Bell Pottinger

Bell Pottinger could go into administration as attempt to sell crisis-riven firm fails

London - Bell Pottinger’s attempt to sell itself has reportedly collapsed amid an exodus of clients and staff, succumbing to an unprecedented backlash over the London public-relations firm’s involvement in a racially divisive social-media campaign the company ran in South Africa.

Executives at Bell Pottinger told employees on Thursday the firm could be put into administration as soon as next week, Sky News reported on Thursday, citing unidentified sources. The last potential buyer being courted by financial adviser BDO has withdrawn from discussions, according to The Telegraph. A Bell Pottinger representative didn’t immediately respond to Bloomberg News requests for comment.

BDO has been racing against the clock to salvage some value from the prominent PR firm founded by a media adviser to Margaret Thatcher, following a damning investigation into its South African campaign. The probe found that work Bell Pottinger did on behalf of the Gupta family was potentially racially divisive, and this week the agency was kicked out of the UK PR-industry body in an unprecedented rebuke. Clients including HSBC and construction firm Carillion cut ties, and senior executives started jumping ship.

The firm said late on Tuesday that it had hired BDO “to look at all options regarding the future of the business.” That effort has now reportedly fallen short. Staff were told on Thursday that the company’s finances had become tenuous and they could terminate their employment, Sky reported.

Co-founder Timothy Bell told BBC’s Newsnight program on Monday that the agency was “probably nearing the end.” Bell, who formed the firm in the 1980s, left last year.

Bell Pottinger employs more than 240 people in offices dotting the globe, in locations including Bahrain, Kuala Lumpur and Yangon, Myanmar. The firm has served clients ranging from multinational businesses to governments and high-profile individuals, according to its website. It had £33.3m in revenue in 2015, and net income of £3.3m, according to data compiled by Bloomberg.

The agency attracted attention in the past for taking on controversial clients like former Chilean dictator Augusto Pinochet’s foundation. According to a 2016 report by the Bureau of Investigative Journalism, a US-funded anti-Al-Qaeda propaganda campaign that Bell Pottinger carried out in Iraq included fake insurgent videos used to track those who accessed them.

The latest crisis gathered pace this week after the investigation into the campaign carried out on behalf of the Guptas, who are friends with South African President Jacob Zuma and in business with his son.
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http://www.fin24.com/Companies/Adve...-to-sell-crisis-riven-firm-collapses-20170908

Hau Shem
 
Staff at Bell Pottinger have been told that the scandal-hit PR firm is likely to go into administration as early as next Monday after attempts to find a buyer failed.

The news was delivered to Bell Pottinger’s employees at its London headquarters on Thursday by chairman Mark Smith and a representative from accountants BDO, according to people briefed on the meeting.

BDO was hired in the past week to try to find new investment as clients and key staff deserted the agency in the wake of two reports that found it had stoked racial tensions in South Africa through its work for the powerful Gupta family.

One source said discussions became heated as staff sought clarity on their future and whether they would be paid.

The move to inform the company’s 250 employees of the gravity of the situation came after the Bell Pottinger board decided the company was now insolvent, the source added.
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https://www.ft.com/content/494a1d06-93e5-11e7-a9e6-11d2f0ebb7f0
 
It sickens me while the world clamps down on the 'pr' firm, sweet **** all is being done about it here, the employers(jz and guptas) just get away with it, its all just 'fake news' and ignored
 
Temujin said:
It sickens me while the world clamps down on the 'pr' firm, sweet **** all is being done about it here, the employers(jz and guptas) just get away with it, its all just 'fake news' and ignored
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This
 
Temujin said:
It sickens me while the world clamps down on the 'pr' firm, sweet **** all is being done about it here, the employers(jz and guptas) just get away with it, its all just 'fake news' and ignored
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Those questions are not going unasked at least.

Bell Pottinger exposed – what about those who briefed them? – Solly Moeng
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http://www.biznews.com/leadership/2017/09/06/bell-pottinger-solly-moeng/

Lots of thought in there but the local authorities seem remarkably paralyzed.

More concerned about the Gupta's dignity
http://www.news24.com/SouthAfrica/N...dignity-home-affairs-minister-mkhize-20170907
 
Ancalagon said:
Incidentally I heard that the Americans are looking into this too, and apparently American law is very... how shall I say... liberal with any money that has ever touched American soil. So, they might reclaim ANY money that went through the American banking system that was fraudulently obtained.

Not sure if the British will go that far, but they might. At the very least, the Guptas now cannot use any bank accounts in the US or the UK. And they might still lose money that was previously in an American bank but is now somewhere else.

JZ will have diplomatic immunity. The only thing he has to worry about is the flow of money stopping.
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Why would he have a diplomatic immunity ? He isn't a diplomat in the U.K. Or the US ? Being the head of state doesn't automatically assume immunity. Look at recent international arrest warrant for Sudan's President
 
I am extremely impressed with the way the UK handled this.

The speed at which Bell Pottinger has collapsed is nothing short of absolute joy.
 
buka001 said:
I am extremely impressed with the way the UK handled this.

The speed at which Bell Pottinger has collapsed is nothing short of absolute joy.
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Yep!

As soon as this happened, On Channel News Asia, Bell P Asia Division were on saying they are no way affiliated with this and they are removing themselves from the company and are relaunching under a new name. LOL. Fantastic
 
poffle said:
Yep!

As soon as this happened, On Channel News Asia, Bell P Asia Division were on saying they are no way affiliated with this and they are removing themselves from the company and are relaunching under a new name. LOL. Fantastic
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Yup. looks like the Asian division was, or somehow has, divorced itself from the mothership . Was in the press a day or 2 ago already with a shiny new name already for the plaque, Klareco.
https://www.businesslive.co.za/bd/n...its-asia-unit-to-from-klareco-communications/
https://www.ft.com/content/e2fbfa32-944e-11e7-bdfa-eda243196c2c
 
buka001 said:
I am extremely impressed with the way the UK handled this.

The speed at which Bell Pottinger has collapsed is nothing short of absolute joy.
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Bell Pottinger is a leading integrated, international reputation management agency
https://bellpottinger.com/

We are members of the APPC and the PRCA.
https://bellpottinger.com/practices/political/

Time for Bell Potty to correct their website?

Victoria Geoghegan's case for unfair dismissal can't be looking too good either.
It might have been interesting to hear her side of it under oath.
 
On the flipside, Victoria's initial reaction could have been not to go ahead with the ZA campaign, but was bullied into it, and later made a patsy.

Don't be too quick to judge, we do not know what really transpired on their side.
 
Bell Pottinger's Former CEO's Wedding To Heather Kerzner Has Been Put On Hold

Bell Pottinger's Former CEO's Wedding To Heather Kerzner Has Been Put On Hold

The Daily Mail has reported that the pending nuptials between James Henderson, the former CEO of disgraced PR company Bell Pottinger and Heather Kerzner, ex-wife of South African billionaire Sol Kerzner, has been put on hold.


A source told the news site that the wedding was postponed and no new dates had been set.
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The_Librarian said:
On the flipside, Victoria's initial reaction could have been not to go ahead with the ZA campaign, but was bullied into it, and later made a patsy.

Don't be too quick to judge, we do not know what really transpired on their side.
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Or she could have refused and resigned and taken her case to court. She didn't.
 
Sneeky said:
So Heather was doing the wild monkey dance with Henderson, ploughed a lot of cash into BP, happy days.
Now BP is going bust, Heathers cash is up in smoke and the 'everlasting eternal' love is now lost, lol
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Yip.. money is gone.. now the "love" is gone.
 
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