Making a Killing: How and Why Corporations Use Armed Force to Do Business [Paperback]

Drohan's account begins with the rule of Cecil Rhodes "who stands head and shoulders above" the ranks of those applying military solutions to "corporate problems". Rhodes built an immense resource empire in Southern Africa. He also set the standard for controlling workers as firmly as he did markets. By the expedient of raising a battalion of "pioneers" to deal with reluctant African peoples and recalcitrant workers, Rhodes expanded his holdings to an unprecedented degree. Attributing his goals to the furtherance of the British Empire, he also ensured the continuation of profits to his own pocket. Belgium's king Leopold followed Rhodes' example by keeping the Congo as a personal fief. The Belgian government was simply shunted aside on imperial affairs for decades. The rape of the Congo is a glaring example of imperialism run rampant, yet it set the stage for what followed.

Drohan's narrative is dominated by personalities. Like a gaggle of rapacious ravens, men prominent in resource enterprise descended on Africa after Rhodes. Some of these were British, some Canadian, but others arose from among Africa's own peoples. These last were flexing political and economic muscle as former colonies became independent. These new nations, with their artificial boundaries laid down irrespective of tribal or ethnic limits, became caught up in internal regional disputes. Resource firms played off these rivalries to their advantage where possible. If contests for power became too heated, the companies had the option to withdraw or find ways of protecting their investments. Protection was provided by "security forces" available for hire. Among the most notorious of these was the South African firm, Executive Outcomes. Staffed by disaffected South African soldiers, it offered services directly or through hidden subsidiaries. Executive Outcomes emerges frequently, if often vaguely, as Drohan valiantly tries to unravel the machinations the firm and its customers perpetrated as gold, diamonds and other resources were sought and exploited. Legality is an elusive term in these activities.

These are not distant and unrelated events. We tend to cling to the image of investment benefiting all - the theme of "globalisation". Drohan demonstrates how firms, pursuing resource wealth in Africa, have followed the Rhodes formula for success. Whether hiring private armies or simply requesting local government forces to act in their interests, resource firms are steadfastly ignoring the impact on local people and their economy. Of all Drohan's examples, the most glaring is the Talisman Energy story. Her chapter on this operation is at once the worst and the best example in the book. Talisman, a latecomer to Africa, seems to have learned nothing from previous resource history in the region. As Drohan describes it, Jim Buckee, Talisman's head, followed a sinuous path trying to keep his firm active in the resource field. With one eye open to profits and the other closed to government activities done in the name of "security" for his operations, Buckee brought his firm close to disaster. On the other hand, the case demonstrated the power of the public in bringing such firms to judgment. Various large stockholders, chastened at the thought of supporting a firm blind to the impact of its operations, withdrew investment. It's a fine example of what individuals can achieve in acting collectively.

Drohan's book is a much needed exposure of business morals left unscrutinised. In her final chapter, "Perfectly Legal, Perfectly Immoral", she shows the path to justice for people under oppressive regimes shored up by rapacious businesses is long and difficult. Yet, if readers pay attention, she shows how they can be effective in making change. With a federal election looming, it would benefit electors to read this book and reflect on its message. [stephen a. haines - Ottawa, Canada]