Madison, Wis. — Earlier this week, a blogger impersonating industrialist David Koch spoke with Gov. Scott Walker of Wisconsin, who is attempting to pass a budget-repair bill. The conversation between Walker and the poseur, which was recorded, has received heavy media attention and turned the national spotlight onto the political activities of Koch Industries, a private, Wichita-based company with diverse holdings.
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In interviews with National Review Online, Koch executives responded to the incident and pledged to “not stop” supporting free-enterprise initiatives, even as opponents attempt to sully the Koch name and the groups that brothers David and Charles Koch, the company’s co-owners, support. They also noted that David Koch and the governor have never met or spoken.
“With the Left trying to intimidate the Koch brothers to back off of their support for freedom and signaling to others that this is what happens if you oppose the administration and its allies, we have no choice but to continue to fight,” says Richard Fink, the executive vice president of Koch Industries. “We will not step back at all. We firmly believe that economic freedom has benefited the overwhelming majority of society, including workers, who earn higher wages when you have open and free markets. When government grows as it has with the Bush and Obama administrations, that is what destroys prosperity.”
Koch executives are not happy about the use of David Koch’s name by the blogger. “It was a fraudulent call,” says Mark Holden, the general counsel for Koch Industries. “There are serious fiscal issues at play in Wisconsin. Yet our opponents are interjecting us falsely into this story. But our Wisconsin story is about bringing and keeping good manufacturing jobs in the state. It is disturbing that when a blogger calls using the Koch name, it is used as an opportunity to attack the company.”
Fink tells us that he does not see the Walker prank as an isolated act. “This is not just left-wing bloggers,” he says. “This is part of an orchestrated campaign that has been going on for many months. It involves the Obama administration, the Center for American Progress, aligned left-wing groups, and their friends in the media. This is just the latest salvo in their attacks on the Koch brothers and Koch Industries. But it is an escalation — they’re now bringing in some labor groups, which they have not done before. We expect this to be part of an ongoing effort against [Koch Industries] as the 2012 presidential campaign approaches.”
Koch Industries has numerous businesses in Wisconsin, from Georgia-Pacific paper mills to coal and shipping companies. Approximately 3,000 people are directly employed by the company in the state, and 8,000 more indirectly. Koch executives say free-market principles and their desire to spur job creation are what drive any political actions or statements they make.
Americans for Prosperity, a political-advocacy group founded by Fink, the Koch brothers, and Jay Humphries, has been actively involved in Madison and supportive of Walker’s efforts. “We are not directing that,” Fink says. “They are staff-driven. They are out there trying to bring fiscal responsibility back to Wisconsin. Do we support them? Yes, we do, but we are not involved with their day-to-day activities. They are out there doing their best trying to make a difference. It is good to have them on the ground, in the battle, trying to help out.”
“We support Governor Walker, along with numerous other governors, who are trying to deal with the fiscal crises in their states,” Fink says. We have not been involved with the Walker bill, but we do support governors who want to take on the special interests. It is clear Scott Walker is trying to do the right thing for Wisconsin. With numerous employees and operations there, we have a stake in the fiscal health of that state.”
“We don’t try to have a high profile,” Fink chuckles. “We are not secretive, but we are private. It is the Left that is giving us a higher profile. Charles Koch has been at this for 50 years and David has been involved with [philanthropy] for decades. I have been at this for 39 years, 35 of them with Charles. This is a big part of our life’s work. We are not going to stop.”
As Koch Industries moves forward, both executives say, its leaders will be undeterred by criticism and remain involved in various business and political projects. “This campaign against Koch Industries has been going on for over a year,” Holden says. “Charles and David Koch are not going to be silenced. They are principled men and we have a principled company.”
— Robert Costa is a political reporter for National Review.
NR is now siding with the uber-rich, over regular Americans. Freedom, huh? Freedom to reduce the worker to the lowest possible wage, unless we can outsource him. How American.
The unions used to stand for establishing working conditions. Now they are stand for fighting the outsourcing and commoditation of our labor.
NR, with every article you publish, siding with the super-rich, you lose another American.
"NR is now siding with the uber-rich, over regular Americans."
No, NR is siding with tax paying Americans who are tired of being extorted by teachers who continually want higher compensation for doing a less than adequate job.
If those on the left want to continue to rally around this Koch brother conspiracy theory then so be it, but the truth will eventually come through to the average non-political American and they will side with who is right in this.
Please jimmy - NR is allowing capitalist entrepreneurs to defend their good name. I don't recall any evidence being presented that Koch Industries has violated any laws. They are not against workers any more than the workers are for the owners.
If so-called "good" jobs are going overseas it's because the market dictates that they do so. Why so many people think that semi-skilled laborers in Detroit, bolting a door on a car, deserve high wages and overly generous benefits is beyond me. We need high-tech jobs, not 20th century industries.
The reality is any free market system will have owners - the super-rich - because they have the drive, skill, and intelligence to create companies - that hire the rest of us. We need these types of people. So lay off the "super-rich" - they're the ones paying the wages and paying the taxes.
We are all economically free to obtain no bid contracts for the purchase of state assets, wow I didn't know that. Do the Koch's truly believe in a free market I think not, no one does. Everyone wants regulations that benefit them, for example restricting competition. If the Koch brothers truly support a world with no regulation of human economic activity,I hope they get exactly that.
At least Koch has produce something tangible that people can use. What does George Soros had produce? Nothing. He just enriched himself in the expense of others.
"...economic freedom has benefited the overwhelming majority of society, including workers, who earn higher wages when you have open and free markets."
The majority? REALLY? What about public servants? What about the employees of Parker Pen or other industries that left Wisconsin to pay people less overseas?
I will never understand the faith people have in private companies, especially given their abysmal record-- both ethically and in terms of performance. There is no data that says charter schools, privately run prisons, or private military entities perform any better than their public counterparts at providing services. Most studies indicate a worse performance. And they do not cost any less.
Corporations have ripped off the American worker, and the response is to bring everyone down with them, rather than fight to lower health care costs or squeeze a few tax dollars out of billionaires like the Koch brothers.
No one will blink when the Koch brother buy up more industry in Wisconsin, including those publicly owned. The state is for sale, to the profit of two brothers and the loss of everyone.
This was a state to be proud of-- with great schools and a great university system, and a concern for the collective-- purely "free market" values allow only for the benefit of a few.
"No, NR is siding with tax paying Americans who are tired of being extorted by teachers who continually want higher compensation for doing a less than adequate job."
I side with Jimmy. WOW. "Extorted by teachers." I don't even know where to begin. You obviously need a few more of them in your life.
Lets take your job, continually give it less and less $$$, both in terms of your salary and what you have to work with, let's throw in more and more people you now have to supervise because other departments are getting shut down and they have to go somewhere. But you're not getting paid more to supervise these people. In most cases you're having to routinely take less and less each year. Oh, and you don't just get to clock out after each shift. You have to take a metric ton of paperwork home with you each night and run through every single page. You know what? Forget it. This is probably over your head.
I bet you're one of the true-believers who think that teachers have 3 months off each year.
"Extorted by teachers." Yeah. Cos some of them actually want to crack 35K in an annual salary at some point in their lives.
Since Walker has a sweetheart deal inserted in the budget for the Koch brothers to buy the power plants in Wisconsin, with a no bid contract no less, I imagine the Koch boys are getting good value for their investment in Walker.
"No, NR is siding with tax paying Americans who are tired of being extorted by teachers"
Who apparently don't pay any taxes themselves right?
The Koch brothers talking about anyone they support fighting special interests is hypocrisy of the finest order. Apparently if your against the corporatist/neofascist takeover of this country your a "special interest". But if you are, say two billionaire brothers, who bought the governors office for someone in exchange for a few favors like tax breaks, no-bid purchases of state utilities, and some union busting to keep the workers/slaves down, hey, just a return on the investment right?
Keep showing your true nature NRO and Cons everywhere. Let the world see the true face of evil.
I am glad to see the Koch's come out with a statement. Even though it will most likely only be seen here and possibly some other sites on our side. Far too often, and for far too long, we on the right have just turned the other cheek. We must speak up. The media will not do it for us. I, for one, would not be quite so diplomatic. That is probably why I am writing below the story and am not in the story.
As for the first post, I was unaware that anyone from the huffinpuffin post even knew how to find this website.
Why do you think companies 'outsource' work? Could it be taxes? What do you think about companies that import workers to fill in positions in which the job skills of the employee pool aren't there?
What do you think should occur to enable companies to compete globally and allow them to retain workers here? What would you do to ensure that the next factory a company builds is built here, instead of having the company forced to build it overseas? Reduce capital gains on par with China, at say, zero?
Will unions help with that? Do you think that they might be part of the problem?
What is 'commoditation'? Did you mean 'commoditization'? In what way are unions fighting commoditization? In what way is business utilizing commoditation (or, commoditization) of labor (I can only guess that this is what you meant)?
Do you have any proof that NR is losing an American for each article they publish?
Do you really understand what is going on in Wisconsin? Do you understand why unions nationwide are flocking to Wisconsin? Do you think it's because of teachers and collective bargaining?
NR is standing with free people who know that the sky is the limit if they can produce something people want. Capitalism is the only system where freedom can survive.
The Koch brothers are the two finest Americans on the face of the planet. Those who dare to even question the Charles and David Koch on any matter are clearly terrorists who hate our nation and oppose freedom.
We will experience true freedom only when we follow the Koch brothers without question or hesitation. They are the leaders of a New Conservative America - today, tomorrow, and always.
I grew up in a small town in Western MA. I was schooled in university in New Orleans for 4 years. I lived in San Francisco for 5 during the dotcom/dotbomb era, and have spent the last 9 or 10 here in NYC. I don't think I would know what a "Regular American" is, nor would I likely want to.
The Unions used to stand for establishing working conditions. Now they try and suck the public dry by bribing government to tax us into poverty to pay for Cadillac retirements and another union official's mistress.
Private Sector Unions must be recognized for what they are, a pooling of resources parallel but not identical to a corporation. The resource is labor, and by pooling together and organizing a supply chain under their control, the union members gain leverage which allows them to profit further from the work they commit themselves to. I think this is fine and dandy so long as no union gains a monopoly on all workers in an industry. Then the inefficiencies of monopoly manifest as expected.
The case against public unions has been made many times here, I agree they don't make sense. But with regard to private unions, I still see a place for them, but a regulation system that parallels the monopoly and antitrust laws that govern corporations is needed. There should be multiple unions for a worker in any given field. Unions should have to compete by offering the most benefit, be it through better attribution of monies than their competitors, superior negotiating ability, or whatnot. Unions should once again exist to serve the workers, and not vice versa.
Notice now Jimmy sees the "uber-rich" as sub-human - a group of people who exist to be attacked, degraded and plundered. Shame on you, Jimmy. So what if they have more money than the rest of us? It's THEIRS.
Envy and jealously are ugly, destructive vices and will only lead to unhappiness in life, Jimmy.
To paraphrase Shepard Smith, this is "pure politics." The Koch interests mouth their entirely self-serving free market platitudes as cover for their grasp and hold on the extraction of natural resources in Wisconsin and elsewhere. Hey, it is how Khadafy operates. Keep the opposition poor and sedated, and rampage on. Say anything, but keep a tight grip. Have fun with it, Koch apologists.
Does anyone have a good analysis of the legality of stunts like this? Obviously Breitbart and minions do covert recordings, but as I understand it there are lines they're not supposed to cross, and I wonder whether recording phone conversations is one of them. Is there a good guerilla-media legal handbook out there?
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