cannabisnews.com: Advertising Executives Charged with Cheating U.S. Advertising Executives Charged with Cheating U.S. Posted by CN Staff on January 06, 2004 at 21:55:22 PT By Larry Neumeister Source: Associated Press New York -- A current and a former executive at the Ogilvy & Mather advertising agency were charged Tuesday with conspiracy for allegedly overbilling the U.S. government for a campaign to reduce the illegal drug trade. Thomas Early, the agency's director of finance, and Shona Seifert, who formerly directed Ogilvy's $684-million contract with the government, were accused in U.S. District Court of directing employees to exaggerate their work on the project when they filled out time sheets. They also allegedly caused the company to submit false vouchers to support the inflated labour costs, according to the indictment. The overbilling occurred as the agency worked on a national media campaign for the Office of the National Drug Control Policy, a branch of the executive office of the U.S. president, the government said. Ogilvy was awarded a contract in December 1998 to create a print and broadcast campaign to discourage drug use among American young people by highlighting the dangers of illegal drugs. The campaign continued until last week. According to the indictment, from May 1999 through April 2000, Early and Seifert engineered "an extensive scheme to defraud the United States government by falsely and fraudulently inflating the labour costs." Among other allegations, they are said to have directed employees to lie about their working hours after a 1999 analysis showed Ogilvy & Mather was going to get $3 million less than it had expected for its first year of work on the contract. A lawyer for Early said he expects to be "completely vindicated." Seifert, now president of TBWA/Chiat/Day in New York, said: "Neither with respect to the indictment announced by the U.S. attorney's office nor at any other time in my life have I ever committed any criminal misdeed of any nature." Ogilvy said it was unprepared for complex federal recordkeeping rules when it won the contract but changed its procedures when it realized it was not meeting the government's requirements. The agency said it stopped billing the government in the summer of 2000 until its recordkeeping system was changed, billing missteps were disclosed and the government was overcompensated in a civil settlement. After its new system was certified by outside and government auditors, Ogilvy "instituted the most rigorous accounting compliance program in our industry," the agency said. It also noted that it won the contract again in 2002, and stated that if Early and Seifert did commit crimes, "their behaviour was inconsistent with the high standards the company promotes and maintains." Complete Title: Advertising Executives Charged with Cheating U.S. in $684M Anti-Drug CampaignNewshawk: puff_tuffSource: Associated Press Author: Larry NeumeisterPublished: Tuesday, January 6, 2004Copyright: 2004 The Associated Press Related Articles:Senate Bill Would Strip Ogilvy of Drug Accounthttp://cannabisnews.com/news/thread17816.shtmlCongress Recommends $145 M. For Drug Officehttp://cannabisnews.com/news/thread17789.shtmlSenators Join Critics Of ONDCP Program http://cannabisnews.com/news/thread17774.shtml Home Comment Email Register Recent Comments Help Comment #8 posted by FoM on January 07, 2004 at 11:24:20 PT ryno35 We had to purchase the local channels to get PBS on Direct TV. We don't usually watch them because they really aren't local but we wanted to get PBS for some of their special shows. [ Post Comment ] Comment #7 posted by Trekkie on January 07, 2004 at 08:08:03 PT "Just tell them you were getting high" taglin that they use in the new barrage of propogan- I mean commercials, should now be "Just tell them you were working for the Government." [ Post Comment ] Comment #6 posted by kaptinemo on January 07, 2004 at 07:51:13 PT: Isn't it funny? For literally decades, the Reps have dragged the Dems over the coals for being profligate spenders.Yet Klinton, for all his numerous *pecados majores*, did manage to balance the budget. And as soon as the Reps get in the door, the lever on the hog trough gets jammed in the wide open position and the money just gushes down to the waiting maws of already disgustingly corpulent corporate porkers.So, you'd think the "party of fiscal responsibility" might be just a little bit embarrassed when a report comes out and says that the ad campaign they spent all that money on was a flop, and then they gave even MORE money to the same company?Nope. Not a bit.Brazen whores pimping themselves, every bloody one of them... [ Post Comment ] Comment #5 posted by mayan on January 07, 2004 at 06:58:46 PT More Unrelated... When will they learn?Charges expected in Toronto drug squad corruption probe: http://www.cbc.ca/stories/2004/01/07/police040107The way out is the way in...NYC 9/11 Truth Takes Back Ground Zero - “The Bush Regime Engineered 9/11” – Lessons from Activist Trenches: http://www.fromthewilderness.com/free/ww3/010404_nyc911new.html [ Post Comment ] Comment #4 posted by ryno35 on January 07, 2004 at 06:42:39 PT Montel It's going to be on a local channel, if you get those on DirecTv, it sucks that you have to pay extra for them on satelitte. Here is a link on his website that may help: http://www.montelshow.com/misc/where_2_watch.htmThanks for the heads up on the show, I'll have to make sure I watch that one. [ Post Comment ] Comment #3 posted by mamawillie on January 07, 2004 at 06:20:17 PT Montel on directv? Hey, does anyone know what channel I ca n find the montel show on satellite? I did a search yesterday and nothing came up... I want to see the jan 13 show about medical MJ.Is he on UPN or something? Does anyone know offhand the DirecTv channel?Thanks in advance! [ Post Comment ] Comment #2 posted by mayan on January 07, 2004 at 04:29:54 PT 3 Weeks 2 Class C... ...in Britain, and now they are squealing louder than ever. Will Britain back down now? Here's a bunch of bologna...Blunkett warned of dangers of cannabis: http://www.timesonline.co.uk/article/0,,8122-954594,00.html"DEBATE - Should the Government rethink its cannabis policy?Send your e-mails to debate thetimes.co.uk " [ Post Comment ] Comment #1 posted by Virgil on January 07, 2004 at 00:17:37 PT FoM, best thing I read on Willie and the boys I did not put this up because Kucinich has his share of attention here. Comment9 is followed by comment7 in this thread- http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=102&topic_id=298130 -and you can see that it was an electrifying event with a lot of pride in the candidate of choice. Jim Valvano was a much loved coach at NC State that lead his Heart Attack team to a national championship that died when he was only about 42 from cancer. Anyway, Valvano recruited a player called Gugliata of different spelling. When asked if he sought Gugliata because he was Italian, He said "No. I wanted him because I am Italian."Well, I am backwards on that. I am trying to say that I am not for Kucinich becasue of me. I am for Kucinich because of him. That thread is and those two comments are the best thing going on the peace rally in Austin.I am trying to say that [ Post Comment ] Post Comment