lobbying tool. It was not
a new concept; in the opinion of many, it was already the status
quo. But from Welch's point of view, the corporate news organizations
were not living up to their potential.
The mainstream media could make George W. Bush President.
That would be good for Americans who believed in free markets
and the merit system, Welch said.
Better yet, it would help to make General Electric even more successful
and dominant, which had been Welch's obsession for decades.
Jack Welch believed that, despite earning millions annually in
salary and bonuses, he was the most underpaid employee at GE.
From the time he started running the company in 1981 to the end
of 1999, the stock's total return (price appreciation and dividends)
had been seven thousand percent. Given the brilliance of that
performance, how could he possibly be overpaid, or even fairly
paid? From Welch's perspective, it was the pennies-per-hour workers
in General Electric's Asian sweatshops who were overpaid, because
their individual contributions to the big picture were so meager.
The philosopher Ayn Rand wrote, "The actual performance of
men in society is a constant, fierce, undefined struggle between
the genius and the parasite."
To Welch, although George W. Bush might not be a genius, his policies
would encourage those who were geniuses to be even more innovative
and productive. Fewer government regulations and lower corporate
taxes would create technological advancement, thereby benefiting
society more than all of the do-gooder social programs combined
ever could. The country would be run for the benefit of the "A"
people who achieved great things, not the "C" people
who merely existed. In such a laissez faire environment, the powerful
would be unshackled to become even more powerful, and no corporation
in the world was more powerful than General Electric.
By contrast, Welch viewed Al Gore
as the candidate of the parasites. Gore voters were not the generators
of wealth; they were the consumers of taxes. Welch privately described
the typical Gore voter as "someone who needs all these goddamned
social programs because she's too goddamned dumb to keep her legs
crossed and too goddamned lazy to get an abortion."
This view of the world led Welch to implore associates at GE that
doing whatever it took to get George W. Bush into the presidency
was not only good for General Electric, it was good for America.
Having satisfied himself that his cause was just, Welch focused
on putting his candidate in the White House with the tireless
determination of a man whom Business Week described as having
"an unbridled passion for winning".
He had previously personally reviewed the launch of CNBC. He now
turned his attention to "reforming" the editorial content
of NBC News. Welch had already secured his place as one of the
business titans of the twentieth century. He expressed few regrets
to confidantes, but he was wistful about his belief that GE would
have made even more money if NBC News had just been tougher on
a politically vulnerable Arkansas Governor in 1992. With only
about two years left prior to his mandatory retirement, one of
Jack Welch's last significant contributions would be to permanently
eliminate the irrational belief that corporate journalists should
ever be allowed to act in a way that damaged the corporate balance
sheet.
For public consumption, he said the obligatory things about GE's
commitment to "journalistic integrity and independence".
Privately, he saw only two differences between his employees who
reported the news and those who made toasters: one, the toaster
makers were "less full of shit", and, two, the journalists
were not working in the best interests of the GE team.
This second point infuriated him. It galled Welch to hear what
he considered to be holier-than-thou pronouncements of personal
moral superiority coming from journalists whom he viewed to be
inferior to himself in just about every conceivable way. GE signed
their paychecks, and then in the name of "journalistic integrity
and independence", they reported things that damaged the
company. NBC News had even publicized that the federal government
caught a GE defense subsidiary stealing massive amounts of taxpayer
money. From the Welch perspective, tolerating this kind of insubordination
was crazy. He did not view reporters as guardians of the truth
or gatekeepers of democracy; for the most part, he saw them as
"leftist slackasses".
Welch was absolutely determined to make his employees at NBC News
finally genuflect to the most sacred words in his vocabulary:
GE bottom line.
He perceived that there was a widely believed American myth of
well-intended journalists selflessly seeking the truth, and that
there would be hell to pay if a business leader like him were
to overtly force reporters to be good corporate soldiers. So,
being a very bright guy, he largely left the journalists at NBC
alone.
Publicly.
In private, Welch was proud to have personally cultivated Tim
Russert from a "lefty" to a responsible representative
of GE interests. Welch sincerely believed that all liberals were
phonies. He took great pleasure in "buying their leftist
souls", watching in satisfaction as former Democrats like
Russert and MSNBC's Chris Matthews eagerly discarded the baggage
of their former progressive beliefs in exchange for cold hard
GE cash. Russert was now an especially obedient and model employee
in whom the company could take pride.
''It's a double-edged sword to be under Jack's detailed look,''
one GE executive told Fortune Magazine. ''If you do well, it's
great. If you don't, it's bad news."
It was bad news for NBC correspondent Claire Shipman, who made
the mistake of offering a positive opinion of Al Gore on the air.
Jack Welch, chairman and chief executive officer of a $350 billion
conglomerate, responsible for overseeing the highly diversified
activities of hundreds of thousands of employees working in over
one hundred countries, was so incensed by her disobedience that
he took time out of his busy schedule to personally confront her
about it.
She no longer works for NBC. And her managing editor, Tom Brokaw,
did not stand up for her right to journalistic independence from
the corporate lord.
"I think Jack Welch's the smartest boss I've ever had and
he signs my paychecks," said Brokaw, exhibiting a profound
understanding of the situation.
Over the years, Welch had occasionally interfered with NBC News.
During the 1987 stock market crash, he ordered Grossman to forbid
his journalists from using the term "Black Monday" out
of concern that a panic by investors would depress GE stock.
Welch has an explosive temper. When the chairman exploded at Shipman,
Brokaw knew that, from the standpoint of journalistic integrity,
the managing editor was obligated to rush to his reporter's defense.
Brokaw also knew that, from the standpoint of self-preservation,
it was wise for the managing editor to obediently defer to the
man who signed his paychecks.
The Welch mission was to tame the rest of them at NBC News, and
to do so in a way that did not cause any journalistic prima donnas
to attract unwanted public attention by openly revolting. Beyond
that, Welch hoped to quietly convince other media conglomerates
that the great visionary (himself) was once again in the vanguard
of an exciting and highly profitable corporate trend: the total
destruction of any wall that separated the newsroom from the boardroom.
Welch decided that the key factor in bringing the corporate newsrooms
into line would be to change the process through which journalists
were compensated and promoted. When he took over at GE, Welch
believed that the way in which people were being advanced rewarded
mediocrity. The unworthy candidates were being weeded out, but
so were the most worthy. As in many companies, managers were hesitant
to promote highly gifted subordinates who could later become rivals.
Welch has repeatedly been named the most admired executive in
America, an assessment that he considered to be valid years before
anyone outside GE had heard of him. His supreme self-confidence
allowed him to demand that the best and the brightest be promoted,
secure in the knowledge that no one could possibly be better or
brighter than Jack Welch. As a result of aggressive management
training that cost hundreds of millions of dollars, GE developed
the strongest stable of managers in corporate America.
Welch believed that the promotion practices at NBC News encouraged
disloyalty to General Electric. It was his observation that "journalistic
excellence" seemed to be the flimsy, intangible standard
for getting ahead in the news division. He decided that the criteria
had to be changed to encourage loyal contributions to the employer,
which was GE. The crucial step that Welch took was to make it
well known throughout NBC News that the standard for the promotion
of journalists would be the same as it was for every other employee
in the corporation: outstanding contribution to the financial
well being of General Electric.
The journalists who had their paychecks signed by Welch knew that
favorable coverage of George W. Bush would be considered an outstanding
contribution to the financial well being of General Electric.
In fairness, it should be noted that Jack Welch did not believe
he was doing anything wrong by covertly maneuvering news coverage
in favor of Bush. Apparently, Jack Welch has never believed
that he was doing anything wrong.
Author William Greider documented the criminal and civil record
of General Electric during the late 1980s and early '90s. Over
a five year period, Jack Welch's company attempted to pay a $1.25
million bribe to a Puerto Rican official for a $92 million dollar
power plant contract and three GE executives were imprisoned as
a result; GE defrauded the army on a $254 million contract for
battlefield computers and paid tens of millions of dollars in
fines; GE allegedly overcharged the army for battle tank parts
and paid a $900,000 settlement; GE paid a $32 million settlement
for discriminating against women and minorities; GE defrauded
the air force on a missile contract and paid $1 million in fines;
GE was identified as being responsible for at least 47 Superfund
toxic cleanup sites; GE paid a $3 million settlement for allegedly
altering labor vouchers in order to overcharge the Pentagon on
jet engine contracts; and GE paid an undisclosed amount
for knowingly selling defective nuclear reactor parts.
The scandals for Welch and General Electric continued through
this year. Since 1992, GE has been forced to pay hundreds of millions
of dollars in court judgments and fines for endangering Americans
by illegally and repeatedly dumping toxic waste and chemicals,
stealing from the military, operating unsafe workplaces, engaging
in deceptive advertising, contaminating the Hudson and Housatonic
Rivers, selling defective nuclear reactor parts (again), allowing
safety violations at a fuel fabrication plant, polluting the air
and contaminating the soil and groundwater in several states,
creating asbestos-related health hazards in England, contaminating
drinking water in Puerto Rico and bribing the Puerto Rico Water
Resources Authority, polluting several northeastern states with
PCBs, overcharging on mortgage insurance, practicing money laundering
and unfair debt collection, bribing a foreign government, and
knowingly broadcasting a phony news story. The company also had
to admit that it invented three hundred fifty million dollars
in nonexistent profits.
This is a partial list of the illegal activities perpetrated by
General Electric under the leadership of Jack Welch. Mr. Welch
claimed that the quickest way for a GE employee to get fired was
to commit "an integrity violation". Employees who committed
the "integrity violation" of missing an earnings target
usually did get fired; those who committed the "integrity
violations" listed in the preceding two paragraphs rarely
got fired.
America's most admired executive prided himself on knowing every
aspect of his company, but he also passionately declared that
he was ignorant of all wrongdoing by his company. The leader who
micromanaged GE to the point of insisting on reviewing the scripts
for refrigerator commercials contends that he only learned after
the fact that General Electric was constantly committing serious
crimes.
Following the conversation with Rove, Welch instructed a subordinate
to impress on senior NBC executives that the news division would
now be expected to show the same unqualified devotion to General
Electric that was required of every other unit. He was unusually
circumspect because he realized that Clinton appointees in the
Federal Communications Commission would have taken a dim view
of his activities. Welch knew from his company's countless run-ins
with the law that the authorities could be outmaneuvered if things
were handled with finesse.
He quietly began to dramatically
change the way that things were done at NBC News. A link was established
between the producers of the Sunday morning program "Meet
The Press" and the opposition research team of the Republican
Party. Delighted G.O.P. operatives were soon boasting that Tim
Russert would go on the air just minutes after receiving their
allegations of wrongdoing by Al Gore, and would repeat their charges
verbatim. Russert was not functioning as a journalist; he had
crossed the Rubicon and was acting as a mouthpiece for General
Electric's favorite political party.
Welch greatly appreciated Russert, whose multi-million dollar
contract he personally negotiated. The message circulated throughout
NBC News that Russert was an excellent role model for reporters
who wanted to succeed in the organization. Reporters at NBC News
did not have to be verbally instructed on how to get ahead; they
clearly saw that the Russert approach was handsomely rewarded
by top management.
Reporter Andrea Mitchell of NBC Nightly News was married to Federal
Reserve Board Chairman Alan Greenspan, who was a longtime Republican
and protégé of Ayn Rand. Mitchell was a Welch favorite
because he liked her "objectivity", which meant that
she never had a positive word to say about Democrats. After the
election, it was Mitchell who repeatedly lied when reporting that
Clinton aides had vandalized the White House and stolen from Air
Force One. Bush operatives were later quoted as saying that the
phony vandalism story was a big help in creating the desired contrast
between the "sleazy" Clinton years and the "breath
of fresh air" that George W. Bush wanted to represent. Mitchell
never retracted or apologized when the Government Accounting Office
proved that she had been dishonest, and she was never disciplined.
There is also no evidence of Mitchell ever being angrily confronted
by Jack Welch.
Welch told associates that he enlisted two members of the GE board
to assist him in shaping the coverage of the election by other
news organizations. Robert Wright had previously been appointed
by Welch to run NBC. Welch assigned him and his fellow GE board
member, money center bank executive Sandy Warner, to use their
contacts in broadcasting and finance. They quietly encouraged
the executives of the mainstream media organizations to rethink
the relationship between news divisions and business objectives.
Wright offered the carrot. Usually through underlings, he contacted
the executives of America's most influential media conglomerates.
Bush held a huge post-impeachment lead over Gore in the early
presidential polls. The executives were told that Bush was going
to have a massive advantage in campaign finances, and that he
was almost certainly going to be elected president. Under a Bush
administration, the big media outfits would be free to prosper
as never before, because the federal government would cease to
put limitations on their operations and expansion. A Bush administration
would mean untold riches for the industry.
Wright was also the former chief executive of GE Capital, a money
center powerhouse that contributes more than a third of GE's profits,
and would be the nation's twentieth largest corporation as a stand-alone
company. He knew that General Electric would win big, even when
it was not directly involved in the inevitable media mega-mergers
that were certain to be approved by a Bush administration. According
to Fortune Magazine, "Capital's growth comes in many forms,
but nothing equals the bottom-line boost of a big acquisition."
GE would make huge profits by purchasing media conglomerates and
by financing the deals of others.
Warner and his associates wielded the stick. As chairman of banking
institution J.P. Morgan, he had great credibility when he argued
that the key to winning the media competition in a laissez
faire Bush era would be access to investment capital for the
purpose of acquiring competitors. Those who had the best relationships
with the big international banks, brokerage houses, and investment
banking firms would be the predators; those who had trouble raising
money would be the prey.
There were never any explicit threats, but the implication was
unavoidable: Bush is going to win, so you can join the team now
or you can be on the outside looking in later. The only thing
that will be affected is your livelihood.
They did not have to use pressure tactics to convince Mel Karmazin
of Viacom/CBS. Karmazin had always viewed news as an underprofitable
millstone around the neck of the entertainment division. His vision
was to make Viacom a vast network of interlocking media interests
that would cross promote their products in order to maximize profit.
Though CBS News had a reputation for being more liberal than its
counterparts, Karmazin's only political objective was to expand
his business. The prospect of having an administration that would
allow him to build an empire without interference was compelling.
Karmazin was also excited by assurances that Bush would appoint
an ineffectual lackey to head the Federal Communications Commission.
Karmazin's Infinity Broadcasting had been acquired by CBS in the
deal that gave him operational control of the entire network.
Over the years, the FCC had fined Infinity millions of dollars
because of the profane and lewd behavior of Karmazin's most profitable
broadcaster, Howard Stern. The Stern broadcasts generated massive
profits and wonderful cross promotion, so the fines could have
been viewed as the cost of doing a phenomenally profitable business.
However, the painful aspect to Karmazin were the delays in approving
broadcast mergers that occurred because FCC commissioners were
alienated by Stern's scornful defiance of them. Karmazin seethed
at being harangued by the federal government just because his
meal ticket spewed profane and racist epithets over the public
airwaves, and performed social services like arranging for a high
school boy to attend his prom with a porn star whose claim to
fame was having intercourse with 500 men in one day.
Millions of Americans supported Bush because they believed he
would promote family values; Karmazin threw the support of CBS
News behind Bush on the basis that family values were a campaign
mirage, and that Bush had no intention of implementing them into
public policy. While Bush has been president, Stern has continued
to shout the same vulgarities and peddle the same sleaze over
the air, but the intense pressure that was applied by the FCC
during the Democratic era has not continued during the "family
values" administration.
Karmazin personally contributed a thousand dollars each to the
presidential campaigns of Vice President Al Gore and John McCain,
who was the Senate chairman of the Commerce Committee before which
Viacom would have to do business.
The contribution that George W. Bush received from Mel Karmazin
was infinitely more valuable: uncritical coverage by CBS News.
When Bush stumbled and lost the New Hampshire primary, and when
he repeatedly tripped over his invented facts in the first debate,
and even when he staggered at the very end of the campaign after
having been caught lying about his drunk driving arrest, the adjective
that CBS News reporters most frequently used to describe him was
"likeable".
The attitude at ABC was an extension of the personality of Disney
Chairman Michael Eisner. Eisner does not like those who make waves,
as the host of Politically Incorrect recently learned. After Bill
Maher said that it was cowardly of America to fight battles by
launching missiles from a safe distance, Eisner went out of his
way to very publicly slap Maher down. This episode provided outsiders
with a rare glimpse inside the corporate culture of the happy
company that Mickey Mouse built: do not rock the boat or you're
in trouble. "Eisner will always stand up for principle, no
matter what the cost," says a former Disney executive, "as
long as that principle involves increasing his personal compensation."
As a result, the candidate who held out the prospect of fabulous
wealth for the broadcast industry got favorable coverage from
ABC News. In fact, Bush received better coverage than Gore from
the entire mainstream media.
A study produced by the Project for Excellence in Journalism and
the Princeton Survey Research Associates examined 1,149 stories
from 17 news publications, programs and websites. The research
revealed that there were almost twice as many positive stories
about Bush as there were about Gore. Even more important than
this blatant pro-Bush bias, the study found that the coverage
de-emphasized the philosophical differences between the candidates.
This was critical, because public opinion polls showed that the
voters agreed with Gore on the issues. By robbing Gore of his
greatest advantage, the media organizations were Bush's greatest
allies.
A study by the Pew Research Center examined 2,400 newspaper, TV,
and Internet stories. Researchers reported that three quarters
of the coverage emphasized allegations that Gore was dishonest
and corrupt. The study found that a majority of the stories about
Bush emphasized that he was a "different kind of Republican,"
which was the Bush campaign's chosen theme.
This was not a conspiracy, nor was it an accident. It was self-interest.
The rapacious values of the networks mirrored those in the management
of print journalism and the banking community in general. The
emphasis in private meetings and phone conversations was that
Bush would definitely call off the federal watchdogs, which would
allow the giant media conglomerates to grow as large as they chose.
The inconvenient pretense of federally licensed broadcasters having
to serve the public interest would finally be gone. Without the
intrusive feds butting in, the media giants would be free to "maximize
their potential". Translated into English, this meant that
the extraordinarily valuable public ownership and control of the
airwaves would essentially be transferred to the media conglomerates
for no cash down and monthly payments of zero.
"A promise made is a promise kept." This was George
W. Bush's frequent pledge during the campaign, and when it came
time to repay his media allies for providing him with an uncritical
convoy to the White House, he kept his promise. Soon after assuming
office, Bush appointed Colin Powell's son to head the Federal
Communications Commission. Michael Powell could not be doing a
better job of aiding the
media conglomerates at public expense if his name were Michael
Welch, Michael Karmazin, or Michael Eisner, Jr. One of Powell's
first moves was to announce that the regulation prohibiting ownership
of both television stations and newspapers in the same city is
going to be changed. "There is something offensive to First
Amendment values about that limitation," he said.
There is something extraordinarily profitable to the media giants
about having that limitation lifted. Without the federal government
insisting on diversity in local markets, the vast multinational
media corporations will be able to monopolize the flow of information
in cities across America. Their potential for greater power and
wealth is almost incalculable.
The deregulation of the American media, quietly promised by Bush
and currently being implemented by Powell, will create countless
billions of dollars of profits for the broadcasting industry.
Al Gore opposed deregulation on the basis that a greater concentration
of media power would damage the ability of the American people
to get a diversity of information.
More than any other position he took, it cost him the Presidency.
Welch's successful behind-the-scenes campaign to influence media
coverage in a way that would get Bush into the White House has
not been visible to the public, with one exception. On election
night, according to an eyewitness, Welch was so angry that his
own NBC News team would not call the race for Bush that he personally
went to the studio from which Tom Brokaw was anchoring the coverage.
Welch quietly watched the broadcast for a few minutes. Two people
who were present claim that, when Brokaw and Tim Russert did not
take the hint that their boss had come into the newsroom because
he wanted something from them, he explicitly announced that he
wanted them to call the election for Bush.
They did. As a result, Bush entered the Florida recount phase
with the tremendous advantage of having already been declared
the winner.
Congressman Henry Waxman questioned NBC News president Andrew
Lack about the incident. Waxman requested that Lack turn over
to Congress the in-studio tapes that were recorded that night,
so that what Welch had allegedly done could be verified. Lack,
testifying under oath, agreed to do so.
As of this writing, he has refused to honor his commitment.
Aside from his one emotional faux pas on election night, Welch
did a masterful job of discreetly maneuvering behind the scenes.
He convinced his media conglomerate competitors that they all
had a compelling interest in discarding journalistic objectivity
and helping Bush into the presidency. For the public, the only
telltale sign of the Welch effort was the end product: the campaign
coverage itself. From the mainstream media's unprecedented pre-primary
build-up of George W. Bush to their declaration that he had won
the Florida recount before all of the votes had been reviewed,
never before has a presidential candidate received such active
support from corporate journalism.
There were two men who had stood in the way of a George W. Bush
presidency. Prior to facing Bush, John McCain and Al Gore both
had reputations for being decent men who had honorably served
their country in Vietnam and Washington. Based on their résumés,
each of them was much more qualified to be president than Bush.
After the mainstream media got through with them, the two men
were hardly recognizable. In the Republican primaries, McCain
was recast from an ethical war hero to a mentally unbalanced flake
who was in favor of breast cancer and whose wife was a junkie.
In the general election, Gore was transformed from a bright and
decent public servant into a congenital liar, a delusional criminal,
and a traitor.
At the same time, George W. Bush somehow managed to fecklessly
stumble through the entire campaign obstacle course without being
harmed by his almost total lack of leadership experience, his
highly suspicious military record, his two decades of alcohol
and drug abuse, his alleged involvement in an illegal abortion,
his shady business dealings, his record of corruption while governor
of Texas, his losing battle with the English language, his unfortunate
habit of repeatedly being caught telling blatant lies, and his
positions on the major issues that consistently conflicted with
the majority of voters. It helped that his opponent was unwilling
to go for the jugular; it helped even more that the mainstream
media considered any and all Bush vulnerabilities to be "charming".
The only real harm that the media did to Bush during the whole
campaign was the revelation that he had been arrested for drunk
driving in Maine. This story was not broken by ABC or NBC or CBS
or The New York Times or the Washington Post or
any member of the media Consortium; it was made public by a relatively
obscure newspaper in Maine. In fact, the immediate reaction by
all of the aforementioned media giants was to falsely accuse Gore
of leaking the story. This flailing, ad hominem defense of their
chosen candidate betrayed a certain unhappiness on the part of
the mainstream media that the news of Bush having lied about his
crime had become public knowledge.
The New York Times typified the mainstream media's coverage
of the 2000 election. The editorial board of the Times
officially endorsed Al Gore for President, but it is the news
section of the Times that is the common reference point,
and that sets the tone for the rest of the media's day to day
coverage. In the all-important news section of The New York
Times, George W. Bush was being followed by softer than mush
reporter Frank Bruni, whose coverage of the candidate was so lovingly
tender that Bush identified Bruni as "my favorite reporter".
The Times reporter who was assigned to track Gore was Katherine
Seelye, who sat on the campaign plane alongside her pal Ceci Connolly
of the Washington Post. Together with the Times' Richard
Berke, they were able to wreak a level of havoc on the Gore campaign
that the Bush team never even came close to approaching. Between
them, these reporters who were working for America's two leading
"liberal" newspapers managed to falsely accuse Gore
of taking credit for having invented the Internet, falsely accuse
Gore of claiming to have discovered the toxic waste at Love Canal,
and falsely accuse Gore of lying about being the inspiration for
the male lead character in "Love Story".
They also falsely accused Gore of insisting that he had been serenaded
to sleep as a child to the tune of "Look For The Union Label".
The candidate had actually been making a joke that was greeted
with laughter by his union audience.
After the crucial first presidential debate, the unholy triumvirate
falsely accused Gore of lying about an anecdote involving an old
lady and her prescription medicine (the lady confirmed Gore's
account), falsely accused Gore of lying about an anecdote involving
a Florida schoolgirl having to stand in class because of equipment
shortages (the girl confirmed Gore's account), and falsely accused
Gore of lying about going to a fire in Texas with the head of
FEMA (it was actually the number two man at FEMA, but the mainstream
media did not allow for the possibility that Gore made inadvertent
mistakes).
These phony accusations, not the Times low impact endorsement,
had a major effect on the campaign. Every time Gore generated
some momentum, the three deceitful journalists wrote of another
unsubstantiated allegation that claimed the Democratic nominee
was crazed with a compulsion to lie.
The New York Times Company and The Washington Post Company will
both make massive deregulation-related profits under Bush that
they could never have gained under Gore. Their reporters who lied
about Gore were never punished, just as Andrea Mitchell of NBC
was never punished for repeatedly lying about White House vandalism.
In fact, all of these dishonest reporters have greatly prospered.
Once again, it is wrong to confuse self-interest with conspiracy.
This is the Welch paradigm in action: It is the job of corporate
reporters to help advance the corporate cause. There was no conspiracy
on the part of the mainstream media organizations to usher Bush
into the presidency. There was also no conspiracy on the part
of the mainstream media organizations to lie, en masse, about
Clinton aides vandalizing the White House and burglarizing Air
Force One.
But the mainstream media organizations did lie.
Some people have expressed skepticism that at least one intrepid
corporate reporter has not revealed the truth about what transpired
in 2000. If the charges of the mainstream media coordinating an
effort at the highest levels to skew their campaign coverage in
favor of Bush were true, the skeptics contend, then certainly
one reputable mainstream reporter would have gone public with
the story.
Daniel Schorr has been enshrined in the Hall of Fame of the Society
of Professional Journalists. In 1976, he was fired by CBS News
when he sent a secret congressional intelligence report to the
Village Voice after CBS had refused to reveal the story
to the public. According to Schorr, he was punished by network
executives who had reached a deal with the White House to go easy
on the administration.
Schorr was fired for reporting the truth when it conflicted with
the interests of his employer.
Two Fox News reporters in Tampa, Jane Akre and Steve Wilson, assembled
a report revealing the covert use of a potentially harmful synthetic
milk-producing hormone that was being injected into dairy cows
throughout much of America. Fox executives killed the story out
of concern that the dairy industry would retaliate by refusing
to purchase commercials on the network. The reporters were so
concerned about the safety of consumers that they defied their
bosses and released the report to the public. Fox immediately
fired them.
Akre and Wilson were fired for reporting the truth when it conflicted
with the interests of their employer.
NBC's own Arthur Kent was a star foreign correspondent after gaining
fame as the intrepid "Scud Stud" during the Gulf War.
But when Kent was reassigned to the NBC news magazine Dateline,
he was appalled to see what corporate journalism in America had
become.
"A climate was being created in which corruption was imminent,"
Kent told the Ottawa Sun. "Once I had been convinced to join
Dateline, I warned them in writing that the editorial direction
of the program was dangerous and that the manipulation and re-editing
of stories was going to cause trouble."
Kent offered to resign, but Jack Welch would not allow an uncooperative
journalist to get off the hook quite that easily. Kent was reassigned
to cover the war in Bosnia under ridiculously hazardous conditions.
When he refused, NBC publicly called him a coward, effectively
ending his career with the network.
After an expensive battle, Kent won a court ordered apology and
substantial financial damages. He stated that the important
aspect of the trial was the revelation of how General Electric
and NBC now operate.
"It was a GE-style, hardball approach: If you're not going
to work for us, you're not going to work for anybody," he
said. "They were seen by the public to have lied."
But the ethical journalist who called them on their lies had now
gone off to Europe in search of a country with freedom of the
press. And every journalist who remained at NBC learned from watching
the Kent episode that insisting on telling the truth in their
reports was extremely hazardous to their vocational health.
Kent was fired for demanding to report the truth when it conflicted
with the interests of his employer.
The process of natural selection is the answer to the skeptics
who question why no mainstream journalist has reported on this
matter. The mainstream reporters who had the integrity to tell
the truth, even if doing so would get them fired, have already
been fired. The reporters who currently work for corporate news
outlets keep their jobs by obeying the implicit corporate rules
that have been put in place by executives like Jack Welch.
If not for the successful effort by Welch to manipulate media
coverage of the election and the Florida recount, George W. Bush
would not be president today. The Consortium ballot study was
started by the same forces that had carried Bush across the finish
line. The study was their attempt to universally legitimize the
Bush presidency at a time when it looked as though there would
otherwise be congressional gridlock that would limit how much
Bush could accomplish for his campaign contributors.
Welch and the others who have been involved in covertly promoting
Bush interests did not expect that the ballot study would reveal
a decisive Gore victory. Although Consortium members disingenuously
claim that the outcome of the study is unknown, they are aware
that the observers in the coding rooms who were familiar with
Florida voting patterns were able to perceive a dominant Gore
trend.
The members of the Consortium are now stuck with a result that
they view as being counterproductive to attaining their financial
objectives. There is increasing recognition on the part of the
public that something about the current delay in publishing the
ballot study is not kosher.
The public pressure to release the results is making it likely
that the Consortium will feel the need to reveal something.
The precedent in this situation is the Miami Herald method
of distortion, wherein the recount numbers proved that Gore won
but the headlines claimed that Bush won. The Consortium could
reprise that approach.
It could seek to obscure and confuse the situation by having various
Consortium members issue conflicting accounts of who won. This
would explain why the Wall Street Journal is participating
in a recount after editorializing that any further recounts would
be "un-American".
A likely scenario would consist of a claim that, "Gore probably
got a few more votes than Bush, but it really was too close to
call, and the Consortium members can't even agree among themselves
who won, so it is impossible to ever really know for certain."
It is now improbable that the Consortium will claim that Bush
got the most votes because too many people who are intimately
familiar with the process would publicly refute such a blatant
lie.
Patriots who believe that democracy must be more than an empty
cliché, and who want the unvarnished truth about the real
winner of the 2000 presidential election, are severely limited
in what they can do. We live in a pseudo democracy that has neither
a free mainstream press nor a functioning opposition party. The
current occupant of the White House is illegitimate by any standard
other than "the ends justify the means". The Supreme
Court is corrupt. Most Americans have "moved on" and
"gotten over it".
For the minority in this country, those who are emotionally capable
of confronting unpleasant facts, the truth is as clear as it is
unpopular: America is now a place in which the son of a former
leader who used to control the secret police was appointed to
run the country by his daddy's judges after his brother pulled
an electoral fast one for him in the southern part of the country.
The military contributed to the outcome by accusing the opposition
leader of being "unpatriotic", and by demanding that
illegally cast military votes for Bush be counted as valid. The
mainstream media protects its financial interests by smearing
any dissidents as "fringe people".
Many Americans prefer to dismiss these contentions as a "conspiracy
theory". Doing so is far less painful than coming to terms
with the fact that this type of election result happens routinely
around the world, but only in countries where self-government
is rhetoric instead of reality. We are programmed from early childhood
to recite that America is a democracy, yet even the most powerful
programming is vulnerable to being overwhelmed by the truth. The
unresolved question is how much truth will be required before
it registers with the general public that they really have lost,
in the words of Supreme Court Justice Antonin Scalia, the right
to have their votes counted.
In 2000, Americans witnessed convoluted vote counting methods
in Florida that were designed to disqualify as many voters as
it took in order to declare that the winner was the candidate
who received fewer votes statewide and nationally. We saw a Supreme
Court decision that was so surrealistically disgraceful that none
of the five members of the majority was willing to claim authorship
of it and, for the only time in the history of the Court, the
majority declared that its decision did not establish a precedent.
There was no conspiracy involved in the Supreme Court decision,
either. There was only the self-interest of five amoral judges
taking advantage of an opportunity to increase their power by
disregarding the law and selecting a president who would add to
their conservative majority.
The Consortium now has ironclad proof that the wrong man is in
the White House, and the mainstream media preemptively insist
that it doesn't matter. NBC News analyst and Welch protégé
Tim Russert recently said, "The issue of legitimacy has been
resolved." He does not want the results of the ballot study
to be released.
Neither does Mr. Berke of The New York Times, a member
of the Consortium. Berke recently wrote that releasing the results
would be divisive, and that it really doesn't matter who won.
It is unusual, to say the least, for a reporter to write that
a project on which his newspaper has just spent hundreds of thousands
of dollars doesn't matter. It is even more unusual for the paper
to then publish such heresy.
Of course, Berke knows that reporting the truth would not be divisive
if the ballot study had proven that the man who really won the
election is currently president. Berke has at least one contact
inside the ballot study who has also spoken with MakeThemAccountable.
We can therefore report with certainty that Mr. Berke wrote his
rationalization for withholding the truth only after he was informed
by an inside source that the study definitively proves that Al
Gore won Florida.
Berke also claimed that the reason the Consortium members have
delayed releasing the results of the ballot study is that the
war on terrorism has monopolized the attention of all of their
political reporters. This is an uncommonly transparent lie, even
for the congenitally dishonest Mr. Berke. He is a political reporter
who works for a Consortium paper, and his own attention has not
been monopolized by the war on terrorism. He has spent his time
since September 11 continuing his two-year disinformation campaign
to sell George W. Bush to the American people. Berke wrote on
October 20 that Gore supporters are privately expressing to him
that they are "relieved" that the Supreme Court selected
Bush to be president.
Brave reporters like Walter Cronkite are now distant memories
of the pre-Welch era of journalism; the modern guardians of the
truth are opportunistic prostitutes like Tim Russert and abject
liars like Richard Berke. It is difficult to find any journalists
in the corporate media who believe that the true outcome of the
balloting in Florida matters. The people whose lives are supposedly
dedicated to reporting the truth are adamant that, in the case
of which candidate actually won the presidency, reporting the
truth just doesn't matter.
In a democracy, it would matter. In a democracy, the identity
of the person who was given the right to govern by the voters
would be of paramount importance. In a democracy, the will of
the people would be the single most important story possible,
even more important than salacious stories about Democratic officials
cavorting with Washington interns.
Who won the election does not matter when there is General Electric
style democracy. GE has a long history of participating in governance
around the world. The company has protected its financial interests
by involving itself through active intervention and bribes in
Indonesia, Mexico, Lesotho, Egypt, Israel, and Japan, among other
countries.
For many years, human rights activists have cautioned that allowing
multinational corporations to impose their will on people in foreign
countries is a dangerous policy. There have been warnings that
one day, corporations like General Electric might not feel constrained
to limit their interference in the leadership selection process
to places like Indonesia. They might decide that there is nothing
sacred about national boundaries anywhere. Liberals have been
called paranoid for warning that the same corporations that tampered
with governments in Latin America, the Middle East, Africa, and
Asia would eventually decide that the will of the voters in the
United States is not sacrosanct, either.
In 2000, the paranoid warnings became reality. General Electric
and like-minded interests were able to defy the will of the majority
of the American people and drag into the White House the least
qualified major party presidential candidate in the history of
the country. Since gaining office, George W. Bush has been slavishly
devoted to enacting the corporate agenda. Even during a time of
war, he has been focused on relentlessly advocating the interests
of those who made him President.
Six days after the attacks on the World Trade Center and the Pentagon,
Bush FCC appointee Michael Powell announced a ruling that affected
corporations having licenses to operate 130 UHF TV stations broadcasting
on certain frequencies. The FCC gave the media companies approval
to sell those taxpayer-owned licenses and keep the tens of billions
of dollars that will be generated by the sales.
It was never a conspiracy. It was always greed.
The corporate elite and their media Consortium have literally
hundreds of billions of reasons to do what it takes to keep Bush
in power. Whether they ever publicly report the inconvenient truth
of the decisive Gore victory is problematic. It ultimately depends
on whether the American people are so insistent in their demand
to see the accurate outcome, that continuing to conceal the truth
will cause more trouble for the media conglomerates than it is
worth to them.
In the absence of overwhelming public pressure by citizens who
value democracy more than multinational corporations value money,
the members of the Consortium will honor the paradigm of Jack
Welch: They will disregard all principles of journalism, in order
to do what is best for the corporate bottom line.
Epilogue: Jack Welch retired as Chairman and Chief Executive Officer
of General Electric on September 7, 2001. According to Business
Week, "Welch's leadership style has become so embedded
in the organization that even his retirement is unlikely to erode
his impact". He is currently employed as a management consultant
to major corporations that he refuses to identify.
The above article is used by permission and is the 4th in a series on the past election. Read more at MakeThemAccountable.com
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