Facebook Navigates an Internet Fractured by Governmental Controls

On a muggy, late spring evening, Tuan Pham awoke to the police storming his house in Hanoi, Vietnam.

They marched him to a police station and made their demand: Hand over your Facebook password. Mr. Tuan, a computer engineer, had recently written a poem on the social network called “Mother’s Lullaby,” which criticized how the communist country was run.

One line read, “One century has passed, we are still poor and hungry, do you ask why?”

Mr. Tuan’s arrest came just weeks after Facebook offered a major olive branch to Vietnam’s government. Facebook’s head of global policy management, Monika Bickert, met with a top Vietnamese official in April and pledged to remove information from the social network that violated the country’s laws.

While Facebook said its policies in Vietnam have not changed, and it has a consistent process for governments to report illegal content, the Vietnamese government was specific. The social network, they have said, had agreed to help create a new communications channel with the government to prioritize Hanoi’s requests and remove what the regime considered inaccurate posts about senior leaders.

Populous, developing countries like Vietnam are where the company is looking to add its next billion customers — and to bolster its ad business. Facebook’s promise to Vietnam helped the social media giant placate a government that had called on local companies not to advertise on foreign sites like Facebook, and it remains a major marketing channel for businesses there.

The diplomatic game that unfolded in Vietnam has become increasingly common for Facebook. The internet is Balkanizing, and the world’s largest tech companies have had to dispatch envoys to, in effect, contain the damage such divisions pose to their ambitions.

The internet has long had a reputation of being an anything-goes place that only a few nations have tried to tame — China in particular. But in recent years, events as varied as the Arab Spring, elections in France and confusion in Indonesia over the religion of the country’s president have awakened governments to how they have lost some control over online speech, commerce and politics on their home turf.

Even in the United States, tech giants are facing heightened scrutiny from the government. Facebook recently cooperated with investigators for Robert S. Mueller III, the special counsel investigating Russian interference in the American presidential election. In recent weeks, politicians on the left and the right have also spoken out about the excess power of America’s largest tech companies.

As nations try to grab back power online, a clash is brewing between governments and companies. Some of the biggest companies in the world — Google, Apple, Facebook, Amazon and Alibaba among them — are finding they need to play by an entirely new set of rules on the once-anarchic internet.

And it’s not just one new set of rules. According to a review by The New York Times, more than 50 countries have passed laws over the last five years to gain greater control over how their people use the web.

“Ultimately, it’s a grand power struggle,” said David Reed, an early pioneer of the internet and a former professor at the M.I.T. Media Lab. “Governments started waking up as soon as a significant part of their powers of communication of any sort started being invaded by companies.”

Facebook encapsulates the reasons for the internet’s fragmentation — and increasingly, its consequences.

Graphic | Global Reach

The company has become so far-reaching that more than two billion people — about a quarter of the world’s population — now use Facebook each month. Internet users (excluding China) spend one in five minutes online within the Facebook universe, according to comScore, a research firm. And Mark Zuckerberg, Facebook’s chief executive, wants that dominance to grow.

But politicians have struck back. China, which blocked Facebook in 2009, has resisted Mr. Zuckerberg’s efforts to get the social network back into the country. In Europe, officials have repudiated Facebook’s attempts to gather data from its messaging apps and third-party websites.

The Silicon Valley giant’s tussle with the fracturing internet is poised to escalate. Facebook has now reached almost everyone who already has some form of internet access, excluding China. Capturing those last users — including in Asian nations like Vietnam and African countries like Kenya — may involve more government roadblocks.

“We understand that and accept that our ideals are not everyone’s,” said Elliot Schrage, Facebook’s vice president of communications and public policy. “But when you look at the data and truly listen to the people around the world who rely on our service, it’s clear that we do a much better job of bringing people together than polarizing them.”

Friending China

By mid-2016, a yearslong campaign by Facebook to get into China — the world’s biggest internet market — appeared to be sputtering.

Mr. Zuckerberg had wined and dined Chinese politicians, publicly showed off his newly acquired Chinese-language skills — a moment that set the internet abuzz — and talked with a potential Chinese partner about pushing the social network into the market, according to a person familiar with the talks who declined to be named because the discussions were confidential.

At a White House dinner in 2015, Mr. Zuckerberg had even asked the Chinese president, Xi Jinping, whether Mr. Xi might offer a Chinese name for his soon-to-be-born first child — usually a privilege reserved for older relatives, or sometimes a fortune teller. Mr. Xi declined, according to a person briefed on the matter.

But all those efforts flopped, foiling Facebook’s attempts to crack one of the most isolated pockets of the internet.

China has blocked Facebook and Twitter since mid-2009, after an outbreak of ethnic rioting in the western part of the country. In recent years, similar barriers have gone up for Google services and other apps, like Line and Instagram.

Even if Facebook found a way to enter China now, it would not guarantee financial success. Today, the overwhelming majority of Chinese citizens use local online services like Qihoo 360 and Sina Weibo. No American-made apps rank among China’s 50 most popular services, according to SAMPi, a market research firm.

Chinese tech officials said that although many in the government are open to the idea of Facebook releasing products in China, there is resistance among leaders in the standing committee of the country’s Politburo, its top decision-making body.

In 2016, Facebook took tentative steps toward embracing China’s censorship policies. That summer, Facebook developed a tool that could suppress posts in certain geographic areas, The Times reported last year. The idea was that it would help the company get into China by enabling Facebook or a local partner to censor content according to Beijing’s demands. The tool was not deployed.

In another push last year, Mr. Zuckerberg spent time at a conference in Beijing that is a standard on the China government relations tour. Using his characteristic brand of diplomacy — the Facebook status update — he posted a photo of himself running in Tiananmen Square on a dangerously smoggy day. The photo drew derision on Twitter, and concerns from Chinese about Mr. Zuckerberg’s health.

For all the courtship, things never quite worked out.

“There’s an interest on both sides of the dance, so some kind of product can be introduced,” said Kai-Fu Lee, the former head of Google in China who now runs a venture-capital firm in Beijing. “But what Facebook wants is impossible, and what they can have may not be very meaningful.”

This spring, Facebook tried a different tactic: testing the waters in China without telling anyone. The company authorized the release of a photo-sharing app there that does not bear its name, and experimented by linking it to a Chinese social network called WeChat.

One factor driving Mr. Zuckerberg may be the brisk ad business that Facebook does from its Hong Kong offices, where the company helps Chinese companies — and the government’s own propaganda organs — spread their messages. In fact, the scale of the Chinese government’s use of Facebook to communicate abroad offers a notable sign of Beijing’s understanding of Facebook’s power to mold public opinion.

Chinese state media outlets have used ad buys to spread propaganda around key diplomatic events. Its stodgy state-run television station and the party mouthpiece newspaper each have far more Facebook “likes” than popular Western news brands like CNN and Fox News, a likely indication of big ad buys.

To attract more ad spending, Facebook set up one page to show China’s state broadcaster, CCTV, how to promote on the platform, according to a person familiar with the matter. Dedicated to Mr. Xi’s international trips, the page is still regularly updated by CCTV, and has 2.7 million likes. During the 2015 trip when Mr. Xi met Mr. Zuckerberg, CCTV used the channel to spread positive stories. One post was titled “Xi’s UN address wins warm applause.”

Fittingly, Mr. Zuckerberg’s eagerness and China’s reluctance can be tracked on Facebook.

During Mr. Xi’s 2015 trip to America, Mr. Zuckerberg posted about how the visit offered him his first chance to speak a foreign language with a world leader. The post got more than a half million likes, including from Chinese state media (despite the national ban). But on Mr. Xi’s propaganda page, Mr. Zuckerberg got only one mention — in a list of the many tech executives who met the Chinese president.

Europe’s Privacy Pushback

Last summer, emails winged back and forth between members of Facebook’s global policy team. They were finalizing plans, more than two years in the making, for WhatsApp, the messaging app Facebook had bought in 2014, to start sharing data on its one billion users with its new parent company. The company planned to use the data to tailor ads on Facebook’s other services and to stop spam on WhatsApp.

A big issue: how to win over wary regulators around the world.

Despite all that planning, Facebook was hit by a major backlash. A month after the new data-sharing deal started in August 2016, German privacy officials ordered WhatsApp to stop passing data on its 36 million local users to Facebook, claiming people did not have enough say over how it would be used. The British privacy watchdog soon followed.

By late October, all 28 of Europe’s national data-protection authorities jointly called on Facebook to stop the practice. Facebook quietly mothballed its plans in Europe. It has continued to collect people’s information elsewhere, including the United States.

“There’s a growing awareness that people’s data is controlled by large American actors,” said Isabelle Falque-Pierrotin, France’s privacy regulator. “These actors now know that times have changed.”

Facebook’s retreat shows how Europe is effectively employing regulations — including tough privacy rules — to control how parts of the internet are run.

The goal of European regulators, officials said, is to give users greater control over the data from social media posts, online searches and purchases that Facebook and other tech giants rely on to monitor our online habits.

As a tech company whose ad business requires harvesting digital information, Facebook has often underestimated the deep emotions that European officials and citizens have tied into the collection of such details. That dates back to the time of the Cold War, when many Europeans were routinely monitored by secret police.

Now, regulators from Colombia to Japan are often mimicking Europe’s stance on digital privacy. “It’s only natural European regulators would be at the forefront,” said Brad Smith, Microsoft’s president and chief legal officer. “It reflects the importance they’ve attached to the privacy agenda.”

In interviews, Facebook denied it has played fast and loose with users’ online information and said it complies with national rules wherever it operates. It questioned whether Europe’s position has been effective in protecting individuals’ privacy at a time when the region continues to fall behind the United States and China in all things digital.

Still, the company said it respected Europe’s stance on data protection, particularly in Germany, where many citizens have long memories of government surveillance.

“There’s no doubt the German government is a strong voice inside the European community,” said Richard Allen, Facebook’s head of public policy in Europe. “We find their directness pretty helpful.”

Europe has the law on its side when dictating global privacy. Facebook’s non-North American users, roughly 1.8 billion people, are primarily overseen by Ireland’s privacy regulator because the company’s international headquarters is in Dublin, mostly for tax reasons. In 2012, Facebook was forced to alter its global privacy settings — including those in the United States — after Ireland’s data protection watchdog found problems while auditing the company’s operations there.

Three years later, Europe’s highest court also threw out a 15-year-old data-sharing agreement between the region and the United States following a complaint that Facebook had not sufficiently protected Europeans’ data when it was transferred across the Atlantic. The company denies any wrongdoing.

And on Sept. 12, Spain’s privacy agency fined the company 1.2 million euros for not giving people sufficient control over their data when Facebook collected it from third-party websites. Watchdogs in Germany, the Netherlands and elsewhere are conducting similar investigations. Facebook is appealing the Spanish ruling.

“Facebook simply can’t stick to a one-size-fits-all product around the world,” said Max Schrems, an Austrian lawyer who has been a Facebook critic after filing the case that eventually overturned the 15-year-old data deal.

Potentially more worrying for Facebook is how Europe’s view of privacy is being exported. Countries from Brazil to Malaysia, which are crucial to Facebook’s growth, have incorporated many of Europe’s tough privacy rules into their legislation.

“We regard the European directives as best practice,” said Pansy Tlakula, chairwoman of South Africa’s Information Regulator, the country’s data protection agency. South Africa has gone so far as to copy whole sections, almost word-for-word, from Europe’s rule book.

The Play for Kenya

Blocked in China and troubled by regulators in Europe, Facebook is trying to become “the internet” in Africa. Helping get people online, subsidizing access, and trying to launch satellites to beam the internet down to the markets it covets, Facebook has become a dominant force on a continent rapidly getting online.

But that has given it a power that has made some in Africa uncomfortable.

Some countries have blocked access, and outsiders have complained Facebook could squelch rival online business initiatives. Its competition with other internet companies from the United States and China has drawn comparisons to a bygone era of colonialism.

For Kenyans like Phyl Cherop, 33, an entrepreneur in Nairobi, online life is already dominated by the social network. She abandoned her bricks-and-mortar store in a middle-class part of the city in 2015 to sell on Facebook and WhatsApp.

“I gave it up because people just didn’t come anymore,” said Ms. Cherop, who sells items like designer dresses and school textbooks. She added that a stand-alone website would not have the same reach. “I prefer using Facebook because that’s where my customers are. The first thing people want to do when they buy a smartphone is to open a Facebook account.”

As Facebook hunts for more users, the company’s aspirations have shifted to emerging economies where people like Ms. Cherop live. Less than 50 percent of Africa’s population has internet connectivity, and regulation is often rudimentary.

Since Facebook entered Africa about a decade ago, it has become the region’s dominant tech platform. Some 170 million people — more than two thirds of all internet users from South Africa to Senegal — use it, according Facebook’s statistics. That is up 40 percent since 2015.

The company has struck partnerships with local carriers to offer basic internet services — centered on those offered by Facebook — for free. It has built a pared-down version of its social network to run on the cheaper, less powerful phones that are prevalent there.

Facebook is also investing tens of millions of dollars alongside telecom operators to build a 500-mile fiber-optic internet connection in rural Uganda. In total, it is working with about 30 regional governments on digital projects.

“We want to bring connectivity to the world,” said Jay Parikh, a Facebook vice president for engineering who oversees the company’s plans to use drones, satellites and other technology to connect the developing world.

Facebook is racing to gain the advantage in Africa over rivals like Google and Chinese players including Tencent, in a 21st century version of the “Scramble for Africa.” Google has built fiber internet networks in Uganda and Ghana. Tencent has released WeChat, its popular messaging and e-commerce app, in South Africa.

Facebook has already hit some bumps in its African push. Chad blocked access to Facebook and other sites during elections or political protests. Uganda also took legal action in Irish courts to force the social network to name an anonymous blogger who had been critical of the government. Those efforts failed.

In Kenya, one of Africa’s most connected countries, there has been less pushback.

Facebook expanded its efforts in the country of 48 million in 2014. It teamed up with Airtel Africa, a mobile operator, to roll out Facebook’s Free Basics — a no-fee version of the social network, with access to certain news, health, job and other services there and in more than 20 other countries worldwide. In Kenya, the average person has a budget of just 30 cents a day to spend on internet access.

Free Basics now lets Kenyans use Facebook and its Messenger service at no cost, as well as read news from a Kenyan newspaper and view information about public health programs. Joe Mucheru, Kenya’s tech minister, said it at least gives his countrymen a degree of internet access.

Still, Facebook’s plans have not always worked out. Many Kenyans with access to Free Basics rely on it only as a backup when their existing smartphone credit runs out.

“Free Basics? I don’t really use it that often,” said Victor Odinga, 27, an accountant in downtown Nairobi. “No one wants to be seen as someone who can’t afford to get online.”

Japan&aposs MUFG braces for Brexit by making use of for license to function in Amsterdam

Japanese investment bank Mitsubishi UFJ Securities has announced that it’s putting measures in position to maneuver a number of its European securities division from London to Amsterdam due to Brexit.

Inside a statement, the loan provider stated the securities services it provides EU customers are presently provided via a subsidiary within the United kingdom. It stated it has made the decision to try to get a licence to function within the Nederlander city, in order that it can move individuals services if necessary.

“The new subsidiary in Amsterdam will be sure that the group could provide these types of services to the EU clients, whether or not the mix-border passport sheds because of Brexit,” it stated.

In This summer, sources already told the Financial Occasions that MUFG could move countless its 2,100 London employees towards the Nederlander capital.

A spokesperson for that bank stated on Wednesday, however, that “considerably less than 100 staff” is going to be utilized by the brand new subsidiary which London would remain MUFG’s headquarters for Europe, the center East and Africa.  

Amsterdam has already been the place to find MUFG’s retail and company banking operations. 

Other major investment banks with global operations have previously vowed to grow their workforces in European metropolitan areas, including Paris, Frankfurt and Dublin, to make sure seamless service regardless of the publish-Brexit arrangement. 

While there’s still an opportunity that the deal is struck, allowing banks within the United kingdom to seamlessly continue servicing clients over the EU and all of those other world after Brexit, many have for several weeks been preparing for that worst. 

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Starbucks to chop food prices available an hour or so before closing time

Starbucks has announced that it’ll be cutting food prices by 50pc in selected stores 1 hour before closing time.

The coffee chain will offer you the discounted food in around 350 of their 800-odd United kingdom branches, that have different closing occasions but they are typically between 6pm and 10pm. The chain hasn’t yet revealed which stores is going to be taking part in the sale.

Reduced food products will include muffins, sandwiches along with other snacks nearing expiry, and will also be marked having a “50pc off food, 100pc to charitable organization” sticker.

The initiative aims to chop lower on food waste because the products would “well be tossed out”, the firm stated. Non-perishable products like drinks won’t be incorporated within the offer.

Starbucks stated that money elevated in the discounted food sales is going to be donated to Action Against Hunger, a charitable organization that supports undernourished children in 40 regions.

The plan follows a successful trial in 16 Starbucks stores in Manchester captured, which elevated greater than £1,500 from sales over an 11-week period.

Simon Redfern, mind of communications at Starbucks Europe, stated: “Off the rear of the prosperity of our Manchester trial, we’re very happy to unveil this programme to the remainder of our organization owned British stores, and will also be dealing with our franchise partners to determine where else this programme perform too.Inch

A Wrap report printed in The month of january discovered that the believed quantity of household food waste for 2015 was 7.3 million tonnes, up by 4.4pc from seven million tonnes this year. Of this, 4.4 million tonnes was “avoidable waste”. 

Experts say the increase in waste is lower to some fall in food prices meaning individuals are more frivolous with food than ever before, too a multi-buy culture among supermarkets encouraging shoppers to buy greater than they needed. 

Starbucks profit surges in Europe, Middle East and Africa despite Brexit slowdown

BA strikes: Talks prone to begin after two several weeks of cabin crew protests

The ultimate casualty from the latest strike by a few British Airways cabin crew is flight BA122. The Boeing 777 was scheduled to consider removed from Doha around 7am on 31 August. The strike by people from the Unite union employed by BA’s Mixed Fleet operation at Heathrow is a result of finish seven hrs earlier. But Wednesday’s outbound flight was cancelled and also the return leg is consequently axed.

There’ll, though, be lots of flying within the other direction, from Heathrow to Doha. The planes and crews that British Airways continues to be borrowing from Qatar Airways are coming back for their base. They’ve covered about 3 percent from the airline’s schedule in This summer and August.

An believed 1,400 Unite people have been receiving strike almost continuously through This summer and August inside a dispute over exactly what the union calls “poverty pay” and “punishing workers” who required part in earlier stoppages. They represent around one out of 12 of BA’s cabin crew.

Mixed Fleet was placed in 2010 included in the settlement from the last big cabin crew dispute at British Airways. Staff have inferior employment terms to longer-serving cabin crew.

Unite estimates that Mixed Fleet cabin crew earn £16,000 yearly, including allowances. BA states it doesn’t recognise this figure, which the cheapest-compensated full-time person in Mixed Fleet earned over £21,000 this past year. 

After 60 strike days, Unite has become calling a “pause for peace” and looking further negotiations using the air travel.

The union’s national officer, Oliver Richardson, told The Independent: “Our people have proven great determination to focus on poverty pay, corporate avarice and also the bullying conduct of British Airways.

“The action brought to flights being cancelled and British Airways having to spend millions on wet leasing aircraft to pay for the operational disruption.

“British Airways should make use of this ‘pause for peace’ in industrial action to achieve funds for this lengthy running dispute therefore it can rebuild its tarnished brand.”

Star-studded cast come in British Airways’ new safety video

The impact from the strike continues to be limited, due mainly towards the accessibility to the Qatar Airways aircraft the geo-political rift within the Gulf implies that these short-haul Airbus jets as well as their crews would certainly be standing idle. Qatar Airways also transpires with own one-fifth of BA’s parent company, IAG. 

A design of cancellations has emerged, using the Heathrow-Doha round-trip cancelled every single day, and passengers re-booked around the frequent Qatar Airways flights. BA’s Gatwick-New You are able to JFK departure has additionally been frequently grounded, with crews deployed on Mixed Fleet routes and passengers switched to Heathrow.

Other transatlantic flights and services towards the Gulf and Africa happen to be tactically cancelled throughout the strikes.

The air travel states its “detailed contingency planning” brought to less than a single in 100 of its overall This summer-August schedule being cancelled through the strikes.

Unite’s general secretary, Len McCluskey, has known as for additional talks. He authored to BA’s leader and chairman, Alex Cruz, saying: “Given the character and entire dispute I’m willing to involve myself in almost any future talks along with you and would ask that the organization examines numerous dates from 31 August onwards.”

BA has stated it’ll discuss plans to satisfy once the strike has ended.

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James Staley’s Series of Unfortunate Events

Days into a two-week sail across the Atlantic Ocean, Seumas Meharg reeled in a 150-pound yellowfin tuna.

As the immense fish flailed on the deck, he tried to dispatch it with a knife. He stabbed the creature once, then took another shot. This time, his hand slipped, and the knife sliced deeply into his fingers.

“I went down to the galley, washed my hand, made a fist, sat down and was quite white,” Mr. Meharg recalled.

The sailboat’s owner, James E. Staley, pulled out a satellite phone and dialed a doctor. Emergency stitches were a must. But help in Africa was three long days away; the Caribbean, a week and a half.

So Mr. Staley, who is known as Jes, got to work. While another mate did the stitching, Mr. Staley held down his friend and then helped tie the knots and mop up the blood.

That incident, four years ago aboard the Bequia, is typical of Mr. Staley, now the chief executive of the British bank Barclays. Friends and colleagues said he reacts to problems quickly and sometimes impulsively, with dogged loyalty.

Three decades ago, when his brother came out as gay, Mr. Staley began attending Act Up meetings. At the money management division of JPMorgan Chase, he ended a demeaning practice that required people who were fired to leave immediately with their belongings in a box. As a trustee of Bowdoin College, he helped install as president Clayton S. Rose, a longtime friend who was seen as an unconventional candidate because he didn’t have tenure and had spent 20 years in banking before starting a second career in academia.

But if Mr. Staley were a character from classical literature, his fidelity would be his tragic flaw.

Since being named the chief executive of Barclays on Dec. 1, 2015, the 60-year-old American has come under investigation by British bank regulators for trying to unmask a whistle-blower who criticized the competency of one of his senior hires. He has lost the confidence of a major client, the powerful private equity firm Kohlberg Kravis Roberts & Company, which was angered by Mr. Staley’s attempt to help his brother-in-law’s business interests — at what KKR regarded as its expense.

On a more prosaic note, he even fell for an email from a prankster, who, posing as the chairman of Barclays, pledged allegiance after a bruising annual investor meeting.

Mr. Staley declined to be interviewed for this article, citing the whistle-blower investigation. But he agreed to let a reporter shadow him for a day while he worked.

“We are done restructuring Barclays,” he said that day in July at a town-hall meeting at the bank’s office in Leeds in northern England. “We are going to make or break it based on what we’re doing today and what we’re doing here, in London, and in New York, and around the world. And I think it’s going to pivot, sort of, the way the bank thinks about itself, because now the only thing that’s going to work is us, if we make it work.”

Mr. Staley’s stumbles have spurred demands from some shareholders for his resignation. During the bank’s second quarter, his asset sales led to a huge loss, which was compounded by disappointing trading results and sizable legal costs. Shares of Barclays are down 13 percent so far this year.

His current quandary is an outgrowth of Barclays’s transformation from a three-century-old British commercial and retail lender, with Quaker roots, into a global banking and trading powerhouse.

In the 1980s, Wall Street banks arrived in London, and the city soon became the hub of global finance. Barclays decided it needed to compete with Goldman Sachs, JPMorgan Chase, Deutsche Bank and the like in trading and deal making. It brought in an American executive named Robert E. Diamond Jr. to build its investment banking business. And in the wake of the financial crisis, it acquired the United States’ operations of the bankrupt Lehman Brothers, giving it a large presence in New York.

While the investment banking business brought growth, it also generated problems with regulators and a heavy legal cost. Mr. Diamond was jettisoned in 2012 after an investigation led to a $450 million fine over allegations that Barclays traders had manipulated an important interest rate benchmark known as Libor, or the London Interbank Offered Rate.

The bank then turned to a retail banker, Antony Jenkins, as a safer steward of its business. But he, too, was ousted after a three-year turnaround effort that was deemed too slow.

How much to emphasize investment banking over Barclays’s traditional banking business in Britain continues to be a source of internal tension.

Running Barclays “is a challenge because of the structure of the bank,” said Richard Portes, an economics professor at the London Business School.

Under Mr. Staley, Mr. Portes said, “it hasn’t changed the strategy in terms of putting weight — a lot of weight — on the investment banking side of the business. Maybe that is a good call. It’s not obvious.”

So far, Mr. Staley has weathered an internal investigation and calls to throw him out at an annual shareholder meeting in May. But his ouster may still come due to an inquiry by a British regulator into his conduct toward the whistle-blower; the results of the inquiry are expected as early as this fall.

In Britain, Barclays still has the cachet of a Goldman Sachs and the reach of a Bank of America. It was a major player in Africa for a century, and introduced the first automated cash machine in 1967. Last year, one of every three pounds spent in Britain was facilitated in some way by a Barclays credit card.

But investigations and management missteps have turned its executive suite into a temporary office. Mr. Staley is the fifth chief executive in seven years.

Despite the trouble, his strategy for reshaping the bank’s operations has won praise from analysts and employees. To cut costs, preserve capital and strengthen Barclays in the eyes of regulators, he sold most of its African operations and cut the quarterly dividend to stockholders. He bolstered the company’s commitment to investment banking, partly by working his own contacts in private equity and at multinational companies.

But these efforts may not be enough.

A Natural

Mr. Staley was born in Cambridge, Mass., one of the many stops along his father’s career as a plant manager of soap factories for Procter & Gamble. During high school, he was intrigued with politics, staying up late discussing the intricacies of Washington with friends.

It was the 1970s, and the career guide “What Color Is Your Parachute?” had recently been published. “I remember talking to him about the book,” said John Farmer, a high school classmate who remains a close friend, “and he said, ‘I know what color my parachute is. It’s green.’ Meaning money.”

Mr. Staley attended Bowdoin, in Maine, where he majored in economics. To make money, Staley spent two and a half summers mining trona, a mineral used to make baking soda, in Rock Springs, Wyo., where he lived in a tent by the Green River. He spent another summer working for a Pennsylvania congressman on Capitol Hill. But after graduation, he turned to Wall Street.

In 1979, Mr. Staley landed at Morgan Guaranty, a forerunner to JPMorgan that was then primarily a commercial lender and bond dealer with asset-management and back-office services.

He was soon transferred to São Paulo, where he met his future wife, a 19-year-old college student named Debora Nitzan. After graduating from college, Ms. Nitzan worked for her family’s business, an office furniture company called Aceco.

In 1985, Mr. Staley’s younger brother, Peter, was diagnosed as H.I.V. positive. During a painful series of conversations with his family that Thanksgiving, Peter revealed that he was both gay and ill. Jes was one of the last to be told.

“I sheepishly made it clear to him that I was most nervous to tell him, because I regarded him as homophobic,” Peter recalled. “He looked at me quizzically and was baffled by that. He didn’t realize the language he’d been using over the years.”

Jes was determined to make amends. “It was a great opportunity for me to try to make up for the homophobia that he saw in me, to try to embrace what Peter was up against,” said Jes in a Fortune interview last year. He began advising Peter, who had embarked on a new career as an AIDS activist, on strategy.

By 1989, Jes Staley was living in New York again and working to build Morgan into a full-service investment bank. He made a speedy professional ascent. In 2009 he was named to run the entire investment bank, a job reserved for executives with C.E.O. potential.

Managing monster egos and ornery clients was one of his strengths. In 2004, when he engineered JPMorgan’s $1.3 billion investment in the hedge fund Highbridge Capital as a way to increase returns for the bank’s ultrawealthy investors, he preserved the Highbridge team’s generous compensation terms and even prevented members of the bank’s internal real estate division from visiting Highbridge’s luxurious midtown Manhattan offices, fearing that they would alienate the Highbridge staff by insisting on cheaper space.

“Jes understood that he had to run interference between us,” said Glenn Dubin, one of Highbridge’s founders. “And he did that.”

Over a span of several years, the Highbridge deal helped sharply augment the client money JPMorgan Asset Management oversaw.

Heavy hitters weren’t the only ones to win Mr. Staley’s attention. In 2002, after he joined the bank’s operating committee, he halted a decision to force a woman who had been fired from the premises with her belongings in a box, insisting he would fire her manager if such humiliation occurred again. Underperforming employees would be given additional chances to prove themselves in other roles, he promised.

A year or so into Mr. Staley’s tenure at the investment bank, according to associates from that time, a personnel issue arose with another banker that would have ramifications for Mr. Staley years later.

Tim Main, a respected banker who advised financial companies, was under duress from a divorce, according to these associates. Mr. Main was taking prescription medicine, they said, that affected his behavior when mixed with alcohol. During a management meeting with the bank’s chief executive, Jamie Dimon, Mr. Main’s speech was altered as he gave a report, said the associates from that time, and Mr. Dimon was concerned. Mr. Main soon took a sabbatical, they added, then he eventually left JPMorgan altogether.

Mr. Staley, who was two notches above Mr. Main in the bank hierarchy, didn’t know him well but respected the banker’s professional achievements. Months later, when a smaller investment bank, Evercore Partners, called Mr. Staley for a reference, he recommended Mr. Main.

Three years later, Mr. Staley left JPMorgan amid murmurs of discord with Mr. Dimon. He became a partner in the hedge fund BlueMountain Capital. The transition gave him time to pursue outside interests, including sailing the Atlantic with Mr. Meharg and working as a Bowdoin trustee.

In 2014, he was chosen to lead the college’s search committee for a new president. High on the list of candidates from Bowdoin’s recruiting agency, said those involved with the process, was Clayton Rose, an old friend of Mr. Staley’s from JPMorgan who had left banking to pursue academia. He earned a Ph.D., and then a teaching post at Harvard Business School.

Mr. Staley was clearly a fan of Mr. Rose, these people said, but deferred to others through much of the screening process, fearing that a perception of positive bias might work against his old friend. Ultimately, Mr. Rose prevailed, winning the role by a unanimous vote.

“The committee just rallied around Clayton because of his remarkable record of success throughout a varied career,” said Mr. Staley in an announcement of the January 2015 decision.

A Big Leap

Soon after joining Barclays, Mr. Staley devised a strategy to cut what he regarded as nonessential businesses, freeze hiring to avoid laying people off, save costs by slashing the bank’s quarterly dividend in half and refocus on both international investment banking and retail finance in Britain.

On Wall Street, the idea of Barclays as a top-tier investment bank had become a stretch. Not only did it rank low among United States-based global advisers on big corporate mergers and stock and bond issuances, it suffered from the perception of a flawed culture, due to its role in the Libor scandal and other regulatory troubles.

At a meeting with executives at the Blackstone Group, the world’s biggest private equity firm, in 2016, Mr. Staley asked what Barclays could do to build up its book of banking businesses, according to people who attended. Providing a $100 million credit facility to one of Blackstone’s energy funds would be a start, replied Bennett Goodman, a co-founder of its credit business.

Though the economics weren’t great, Mr. Staley agreed.

Blackstone soon rewarded Barclays with additional work. At Apollo Global Management, another big private equity firm, the trajectory was similar. The company’s relationship with Barclays has “changed dramatically since he arrived,” said an Apollo founder, Leon Black, referring to Mr. Staley, “which speaks, one, of our relationship, and two, performance begets more business.”

To further bolster the business, Mr. Staley then hired Tim Main to head the financial institutions advisory group within Barclays’s investment bank.

Not everyone welcomed the move. Shortly after it was announced, a letter was sent to Barclays’s independent directors, according to people briefed on its details, complaining about Mr. Main’s behavior during his rough spell at JPMorgan.

When the letter was shared with Mr. Staley, he was troubled. In a note to employees, he said he had believed the intent of its writer was to “maliciously smear” their colleague.

Hoping to defend Mr. Main, Mr. Staley asked fellow executives whether he could investigate the letter writer’s identity, said one of these people. But since the letter was being treated internally as a “whistle blow,” with protections around anonymity and against retaliation, colleagues told Mr. Staley to stand down, this person added.

Yet weeks later, after the internal inquiry into the letter’s allegations had been concluded and Mr. Main’s hiring reaffirmed, Mr. Staley tried again, this time instructing Barclays’s internal security team to track down the writer, Barclays said. The group made some effort, including asking the United States Postal Service for assistance through video footage, said a person with knowledge of its efforts. But ultimately, Barclays said, nothing came of their work.

The following January, Barclays said, another whistle-blower contacted the board. This time, the complainant found fault with the entire whistle-blowing process at Barclays, mentioning Mr. Staley’s handling of the Main letters.

Barclays’s directors hired a London law firm to investigate Mr. Staley’s conduct. According to a statement on April 10, the firm found that Mr. Staley had “honestly but mistakenly” sought to unmask the writer without realizing the impropriety of his actions; the board accepted the explanation.

But some lawyers said the entire chapter constitutes a grave breach of protocol, with broad implications for the bank.

“Seeking to identify the identity of the whistle-blower is a violation of the law,” said Jordan Thomas, chairman of the whistle-blower practice at the New York law firm Labaton Sucharow, “but it also undermines the culture of integrity within Barclays.”

If company executives have a reputation for retaliating against whistle-blowers, he added, “the leadership of Barclays will be disadvantaged because fewer people are going to be telling them about problems. And they’ll learn about problems when they’re at a more advanced stage.”

Nonetheless, the bank’s chairman, John McFarlane, defended Mr. Staley at the annual shareholder meeting in May, even as some Barclays investors attacked the chief executive. “You know me,” said the chairman in a veiled reference to the sacking of Antony Jenkins, Mr. Staley’s predecessor, “if I believe he should go, you know he would go.”

That evening, an entirely different kind of letter — a joke email appearing to be a personal note from Mr. McFarlane, saying “I do feel we’ve ceased the rally for you [sic] head today” — provided a new kind of embarrassment.

Reading emails on his iPad the evening after the annual meeting, Mr. Staley responded enthusiastically to the message. “Thanks for sharing the foxhole with me,” he wrote.

The sender was in fact a disgruntled Barclays customer living near Manchester who was playing a prank. He shared his stunt on Twitter and then with The Financial Times, prompting merrymaking about Mr. Staley’s gullibility.

In recent months, lawyers for Mr. Staley have asserted that the letters objecting to Mr. Main were almost certainly written by someone outside Barclays, according to people with direct knowledge of their strategy — meaning not a whistle-blower in the conventional sense. Their hope, these people said, is that the argument somehow absolves him from the typical company restrictions around whistle-blowing.

Yet as the writer’s identity remains unknown, according to people who were briefed on the efforts to track him or her down, those arguments may fall flat. And with at least four major regulatory reviews now underway, among them probes from the Financial Conduct Authority of Britain and the United States Justice Department, some analysts and lawyers said he’s on the knife’s edge of professional survival.

As if Barclays did not have enough distractions, Mr. Staley has become involved in another embarrassing squabble involving a major client of the bank, KKR.

The dispute centers on KKR’s 2014 investment in Aceco, the company founded by Mr. Staley’s father-in-law decades ago that had gone from office furniture to data storage.

KKR spent $700 million to acquire the company’s debt and buy a majority stake in it from three sellers: Debora Staley, Mr. Staley’s wife; Jorge Nitzan, her brother and the chief executive; and the private equity firm General Atlantic. But Aceco’s fortunes soon turned, and in 2015, facing a cash crunch amid a broader swoon in the Brazilian economy, Aceco stopped paying off its creditors.

By 2016, KKR had written its investment down to zero and was accusing Mr. Nitzan, who had been dismissed as chief executive, of foul play. Mr. Nitzan has denied the accusations, blaming Aceco’s travails on the crashing Brazilian economy. KKR said whistle-blowers had claimed that there was accounting fraud at Aceco. The company has denied the allegations.

Late in 2016, Alex Navab, an executive from KKR, called Mr. Staley to ask that Mr. Nitzan, Mr. Staley’s wife and General Atlantic repay KKR for its investment.

After that call, Mr. Staley felt he was being threatened by Mr. Navab, said someone who was briefed on its details. He asked a friend with his own private equity firm to consider investing in Aceco, which was then bankrupt, with Mr. Nitzan, its potential chief executive once again, said people who were briefed on those conversations. Then Mr. Staley vouched for Mr. Nitzan to two investors he knew who had lost money in KKR’s failed Brazilian endeavor, said people who were briefed on the investors’ conversations.

Mr. Navab was unhappy when they heard of his actions, said someone with knowledge of his thinking at the time. KKR appeared to divert business that might have otherwise gone to Barclays. For Mr. Staley, who has been trying to bolster Barclays’s private equity business, it was a real blow.

Carrying On

On a drizzly Tuesday in July, Mr. Staley was at the Great Yorkshire Show, an annual agricultural fair not far from Leeds. With the whistle-blower investigations hanging over him, he was determined to focus on Barclays’s core business. On that day, it meant visiting a sliding-door manufacturer the bank had helped finance, conducting the town-hall meeting and visiting with farmers for whom Barclays had recently doubled an existing 100 million pound investment pool.

Inside the welcome tent, Simon Theakston, a local beer company scion, poured Mr. Staley a pint of bitter as a plate of hard cheese and Yorkshire pie was offered.

Mr. Staley asked Mr. Theakston whether his company was publicly or privately owned.

“Privately,” the brewer said. “My brothers and I.”

“Now I feel at home,” said Mr. Staley, raising his pint glass. “Cheers.”

After half a drink and a chat with a farming union official, Mr. Staley walked down the muddy grounds of the fair, flanked by managers from Barclays’s agriculture department. They stopped to talk to representatives from a rural charity and a luxury real estate company before strolling through the cattle-judging tents, where the stench of manure was powerful. In one stall, a cow appeared to be giving birth.

“That might be a prolapse,” said one of Mr. Staley’s lieutenants, who walked on, chatting amiably with Mr. Staley about a brown bull’s muscular physique.

Hours later, he was on an express train back to London, sipping a drink with his communications managers and a young aide from his office. During the ride, Mr. Staley held forth on World War II, American politics and recent departures from JPMorgan. The possibility that he might have to leave his new one was not mentioned.

Weeks earlier, he had interviewed Tim Throsby, president of the international unit of Barclays, at a company event in New York, said people who were there. Afterward, one of the employees in the audience asked him what he would have done if he had discovered the author of the letter that criticized Mr. Main.

“I should not have gotten that involved,” Mr. Staley answered, according to a transcript of the remarks. “I’m going to make mistakes. You know, I’m sorry about it, but I’m human.”

De Beers boss Bruce Cleaver: How you can sell diamonds towards the Snapchat generation

As boss of gemstone miner De Beers, Bruce Cleaver can be used to some couple of funny questions. “You always get people asking about how they may obtain a cheap gemstone,” he states. “I need to continue to say ‘it’s not in regards to a cheap gemstone! Sturdy purchasing a gemstone that you simply love’.” This can be a message Cleaver is keen to repeat: it’s about quality, not quantity. 

For many years, De Beers was the gemstone industry. Because of its slogan, “a gemstone is forever”, along with a vice-like grip on global supply, the organization determined how diamonds were offered. Consider 2000, it’s retreated because of competition concerns, and it is now majority of the FTSE 100 miner Anglo American. The economic crisis – a “very, very traumatic event for that gemstone industry you almost couldn’t provide a gemstone away”, states Cleaver – pressed De Beers into being a slimmer operation.

As competition mounts, the miner can also be facing an existential fight to convince unpredictable millennial shoppers they should still buy diamonds. Can Cleaver keep De Beers relevant?

“You need to keep reinventing yourself,” states Cleaver. “You can’t think that success previously will deliver success later on.Inches Twelve months in to the job, he’s clearly keen to shake some misconception, citing a mantra of “partnership, innovation, and investment” because he reels off a summary of pilot schemes the 129-year-old firm has started under his watch.

You will find very little companies I’m able to consider with this breadth – from exploration to retail

These pilots vary from a task to create De Beers’ mines carbon neutral within ten years, to auctioning polished gemstones – a part of the trade it’s typically left to middlemen. “These are tiny problems for the time being but we’ll go ahead and take learnings from individuals. Can there be margin for all of us?Inches Cleaver states, adding: “These aren’t projects that overeat of capital or people.”

De Beers’ partners might be under keen to determine it treading on their own turf. But Cleaver isn’t going to rip up De Beers’ model, which involves digging up unpolished “rough” diamonds from the mines in Botswana, Canada, Namibia and Nigeria, and selling them at regular auctions, known as “sights”. There’s a retail side to De Beers too: it sells gemstone jewellery through its Forevermark and De Beers-branded jewellers. Captured, it bought back a 50pc stake in De Beers Jewellers from LVMH, taking full charge of its brand.

Owning jewellery stores gives De Beers “a far better take on what you believe people covers medium and lengthy-term supply”, setting it aside from other miners, states Cleaver. 

For him, it’s a “fascinating” company precisely because his regular job involves managing mines and shops. “There are very little companies I’m able to consider which have that breadth – from exploration to retail,” he states. “And the company is really legendary, virtually everyone has heard about De Beers.”

Cleaver, an attorney by training, became a member of De Beers in 2005 as general counsel. “I can’t say I understood anything about diamonds after i became a member of, however the product always intrigued me,” he states. “I’m unsure unless of course you’re a lifetime diamantaire you’re ever a specialist, but I’ve had to become lot better at searching in a gemstone. We’ve 14,000 prices – it teaches you the number of different diamonds emerge from the floor.Inches

Even like a lawyer, Cleaver states he was always “commercially minded”. “The law I practised was commercial – deals that involved complex personalities, complex problems to resolve. Have a tendency to fascinated me.” 

De Beers have mines in  Botswana, Namibia, Nigeria and Canada

At De Beers, he rapidly required on the business development brief, together with a short stint as acting co-Chief executive officer this year. In 2015, he required a sojourn employed by Anglo on strategy, before coming back to De Beers within the top job.

For those its success, the fact is that their share is shrinking: the main one-time monopoly presently has around 35pc from the market, slightly behind Russia’s Alrosa. 

But Cleaver states: “I’m not after production for production’s sake.” A smaller sized share enables it to complete things it once couldn’t, he adds, for example buying out LVMH, or evaluating possible acquisitions. “We’re now able in which a sensible acquisition could be possible, as long as it enhanced the caliber of our mix,” he states, though he adds De Beers is “not positively looking”.

Soon after record years, the gemstone industry wobbled in 2015, forcing De Beers to have to wait supply the very first time. Upsets within the fast-growing markets of India and china also place the industry around the back feet. But demand from customers has remained strong within the all-important American market, which makes up about 50pc of worldwide sales. De Beers’ underlying earnings for that first 1 / 2 of this season rose slightly to $786m, totally on the rear of financial savings revenue tucked by 4pc to $3.1bn.

Cleaver states he’s “reasonably positive” concerning the market this season, mentioning: “Diamond consumption is extremely associated with GDP growth. If you think confident, you purchase more discretionary products.”

It’s unclear what change up the Trump administration may have upon us retail, he adds, though guaranteed tax cuts is needed. Inside a flat market, De Beers is searching at methods to achieve more youthful consumers. The Snapchat generation might not get married as early or as frequently his or her predecessors, but Cleaver insists they would like to buy diamonds to mark other existence occasions, like a job promotion or getting an infant.

“Millennials [people born since 1980] love showing them back on social networking, they love going for a selfie from the event. We are saying to retailers we must think differently about how exactly we market diamonds.”

Naturally, including social networking: “We take presctiption all of the channels.” De Beers is ramping up paying for marketing, including using “brand ambassadors” in markets for example China.  Point about this marketing concentrates on the content that diamonds are rare.

The mining side from the business emphasises the purpose: just 11 countries on the planet are the place to find gemstone mines, and merely .1pc of breakthroughs have amounted to top-class mines.

“They aren’t simple to find,” states Cleaver, with a few understatement. Like a way of measuring the extremes that gemstone miners go, this past year De Beers opened up Gahcho Kué, an enormous new mine within the Canadian tundra, that is purely available by ice road in the winter months. 

South Africa, where De Beers began, remains “highly prospective” for diamonds, and the organization is spending $2bn expanding its primary mine there. But an burdensome new mining charter suggested through the government has place the brakes on further investment.

“The charter’s conditions say you might own a maximum of 48pc of the exploration project,” states Cleaver. “In individuals conditions, it’s difficult to observe how we’d fund future exploration there, should you not have total control of your project.”

The center of De Beers’ operations today is based on Botswana, where it’s operate a partnership using the government because the 1960s. De Beers moved its gemstone sorting operations there in 2013 and also the Botswana government now holds 15pc of the organization.

The remainder of De Beers is a member of Anglo American. The 2 companies share an elaborate history, like a set of unmanageable stepbrothers switched parent and child. De Beers, founded in 1888 by Cecil Rhodes, is over the age of its parent, that was established by Ernest Oppenheimer in 1917 (it celebrates its centenary the following month). Oppenheimer bought into De Beers within the 1920s, and the family retained charge of it until 2011, when Anglo bought them out for $5.2bn.

Earlier this season De Beers moved into Anglo’s London headquarters, putting Cleaver four floors below his boss, Anglo leader Mark Cutifani. Cleaver insists that “moving in to the same building continues to be excellent its us”, mentioning that De Beers advantages of Anglo’s tech support team in mining, while its finance costs have fallen since it can borrow from the parent. For his part, Cutifani states De Beers is really a cornerstone of Anglo, scotching speculation it may be offered. 

De Beers’ contribution to Anglo’s earnings has fallen close to 20pc, as other goods, for example coal and iron ore, have risen in cost. The happy couple will mind to De Beers’ old home near Farringdon by 2020. During the last 2 decades, the gemstone industry has had steps to clamp lower around the flow of “blood diamonds” – gemstones from war-torn regions that are utilized to finance militia.

De Beers insists it may verify its very own logistics, and gemstone miners say there’s more transparency than in the past with what happens to be a secretive business. But considering that diamonds could be synthesised perfectly well inside a lab, could it be ethical to help keep mining them?

Cleaver believes he is able to “compellingly dispel” that concept. First of all, he argues, consumers ought to be given what they need: “People buy diamonds since they’re unique and rare and they’re forged through the miracle of nature over 4 billion years back. Anything produced in a piece of equipment can’t do this.” 

Secondly, and much more compellingly, Cleaver suggests the economical and employment advantages of mining for countries like Botswana, which now enjoys among the greatest GDP growth rates on the planet, because of diamonds. “In time I’ve been visiting the capital, Gaborone, I have seen the town grow incredibly,” states Cleaver. “It’s a significant factor to participate.Inches

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She built a $1.seven million beauty business while home-schooling her 14 children

The truth is that to pausing another when businesswoman Tammie Umbel pitched me on her behalf Shea Terra Organics skin-care company a couple of several weeks ago — and just how she built it while raising and residential-schooling 14 children.

Wow, I figured. How do you do this?

“The reason for Shea Terra never was supposed to have been to ensure that I possibly could get out there and work,” the 44-year-old mother and businesswoman stated. “Whatever I possibly could do while finding yourself in the kids’ presence as well as in their service once they need me physically and emotionally, i then would get it done. However I never stated I wasn’t will make money.”

Umbel travels the planet finding recycleables on her Dulles, Veterans administration.,-based business that mainly suits women. Ten employees manufacture products with names like Argan Oil, Shea Butter and African Black Soap.

The 2-decade-old company grossed $1.seven million in revenue this past year, Umbel stated. She switched an income of approximately $350,000 in 2016 — and it is appropriately happy with it.

This D.C. florist’s secret to surviving 114 many four generations]

“It’s difficult,Inches she stated, with notable understatement. “We need to keep our passports current, that is a nightmare. Airports are tough. Plenty of occasions, individuals airports are jerks.”

(Oh, really!)

The majority of Umbel’s ingredients are things I have not heard about, such as the argan oil from The other agents.

“In 2003, a Moroccan worker of mine introduced a container of argan oil in my experience that his mother had made. I understood immediately I held the oil for the future, although I detested it seemed like the a gas.”

She buys marula oil in Namibia, injecting some much-needed cash right into a former mining community. And Egypt is her supply of something known as Black Seed Oil.

“I built Shea Terra that old-fashioned way,” stated Umbel, who endures a Loudoun County farm together with her physician husband. “Hard jobs are how. Dedication. I required the cash I made and reinvested in the industry. No debt. No loans. No investors.”

As the organization is continuing to grow, Umbel has trained her staff so she will run the organization remotely from her Leesburg farm, one half-hour in the factory that they rents for $5,300 per month.

If she have to go to the factory, sometimes the kids come, too.

“I would line them up at tables within the shipping area and provide them (school) training while running backwards and forwards to orders,” she stated. “I would educate them alongside me when i ran the organization. Could it have been difficult? Very. However I was resolute to achieve success.Inches

The self-trained businesswoman has already established to understand marketing quickly. The majority of it originated from roaming the aisles at Vitamin Shoppe. She observed that retail sales required symmetry and continuity. Same color. All inside a line.

“Retailers want shelf presence,” Umbel stated. “They need to see five products together, arranged. They need so that you can place a whole regimen on their own shelves. They shouldn’t see only one piece. Should you required 10 different fragrances and 10 different products, you essentially have chaos.”

Umbel increased in Prince George’s County and spent a lot of her teen years living by her wits. She was created having a fascination with foreign cultures, including Asian and Indian.

“I was fascinated with different cultures,” she stated. “My closest friend was from Korea, and that i loved to visit their property and eat their food. I had been an unusual child.”

She’d go camping before a black-and-white-colored television watching public-service ads about hungry children.

“I was fascinated with that, and that i wanted eventually to produce jobs of these people,” she stated. “I was very mindful of human suffering.”

Umbel, a practicing Muslim, met her husband, Syed Ishaq, in a mosque when she was 16. He was 12 years older coupled with just showed up from Pakistan, where he’d attended school of medicine. Ishaq has become a kidney specialist — a nephrologist — with Inova Fairfax and Access Medicine.

“He was very handsome and well-mannered,” she stated.

She married him when she was 16 and delivered their first child 2 yrs later.

While her husband studied for his medical exams, Umbel in 1990 produced a clothing company which was modestly lucrative and focused on ethnic garb from South Asia and also the Middle East. She closed it lower after she grew to become pregnant using their 4th child.

She smelled — literally — another chance within the various worldwide individuals who frequented the Islamic Center near Washington’s Embassy Row.

“These ladies who hung round the mosque had natural splendor and skin they’d take proper care of using these different 100 % natural ingredients,Inches she stated. Some would cover themselves having a blanket and “smoke” their skin with forest from Africa.

“I saw each one of these different natural regimens and stated each one of these things might make an excellent business basically introduced these to the American population,” Umbel stated. “I could bring some very needed earnings in to the [African] villages.”

She began Shea Terra in 2000 within the basement of her Arlington home. Initially, she cooked up some shea butter. Then some cream. She trained herself steps to make soap.

The large break arrived beginning of 2001, when she came back from the extended visit to find $1,000 in shea butter orders online sales. Soon, she was selling $30,000 per month, reinvesting the majority of the earnings in the organization.

Umbel eventually gone to live in her current facility near Dulles Worldwide Airport terminal, where she makes and stores her products. The majority of her recycleables are traveled in through Dulles and trucked to her factory.

The greatest margins have been in her facial-care line.

The great factor concerning the beauty and skin-care business is it is commonly less impacted by recessions than the others. “People are actually vain and prepared to pay lots of money for his or her face,” she stated.

Shea Terra had a boost when actress Nicole Kidman published on social networking applauding its face wash. “She stated that her face was not that soft since she would be a baby,” Umbel stated. “She was thanking her celebrity aesthetician.”

It isn’t all glamorous, though. Surprisingly, the wonder business includes a harmful side.

“The border control individuals are frightening people,” Umbel stated, talking about her travels abroad. “Overseas, they have a tendency and give people generally difficulty. You do not know if you’re ever likely to see daylight again.”

But however, her children go locations that most others may never see.

“Not lots of kids can tell, ‘I is at Namibia as well as on a safari at Etosha Park,’ ” Umbel stated.

Brevan Howard’s millionaire co-founder returns to City after seven years out

Brevan Howard’s millionaire co-founder Alan Howard has came back to London after seven years in Geneva, resurfacing within the City just like it fights to retain its crown as Europe’s financial center publish-Brexit. 

Certainly one of Britain’s wealthiest fund managers, Mr Howard gone to live in Europe this year – a period when many within the City were lured over through the low tax environment – and remained there until earlier this weekend. 

Although his decision to gravitate back towards the United kingdom is timely, a resource stated his escape from Switzerland was for private reasons and doesn’t indicate further changes or any particular refocus on London.  

However most be wishing his return towards the United kingdom might trigger others to complete exactly the same, using the City pushing to help keep hold of  its status as Europe’s financial hub among Brexit-related uncertainty.  

That stated, while numerous investment banks look to relocate staff because of Brexit, many private banks are searching to increase their presence within the United kingdom inside a bid to win-over a few of the country’s wealthiest individuals. 

Deutsche Bank’s head of wealth management for Europe, the center East and Africa told Reuters on Monday that he wants to employ more private bankers in London because the region “is sort of a magnet for wealth.”  

“There are plenty of advantages which will not disappear with Brexit,” he stated, adding the United kingdom marketplace is “underutilized”.

His comments come days after Swiss private bank Julius Baer stated it desired to woo the UK’s wealthiest individuals living outdoors London by opening hubs in Manchester, Leeds and Glasgow.    

Revealed: how British American Tobacco exploited war zones to market cigarettes

British American Tobacco (BAT) has promoted sales of their cigarettes in probably the most fragile, war-torn and unstable countries of Africa and also the Middle East, documents seen through the Protector show.

tobacco a deadly business

While civilians appeared to be wiped out and metropolitan areas ravaged by violence, BAT went after possibilities to develop its markets.

The documents describe how cartons of any nicotine products were given to traders hidden in black bags in Somalia after Al-Shabaab banned sales and threatened punishments under Sharia law between late 2008 and early 2009.

Additionally they reveal that BAT made intends to launch in South Sudan just 2 days before it acquired independence in the north after many years of destruction from the civil war that left 4 million people displaced.

Plus they talk about an urban area in eastern DRC that isn’t on any map, produced by BAT to create and process tobacco leaf, where, based on a whistleblower, huge amount of money were sent to pay maqui berry farmers and staff, transported in secretly.

Paul Hopkins and hired gunmen protecting BAT management and local staff in Mogadishu, Somalia. Paul Hopkins and hired gunmen protecting BAT management and native staff in Mogadishu, Somalia. Photograph: Paul Hopkins

The documents were proven towards the Protector by Paul Hopkins, who had been utilized by BAT in Africa for 13 years, until he blew the whistle internally on which he describes as dishonest conduct he was later made redundant and left in December 2015. Hopkins attempted suing BAT for unfair dismissal but a work tribunal working in london ruled that his employment contract was controlled by Kenyan instead of British law stopping him from further going after his claim within the United kingdom.

The Intense Fraud Office stated earlier this year it had become investigating his allegations.

revealing that BAT along with other multinationals used threats against a minimum of eight African nations, demanding they axe or dilute the type of tobacco control measures which have saved countless lives in the western world.

Hopkins states that fragile states were of great interest to BAT, regardless of the sensible difficulties and dangers involved with moving cartons of any nicotine products and cash about.

“If you’ve got no government, you’ve nobody annoying you about health warnings and nicotine content,” he told the Protector. “No customs. You essentially pay your tax towards the local militias around the airfield where you stand landing.”

Requested through the Protector whether it had prevented local customs responsibilities and compensated cash to local militias, especially in the DRC, BAT was adamant it observes all “relevant laws and regulations and regulations” within the 200 countries that operates which had pre-compensated excise duty towards the DRC government.

Huge amount of money

One of the smaller cash drops, worth $2.5 million, which Paul Hopkins says was taken over the Ugandan border to the BAT town of Auzi in DRC

Among the smaller sized cash drops, worth $2.5 million, which Paul Hopkins states was absorbed the Ugandan border towards the BAT capital of scotland- Auzi in DRC Photograph: Paul Hopkins

Hopkins, an old soldier within the Irish Army’s special forces unit, states he was needed on several occasions to consider huge amount of money in cash in to the DRC. He states it had been destined for that capital of scotland- Auzi within the northeast, unnamed on maps.

Auzi have been built by BAT within the 1950s having a church along with a school. It had been operated by the subsidiary company BAT Leaf. Usually an outdoors security company required cash in to the DRC to cover the leaf, that was graded in Auzi however transported through Uganda to Kenya for manufacturing. But as the usual couriers were on leave, Hopkins states he was told to complete the run.

“When the elements isn’t bad, you are able to drive,” stated Hopkins. “It’s around an hour from Arua in Uganda, across wooden bridges and along dirt roads.”

Hopkins includes a photograph of the huge stack of notes, totalling $2.5m, he states he selected in Kampala and required with him on the Cessna plane that required removed from a personal airfield outdoors from the city.

He states he travelled to Arua, in which a security company utilized by BAT provided him legally having a pistol. Once on the other hand from the Congolese border, he stated, “I would rent an AK47 for a few days.”

But, he stated, “your best protection was the 40,000-plus maqui berry farmers [in eastern Congo]. They didn’t want the rebels to help you get since you were transporting their cash.Inches He stated he’d camouflage the dollars in bags of marketing products, for example BAT hats and pens, that they will give off to the rebels.

In Somalia, the documents show BAT had an approach to continue selling its cigarettes regardless of warnings through the fundamentalist group Al-Shabaab it would punish individuals who offered them under Sharia law.

A slide from the powerpoint presentation from 22 June 2011 states: “Market Assumptions. Somalia. No-Smoking ultimatum produced by Al-Shabaab now essentially. Cigarettes are actually a underground community commodity. Distribution has been produced in black paper bags. This led to about 16% reduction in IMS in May, with first week of June already 23% lower when compared with plan.”

Paul Hopkins says BAT brand cigarettes were hidden in plastic in Somalia after al-Shabaab banned sales.

Paul Hopkins states BAT brand cigarettes were hidden in plastic in Somalia after al-Shabaab banned sales. Photograph: Paul Hopkins

Another slide shows images of cartons of BAT brands Sportsperson and Royals, packed into unidentifiable gunny bags (hessian sacks) and delivered for purchase.

Hopkins informs of offering to safeguard the visits of BAT staff to Mogadishu, where they’d look into the prominence of BAT branded cigarettes on purchase within the war-torn city. He’s photographs of these posing with local militiamen, hired to safeguard them.

Somalia is really a lucrative marketplace for BAT, he states, because individuals such as the more costly brands. “The whole technique of the marketing department is to buy people smoking cheap brands like Sportsperson and migrate them to the global brands like Dunhill which are more lucrative. You decide to go right into a market having a value-for-money brand the the indegent are able to afford,Inches he stated.

Which was the process in impoverished South Sudan, a brand new condition produced after many years of war with huge numbers of people displaced as well as in dire poverty. 2 days before independence was declared on 9 This summer 2011, BAT met to organize the launch of their least expensive brands within the new condition.

“Our proper intent with this marketplace is to build up sustainable volume initially and also the value can come later. The intention would be to go into the market with Sportsperson and Safari brands that are already broadly recognised. A lot of the market is incorporated in the Low and incredibly Low segments,” stated the minutes from the Project South Sudan Start Meeting.

A Feb 2012 document from BAT’s Group Portfolio Management Office – Strategy & Planning mentioned the break-even point will be the purchase of 75m sticks for year one. “The overriding purpose of this project ended up being to go into the South Sudan market in Q4 2011 and set up a viable business design having a consumer relevant brand portfolio that gives a sustainable month on month organic volume growth using the cheapest possible investment,” it states.

In the centre East also, BAT has nurtured sales with what it describes as “volatile markets” – countries emerging from war or perhaps in the center of conflict, like Syria. An October 2011 internal BAT publication known as ezine states: “The Middle East is constantly on the deliver outstanding produces a volatile atmosphere. Dunhill has driven strong share development in the GCC [Gulf Cooperation Council region], and both Iraq and Iran have achieved impressive volume increases…

“In Iraq, [the BAT brand] Kent keeps growing in a spectacular 80% and consolidating its leading position within the premium segment. In Syria, despite very hard buying and selling conditions, Kent has bending its monthly running rate.”

“For BAT everyone is really a potential smoker and each country is potentially exploitable. Fragile states are particularly so since the normal rules don’t apply, taxes could be prevented, and cigarettes can nonetheless be offered profitably. Quite simply – as lengthy as money can be created, anything goes,” stated Anna Gilmore, Professor of Public Health in the College of Bath and United kingdom Center for Tobacco and Alcohol Studies. “Plus sooner or later most of the ‘fragile’ markets will formalise. BAT’s aim is to enter there early, get smokers hooked on its products before its competitors and, where relevant, obtain the best deals on local manufacturing options.”

‘As lengthy as money can be created, anything goes’

Paul Hopkins in Somalia.

Paul Hopkins in Somalia. Photograph: Paul Hopkins

Matthew L Myers, president from the Campaign for Tobacco-Free Kids, stated: “The allegations against British American Tobacco reflect a business prepared to … exploit any vulnerable population to make money – regardless of effects.

“As cigarette sales decline all over the world, British American Tobacco sees fragile states among the couple of remaining growth markets because of its deadly products. For an organization that does not care the way it makes its money or what laws and regulations have to be damaged to make sure future profits, countries experiencing instability present a distinctive chance.”

The Protector requested BAT whether it had promoted sales of their cigarettes in many fragile, war-torn and unstable countries including through under-cover operations, while civil war were ongoing, and when this had permitted these to ignore health warnings and nicotine content.

Inside a statement, an english American Tobacco spokesperson stated:“We take our dedication to the responsible marketing in our products seriously. We’ve strict, company-wide marketing concepts in position to make sure that our goods are marketed responsibly, additionally to sticking to any or all relevant laws and regulations and rules within the 200 markets where we operate.

“Specifically, we comply fully using the rules for cigarettes and tobacco products within the DRC – that have been in position within this country since 2007 – that prescribes health warnings and health warning sizes, and sets limits for tar and nicotine content. Furthermore, in other African countries, including South Sudan, Somalia and Somaliland, where there’s no tobacco regulation in position, we under your own accord use a side panel health warning on our products offered in individuals markets.

“We fully adhere to the appropriate tax law in each and every country by which we operate. Particularly, in DRC, excise on cigarettes and tobacco products is prepaid towards the government during the time of ordering excise/tax stamps. This can be a procedure that BAT adheres to strictly for those products it sells within this country.

“In each market where we’re present, we provide consumers a range of products, which could include local brands, worldwide brands and our global drive brands. Our strict worldwide marketing concepts apply, and therefore are stuck to, in each one of the 200 markets all over the world where we operate.”