Federal Government targets politically uncooperative FedEx (Indicts for second time)

FedEx_DC10 cc Fed Ex was just indicted on charges that it helps facilitate the transport of illegal drugs, especially from Canadian pharmacies. (Where drugs are much less expensive.)

That the CEO of FedEx, Fred Smith, is an ardent supporter of free enterprise, who has supported free market political groups such as the Competitive Enterprise Institute, and runs a non-union shop is a coincidence of course. That FedEx’s main competitor, is pro-union UPS (UPS got away with a $40 million fine, FedEx is looking at potentially over $1 billion) is also a coincidence. That pharma, which has close ties to this White House (and every White House) doesn’t like cheaper drugs coming in from Canada, is also a coincidence.

Yup, everything is on the up and up.

Additionally it should be noted that FedEx is refusing to spy for the government and this irks the Feds particularly. FedEx rightfully argues that policing the packages in their system is not their job. Their job is to get packages from point A to point B in a timely manner. Also abusing the trust of their customers is not exactly good for business.

This indictment is all about control. So will every business now have to spy on its customers to stay within the good graces of the government? That’s the case in retail banking. Now they’re coming after the packaging companies. What’s next?

(From CNBC.com)

FedEx on Tuesday pleaded not guilty in a San Francisco court to charges that it conspired to distribute controlled substances from illegal Internet pharmacies.

The shipping company is accused of delivering controlled substances and prescription drugs from illegal Internet pharmacies despite multiple warnings from government authorities, according to a 15-count indictment filed earlier this month. Instead of closing the pharmacies’ accounts, FedEx is accused of changing the shipping account classification.

Click here for the article.

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