Bill Gates: Philanthropy as corporate veil for power
Surrounded by controversies but with aim of multiplying his wealth Bill Gates started William H. Gates Foundation in the year 1994 under philanthropic veil which was later renamed as BMGF. — Vikas Sinha
धन्योअहंचास्थिमेधन्यंयस्माद्देवाःप्रवृद्धये। ददामिनास्तिसंदेहोनियमश्चमयाकृतः।।
“I am blessed, my bones are blessed, by which the gods will increase in number. I have taken the resolution that I will donate the bones.” These are the words of sage Dadhichi who sacrificed his body by donating his spinal cord to the Devas to defeat an asura. Indra’s weapon, Vajra, was made out of Rishi. This rightly explains sanatan notion of charity and donation.
But what to do when people in disguise of philanthropy fullfil their hidden greed for accumulating unending wealth. Yes you are absolutely right if it reminds you, likeme, of Bill Gates. As against what had been narrated Gates was born in a rich family. His father was a prominent lawyer, and his mother served on the board of directors of First Interstate Banc System and United Way of America. Gates’s maternal grandfather J.W. Maxwell was a national bank president. Using monoplistics policies at Microsoft he became a billion are only at the age of 31. With net worth of $128 billions Bill Gate stood as sixth richest person in the world. This is devoid of the fact that he had already donated more than $59 billion to the Gates Foundation, including a $20 billion gift announced in July 2022. The Gates foundation headed by Bill Gates and his former wife Melinda Gates had a $67 billion endowment as of 2022, the last time the organization released figures.It is the second wealthiest foundation in the world.
Surrounded by controversies but with aim of multiplying his wealth Bill Gates started William H. Gates Foundation in the year 1994 under philanthropic veil which was later renamed as BMGF. Over the years Bill Gates has been donating his wealth partially to the foundation which further makes investment to areas promoting his interest.
Some of the controversies involving Bill Gates and his foundation BMGF are as:
Alliance for Green Revolution in Africa (AGRA): Depicting the success of Green Revolution in India. BMGF advocated the narrative of Green Revolution for Africa and created AGRA which funded heavily into agricultural research for Africa. These researches promoted use of synthetic fertilizers and patented seeds in the form of GMO, being marketed by companies where BMGF has substantial economic interest including Monsanto, BASF, Coca Cola, PepsiCo, Unilever, and many others. The foundation has become the world’s leading funder of research into the genetic modification (GM) of crops and is funding organisations to push GM crops across Africa and to change national legislation on this issue amidst considerable opposition there.
Influencing policy making of International Organisations: BMGF uses private wealth to buy influence in the policies and priorities of international institutions and shape their policies which suit the economic interest of Bill Gates and his BMGF. Its influence is evidenced by the invitation and presence of Bill Gates, Melinda Gates, or both at high-level global health meetings such as the WHO’s World Health Assembly (WHA), and the opportunity to give speeches at the UN General Assembly.
BMGF funded heavily to change national legislation on the issue of GM Crop in Africa. The gates foundation still remains one of the top contributor to WHO. BMGF accounts for nearly 88 per cent of the total amount donated by philanthropic foundations to the WHO. Many of the BMGF executives have served on the board of WHO and similar international organisations shaping world policy. It has also financed heavily in collaboration with World Bank in many of its projects mainly aimed at influencing policies of the countries where its projects were being executed. GAVI alliance for vaccines was predominantly dominated by BMGF which clearly decided the policy on vaccine distribution in the world and prevented TRIPS waivers.
Unauthorised vaccine testing in India: In 2009 BMGF was found guilty of administering Human Papilloma Virus (HPV) vaccine to around 16000 girls aged between 9 and 15 in Khammam district of Telangana for observation studies for a cervical cancer. The vaccine used was Gardasil, manufactured by Merck. Subsequentlymany girls started falling ill and by 2010 five of them died. Two more deaths were reported from Vadodara, Gujarat, where an estimated 14,000 children studying in schools meant for tribal children were also vaccinated with another brand of HPV vaccine, Cervarix, manufactured by GSK. As many as 120 girls experienced adverse reactions such as epileptic seizures, severe stomach ache, headaches and mood swings. The Investigating committee found that requisite consent was not taken from the vaccinated childrens or their guardian most of whom were illiterate and could not even write in their local languages. The trial was conducted by PATH under funding of BMGF wherein international pharma companies used India as a ground for cheap medical trial. BMGF invested heavily in the shares of these companies and created a cartel for fixing the prices of medicines and vaccines.
Financial Influence on Media: The Gates Foundation not only funds newsrooms but also dictates how its money should be used, often directing coverage towards specific topics or through a particular editorial lens. This practice has been adopted by some of the most powerful news organisations globally. The Gates Foundation has provided over $325 million to various prestigious media outlets. This list includes the Guardian, Al Jazeera, NPR, Der Spiegel, Le Monde, CNN, the Atlantic, El País, the Financial Times, the Spectator, and the BBC. Media Impact Funders, an organisation that receives funding from Gates, reports that the foundation’s total spending on all media since 2009 exceeds $2.5 billion. This funding spans print, digital, and documentary content, alongside fellowships, conferences, and training programs. It also gave $165,000 to the Aspen Institute to improve media coverage of health issues in the developing world through journalism training.
GlobalAlliance for Vaccine and Immunization (GAVI): It is a public pvt partnership led by BMGF as its founding partner on one side and WHO, World bank, UNICEF on other side with the aim of increasing immunization in poor countries, as its listed vision. The alliance has been criticized for providing high subsidy to big pharma companies to execute research on developing vaccineswhich are expensive rather than coming out with low cost vaccines which are affordable to poor people. Till date BMGF has donated $4.1 billion to Gavi which ensured higher representation of pharma companies on the board of GAVI. In conflict of interest the BMGF has invested a large portion of its portfolio in these pharma companies. COVID-19 saw how the BMGF and pharma cos dictated the terms leading to unequal distribution of Vaccine among developed and third world countries and disallowing TRIPS waiver.
Cartel/Monopoly: Bill Gates Microsoft was held guilty in Sharman Antitrust law breach for misusing his monopolistics practices going against free market play. BMGF has been using its large investment from money donated by Bill Gates to purchase substantial stake in companies fulfilling itseconomic interest. Later on these companies create clandestine deals among themselves and create a Cartel to soar the prices to a new height. We have already witnessed how the pharma companies have altogether increased the prices of even life saving vaccines. Simmilar has been the case of agri based companies where BMGF has invested heavily. BMGF has lobbied very high not only to create a new market for this but also sought Govts support in marketing their products like the case of Monsanto, BASF.
Tax Evasion: Philanthopy is being used as an effective tool to evade tax liability. Donations made to charity and trust attract tax exemption and thus causes loss to exchequer which would otherwise had been collected for nation building. For every dollar a billionaire donates to charity, taxpayers chip in 74 cents in lost revenue. This is because wealthy donors not only reduce their income tax obligations, but also capital gains, estate and gift taxes. The concept of tax rebate for philanthropic donation prevails in almost all the countries. Bill Gates has been paying federal tax at rate lower than corporates due to his philanthropic donations. In turn the donation as made to his own trust BMGF serves his economic interest. Wealth accumulated at BMGF is exempted from taxation.
Unequal distribution of charity: BMGF has always been blamed for funding developed countries mainly United States and European countries. Though the list of beneficiary countries are large in number but when converted in terms of amount it barely matters. India has been donated approx. $1.68 Billions over the years as per data available on BMGF site while it is $37.6 Billion for USA.
Philanthropy has more to do with serving the mankind than merely distributing fund. For example Jamsetji Tata not only donated $102.4 billion but also introduced the revolutionary welfare practices like apprentice system at work, crèches and primary classes for children of women mill workers, and free medical help to all employees, gratuitous pension fund, provident fund, maternity benefit allowance and a compensation fund for accidents for all employees to name a few. He has topped the 2021 Edelgive Hurun philanthropists of the century, with total donations of $102.4 billion. Unlike Jamsetjee donating one’s income to serve his own economic interest under corporate veil not only goes against the spirit of philanthropy but also reduces resources which would otherwise have been used for benefit of deprived ones. In a world where the gap between poor and rich is abysmal adopting philanthropic veil will further broaden the gap of inequality.
The author is Chief Manager of Punjab National Bank (Delhi).
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