CAPE TOWN - The law firm
that embattled PR agency Bell Pottinger retained to investigate its work for
Oakbay and the Gupta family, has concluded that the company’s South African
campaign was “potentially racially divisive” and breached ethical principles,
fin24 reports.
The findings of a review by international law firm Herbert Smith Freehills were
published on Monday afternoon, the same day that Bell Pottinger head James
Henderson stepped down. The two-page document states that Bell Pottinger’s South African campaign
included material meant to divide South Africans.
“Certain material that we have seen that was created for the campaign was
negative or targeted towards wealthy white South African individuals or
corporates and/or was potentially racially divisive and/or potentially
offensive and was created in breach of relevant ethical principles.” Herbert Smith Freehills found that the PR firm did not, however, invent the
term “white monopoly capital”.
Also read: Bell Pottinger found to break code of conduct
“Whilst that phrase was, on occasion, used by the BP account team as part of
the economic emancipation campaign we have seen no evidence to suggest that the
term was one that BP invented.” The law firm found that the PR campaign also breached ethical principles in
other aspects of its campaign, but did not include details.
"We have seen evidence that the BP account team used other tactics in
relation to the economic emancipation campaign which arguably breached the
relevant ethical principles, including taking steps which might mislead or
undermine journalists who were asking questions in relation to the campaign.” It found that Bell Pottinger senior staff should have “exercised extreme care”
regarding the content of the Oakbay campaign.
“While we do not consider that it was a breach of relevant ethical principles
to agree to undertake the economic emancipation campaign mandate per se,
members of BP's senior management should have known that the campaign was at
risk of causing offence, including on grounds of race.” Bell Pottinger was not behind the massive social media campaign to drive the
narrative of white monopoly capital, found Herbert Smith Freehills.
“We have not seen any evidence to suggest that, as has been alleged, the BP
account team used or instructed others to use so-called Twitterbots in the
promotion of the economic emancipation campaign.” Shortly before the review was released on Monday, Bell Pottinger CEO James
Henderson officially announced his resignation today in a short statement.
Henderson said
he felt “deeply let down” by colleagues who mislead him about the content of
the OakBay account. He said he was leaving Bell Pottinger so that the business could “move forward
in the best interests of its clients and staff”. Henderson did
not name the colleagues who he claims mislead him, but his statement likely
refers to four employees dismissed in July.
Bell Pottinger fired partner Victoria Geoghegan and suspended three more staff
members after sustained pressure by South African civic society into its
relationships with the Guptas.
In its review, Herbert Smith Freehills found that there were “certain instances
where members of senior management were provided with information or
confirmations by the account team in relation to the work being done which were
inaccurate and misleading.” However it also found the senior executives did not monitor the account closely
enough.
The two-page findings leave a number of questions unanswered, including
questions about Bell Pottinger's work for the ANC Youth League and the MK
Veterans Association as revealed in the #GuptaLeaks emails. Bell Pottinger, for its part, stated that it would put in place new measures to
ensure that in the future its work corresponded to the “highest ethical and
industry standards".
The Democratic Alliance
lodged a complaint against Bell Pottinger with the British-based Public and
Relations and Communications Association (PRCA) for allegedly stoking racial
hatred in South Africa.
The DA’s complaint was upheld, but the company appealed the PRCA’s decision.
The PR body is set to announce it final ruling in the matter on Tuesday.