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Context of '1940 and After: Koch Industries Founder Becomes Influential Right-Wing Backer, Shapes Political Vision of Sons'

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Koch Industries logo.Koch Industries logo. [Source: Koch Industries / Wikipedia]Oil magnate Fred Koch co-founds Wood River Oil and Refining Company, later renamed Koch Industries. The firm will grow to become one of the largest energy conglomerates in the US, and Koch will become an influential backer of right-wing politics. Koch is a virulent anti-Communist who will be one of the first members of the John Birch Society (JBS—see March 10, 1961 and December 2011), a far-right organization that reflects his hatred of Communism (he believes both the Republican and Democratic parties are irretrievably infilitrated by Communists) and opposes almost every aspect of governance in general. Koch will write glowingly of Italian dictator Benito Mussolini’s murderous suppression of Communists during World War II. Both Koch and the JBS have little use for minorities; of African-Americans, Koch will write, “The colored man looms large in the Communist plan to take over America,” and he will say that government welfare programs were designed to attract large numbers of blacks to the cities, where they would foment “a vicious race war.” In 1963, using language that reporter Jane Mayer will later say “prefigures the Tea Party’s talk of a secret socialist plot,” Koch will warn that Communists would “infiltrate the highest offices of government in the US until the president is a Communist, unknown to the rest of us.” Koch’s two sons, David and Charles, will have their father’s political views deeply ingrained into them (see August 30, 2010). In 2007, David Koch will tell a reporter: “He was constantly speaking to us children about what was wrong with government.… It’s something I grew up with—a fundamental point of view that big government was bad, and imposition of government controls on our lives and economic fortunes was not good.” Gus diZerega, once a close friend of Charles’s, will later say that the brothers transfer their father’s hatred of Communism to the US government, which they will come to view as a tyranny. DiZerega will write that the Kochs, like many other hard-right conservatives, redefine “socialism” as almost any form of government which taxes citizens and regulates businesses. (Mayer 8/30/2010)

A Time magazine profile lambasts the racist, anti-Communist John Birch Society (JBS—see December 2011), in what is many Americans’ first exposure to the group. It delineates the organization’s penchant for secrecy, its domination by its “dictatorial” leader, Robert Welch, and its hardline battle against almost every element of the federal government as “agents of Communism.” Forty to 60 percent of the federal government is controlled by Communism, the JBS believes. Time calls the organization “a tiresome, comic-opera joke” that nonetheless has cells in 35 states and an ever-widening influence. In Wichita, Kansas, JBS student members are trained to inform their cell leaders of “Communist” influences they may detect in their classroom lectures, and the offending teacher is berated by parents. A Wichita businessman who wanted to give a donation to the University of Wichita decided not to donate after being hounded by local JBS members, who wanted the university to fire professors and remove selected books from its library. “My business would be wrecked,” the businessman explains, “if those people got on the phone and kept on yelling that I am a Communist because I give money to the school.” Nashville, Tennessee, JBS members organize community members to verbally attack neighbors whom they suspect of Communist affiliations. JBS’s current priority, Time writes, is to bring about the impeachment of Chief Justice Earl Warren. Welch, who obtained his wealth from his brother’s candymaking business, believes that Social Security and the federal income tax are all part of the “creeping socialism” that is taking over the federal government. He retired from the business in 1957 and founded the JBS shortly thereafter, naming it for a US Navy captain killed by Chinese Communist guerrillas after the end of World War II. Welch’s seminal tract, “The Politician,” accuses President Eisenhower and his brother Milton Eisenhower of being Communist plants, and accuses both men of treason against the nation. (Time 3/10/1961)

Mark Ames.Mark Ames. [Source: Guardian]CNBC’s Rick Santelli has become something of a superstar among conservative media pundits and others exasperated by the Obama economic bailouts, after engaging in a purportedly impromptu “rant” during an on-air broadcast (see February 19, 2009). Investigative reporters Mark Ames and Yasha Levine discover that Santelli’s rant may have been a pre-planned incident timed to coincide with the launch of a so-called “tea party movement” predicated on opposing the Obama administration and supporting conservative and Republican ideas and agendas. In the hours and days following Santelli’s appearance on CNBC, the authors write, “[a] nationwide ‘tea party’ grassroots Internet protest movement has sprung up seemingly spontaneously, all inspired by Santelli, with rallies planned today in cities from coast to coast to protest against Obama’s economic policies.”
Connections to the Koch Family - Ames and Levine write that Santelli’s CNBC “rant” was “a carefully-planned trigger for the anti-Obama campaign. In PR terms, his February 19th call for a ‘Chicago Tea Party’ was the launch event of a carefully organized and sophisticated PR campaign, one in which Santelli served as a frontman, using the CNBC airwaves for publicity, for the some of the craziest and sleaziest right-wing oligarch clans this country has ever produced.” Ames and Levine are referring to the Koch family, headed by Fred Koch (see 1940 and After), the billionaire co-founder of the extremist John Birch Society (see March 10, 1961 and December 2011) and whose sons are heavy donors to right-wing think tanks and advocacy groups such as the Cato Institute (see 1977-Present) and FreedomWorks (see 1984 and After). - On the air, Santelli said, “We’re thinking of having a Chicago tea party in July, all you capitalists who want to come down to Lake Michigan, I’m gonna start organizing.” Within minutes, Matt Drudge of the Drudge Report had posted headlines about the “tea party” rant on his Web site. Within hours, a new Web site,, had appeared, featuring a YouTube video of Santelli’s rant and calling itself the official home of the Chicago Tea Party. The domain name had been registered months before by right-wing media figure Zack Christenson (see August 2008), but had remained dormant until after Santelli spoke on CNBC. Ames and Levine note that Christenson bought the domain around the same time that Milt Rosenburg, the Chicago talk show host whom Christenson produces, began attempting to link then-presidential candidate Barack Obama with “left-wing terrorist” William Ayers (see August 2008). Ames and Levine write: “That Rosenberg’s producer owns the ‘’ site is already weird—but what’s even stranger is that he first bought the domain last August, right around the time of Rosenburg’s launch of the ‘Obama is a terrorist’ campaign. It’s as if they held this ‘Chicago tea party’ campaign in reserve, like a sleeper-site. Which is exactly what it was.”
The Sam Adams Alliance - The Web site, Ames and Levine report, is part of a larger network of conservative Web sites set up over the last few months under the auspices of the “Sam Adams Alliance” (SAA), an organization linked to the Koch family and to FreedomWorks, a public relations group funded by Koch and headed by former Republican House Majority Leader Dick Armey (see April 14, 2009). The SAA is a Chicago-area libertarian/conservative group named for Samuel Adams, who led the Boston Tea Party protest in 1773. (Ames and Levine 2/27/2009) In 2008, the New York Times described the SAA as having “started an ambitious project this year to encourage right-leaning activists and bloggers to get online and focus on local and state issues.” (Phillips 7/19/2008) - Another Web site,, went live on February 19 as well. That site is registered to Eric Odom, a Republican specializing in faux-grassroots PR campaigns sometimes called “astroturf” (see April 15, 2009). Odom has worked with Koch Industries, a large oil and natural gas corporation and the source of the Koch family fortune, in supporting offshore oil-drilling legislation. Odom was, until January 2009, the “new media coordinator” for the Sam Adams Alliance. Upon his departure, the SAA removed Odom’s name from its Web site. The SAA also removed any mention of Koch’s funding, or any other connections between Koch and the organization, from its site. Two of the SAA’s board members, Eric O’Keefe and Joseph Lehman, are tied both to Koch and to FreedomWorks.
FreedomWorks - In the hours after Santelli’s rant, FreedomWorks posted a large photo of Santelli on its Web site’s front page with the caption: “Are you with Rick? We are. Click here to learn more.”
Other Sites - In the hours after Santelli’s rant, other Web sites such as, promoting a tea party support group that purports to be a citizen-launched organization “created by a few friends who were outraged by the bailouts” and headed by “Evan and Duncan,” and numerous pro-tea party Facebook pages, were launched. is sponsoring a $27,000 prize for an “anti-bailout video competition.” Ames and Levine ask: “Who are Evan and Duncan? Do they even really exist?”
No Connections on the Surface - Ames and Levine note that the numerous Web sites and Facebook pages have remarkable similarities in language and appearance, “as if they were part of a multi-pronged advertising campaign planned out by a professional PR company. Yet, on the surface, they pretended to have no connection. The various sites set up their own Twitter feeds and Facebook pages dedicated to the Chicago Tea Party movement. And all of them linked to one another, using it as evidence that a decentralized, viral movement was already afoot. It wasn’t about partisanship; it was about real emotions coming straight from real people.”
Santelli and the Tea Party Organizers - Ames and Levine ask why Santelli, and CNBC, would “risk their credibility, such as it is, as journalists dispensing financial information in order to act as PR fronts for a partisan campaign.” Santelli’s contract with CNBC is about to expire, they note. Until the “tea party” rant, Santelli was an obscure financial commentator with few prospects. Now, though, he is a “hero” of the right. As another Chicago tea party organization, the Daily Bail, wrote on its site: “Rick, this message is to you. You are a true American hero and there are no words to describe what you did today except your own. Headquartered nearby, we will be helping the organization in whatever way possible.” Ames and Levine speculate that Santelli may have been brought into the fold by one of his CNBC colleagues, Lawrence Kudlow, who himself has strong connections to FreedomWorks. (Ames and Levine 2/27/2009) Steve Megremis of the Daily Bail will call Ames and Levine’s allegations about his Web site’s involvement “categorically untrue,” writing: “It’s unfortunate because I believe that the article did some great investigative work and then at the end they threw me under the bus for no apparent reason. Apparently, the authors just assumed we were part of this conspiracy because of my own personal excitement about the prospect of a mid-summer tea party.” Megremis will post a response on his site, but the response will soon disappear. (Barry Ritholtz 2/28/2009)
Playboy Removes Article - By March 2, Playboy will remove the Ames and Levine article from its Web site. No explanation is offered. The article will instead become available on a Web site called “The Exiled,” which bills itself as an “alternative” press outlet. (Jeffrey Feldman 3/2/2009)

Reporter Lee Fang of the liberal Center for American Progress writes an op-ed for the Boston Globe comparing the current political attacks against Democratic efforts to reform health care being coordinated by the Koch brothers (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, May 6, 2006, April 15, 2009, May 29, 2009, and November 2009) with the efforts of their father, Fred Koch (see 1940 and After), to label former President John F. Kennedy a traitor and a Communist tool. David Koch recently helped coordinate, from behind the scenes, a protest that compared health care reform to the Holocaust, and other protests that have turned violent. More systematically, he and his reclusive brother Charles have funded such conservative organizations as Americans for Prosperity (AFP—see Late 2004) and other front groups, none of which bear the Koch name. Fang writes: “Americans for Prosperity’s tactics are not new. Just as Koch inherited his oil business from his father, Americans for Prosperity borrows from the ultra-right group also founded in part by his dad, the John Birch Society” (see 1945 and After, March 10, 1961, 1963, August 4, 2008, and April 26, 2010). Fred Koch helped conceive the far-right, anti-Communist John Birch Society (JBS), which, Fang writes, “cloaked its pro-business, anti-civil rights agenda in the rhetoric of the Cold War.” The JBS labeled Kennedy a Communist-inspired traitor and advocated his impeachment (see November 1963), stood against taxation as another aspect of “creeping Communism” inside the federal government, and claimed that the civil rights movement was being directed by the Soviet Union (see April 13, 2009 and December 11, 2009). The JBS helped promote the 1964 presidential candidacy of Senator Barry Goldwater (R-AZ) and helped Republicans win key Congressional seats in 1966. AFP and the JBS are alike, Fang notes, in that they rarely acknowledge their funding from wealthy corporate magnates. Both portray themselves as grassroots organizations that are dedicated to promoting freedom. For a time, the JBS succeeded in aligning the interests of the very rich with the idea of anti-Communist patriotism. Similarly, AFP promotes the interests of the extremely wealthy, including the Koch brothers, as synonymous with patriotic opposition to health care reform, financial regulation, net neutrality, and the estate tax. All are labeled as “socialist,” a favorite JBS epithet. Fang concludes that “[w]ith his millions,” David Koch will have “contributed greatly to the obstruction of universal health care, the denial of climate change, and the derailment of much of President Obama’s domestic agenda. His dad would be pleased.” (Fang 12/6/2009)

Attorney Karl Crow, one of the leaders of the Themis project.Attorney Karl Crow, one of the leaders of the Themis project. [Source: Little Sis (.org)]Charles and David Koch, the oil billionaires who are behind the conservative tea party movement (see 1940 and After, 1977-Present, 1979-1980, 1981-2010, 1984 and After, 1997, Late 2004, Late 2004, October 2008, August 5, 2009, November 2009, July 3-4, 2010, August 30, 2010, September 2010, August 17, 2011 and October 4, 2011), begin to build a huge, nationwide database of conservative voters that they intend to use to drive conservative votes in elections, beginning with the 2012 Republican primaries and on to the November 2012 general presidential election. The database is nicknamed “Themis,” after the Greek goddess of divine law and order who imposes order on human affairs. According to The Guardian’s Ed Pilkington, “the Koch brothers are close to launching a nationwide database connecting millions of Americans who share their anti-government and libertarian views, a move that will further enhance the tycoons’ political influence and that could prove significant in next year’s presidential election.” Pilkington writes that Themis will bring together “the vast network of alliances” the brothers have formed over the last 20 years. (Vogel 10/10/2011; Pilkington 11/7/2011) Patrick Glennon of In These Times writes: “Email lists, phone numbers, and other contact information from disperse sources will merge into a comprehensive and streamlined political weapon. Purportedly, the database will also include extensive information relating to occupation and income levels, useful details for targeted fundraising initiatives.” (Vogel 10/10/2011) The database begins in April 2010, and is expected to be completed and functional by the end of 2011. Few details of the project are known; development leader Karl Crow, a Washington lawyer and longtime Koch advisor, refuses to speak about it, as do media representatives of Koch Industries. A member of a Koch affiliate organization who specializes in the political uses of new technology says in November 2011 that the project is almost ready to go live: “They are doing a lot of analysis and testing. Finally they’re getting Themis off the ground.” The project is intended to, Pilkington writes, “bring together information from a plethora of right-wing groups, tea party organizations, and conservative-leaning thinktanks. Each one has valuable data on their membership—including personal email addresses and phone numbers, as well as more general information useful to political campaign strategists such as occupation, income bracket, and so on. By pooling the information, the hope is to create a data resource that is far more potent than the sum of its parts. Themis will in effect become an electoral roll of right-wing America, allowing the Koch brothers to further enhance their power base in a way that is sympathetic to, but wholly independent of, the Republican Party.” The specialist tells Pilkington, “This will take time to fully realize, but it has the potential to become a very powerful tool in 2012 and beyond.” Themis is modeled in part on a project called Catalyst, a voter list that compiled and shared data about progressive groups and campaigns (see Late 2004 and After) and helped Democrats regain momentum after the 2004 defeat of presidential candidate John Kerry (D-MA). (Vogel 10/10/2011; Pilkington 11/7/2011; Glennon 11/8/2011) The 2008 Obama campaign used social media outreach techniques to augment Catalyst’s database. Themis apparently incorporates many of those social-media and other interactive features in its construction. (Lachkovic 12/19/2011) Josh Hendler, the former director of technology of the Democratic National Committee (DNC), tells Pilkington that Themis could do for the GOP what Catalyst helped do for the Democrats. “This increases the Koch brothers’ reach,” he says. “It will allow them to become even greater coordinators than they are already—with this resource they become a natural center of gravity for conservatives.” Mary Boyle of the political watchdog group Common Cause says of the reclusive brothers, “What makes them unique is that they are not just campaign contributors; they are a vast political network in their own right.” Themis will only deepen the Koch brothers’ control of American right-wing politics, Pilkington observes. Politico’s Kenneth Vogel writes that the Kochs intend to spend at least $200 million in 2012 on the Republican presidential campaign and other related activities. Pilkington writes: “Their potential to sway the electorate through the sheer scale of their spending has been greatly enhanced by Citizens United, last year’s controversial ruling by the US Supreme Court that opened the floodgates to corporate donations in political campaigns. The ruling allows companies to throw unlimited sums to back their chosen candidates, without having to disclose their spending. That makes 2012 the first Citizens United presidential election, and in turn offers rich pickings to the Koch brothers.” Themis will help the Kochs “micro-target” voters and potential fundraisers. Pilkington writes that it is reasonable to assume that Koch-funded lobbying organizations such as Americans for Prosperity and FreedomWorks are part of Themis, as are Koch-funded think tanks such as the Heritage Foundation. “Between them, they have tentacles that extend to millions of voters,” Pilkington writes. Liberal reporter and blogger Lee Fang says the impact of Themis and the Koch funding on the 2012 presidential campaign will be immense: “This will be the first major election where most of the data and the organizing will be done outside the party nexus. The Kochs have the potential to outspend and out-perform the Republican Party and even the successful Republican candidate.” (Vogel 10/10/2011; Pilkington 11/7/2011; Glennon 11/8/2011)

Liberal New York Times columnist Frank Rich writes an op-ed focusing on the billionaire Koch brothers (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, 1997, Late 2004, August 5, 2009, November 2009, July 3-4, 2010, August 30, 2010, and October 4, 2011), the oil magnates who are the driving force behind the tea party movement. Rich writes that “even those carrying the Kochs’ banner may not know who these brothers are.” Rich, using information from historian Kim Phillips-Fein’s book Invisible Hands, notes that the Kochs are the latest in a long line of behind-the-scenes corporate manipulators “who have financed the far right (see September 2010 and August 17, 2011) ever since the du Pont brothers spawned the American Liberty League in 1934 to bring down” the Roosevelt administration (see August 23, 1934 and After). “You can draw a straight line from the Liberty League’s crusade against the New Deal ‘socialism’ of Social Security, the Securities and Exchange Commission, and child labor laws to the John Birch Society-Barry Goldwater assault on [the Kennedy administration] and Medicare (see 1962 and November 1963) to the Koch-Murdoch-backed juggernaut against our ‘socialist’ president,” Rich writes. “Only the fat cats change—not their methods and not their pet bugaboos (taxes, corporate regulation, organized labor, and government ‘handouts’ to the poor, unemployed, ill, and elderly). Even the sources of their fortunes remain fairly constant. Koch Industries began with oil in the 1930s and now also spews an array of industrial products, from Dixie cups to Lycra, not unlike DuPont’s portfolio of paint and plastics. Sometimes the biological DNA persists as well. The Koch brothers’ father, Fred (see 1940 and After), was among the select group chosen to serve on the Birch Society’s top governing body. In a recorded 1963 speech that survives in a University of Michigan archive, he can be heard warning of ‘a takeover’ of America in which Communists would ‘infiltrate the highest offices of government in the US until the president is a Communist, unknown to the rest of us.’ That rant could be delivered as is at any tea party rally today.” Rich also focuses on FreedomWorks (see 1984 and After, May 16, 2008, February 16-17, 2009, February 19, 2009 and After, February 27, 2009, March 13, 2009 and After, April 2009 and After, April 14, 2009, April 15, 2009, June 26, 2009, Late July, 2009, August 5, 2009, August 6, 2009, August 6-7, 2009, August 10, 2009, August 14, 2009, August 19, 2009, August 24, 2010, September 2010, September 12, 2010 and August 17, 2011), one of the two “major sponsor[s]” of the tea party movement, along with Americans for Prosperity (AFP—see Late 2004, October 2008, January 2009 and After, February 16, 2009, February 16-17, 2009, February 17, 2009, February 19, 2009 and After, April 2009 and After, April 8, 2009, May 29, 2009, July 23, 2009, July 27, 2009, August 5, 2009, August 6, 2009, August 6, 2009, August 10, 2009, August 14, 2009, October 2, 2009, November 2009, February 15, 2010, April 15, 2010, July 3-4, 2010, August 24, 2010, August 30, 2010, September 20, 2010 and August 17, 2011). Both FreedomWorks and AFP are heavily funded by the Koch brothers. Rich writes: “Tea partiers may share the Kochs’ detestation of taxes, big government, and [President] Obama. But there’s a difference between mainstream conservatism and a fringe agenda that tilts completely toward big business, whether on Wall Street or in the Gulf of Mexico, while dismantling fundamental government safety nets designed to protect the unemployed, public health, workplace safety, and the subsistence of the elderly.” Rich writes that the Koch brothers’ agenda is “inexorably… morphing into the GOP agenda,” and points to Republican luminaries such as incoming House Speaker John Boehner (R-MO) and tea party candidates such as Rand Paul (see March 27, 2010, May 17, 2010, October 25, 2010 and After, October 26, 2010 and November 10, 2010), Sharron Angle (see January 2010, Mid-May, 2010, Mid-June 2010, June 16, 2010 and September 18, 2010), and Joe Miller (see July 19, 2010, July 23, 2010, October 17, 2010, October 17, 2010 and October 18, 2010). “The Koch brothers must be laughing all the way to the bank knowing that working Americans are aiding and abetting their selfish interests,” Rich concludes. (Rich 8/28/2010)

Charles and David Koch.Charles and David Koch. [Source: PRWatch (.org)]The New Yorker publishes a lengthy analysis of the Koch (pronounced “coke”) financial empire, and its long-time financial support for right-wing causes (see 1981-2010). The article, written by investigative reporter Jane Mayer, shows that Koch Industries, led by brothers David and Charles Koch, has donated over $250 million to Republican and conservative politicians and organizations since the mid-1990s. The Koch brothers are also well-known philanthropists, having given millions to New York City’s Metropolitan Opera, $100 million to the Lincoln Center’s New York State Theatre building, $40 million to the Sloan-Kettering Cancer Center, $20 million to the American Museum of Natural History, and $10 million to the Metropolitan Museum of Art.
Second-Largest Private Industry in US - Koch Industries, a $100 billion conglomerate, garners most of its profits from oil refineries and associated interests; it owns the firms that manufacture Brawny paper towels, Dixie cups, Georgia-Pacific lumber and paper products, Stainmaster carpet, and Lycra fabric. Koch Industries is the second largest private company in the US after Cargill, and taken together, the Koch brothers’ fortune of some $35 billion places them just behind Microsoft’s Bill Gates and Wall Street financier Warren Buffett as the nation’s richest people.
Longtime Libertarians - Personally, the Koch brothers espouse a libertarian philosophy—drastic reductions in corporate and personal taxes, huge cuts in government expenditures on social services, and widespread deregulation of industry, particularly environmental. Koch Industries was recently listed in the top 10 of US air polluters, and has for years funded organizations that oppose climate change, giving even more than ExxonMobil to organizations, foundations, and think tanks that work to derail or overturn climate change legislation. Koch funds so many different organizations that oppose various initiatives of the Obama administration that Washington insiders call the Koch ideological network the “Kochtopus.” While the Koch brothers have protested being characterized as major supporters of the right-wing agenda—David Koch has complained that the “radical press” is intent on making him and his brother into “whipping boys”—Charles Lewis, the founder of the Center for Public Integrity, says: “The Kochs are on a whole different level. There’s no one else who has spent this much money. The sheer dimension of it is what sets them apart. They have a pattern of lawbreaking, political manipulation, and obfuscation. I’ve been in Washington since Watergate, and I’ve never seen anything like it. They are the Standard Oil of our times.” The Kochs have embraced the pure free-market ideology of economist Friedrich von Hayek, who argued that any form of centralized government would lead to totalitarianism and that only complete, unregulated capitalism could ensure freedom. Many “tea party” supporters, such as Fox News host Glenn Beck, have openly embraced von Hayek’s ideals.
Inculcated Ideals of Anti-Communist Father - Both brothers are steeped in the anti-Communist, anti-government, minority-disparaging views of their father, Koch Industries co-founder Fred Koch (see 1940 and After).
Using the 'Tea Parties' - Conservative economist Bruce Bartlett, who has worked at a Koch-funded think tank, says that the Kochs are playing on the anti-government fervor of the “tea parties” to further their pro-business, libertarian agenda. “The problem with the whole libertarian movement is that it’s been all chiefs and no Indians,” Bartlett says. “There haven’t been any actual people, like voters, who give a crap about it. So the problem for the Kochs has been trying to create a movement.” With the emergence of the “tea parties,” Bartlett says, “everyone suddenly sees that for the first time there are Indians out there—people who can provide real ideological power. [The Kochs are] trying to shape and control and channel the populist uprising into their own policies.” A Republican campaign consultant who has worked for the Kochs says of the tea party movement: “The Koch brothers gave the money that founded it. It’s like they put the seeds in the ground. Then the rainstorm comes, and the frogs come out of the mud—and they’re our candidates!” The consultant says that the Kochs keep an extremely low profile, in part to avoid accusations that they are funding an “astroturf” movement (see April 15, 2009). A former Koch adviser says: “They’re smart. This right-wing, redneck stuff works for them. They see this as a way to get things done without getting dirty themselves.” Democratic political strategist Rob Stein, who has studied the conservative movement’s finances, says the Kochs are “at the epicenter of the anti-Obama movement. But it’s not just about Obama. They would have done the same to Hillary Clinton. They did the same with Bill Clinton. They are out to destroy progressivism.” Since a 2009 rally attended by David Koch (see November 2009), the brothers have all but explicitly endorsed the tea party movement, with David Koch praising it for demonstrating the “powerful visceral hostility in the body politic against the massive increase in government power, the massive efforts to socialize this country.” Echoing the sentiments of many tea party leaders, Charles Koch said in a newsletter sent out to Koch Industry employees that President Obama is comparable to Venezuelan strongman Hugo Chavez.
Strategy - Charles Koch told a reporter that “[t]o bring about social change” requires “a strategy” that is “vertically and horizontally integrated,” spanning “from idea creation to policy development to education to grassroots organizations to lobbying to litigation to political action.… We have a radical philosophy.” The Kochs launched their first “think tank,” the libertarian Cato Institute, in 1977 (see 1977-Present), which has been effective in promoting corporate tax cuts, deregulation, cuts in social spending, and in opposing governmental initiatives to combat climate change. Other Koch-funded institutes such as the Heritage Foundation and the Independent Women’s Forum have also publicly opposed efforts to combat climate change. History professor Naomi Oreskes, the author of a book, Merchants of Doubt, that chronicles attempts by American industries to manipulate public opinion on science, says that the Kochs have a vested interest in keeping the government from addressing climate change. “If the answer is to phase out fossil fuels,” she says, “a different group of people are going to be making money, so we shouldn’t be surprised that they’re fighting tooth and nail.” David Koch has said that though he doesn’t believe that any global warming effects have been caused by human activities, if indeed the globe is warming, it will benefit society by lengthening growing seasons in the Northern Hemisphere. Several years after founding Cato, the Kochs provided millions in funding to the Mercatus Center at George Mason University in Arlington, Virginia, which Stein describes as “ground zero for deregulation policy in Washington.” Mercatus is headed by Richard Fink, a Koch Industries lobbyist and president of several Koch-funded foundations. Mayer describes Fink as the chief political lieutenant of the Koch brothers. Mercatus was quite successful at having the Bush administration adopt a number of its deregulatory strategies, particularly environmental deregulation. Like Cato, critics of Mercatus accuse it of serving the brothers’ corporate needs while hiding behind the facade of a nonpartisan academic organization. “Ideas don’t happen on their own,” says Matt Kibbe, the president of FreedomWorks, a tea party advocacy group heavily funded by the Kochs (see April 14, 2009). “Throughout history, ideas need patrons.” FreedomWorks is one of many citizen activism groups founded and/or funded by the Kochs, usually masquerading as “grassroots” organizations started by “ordinary citizens” (see 1984 and After, 1997, and Late 2004).
Disrupting the Obama Administration - Since well before the 2008 presidential election, the Koch brothers have been involved in full-throated efforts to derail any policies or initiatives that would be launched by a Democratic president. In January 2008, Charles Koch wrote in the industry newsletter that America was on the verge of “the greatest loss of liberty and prosperity since the 1930s.” The Kochs have used their “astroturf” advocacy group, Americans for Prosperity (AFP), to great effect against the Obama administration, launching its efforts even before the November 2008 election (see October 2008 and January 2009 and After). Conservative activist Grover Norquist says that AFP’s August 2009 anti-health care rallies were instrumental in undermining Obama’s policy initiatives. Norquist says the rallies “discouraged deal-makers,” Republicans who otherwise might have considered cooperating with Obama and Congressional Democrats, and affected corporate donors to Washington lobbyists, steering millions into the hands of Republican lobbyists. (Mayer 8/30/2010)

Mother Jones columnist Kevin Drum compares the “tea party” movement to earlier organizations, each formed, he writes, to oppose Democratic presidencies. “[T]oo many observers mistakenly react to the tea party as if it’s brand new, an organic and spontaneous response to something unique in the current political climate,” he writes. “But it’s not. It’s not a response to the recession or to health care reform or to some kind of spectacular new liberal overreach. It’s what happens whenever a Democrat takes over the White House. When FDR was in office in the 1930s, conservative zealotry coalesced in the Liberty League (see August 23, 1934 and After). When JFK won the presidency in the ‘60s, the John Birch Society flourished (see November 1963). When Bill Clinton ended the Reagan Revolution in the ‘90s, talk radio erupted with the conspiracy theories of the Arkansas Project. And today, with Barack Obama in the Oval Office, it’s the tea party’s turn.” While differences between the various groups are substantive, Drum writes, the similarities are overwhelming. Drum notes that industrialist Fred Koch, an early backer of the Birchers (see 1940 and After), gave way to his sons, David and Charles Koch, who helped launch the organization that would become FreedomWorks and Americans for Prosperity, both of which are major funders and organizers of the tea party movement (see 1979-1980 and 1984 and After). Tea partiers rely on a 50-year-old radical reinterpretation of the Constitution, W. Cleon Skousen’s The 5000 Year Leap; Skousen’s anti-Communist polemics were popular with the Birchers. And Robert Welch, the founder of the John Birch Society (JBS—see March 10, 1961 and December 2011), believed that the 17th Amendment, which affirms the direct election of US senators, was what Drum calls “a poisonous concentration of power in the federal government.” Tea partiers and Fox News hosts hawk this same theory today (see October 16, 2009, April 8, 2010, and June 11, 2010). Drum writes that, far from being motivated by personal economic hardship (tea party supporters tend to be more affluent and less affected by the economic downturn than the average American—see April 14, 2010) or even because of a dislike of President Obama because of his race, the tea party exists because “[e]ver since the 1930s, something very much like the tea party movement has fluoresced every time a Democrat wins the presidency, and the nature of the fluorescence always follows many of the same broad contours: a reverence for the Constitution, a supposedly spontaneous uprising of formerly nonpolitical middle-class activists, a preoccupation with socialism and the expanding tyranny of big government, a bitterness toward an underclass viewed as unwilling to work, and a weakness for outlandish conspiracy theories.”
Constitutional 'Purity' - One similarity is the focus of each group on what they term the “purity” or “sanctity” of the US Constitution, even as they apply their sometimes-radical reinterpretations of constitutional mandates. “The Liberty Leaguers… spoke of it with ‘worshipful intensity,’” Drum writes. “The John Birch Society—which is enjoying a renaissance of sorts today (see July 22, 2007, August 4, 2008, October 10, 2008, April 13, 2009, April 19, 2010, and August 24, 2010)—says of itself, ‘From its earliest days the John Birch Society has emphasized the importance of the Constitution for securing our freedom.’ And… study groups dedicated to the Constitution have mushroomed among tea partiers” (see May 2010).
Fear of 'Creeping Socialism' and Tyranny - Drum writes: “Other shared tropes include a fear of ‘losing the country we grew up in,’ an obsession with ‘parasites’ who are leeching off of hardworking Americans, and—even though they’ve always received copious assistance from business interests and political operatives—a myth that the movement is composed entirely of fed-up grassroots amateurs” (see 1984 and After, Late 2004, January 2009 and After, February 17, 2009, February 19, 2009 and After, March 13, 2009 and After, April 14, 2009, April 15, 2009, May 29, 2009, July 27, 2009, August 4, 2009, August 5, 2009, July 3-4, 2010, and August 30, 2010). Above all, though, is the recurring theme of “creeping socialism and a federal government that’s destroying our freedoms.” The American Liberty League fought to stop the Roosevelt administration from establishing Social Security, the Works Progress Administration (WPA), and what Drum calls an “alphabet soup of new regulatory agencies.” In the 1960s, the John Birch Society (JBS) felt the government was being overrun by Communism and “collectivism.” Drum notes that JBS founder Robert Welch’s mantra, “Less government and more responsibility,” echoes central tenets of tea party beliefs. In the 1990s, then-Representative Newt Gingrich (R-GA) became House Speaker in large part because of his opposition to the Clinton administration and his leadership in the right’s battle to defund federal social-net programs. Today, tea partiers echo the JBS in their insistence that Obama is a closet Marxist or socialist, and echo fears from earlier groups that Obama, the Democrat, intends to turn American democracy into a tyranny.
Conspiracy Theories - Drum echoes conservative writer Jonathan Kay by noting the tea partiers’ “insatiable appetite for conspiracy theories” (see February 4-8, 2010). Welch argued that the federal government was bowing to Communist manipulation by fluoridating the water supply (see 1945 and After), but more importantly, promoted the idea that a mysterious group of “insiders” had been running the world since at least 1776, when the Illuminati took over most European governments. The “insiders” continued their influence, Welch avowed, through the years, taking over France after the French Revolution, Russia and other nations after the advent of Communism, and continued to exercise control through such organs as the United Nations, the Council on Foreign Relations, and the Trilateral Commission. The same groups are at the center of many conspiracy theories embraced by numerous tea partiers. Drum points out the fondness of the “anti-Clinton zealots” for their “colorful and ever-growing bestiary of shadowy plots,” most surrounding their belief that Clinton was a rapist, a murderer, and a drug peddler. Similar conspiracy theories were promulgated by the JBS about John Kennedy. “Today’s conspiracy theories are different in detail but no less wacky—and no less widespread,” Drum writes. The “birther” conspiracy theory, which holds that Obama is not a natural-born citizen, is quite popular with tea party supporters, and many more believe that Obama intends to place conservatives such as themselves in internment camps, a theory peddled by the JBS in the early 1960s. And many believe that ACORN (the Association of Community Organizations for Reform Now), the now-defunct community service organization, somehow took control of the Democratic Party, destroyed banks by forcing them to make loans to indigent minorities, crashed the economy, and installed Obama into power.
Effectiveness Improving over Time - Drum writes that each iteration of this right-wing phenomenon is more successful than the last. The Liberty League made no impact whatsoever on President Roosevelt’s 1936 re-election attempt. In 1964, the JBS succeeded in helping right-wing libertarian candidate Barry Goldwater (R-AZ) win the Republican presidential nomination. In the 1990s, Gingrich rode the wave of far-right activism to become speaker of the House, and the activism culminated in the impeachment of President Clinton and the election of President George W. Bush. Drum predicts that the latest wave, the tea party movement, will for all intents and purposes take over the Republican Party. In each iteration, moderate Republicans resisted the wave of right-wing change, but, Drum believes, not enough moderate Republicans exist in any position of power to resist the tea party transformation. The GOP has been shifting ever rightward since the 1970s, Drum notes, and the tea party movement has profited from a transformed media environment, where it can present its ideology almost nonstop on Fox News and rely on social media such as Facebook to connect with new recruits. Drum calls the paradigm shift “the mainstreaming of extremism.” In 1961, Time magazine disparaged the JBS as “tiresome” (see March 10, 1961); in 2009, it hailed Fox News personality Glenn Beck as “gifted.” Moderates have virtually no chance in today’s environment of pushing back against the tea party’s rightward surge. “Unlike the Birchers, or even the Clinton conspiracy theorists, the tea partiers aren’t a fringe part of the conservative movement,” Drum writes. “They are the conservative movement.” Drum believes that even with all the tea party’s current success, it will eventually burn itself out, “while its broader identity becomes subsumed by a Republican Party that’s been headed down the path of ever less-tolerant conservatism for decades. In that sense, the tea party movement is merely an unusually flamboyant symptom of an illness that’s been breeding for a long time.” (Drum 9/2010)

John Birch Society logo.John Birch Society logo. [Source: John Birch Society]John F. McManus, the head of the far-right, anti-Communist John Birch Society (JBS), releases a booklet through the organization entitled “Reality vs. Myth” that attempts to, in the words of the JBS, “set the record straight” about what the organization is and is not. According to McManus, the JBS has never held anti-Semitic or racist views, or tolerated such within its organization. All such assertions come from “enemies” of the organization, often from persons or organizations with Communist affiliations (see March 10, 1961 and 1963), he writes. (McManus 2011)
History of Anti-Communism - The organization was founded in 1958 by candy magnate Robert Welch, a former Massachusetts Republican Party official who began railing about what he considered the “pervasive” influence of Communism in all aspects of American society, particularly in the federal government. Liberals are inherently opposed to freedom and democracy, Welch argued, because liberals are in favor of collectivism/socialism, and therefore are witting or unwitting traitors to the individualist tenets that underlie the US Constitution. The JBS became a vocal opponent of the United Nations, alleging as early as 1959 that the UN intended to establish a “New World Order” (NWO) or “one-world government” (see September 11, 1990). The JBS has also portrayed itself as a fundamentally Christian organization, and views Communism and other non-American forms of government as inherently “godless.” Since the end of World War II, the organization has asserted, the US government has been actively attempting to implement “godless Communism” in place of a Constitutional democracy, including a 1958 claim by Welch that then-President Eisenhower was “a dedicated conscious agent of the communist conspiracy.” Some “Bircher” officials have touted the NWO as being rooted in the alleged Illuminati Freemason conspiracy. In 1964, the JBS enthusiastically supported the presidential candidacy of Senator Barry Goldwater (R-AZ), though a large number of members supported Eisenhower’s vice-president, Richard Nixon (R-CA) over Goldwater. The organization opposed John F. Kennedy (D-MA), accusing him of being a traitor and a Communist dupe (see November 1963), accusations it had also leveled against Eisenhower. After Goldwater’s defeat, Welch attempted to land the segregationist governor of Alabama, George Wallace (D-AL), as a standardbearer for the JBS. (Political Research Associates 2010) McManus insists that the JBS’s overarching loyalty is to the Christian Bible, the US Constitution and the Declaration of Independence. ” Our organization was created to uphold the truths in the Declaration and the limitations upon government in the Constitution,” he writes. “Not alone in such an endeavor, we welcome all who treasure what our nation’s Founders produced.” (McManus 2011)
Less Overt Racist, Anti-Semitic Stances - During the Kennedy and Johnson administrations, the JBS painted the civil rights movement as a Communist conspiracy, accusing “ignorant” and “uneducated” African-Americans of either being witting or unwitting dupes of a Communist conspiracy against America. It launched a powerful and well-organized assault on the civil rights movement, calling it a “fraud” and labeling it the “Negro Revolutionary Movement.” Some JBS publications and officials also asserted that the nation’s financial system was controlled largely by Jews with little if any loyalty to the US, and in some instances actively working to undermine and destabilize America’s economy. Such assertions led many to characterize the JBS as a racist and anti-Semitic organization, characterizations that the organization has always disputed. It has touted its very small number of African-American and Jewish members as proof of its claims not to be institutionally racist or anti-Semitic. In 2010, the liberal Political Research Associates (PRA) wrote: “The JBS… discouraged overt displays of racism, while it promoted policies that had the effect of racist oppression by its opposition to the Civil Rights movement. The degree of political racism expressed by the JBS was not ‘extremist’ but similar to that of many mainstream Republican and Democratic elected officials at the time. This level of mainstream racism should not be dismissed lightly, as it was often crude and sometimes violent, treating Black people in particular as second-class citizens, most of whom had limited intelligence and little ambition. In [one JBS publication], Martin Luther King, Jr. is portrayed as an agent of a massive communist conspiracy to agitate among otherwise happy Negroes to foment revolution, or at least promote demands for more collectivist federal government intrusion.” PRA also went on to note that one of its founders, Revilo P. Oliver, was forced to resign from the JBS after making anti-Semitic and racist comments at a 1996 JBS rally. And, the PRA wrote, “When crude antisemitism was detected in JBS members, their membership was revoked[,]” though the organization still held that anti-American Jews were attempting to do damage to the nation’s economy. “At its core, however, the Birch view of the conspiracy does not reveal it to be controlled or significantly influenced by Jews in general, or a secret group of conniving Jews, nor is their evidence of a hidden agenda within the Society to promote suspicion of Jews. The Society always struggled against what it saw as objectionable forms of prejudice against Jews, but it can still be criticized for having continuously promoted mild antisemitic stereotyping. Nevertheless, the JBS was closer to mainstream stereotyping and bigotry than the naked race hate and genocidal antisemitism of neonazi or KKK groups. In a sense, the Birch society pioneered the encoding of implicit cultural forms of ethnocentric White racism and Christian nationalist antisemitism rather than relying on the White supremacist biological determinism and open loathing of Jews that had typified the old right prior to WWII. Throughout its existence, however, the Society has promoted open homophobia and sexism. The Society’s anti-communism and states rights libertarianism was based on sincere principles, but it clearly served as a cover for organizing by segregationists and White supremacists. How much of this was conscious, and how much unconscious, is difficult to determine.” (Political Research Associates 2010) McManus calls attempts to point out the JBS’s history of implicit racism and anti-Semitism as deliberate, dishonest attempts to “stigmatize” the group, usually by persons and organizations who are working to implement a one-world government and see the JBS as a roadblock to that goal. “There was no evidence that the Society was racist, neo-Nazi, anti-Semitic, or subversive of good order,” McManus claims. “But that didn’t stop many from making such charges.… There were some attempts to defend JBS against the flood of vicious characterizations but these were overwhelmed by widespread and undeserved nastiness. No private organization in our nation’s history had ever been treated so unfairly.” He calls efforts to show the JBS as racist “vicious” and false. “If truth were told,” he writes, “the John Birch Society should be congratulated nationally for its important work in diffusing racial animosities.” (McManus 2011) Many prominent white supremacist leaders used their membership in the JBS to help promote their more overtly racist organizations (see 1970-1974 and 1973). Former Ku Klux Klan leader Johnny Lee Clary has said the JBS “is just a political version of the KKK, without the name of the KKK. They center on the political ideas of the Klan and are not as vocal in public on the ideas of the racial superiority, but they attract the same people and say the same things behind closed doors.… They are racist, and full of hate and are officially listed as a hate group with several civil rights organizations throughout the USA” (see April 13, 2009). Among other non-white leaders, the JBS has labeled South Africa’s Nelson Mandela as a “Communist tyrant” (see December 11, 2009).
Reframing Itself - In the late 1970s, the JBS saw its influence waning as more modern organizations comprising what some have called the “New Right” came to the fore. In the 1980s, the JBS lost even more influence after attacking Reagan administration policies. It managed to revive itself by toning down its anti-Communist rhetoric and emphasizing its warnings about the New World Order and positioning itself as a long-time advocate of right-wing, muscularly patriotic popularism. Author and journalist Andrew Reinbach notes that the JBS provided an ideological “seed bank” for many of the tenets currently embraced by the various “tea party” organizations on the right (see February 4-8, 2010 and February 15, 2010), an assertion echoed by conservative journalist Matthew Boyle. (Reinbach 9/12/2011; Boyle 11/29/2011) McManus credits the JBS with helping bring about the impeachment of then-President Clinton, stopping the establishment of a free-trade entity in the Western Hemisphere, and putting an end to what it calls “the drive to a sovereignty-compromising North American Union.” McManus says JBS efforts to “educate” the world about the UN has prevented that organization “from becoming the tyrannical world government intended by its founders.” He writes that the JBS successfully thwarted the federal government’s alleged plans to federalize all American law enforcement, and credits the JBS’s black membership with preventing wholesale rioting and insurrection during the Civil Rights Era. He touts the JBS as being one of the primary organizations that blocked the passage of the Equal Rights Amendment. And he credits the JBS with being among the first organizations to warn about what it calls the dangers of illegal immigration. He touts the support of, among others, presidential candidate Ron Paul (R-TX—see 1978-1996 and July 22, 2007) and conservative commentator Pat Buchanan (see June 12, 2009, June 20, 2009, July 16, 2009, and October 18, 2011 and After) as validating the organization’s ideology and positions, and notes that in recent years, the JBS was an official sponsor of the Conservative Political Action Conference (see April 19, 2010 and February 9-11, 2012). And he claims that attempts to paint tea party organizations as far-right, racist, or homophobic are similar to the efforts by Communists and NWO conspiratists to destroy the Society. He concludes by writing to prospective members: “Don’t allow yourself to be influenced by the false image created by the Society’s enemies. Our country is under attack and The John Birch Society offers a workable plan to combat it.” (McManus 2011)

The Republican presidential primaries are being largely controlled, at least from a financial standpoint, by a very few extraordinarily wealthy individuals, according to research provided by former Treasury Secretary Robert Reich and the news organization ProPublica. In January 2012, the campaign of frontrunner Rick Santorum (R-PA) was almost entirely funded by billionaires William Dore and multi-millionaire Foster Friess (see February 16-17, 2012), who between them supplied over three-quarters of the $2.1 million donated to Santorum’s “super PAC” “Red White and Blue Fund.” Dore is the president of a Louisiana energy corporation and Friess is a fund manager in Wyoming. Of the $11 million raised by the super PAC supporting Newt Gingrich (R-GA), $10 million came from Sheldon Adelson and his wife, Miriam. Adelson runs a casino ownership group in Las Vegas. Most of the rest of Gingrich’s funding came from Texas billionaire Harold Simmons. PayPal co-founder Peter Thiel provided $1.7 million of the $2.4 million raised in January by the super PAC for Ron Paul (R-TX). As for Mitt Romney (R-MA), himself a multi-millionaire, his super PAC “Restore Our Future” raised $6.6 million in January. Almost all of it came from 40 donors, including hedge fund billionaires Bruce Kovner, Julian Robertson (the largest donor at $1.25 million), and David Tepper, hotel owners J.W. Marriott and Richard Marriott, and Hewlett-Packard CEO Meg Whitman. The lobbying firm FreedomWorks (see 1984 and After, May 16, 2008, February 16-17, 2009, February 19, 2009 and After, February 27, 2009, March 13, 2009 and After, April 2009 and After, April 14, 2009, April 15, 2009, June 26, 2009, Late July, 2009, August 5, 2009, August 6, 2009, August 6-7, 2009, August 10, 2009, August 14, 2009, August 19, 2009, August 24, 2010, September 2010, September 12, 2010 and August 17, 2011) has contributed over $1.4 million to various Republican candidates. Reich writes, “Whoever emerges as the GOP standard-bearer will be deeply indebted to a handful of people, each of whom will expect a good return on their investment.” Reich goes on to cite American Crossroads’s “super PAC” Crossroads GPS, founded by Republican political consultant Karl Rove, and its lineup of corporate moguls contributing hundreds of millions of dollars. The lineup of Crossroads supporters includes Charles and David Koch (see 1940 and After, 1977-Present, 1979-1980, 1981-2010, 1984 and After, 1997, Late 2004, Late 2004, October 2008, August 5, 2009, November 2009, July 3-4, 2010, August 30, 2010, September 2010, August 17, 2011, April 2010 and After and October 4, 2011), and Harold Simmons, owner of Contran Corporation, who has contributed $10 million to the organization. Reich says there is no legal way to know exactly how much the Kochs and their fellows have contributed: “The public will never know who or what corporation gave what because, under IRS regulations, such nonprofit ‘social welfare organizations’ aren’t required to disclose the names of those who contributed to them.” The previous limit of $5,000 per year per individual was erased by the 2010 Supreme Court Citizens United v. Federal Election Commission decision, a decision Reich calls “grotesque.” Reich writes: “In a sense, Santorum, Gingrich, Paul, and Romney are the fronts. Dore et al. are the real investors.… Now, the limits are gone. And this comes precisely at a time when an almost unprecedented share of the nation’s income and wealth is accumulating at the top. Never before in the history of our Republic have so few spent so much to influence the votes of so many.” (Thompson 2/2/2012; Reich 2/21/2012; Shaw 2/21/2012) President Obama’s super PAC, “Priorities USA Action,” has received $2 million from Hollywood mogul Jeffrey Katzenberg and another $1 million from the Service Employees International Union’s Committee on Political Education (SEIU COPE). However, Priorities USA has raised relatively paltry sums in comparison to the monies raised by the Republican super PACs, according to a Reuters report. Obama and his re-election campaign had originally distanced themselves from the super PAC operating in their name, in part because they disapprove of the Citizens United decision and the influence of super PACs in electoral politics. Since the Obama campaign officially endorsed the organization, donations have risen. Obama campaign advisor David Axelrod says that Obama “believes that this is an unhealthy development in our political process, but it is a reality of the rules as they stand. This was not a quick decision, but he also feels a responsibility to win this election. There’s a lot hanging on this beyond him.” By the end of January, Priorities USA had raised $4.2 million. In contrast, Romney’s “Restore Our Future” had raised $36.8 million by the end of last month. (Mason 2/2012; Shaw 2/21/2012) Partly in response to reports of billionaires’ influence on the 2012 elections, comedian Bill Maher will announce his donation of $1 million to the Obama super PAC. Maher will tell an audience that an Obama victory over any of the Republican contenders is “worth a million dollars” and will describe the donation as “the wisest investment I think I could make.” (Mason 2/24/2012) Friess is often described in the press as a “billionaire,” but both Friess and Forbes magazine say that appellation is inaccurate. (Kilachand 2/8/2012)

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