Front Organization - Corporate Front Organizations

Corporate Front Organizations

See also: Shell corporation

Corporations from a wide variety of different industries set up front groups. Some pharmaceutical companies set up "patients' groups" as front organizations that pressure healthcare providers and legislators to adopt their products. For example, Schering Healthcare and Biogen Ltd. tried to pressure the UK National Health Service (NHS) to adopt its drug Beta Interferon to treat Multiple Sclerosis (MS) sufferers. Schering set up and funded a group called MS Voice, with its own website, which claimed to represent MS sufferers.

Another pharmaceutical company, Biogen, set up a campaign called Action for Access, which also claimed it was an independent organization and the voice of MS sufferers. People who visited the website and signed up for the campaign did not realise that these were not genuinely independent patient groups. It has been alleged that computer software giant Microsoft created and funded the Association for Competitive Technology to defend its interests against charges of antitrust violations. Tobacco companies frequently use front organizations and doctors to advocate their arguments about tobacco use, although less openly and obviously than in the 1980s.

The Center for Consumer Freedom (CCF) is one of the more active corporate front groups and one of several front groups created by Berman & Co., a public affairs firm owned by lobbyist Rick Berman. They claim to be supported by restaurants, food companies and more than 1,000 concerned individuals. Based in Washington, DC, Berman & Co. represents the tobacco industry as well as hotels, beer distributors, taverns, and restaurant chains. The group actively opposes smoking bans and lowering the legal blood-alcohol level, while targeting studies on the dangers of red meat consumption, overfishing and pesticides. Each year they give out the "nanny awards" to groups who, according to them, try to tell consumers how to live their lives. Berman & Co. is also associated with various anti-union and union-busting campaigns, such as their "Center for Union Facts", as well as anti-animal rights campaigns such as "www.petakillsanimals.com".

A list of some alleged corporate front groups active in the US is maintained by the Multinational Monitor. Some think tanks are corporate front groups. These organizations present themselves as research organizations, using phrases such as "...Institute for Research" in their names. Because their names suggest neutrality, they can present the commercial strategies of the corporations which sponsor them in a way which appears to be objective sociological or economical research rather than political lobbying.

Similarly the Center for Regulatory Effectiveness has been criticised as a front organization for various industry bodies which seek to undermine regulation of their environmentally damaging activities under the guise of 'regulatory effectiveness'.

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