FBI Invades Schenker

    Air Cargo News/FlyingTypers learned that law enforcement on both sides of the Atlantic are ramping up the search for incriminating evidence that might be obtained against leading cargo companies.
    In New York according to sources the FBI invaded Schenker, “swarming all over that company’s facility in Freeport, Long Island near JFK International Airport.
    “They,” (FBI) “were checking computers and internal records and all employees were told to go home for the day.
    “The exceptions were the managers and IT people who stayed and apparently were ordered to turn over records.”
    Word is that the investigations are connected to fuel surcharges.
    This is the second major dust up this year for Schenker one of the oldest, biggest and at least until this recent round, most respected companies in the transportation business.
    Schenker was stung by charges on August 8 posted by the Ministry of Communications (“MOC”) in The People’s Republic of China, against Schenker China Ltd. (SCL) stating that the company had been operating with improper, forged licenses.
    That case has apparently been settled when reportedly it was found that a recalcitrant employee had committed fraud against SCL, by generating false documents and absconding with payments for licenses due the China Government.
    Meantime all the way over in Switzerland of all places, Panalpina recently under fire for some business practices in Nigeria, was also under scrutiny for possible anti-trust violations.
    Yesterday (October 10), while FBI was swooping down on Schenker in New York, Swiss Federal Competition Commission (Weko) searched the premises of Panalpina in Basel.
    U.S. anti-trust authorities reportedly also conducted a similar investigation carried out by the FBI in the company’s headquarters in the USA.
    Even more disturbing perhaps is word that a wider investigation by Weko is being conducted against several members of The Association of Swiss Forwarders (Spedlogswiss).
    Panalpina told Air Cargo News/Flying Typers at this stage:
    “We are not aware of any violations of anti-trust regulations and we are cooperating with the authorities.”
    While all of this was going on a source in Houston, Texas observed local news media Wednesday outside the cargo operations of Eagle and Kuehne + Nagel as FBI agents reportedly were serving subpoenas for documents.
    ACN/FT talked to Schenker Houston, who said that it is “business as usual, no FBI agents here.”
    The ongoing coordinated effort by law enforcement investigating cargo transportation business practices in the case of Spedlogswiss apparently is aimed at deconstructing an entire organized industry association.
    One can only wonder which, if any other air cargo industry organizations, might be targeted by law enforcement next.
    Looking ahead, what this all means can certainly be considered by what Groucho Marx once said:
    “I would not join any association that would have me as a member.”
    Stay tuned.
Geoffrey