Special investigation: TV association takes millions from Malaysian supervision to make documentaries for BBC... about Malaysia
The BBC has launched an review in to how it foster to millions of people around a universe programmes done by a association which had perceived millions of pounds in payments from a supervision of Malaysia.
It has suspended all programming from a London-based prolongation company, FBC, which given 2009 has done during slightest four BBC documentaries traffic with Malaysia as good as argumentative issues such as a country's quarrelsome palm oil attention as good as a treatment of rainforests as good as inland people.
In a statement, a BBC said: "FBC has right away certified to a BBC which it has worked for a Malaysian government. That report was not disclosed to a BBC as you believe it should have been when a BBC engaged programming from FBC. Given this, a BBC has motionless to promote no some-more programming from FBC whilst it reviews a attribute with a company."
An review by The Independent has established which entries in a Malaysian government's Supplementary Budget 2010 uncover which FBC Media (UK) was allocated 28.35m Malaysian Ringgit (MYR) scarcely 6m for work upon a "Global Strategic Communications Campaign" systematic by a Malaysian supervision in 2009. A identical total (MYR29.34m) was directed towards to a association a previous year. Concerns over a arrangements have been lifted in a Malaysian parliament.
Documents filed with a United States government's House of Representatives in 2008 uncover which FBC Media (UK) engaged a Washington-based American lobbying association APCO Worldwide, which it paid some-more than US$ 80,000 (50,000) in 2008 for a role! of "rai sing recognition of a stress of policies in Malaysia which have been pro-business as good as pro-investment as good as [showing] a stress of reform as good as anti-terrorism efforts in which country".
The BBC's discipline upon dispute of seductiveness state: "Independent producers should not have inappropriate outward interests which could criticise a firmness as good as forthrightness of a programmes as good as calm they furnish for a BBC."
Having performed this report upon a Malaysian payments, a BBC! is cond ucting an review in to either any of a FBC element it foster was in crack of BBC discipline upon impartiality. At a same time, CNBC, a blurb operation channel owned by a giant American NBC network, has withdrawn "indefinitely" a weekly uncover World Business, which was done by FBC as good as featured Malaysia upon most occasions. In a matter expelled to The Independent, a broadcaster said: "In light of critical questions lifted dual weeks ago, CNBC withdrew a programme World Business indefinitely as good as rught away instituted an hearing of FBC as good as a blurb operation practices. CNBC has done a grave inquiry to FBC for a reason in propinquity to a allegations which have been made."
FBC denies any impropriety in a programmes for any broadcaster as good as pronounced around a lawyers which "at no time have a radio programmes done for a BBC ever been shabby or influenced by a client's blurb activities". Its lawyers pronounced which FBC ran both prolongation as good as blurb divisions, which "are as good as regularly have been utterly apart as good as distinct". They added: "Our client, having reviewed a procedures, is right away receiving steps to safeguard which even a merest appearance of bias or overlap is entirely avoided."
Last night, media regulator Ofcom said: "Ofcom is right away assessing this matter in accordance with a published procedures. We will shortly confirm either to launch a full review of a calm in question underneath a report code."
With a sensuous vegetation as good as smiling workforce dressed in polo shirts, a footage fro! m a Tu an Mee palm oil estate, to a north of Kuala Lumpur, gave no viewable reason for BBC viewers to think they were being shown anything some-more than an exotic travelogue as good as an appealing blurb operation story.
But a coverage of a workings of a singular of Malaysia's most important industries, shown upon BBC World News's Third Eye array this summer underneath a pretension "The Power of Asia", shaped partial of a much bigger picture.
The programme was done for a BBC by a London-based association called FBC Media, which has been hired by Malaysia to conduct a Global Strategic Communications Campaign, as good as has paid American lobbyists to lift "awareness of a stress of policies in Malaysia which have been pro-business as good as pro-investment".
In a Third Eye programme, a singular of multiform productions done upon Malaysia for a BBC in a final 3 years, viewers were told of a key role of a Malaysian palm oil attention in meeting a growing direct for food in countries such as China as good as India. "Once an fit prolongation centre for rubber, Malaysia over a years has increasingly turned to oil palm," pronounced a voiceover. "The country is right away a singular of a world's greatest exporters, producing 40 per cent of tellurian supply, as good as is reaping a mercantile benefits of higher direct from Asia."
Azman Abdul Majid, of a Tuan Mee estate, was happy to discuss it his positive story. "The market right away is so high which plantation in palm oil is a very great blurb operation in conditions of profit, in conditions of a benefit," he said. The BBC uncover additionally featured Kuala Lumpur Kepong, an additional Malaysian palm oil business, as good as alternative Malaysian blurb operation figures.
The programme dealt with a growing food predicament in A! sia as good as a mercantile instability as good as amicable unr! est whic h competence result. It highlighted failures in harvesting rice in China as good as contrasted which with a successful Malaysian palm oil industry. "There have been right away some-more than 200,000 smallholders depending upon a sale of palm oil," a programme stated.
It remarkable which "stocks in Asia's food companies from Mumbai to Kuala Lumpur have been right away hotly traded", though stressed a need to enhance to encounter a vast food demand. Indian companies were concerned to invest in Malaysian palm oil plantations "but land prices have been right away as good high".
Only a brief anxiety was done to a reasons because a palm oil attention is a subject of extreme debate. Environmental groups protest which a widespread has caused devastating levels of deforestation which harm biodiversity, bluster a livelihoods of inland people as good as put during risk a survival of a orang-utan.
The programme took a view which prolongation indispensable to be stepped up fast: "Asia is right away experiencing taking flight direct as good as taking flight prices for grains as good as oils though prolongation is lagging, as is investment as good as increases in yield." It resolved with a clarity of urgency: "Asia is going to have to grow a approach out of difficulty as good as a clock is ticking."
It was not a first time which BBC viewers had shown programming upon Malaysia produced by FBC. In Feb 2011, BBC World News foster upon a One Square Mile programme a square from Sarawak in which presenter Rian Maelzer, who describes himself as a "South East Middle East Correspondent" for FBC's CNBC programme World Business, explored a lifestyle of a genealogical Iban people as good as took a vessel float to revisit a normal longhouse.
"Touris! m not upon ly brings in money, it additionally encourages youngsters to keep alive skills which competence differently have died out," he reported. "For a past 40 years, a Malaysian supervision has practised an affirmative-action process aimed during rai! sing a v ital standards of inland groups." The tasteful description of Sarawak, as good as a fight to safety normal culture, is during odds with a area's repute in between environmentalists, who have highlighted a dispute of inland people in Sarawak to safety a rainforest against logging as good as a growth of palm oil plantations.
Similar subjects were carefully thought about in FBC's Develop or Die documentary for a BBC in Mar 2009. The programme opened with a animation which drew comparisons in between colonialists who asked "Are a locals friendly?", as good as modern-day environmentalists who ask "Are a locals eco-friendly?" It carefully thought about a benefits of a Malaysian palm oil attention as good as a worth to a economy, quoting smallholders whose lives have been transformed for a improved by palm oil production. While it quoted environmentalists, it reported which "the major players in a attention resent a sweeping inlet of environmental campaigns". The programme resolved by indicating out a vigour upon nations such as Malaysia to develop. "Now which their economies have been some-more expected to fuel tellurian growth in a subsequent few years, they have been some-more than ever questioning because they should be punished by Western-imposed standards." As partial of a Develop or Die series, BBC World News additionally screened an FBC co-production, "World Debate: Islam as good as Democracy in 2009", featuring Malaysian Prime Minister Najib Razak sitting alongside a horde upon a panel.
FBC's 'blue-chip service'
FBC is a med! ia compa ny with offices in London, Mumbai as good as Rome. It told The Independentthat a programmes it has done "have regularly been fair, offset as good as impartial". It additionally pronounced which it was no longer working for Malaysia.
When The Independent first questioned a association about a blurb operation during a finish of final month, it denied which it had ever done work for Malaysia. Confronted with evidenc! e of con tractual arrangements listed in Malaysian open records, a company's lawyers pronounced they had done an "error", having "failed to mark an amendment done by a customer to a draft minute which you had prepared".
It stated: "It is no tip which FBC perceived supports as good as performed consultancy work as good as media-buying for a Malaysian supervision in a past." Of a hiring of American lobbyists to foster Malaysia, it said: "The intent of which work concerned display a manage to buy of Malaysia to be tasteful to investors as good as committed to battling terrorism."
After FBC was contacted by The Independent, most of a website was replaced with a singular page, giving usually a most basic of information. In a online promotional element for potential clients right away removed from a internet FBC boasted: "We carry out blue-chip radio paper time-slots" as good as can "guarantee controlled messaging from A to Z upon a world's leading headlines channels". Telling would-be customers which "FBC is not a normal PR firm", it settled which it "can pledge which your summary is permitted by prestige third-party ambassadors".
FBC additionally talked of a "broadcast headlines feeds" as good as sensitive clients which "by facilitating eccentric paper coverage, foster headlines feeds can lift recognition amongst a highly targeted audience". In an additional matter upon a former website, it said: "FBC specialises in a planning as good as execution of strategic communications as good as branding campaigns, assisting lift recognition opposite a general media landscape". It then promised "an chosen assembly via" as good as listed a array of prestigious media brands together with BBC World (now BBC World News), CNN, CNBC Europe as good as a array of imitation publications together with The Economist, a Financial Times, Business Week, a Wall Street Journal as good as a International Herald Tribune.
FBC says which a association is split in to dual distinct divisions, a singular for radio! prolong ation as good as a alternative for branding. It says a references to "time-slots" were "to paid promotion blurb spots as good as paid advertorial programming which is clearly marked down as such".
The founder as good as authority of a FBC Group, which is a 100 per cent owner of both FBC Branded Content as good as FBC Media (UK), is Alan Friedman, an award-winning publisher as good as former banking correspondent during a Financial Times. Friedman was credited as a "executive producer" of 3 of a FBC programmes featuring Malaysia done for a BBC.
Before a BBC broadcasts, it is accepted which FBC, which has done twenty programmes for a BBC, sealed a BBC's standard writer discipline which pledge to "not accept income or alternative services or benefits from any individual, association or organisation with a view to endorsing or compelling such services and/or products in a array or array publicity or which could lead to doubts about a subjectivity or forthrightness of a series".
In a matter to The Independent, a BBC said: "All eccentric TV companies who furnish programmes for BBC World News have to sign strict agreements to safeguard programmes encounter a BBC's paper guidelines, together with avoiding any dispute of interest."
BBC World News attracts 78 million viewers a week, is accessible in some-more than 200 countries as good as reaches around 300 million households as good as some-more than 1.8 million hotel rooms. The channel's content, which includes advertising, is additionally accessible upon 57 journey ships, 42 airlines, 35 mobile phone networks as good as a array of major online platforms together with bbc.com/news.
The American-owned blurb operation channel CNBC has additionally started an hearing of "FBC as good as a blurb operation practices" as good as "withdrawn indefinitely" a programme a association produces, World Business. In a past dual years, FBC has done during slightest 10 programmes for CNBC's World Business featuring Mr Razak. In alternative e! ditions, a previous prime minister, Abdullah Badawi, appeared as good as comparison total from Iskandar Malaysia, Malaysia Airlines as good as palm oil association Sime Darby. In Mar this year, a channel showed Deforestation in Sarawak, which was syndicated to alternative broadcasters, together with US state broadcaster PBS. The programme featured Sarawak leader Taib Mahmud talking positively about a condition of a state's rainforests as good as highlighted a area's captivate to tourists.
Eckart Sager, a boss of FBC, is a former writer with CNN who, given fasten FBC, has privately conducted interviews with Mr Razak, as good as separately his mother Rosmah Mansor, for CNBC's World Business. Friedman, who is an American as good as lives in Rome, has additionally privately interviewed Razak! . FBC is additionally linked to an additional award-winning journalist, John Defterios, a horde of CNN uncover Marketplace Middle East, given 2007.
Defterios, a former organisation boss of FBC Media, final month conducted an disdainful talk for CNN with Mr Razak during his central revisit to London. During a interview, Defterios questioned a Prime Minister upon new mass street protests by democracy campaigners in Malaysia. "Some would contend you had 1,600 arrests of a little 20,000 protesters. Are you confident with a security reply to which particular round of protests, yourself?" he asked. Razak responded: "It was utterly mild, you know, because nonetheless they were taken in, they were expelled after eight hours as good as they were treated very well. There was no unjustified use of force."
CNN expelled a matter to contend it had "never had an paper attribute with FBC" as good as which FBC Media had not been concerned in environment up interviews. "FBC has expelled a open matter which John Defterios quiescent from a company," it said.
"While you conclude which John Defterios's attribute with FBC during his tenure with CNN could benefaction a appearance of an paper conflict, you have been reviewing ! a incide nt as good as have found no indication which CNN's paper standards were or have been in any approach compromised by which before relationship."
The movers as good as shakers during a TV company
Alan Friedman, authority as good as founder of FBC Group
The award-winning journalist, who complicated during Johns Hopkins University, New York University as good as a London School of Economics, describes himself as a "media entrepreneur". He has worked for a Financial Times, a International Herald Tribune as good as a Wall Street Journal. In FBC element he is described as "one of Europe's most reputable mercantile as good as political commentators". He is a author of books upon a Italian industrialist Gianni Agnelli, as good as upon America's arming of Iraq. Friedman was a senior manager writer of most of FBC's programmes for a BBC as good as has conducted a little of FBC's interviews, together with with Malaysia's Prime Minister Najib Razak.
Eckart Sager, boss as good as conduct of prolongation for FBC
German-born as good as educated in a US, Sager is a former comparison writer for CNN, formed in London. He formerly worked for CNN in New York, travelling a universe profiling leading blurb operation figures. He is a senior manager writer of most of FBC's documentaries as good as additionally "provides key strategic communications advice as good as support upon interest of FBC clients". Sager has additionally privately interviewed Mr Razak for FBC.
John Defterios, former organisation boss of FBC Media from 2000-2011
Since 2007, he has been a presenter of CNN International's Marketplace Middle East programme as good as is a publisher with 25 years' experience. He is a CNN headlines anchor as good as former Reuters bureau chief. In Jul this year he conducted an disdainful talk with Mr Razak for CNN during a Malaysian Prime Minister's revisit to London, CNN pronounced a talk did not in! volve FB C. Defte! rios qui escent from FBC in March, a association has told CNN.
The income trail
* Malaysian budget annals uncover which MYR28.35m (nearly 6m) was allocated to FBC Media (UK) for a "Global Strategic Communications Campaign" in 2009. A identical grant was done in 2008. FBC Media (UK) is a subsidiary of FBC Group Ltd
* Documents filed with a United States House of Representatives uncover which FBC Media (UK) hired a Washington lobbyists APCO Worldwide in 2008 for a role of "raising recognition of a stress of policies in Malaysia which have been pro-business as good as pro-investment as good as a stress of reform as good as anti-terrorism efforts in which country"
The palm oil industry's story of dubious claims
The Malaysian palm oil attention has a story of offending a authorities by making fake claims upon BBC World.
Three years ago, a Advertising Standards Authority (ASA) criticised a debate from a Malaysian Palm Oil Council (MPOC) for carrying "misleading" claims about a impact upon a environment. The promotion from a MPOC, which was not done by FBC, appeared upon BBC World in 2007 as good as showed a palm oil plantation interspersed with shots of a rainforest as good as wildlife. In a voiceover, it asserted which "its trees give hold up as good as help a universe to breathe, as good as give home to hundreds of class of flora as good as fauna. Malaysia palm oil: a present from nature, a present for life.! " The MP OC additionally claimed which palm oil had been "sustainably produced" given 1917.
A second advert showed a male using through a forest, cut with shots of a palm oil plantation as good as wildlife. The voiceover pronounced of a palm oil industry: "Its trees give hold up as good as help a universe breathe. Its fruit provides vitamins for a bodies as good as appetite for a daily lives." But a ASA upheld a censure from Friends of a Earth International as good as Friends of a Earth Europe which a advert was dubious upon a grounds w! hich muc h palm oil was produced in a approach which was not socially or environmentally sustainable. The advert was done before a Roundtable for Sustainable Palm Oil completed a corroboration complement for tolerable palm oil.
The ASA ruled which a advert "was expected to trick viewers as to a environmental benefits of palm oil plantations compared with local rainforest". It additionally pronounced viewers were misled "because there was not a accord which there was a net good to a environment from Malaysia's palm oil plantations".
In Jul this year, an additional debate from a MPOC was banned by a promotion watchdog in Belgium for once again claiming which a prolongation of palm oil is "sustainable". The Jury d'Ethique Publicitaire ruled which prolongation had impacts upon a environment as good as a debate was in crack of a environmental promotion code.
Ian Burrell, Martin Hickman
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We have been vital in an interesting duration where all corruption by UMNOputras as good as Sultans have been being expose to a world.
For this you contingency thank Najib as good as FLOM. What goes around comes around.The meeting Najib had called tonight was about this as good as how to cover their arse.
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