Corporate Corruption Media Articles
Below are key excerpts of revealing news articles on corporate corruption from reliable news media sources. If any link fails to function, a paywall blocks full access, or the article is no longer available, try these digital tools.
The United States government has lost billions of dollars of oil and gas revenue to fossil-fuel companies because of a loophole in a decades-old law. The loophole dates from an effort in 1995 to encourage drilling in the Gulf of Mexico by offering oil companies a temporary break from paying royalties on the oil produced. However, the rule was poorly written, the very politicians who originally championed it have acknowledged, and the temporary reprieve was accidentally made permanent on some wells. As a result, some of the biggest oil companies in the world, including Chevron, Shell, BP, Exxon Mobil and others, have avoided paying at least $18 billion in royalties on oil and gas drilled since 1996, according to a new report from the Government Accountability Office. The companies, which hold government leases to drill in the Gulf, continue to extract oil and gas from those wells while not being required to pay royalties, a right the industry has gone to court to defend. Roughly 22 percent of oil production from federal leases in the Gulf of Mexico was royalty-free in 2018 because of the loophole, the Interior Department said. The report of the windfall to oil companies comes as the Trump administration has moved to further reduce the cost of offshore drilling for the industry, proposing to significantly weaken safety rules put in place after the deadly 2010 Deepwater Horizon explosion in the Gulf of Mexico.
Note: A 2013 Washington Post article suggests practices like this are common across major industries. For more along these lines, see concise summaries of deeply revealing news articles on government corruption from reliable major media sources.
When women speak, they shouldnt be shrill. Clothing must flatter, but short skirts are a no-no. After all, sexuality scrambles the mind. Women should look healthy and fit, with a good haircut and manicured nails. These were just a few pieces of advice that around 30 female executives at Ernst & Young received at a training held in the accounting giants gleaming new office in Hoboken, New Jersey, in June 2018. The 55-page presentation, used during the day-and-a-half seminar on leadership and empowerment, was given to HuffPost by an attendee who was appalled by its contents. Full of out-of-touch advice, the presentation focused on how women need to fix themselves to fit into a male-dominated workplace. The training, called Power-Presence-Purpose or PPP ... was billed to participants as advice on how to be successful at EY, according to Jane, a training attendee and former executive director at the firm. Attendees were even told that womens brains are 6% to 11% smaller than mens, Jane said. She wasnt sure why they were told this, nor is it clear from the presentation. Womens brains absorb information like pancakes soak up syrup so its hard for them to focus, the attendees were told. Mens brains are more like waffles. Theyre better able to focus because the information collects in each little waffle square. The only reason to talk to women about their size of their brains is to make them feel inferior to men, said Bruce McEwen, a neuroscientist at Rockefeller University.
Note: For more along these lines, see concise summaries of deeply revealing news articles on corporate corruption from reliable major media sources.
Hitting back against presidential candidate Bernie Sanderss assertion that billionaires should not exist and his calls to tax their wealth at much higher rates Facebook CEO Mark Zuckerberg, worth $70bn, took to Fox News to defend his beleaguered class. Billionaires, he argued, should not exist in a cosmic sense, but in reality most of them are simply people who do really good things and kind of help a lot of other people. And you get well compensated for that. He warned too about the dangers of ceding too much control over their wealth to the government, allegedly bound to stifle innovation and competition. Zuckerbergs reasoning isnt unique among the 1%. As common as this argument is, it also happens not to be true. Take the basis of Mark Zuckerbergs fortune. The internet was developed out of a small Pentagon network intended to allow the military to exchange information during the Cold War. And of the top 88 innovations rated by R & D Magazine as the most important between 1971 and 2006, economists Fred Block and Matthew Keller have found that 77 were the beneficiaries of substantial federal research funding, particularly in early stage development. This isnt all to say that the private sector hasnt played a significant role in driving innovation. But the the fortunes built off of each couldnt exist were it not for the government more often than not taking the first step, funding innovation far riskier than venture capitalists and angel investors can usually stomach.
Note: For more along these lines, see concise summaries of deeply revealing news articles on income inequality from reliable major media sources.
One of the most powerful Big Food lobbyists wants to change its image. The Grocery Manufacturers Association ... is planning to change its name to the Consumer Brands Association in 2020, a sign the group is trying to distance itself from past troubles. In the past two years, food companies like Campbell, Kraft Heinz, Nestle, Hershey and Unilever have left the GMA, amid disputes. Among the issues that were fiercely debated were how and when to disclose the use of genetically modified organisms (GMOs). The organization says each of the former members left for individual reasons, but the common thread was a failure by the organization to adapt as consumer sentiments and trends were evolving. Gone are the days when we could have one face to policymakers and a different one to consumers, said GMA President and CEO Geoff Freeman. ″Policymakers have little to no influence on the decisions consumers make, he said. The organizations agenda is based on the industrys realization that it must react to consumers demands, rather than fight them, Freeman said. The new name more clearly identifies the companies in its membership: branded names in food, beverage, personal care and household products. GMA wants to fix what it believes is a broken system to help address the countrys recycling crisis. The U.S. does not have uniform recycling laws, which has led to contamination of shipments meant for recycling. Exacerbating this issue, China ... has begun to refuse Americas garbage.
Note: In 2016, the Grocery Manufacturers Association was forced to pay $18 million in damages for violating Washington State law in its opposition to a GMO labeling initiative. For more along these lines, see concise summaries of deeply revealing news articles on food system corruption from reliable major media sources.
Jada Renee Louis of Newport News, Virginia, died on 22 June 2019 about a week after requiring emergency hospital care for diabetic ketoacidosis, a serious complication caused by a lack of insulin, and a foot ulcer. She was 24. A type 1 diabetic, Louis, who did not have health insurance coverage, couldnt afford the cost of her insulin doses and pay her rent. She chose to skip doses in order to pay her rent. Today a vial of insulin which will last 28 days once opened costs about $300 in the US. People are literally dying over $300 like my sister did. People shouldnt have to choose between medications or shelter. Thats the most outrageous decision for somebody to have to make, yet people are doing it daily, Jazmine Baldwin, Louiss sister, [said]. Price gouging of insulin and other barriers to accessing it are symptomatic of Americas broken healthcare system, diabetes advocates argue, and the resulting deaths and struggles of those with diabetes demonstrate the need for systemic reforms. Between 2012 to 2016, the average cost of insulin in the United States nearly doubled to $5,705 per year for individuals with type 1 diabetes. Production costs for a vial of insulin are estimated to cost around $5 while pharmaceutical companies charge as high as $540 per vial and Americans are dying as a result of being unable to afford it in addition to the expensive costs of medical care, and supplies such as syringes and glucose monitors. Some 1.25 million Americans are currently diagnosed with type 1 diabetes.
Note: For more along these lines, see concise summaries of deeply revealing news articles on pharmaceutical industry corruption from reliable major media sources.
About a half a dozen journalists were in a northern California courtroom to cover a third lawsuit alleging that Monsantos pesticide glyphosate causes cancer. [Sylvie] Barak told others that she was a freelancer for the BBC. When journalists searched the internet for Barak, they noticed that her LinkedIn account said she worked for FTI Consulting, a global business advisory firm that Monsanto and Bayer, Monsantos parent company, had engaged for consulting. Monsanto has also previously employed shadowy networks of consultants, PR firms, and front groups to spy on and influence reporters. And all of it appears to be part of a pattern at the company of using a variety of tactics to intimidate, mislead and discredit journalists and critics. In the latest example of Monsantos efforts to track journalists, The Guardian reported in August on internal documents from the companys fusion center, which worked to discredit reporters and nonprofits via third-party actors. In the California trial, the reporter who first identified Barak as an FTI plant said she ... saw an uptick in Monsantos industry partners contacting her as she covered the trial. A guy named Jay Byrne ... contacted her on social media to discuss how GMO criticism was part of a Russian influence campaign; when she Googled Byrne, she learned he is Monsantos former director of communications. In a January deposition, a Monsanto representative said that in 2016 the company spent around $16 or 17 million on activities to defend glyphosate.
Note: Major lawsuits are now unfolding over Monsanto's lies to regulators and the public on the dangers of glyphosate. Yet the EPA continues to use industry studies to declare Roundup safe while ignoring independent scientists. For more along these lines, see concise summaries of deeply revealing news articles on corporate corruption from reliable major media sources.
When the Indian government bowed to powerful food companies last year and postponed its decision to put red warning labels on unhealthy packaged food, officials also sought to placate critics of the delay by creating an expert panel to review the proposed labeling system, which would have gone far beyond what other countries have done in the battle to combat soaring obesity rates. But the man chosen to head the three-person committee, Dr. Boindala Sesikeran, a veteran nutritionist and former adviser to Nestle, only further enraged health advocates. Thats because Dr. Sesikeran is a trustee of the International Life Sciences Institute, an American nonprofit with an innocuous sounding name that has been quietly infiltrating government health and nutrition bodies around the world. Created four decades ago by a top Coca-Cola executive, the institute now has branches in 17 countries. It is almost entirely funded by Goliaths of the agribusiness, food and pharmaceutical industries. The organization, which championed tobacco interests during the 1980s and 1990s in Europe and the United States, has more recently expanded its activities in Asia and Latin America, regions that provide a growing share of food company profits. It has been especially active in China, India and Brazil, the worlds first, second and sixth most populous nations. In addition to its far-flung offices, ILSI runs a research foundation and an institute focused on health and environmental issues that is largely funded by the chemical industry.
Note: Check out a great article on how lobby groups like this cause the media to become industry lapdogs. For more along these lines, see concise summaries of deeply revealing news articles on food system corruption from reliable major media sources.
Joi Ito, the director of the Media Lab at MIT, resigned Saturday and the university is calling for an independent investigation following explosive allegations that he and at least one other person at the lab made efforts to make sure Jeffrey Epstein's name was not associated with donations he made or helped solicit. Internal communications and documents obtained by CNN - first reported by the New Yorker - show Epstein was integral to incoming donations from major donors, including $2 million from Bill Gates and at least $5 million from Leon Black, the founder of private equity firm Apollo Global Management. Internal email exchanges show Ito was in direct contact with Epstein about the late financier's donations, which documents show at one point were earmarked for a research scientist. As discussions continued about the funding for the researcher, the Director of Development and Strategy, Peter Cohen, sent an email to an undisclosed recipient, saying "Jeffrey money, needs to be anonymous." Internal communications dating back to 2014 include several references to Epstein being allowed to make small donations anonymously. The communications show that Epstein helped as an intermediary on high-dollar proposals. In October of 2014 Ito sent an email stating, "This is a $2M gift from Bill Gates directed by Jeffrey Epstein." His director of Development and Strategy - Cohen - responds "Great! For gift recording purposes, we will not be mentioning Jeffreys name as the impetus for this gift."
Note: For more along these lines, see concise summaries of deeply revealing news articles on Jeffrey Epstein from reliable major media sources.
Jeffrey Epstein forged deep ties with some of the nations elite universities and their scholars, showering them with millions of dollars in donations. The financiers donations supported important research and helped scientists work toward discoveries, but they also provided a veneer of credibility to a convicted sex offender. The ensuing fallout ... illuminates enduring questions for academia about the money that fuels research, and how institutions nurture relationships with donors in the race to excel. Epstein gave repeatedly to MIT and Harvard University. At MIT, the president, L. Rafael Reif, apologized to Epsteins victims in a message to campus. The school accepted about $800,000 of Epsteins money over 20 years, Reif wrote, with gifts to the MIT Media Lab and to a mechanical engineering professor. With hindsight, Reif wrote, we recognize with shame and distress that we allowed MIT to contribute to the elevation of his reputation, which in turn served to distract from his horrifying acts. No apology can undo that. The largest gift to Harvard University from Epstein was $6.5 million in 2003, for the Program for Evolutionary Dynamics. Martin Nowak, director of that program, said there was only one gift from Epstein in support of his research, and that money was spent by 2007. In 2006, when Epstein was facing sex-crime charges, the Harvard Crimson reported that the school would not return the gift, although some prominent recipients of Epsteins donations had done so.
Note: For more along these lines, see concise summaries of deeply revealing news articles on Jeffrey Epstein from reliable major media sources.
A judge Monday found Johnson & Johnson responsible for fueling Oklahomas opioid crisis, ordering the health-care company to pay $572 million to remedy the devastation wrought by the epidemic on the state and its residents. Cleveland County District Judge Thad Balkmans landmark decision is the first to hold a drugmaker culpable for the fallout of years of liberal opioid dispensing that began in the late 1990s. More than 400,000 people have died of overdoses from painkillers, heroin and illegal fentanyl since 1999. With more than 40 states lined up to pursue similar claims against the pharmaceutical industry, the ruling ... could influence both sides strategies in the months and years to come. Plaintiffs attorneys around the country cheered the decision, saying they hoped it would be a model for an enormous federal lawsuit brought by nearly 2,000 cities, counties, Native American tribes and others scheduled to begin in Cleveland, Ohio, in October. Johnson & Johnsons products ... were a small part of the painkillers consumed in Oklahoma. But Hunter painted the company as an industry kingpin because two other companies it owned had grown, processed and supplied 60 percent of the ingredients in painkillers sold by most drug companies. At the root of this crisis was Johnson & Johnson, a company that literally created the poppy that became the source of the opioid crisis, the state charged. The state also said the health-care giant actively took part in ... an aggressive misinformation campaign.
Note: For more along these lines, see concise summaries of deeply revealing news articles on pharmaceutical industry corruption from reliable major media sources.
In a direct challenge to California regulators and Bay Area environmentalists, the Trump administration Thursday ordered companies to ignore state requirements that businesses warn customers if their products contain glyphosate, a weed killer that has been linked to cancer. The decision flies in the face of three California court rulings against Monsanto, which markets the chemical as Roundup. The agricultural giant faces more than 13,000 suits nationwide by users of Roundup, the worlds best-selling herbicide. The U.S. Environmental Protection Agency announced it would no longer approve labels saying glyphosate is known to cause cancer. The state requires companies to warn customers about chemicals known to cause cancer under the Safe Drinking Water and Toxic Enforcement Act. Glyphosate was classified as a probable human carcinogen in 2015 by the International Agency for Research on Cancer, which is part of the World Health Organization. Lawyers for sick clients who were awarded tens of millions of dollars after suing Monsanto introduced evidence that glyphosate can cause genetic damage that leads to non-Hodgkins lymphoma. They claimed Monsanto ignored that information and published information ghost written by staffers denying the toxicity of the chemical. Superior Court Judge Winifred Smith said there was clear evidence that Monsanto, after learning of the dangers, made efforts to impede, discourage or distort scientific inquiry by regulators.
Note: For more along these lines, see concise summaries of deeply revealing news articles on corporate corruption from reliable major media sources.
Monsanto operated a fusion center to monitor and discredit journalists and activists, and targeted a reporter who wrote a critical book on the company, documents reveal. The records reviewed by the Guardian show Monsanto adopted a multi-pronged strategy to target Carey Gillam, a Reuters journalist who investigated the companys weedkiller and its links to cancer. Monsanto, now owned by the German pharmaceutical corporation Bayer, also monitored a not-for-profit food research organization through its intelligence fusion center, a term that the FBI and other law enforcement agencies use for operations focused on surveillance and terrorism. The documents, mostly from 2015 to 2017, were disclosed as part of an ongoing court battle on the health hazards of the companys Roundup weedkiller. Monsanto planned a series of actions to attack a book authored by Gillam prior to its release, including ... directing industry and farmer customers on how to post negative reviews. Monsanto paid Google to promote search results for Monsanto Glyphosate Carey Gillam that criticized her work. Monsanto fusion center officials wrote a lengthy report about singer Neil Youngs anti-Monsanto advocacy. The internal records dont offer significant detail on the activities or scope of the fusion center, but ... government fusion centers have increasingly raised privacy concerns surrounding the way law enforcement agencies collect data, surveil citizens and share information.
Note: For more along these lines, see concise summaries of deeply revealing news articles on corporate corruption and media manipulation from reliable major media sources.
Three pharmaceutical companies collectively are agreeing to pay California nearly $70 million to settle allegations that they delayed drugs to keep prices high, California Attorney General Xavier Becerra said. The bulk of the money will come from Teva Pharmaceutical Industries Ltd. and its affiliates for paying to delay a generic narcolepsy drug, Provigil, from entering the market for nearly six years. Teva is paying $69 million, which Becerra says is the largest pay-for-delay settlement received by any state. Such agreements let the developer of brand name drugs keep their monopolies over the drugs after their patents expire, thereby letting them continue to charge consumers higher prices. The drug developer pays the generic manufacturer to keep the cheaper version of the drug from entering the marketplace for an agreed period of time. Such agreements can force consumers and the health care market to pay as much as 90% more than if there were generic alternatives. More than $25 million of the settlement will go to a consumer fund for California residents who purchased Provigil, Nuvigil or Modafinil between 2006 and 2012. The second, $760,000 settlement is with Teva, Endo Pharmaceuticals and Teikoku Pharma USA over keeping a genetic alternative to the pain patch Lidoderm from entering the market for nearly two years. Both settlements bar the companies from pay-for-delay agreements for several years.
Note: They are only barred from pay-for-delay agreements for several years? Shouldn't this practice be illegal? For more along these lines, see concise summaries of deeply revealing news articles on pharmaceutical industry corruption from reliable major media sources.
Apple contractors regularly hear confidential medical information, drug deals, and recordings of couples having sex, as part of their job providing quality control, or grading, the companys Siri voice assistant. Although Apple does not explicitly disclose it in its consumer-facing privacy documentation, a small proportion of Siri recordings are passed on to contractors working for the company around the world. Apple says the data is used to help Siri and dictation ... understand you better and recognise what you say. But the company does not explicitly state that that work is undertaken by humans who listen to the pseudonymised recordings. A whistleblower working for the firm, who asked to remain anonymous due to fears over their job, expressed concerns about this lack of disclosure, particularly given the frequency with which accidental activations pick up extremely sensitive personal information. The whistleblower said: There have been countless instances of recordings featuring private discussions. These recordings are accompanied by user data showing location, contact details, and app data. Although Siri is included on most Apple devices, the contractor highlighted the Apple Watch and the companys HomePod smart speaker as the most frequent sources of mistaken recordings. As well as the discomfort they felt listening to such private information, the contractor said they were motivated to go public about their job because of their fears that such information could be misused.
Note: For more along these lines, see concise summaries of deeply revealing news articles on the disappearance of privacy from reliable major media sources.
Two summers ago, the head of Britains Financial Conduct Authority, Andrew Bailey, made news when he announced that LIBOR the leading benchmark for setting global interest rates had a sustainability issue. The rate is supposed to measure the rate at which banks borrow from each other, but Bailey said it wasnt based on real borrowing. LIBOR, the London Interbank Offered Rate, helps set rates for hundreds of trillions of dollars worth of financial instruments. If Bailey was right, it meant a sizable portion of global economic activity rested on magical thinking. A secondary concern involved manipulation. If banks were inventing numbers to submit to the LIBOR committee, could they not also be manipulating rates to line pockets? The possibility ... seemed to exist that the worlds major investors including localities and pension funds were being systematically ripped off. A class of investors and retirement funds including Putnam Bank and the Hawaii Sheet Metal Workers Pension Fund did recently bring an antitrust suit alleging just such a scheme. The July 1 complaint is an amended version of a class action suit originally filed earlier this year. The action against JP Morgan Chase, Bank of America, Citigroup, Barclays, and numerous other banks uses both documentary evidence and data to argue that banks have been purposefully depressing interest rates. The idea would be to lower payouts to investors who are contractually due to receive LIBOR, while lessening costs for LIBOR borrowers.
Note: For more along these lines, see concise summaries of deeply revealing news articles on financial industry corruption from reliable major media sources.
The origin, evolution and astonishing scale of Americas catastrophic opioid epidemic just got a lot clearer. The drug industry - the pill manufacturers, wholesalers and retailers - found it profitable to flood some of the most vulnerable communities in America with billions of painkillers. They continued to move their product, and the medical community and government agencies failed to take effective action, even when it became apparent that these pills were fueling addiction and overdoses and were getting diverted to the streets. This has been broadly known for years, but this past week, the more precise details became public for the first time. The revelatory data comes from the Drug Enforcement Administration and its Automation of Reports and Consolidated Orders System (ARCOS). This really shows a relationship between the manufacturers and the distributors: They were all in it together, said Jim Geldhof, a retired DEA employee. Were seeing a lot of internal stuff that basically confirms ... that it was all about greed, and all about money. The data shows a trend in pill distribution that, according to the lawsuit plaintiffs, cant be passed off as reasonable therapeutic medical treatment. The industry shipped 76 billion oxycodone and hydrocodone pills across the country from 2006 through 2012, the period covered by the ARCOS data released this past week. These pills didnt flow in a steady stream but were more like a flash flood, spiking from 8.4 billion in 2006 to 12.6 billion in 2012.
Note: For more along these lines, see concise summaries of deeply revealing news articles on pharmaceutical industry corruption from reliable major media sources.
In May 2008, as the opioid epidemic was raging in America, a representative of the nations largest manufacturer of opioid pain pills sent an email to a client at a wholesale drug distributor in Ohio. Victor Borelli, a national account manager for Mallinckrodt, told Steve Cochrane, the vice president of sales for KeySource Medical, to check his inventories and [i]f you are low, order more. If you are okay, order a little more, Capesce? Then Borelli joked, destroy this email ... Is that really possible? Oh Well... Those email excerpts are quoted in a 144-page plaintiffs filing along with thousands of pages of documents unsealed by a judges order Friday in a landmark case in Cleveland against many of the largest companies in the drug industry. A Drug Enforcement Administration database released earlier in the week revealed that the companies had inundated the nation with 76 billion oxycodone and hydrocodone pills from 2006 through 2012. Nearly 2,000 cities, counties and towns are alleging that the companies knowingly flooded their communities with opioids, fueling an epidemic that has killed more than 200,000. The filing by plaintiffs depict some drug company employees as driven by profits and undeterred by the knowledge that their products were wreaking havoc across the country. Plaintiffs in the case argue that the actions of some of Americas biggest and best-known companies - including Mallinckrodt, Cardinal Health, McKesson, Walgreens, CVS, Walmart and Purdue Pharma - amounted to a civil racketeering enterprise.
Note: For more along these lines, see concise summaries of deeply revealing news articles on pharmaceutical industry corruption from reliable major media sources.
What happens when government leaders leave Washington for cushy jobs on corporate boards? Former Food and Drug Administration (FDA) Commissioner Scott Gottlieb is just the latest administration official to go through the revolving door after his second tour at the FDA. Gottlieb recently resigned from his spot as the top federal drug regulator to take on a role at Pfizer—the top drug producer in the United States. But Gottlieb’s hiring is just the latest in a long line of moves to fortify the industry’s influence in Washington. Big Pharma spending on lobbying eclipses every other industry according to the Center for Responsive Politics. Current Health and Human Services Secretary Alex Azar - Gottlieb’s former boss - used to be president of Lilly USA, the U.S. branch of pharmaceutical giant Eli Lilly. Trump lauded his appointment by calling Azar a “star for better healthcare and lower drug prices,” but during his time there the company raised the brand’s insulin prices threefold creating a crisis and drawing public outrage. A study last year found more than 160 former lobbyists serving in the Trump administration - and those industry ties point to an administration that puts the priorities of large corporations over those of the American people. Corporate executives and industry lobbyists cannot be effective regulators of the industries that have made them millions. The revolving door is an age-old problem in Washington but the scope and volume of the conflicts in the current administration ... is unprecedented.
Note: For lots more on the revolving door between government and big Pharma, see the “Revolving Door Project” and read this revealing article. For more along these lines, see concise summaries of deeply revealing news articles on government corruption and Big Pharma profiteering from reliable major media sources.
In the fields of south Texas Mexican women work long hours in dangerous conditions under the ever-present threat of deportation. Many of them are paid on a contract basis, by the box. A box of cilantro will earn a worker $3; experienced farmworkers say they can fill one within an hour, which means a typical 5am to 6pm work day would earn them $39 total. The work can vary from physically uncomfortable and mundane (cilantro, lettuce, beets) to outright painful and dangerous (watermelon, parsley, grapefruit). The few women who work in the fields face even more hardships. Instances of workplace sexual harassment and rape are rampant and are both underreported and under-prosecuted. It is common for women to relent to a supervisors advances because she cant risk losing her job or deportation. Most of these women are supporting children as well. [They] represent a diverse cross-section of lives upturned by drug-related and domestic violence in Mexico. Under new US immigration protocols, these are extraordinarily tense times for immigrants. A report by Human Rights Watch notes that although US law entitles undocumented workers to workplace protections, the US governments interest in protecting unauthorized workers from abuse conflicts with its interest in deporting them. That report was written in 2015, but President Trumps heightened drive for deportation and border closure has only made things more impossible for undocumented farmworkers attempting to protect their labor rights.
Note: For more along these lines, see concise summaries of deeply revealing news articles on civil liberties from reliable major media sources.
The average 30-day stay at a California rehab costs families $40,000. Its expensive and often highly risky. The Russells [checked] their 19-year-old son, Teddy Russell, into Mountain Vista last summer. During intake, they had trouble with the blood pressure cuff and she said, No, I have no medical training at all, said Anne Russell, talking about the counselor at the rehab. Mountain Vista Farm is a state licensed residential detox facility, which in California is not required to have a doctor on site. Anne Russell believes the lack of medical support drastically changed the course of her familys life. We trusted them to help him and our son trusted us and it was just a nightmare, she said. Detox centers must check on patients every 30 minutes for the critical first 72 hours but that didnt happen. Seven hours after being dropped off at Mountain Vista Farm, Teddy Russell was dead. The state has the power to suspend a rehab facilitys license after a Class A deficiency. Teddys death resulted in two of those. But the state didnt shut this place down. In fact, weve learned it rarely shuts any rehab down. Instead the penalty in Teddys case was a $700 fine. Public records show Teddys story is not unique. 190 people have died at other rehab facilities in California since 2010. We found dozens of deficiencies, from falsifying records, failing to report deaths, and employing unqualified staff to not monitoring patient vitals, like what happened to Teddy.
Note: John Oliver has a hard-hitting video on the serious problems found at many rehab centers. For more along these lines, see concise summaries of deeply revealing news articles on health from reliable major media sources.
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