NBC says McKinsey was advising an agency whose engines powered Russian missiles while advising a U.S. defense and intelligence agency.
McKinsey & Co., a U.S. consulting firm, is said to have worked on contracts for the Pentagon and U.S. intelligence agencies, as well as providing services to the Russian state-owned defense agency Rostek, some of the military hardware now being used to attack Ukraine, according to NBC News.
McKinsey was working with Rostek when the firm adopted a sensitive national security plan for the U.S. Department of Defense and the intelligence community, NBC reported Saturday. The American consulting firm told News Network that their work with the Russian defense and space giant was not directly related to the weapons system.
According to NBC, the former Rostek relationship raises questions about the potential conflict of interest of a firm that advises various U.S. government agencies, in some cases involving national security issues and many of the country’s leading corporations, according to NBC. McKinsey has previously drawn similar scrutiny about working with Chinese state-owned companies.
“It’s really hard to understand how an American consulting firm … wants to be involved in sensitive areas of Russian defense or intelligence or scientific installations.” Adviser Scott Blacklin, former head of the US Chamber of Commerce in Russia, told NBC. “And when you talk about Rostek, you’re talking about all those mixes.”
McKinsey spokesman Neil Grace said the firm had strict anti-conflict policies and its overseas operations. “Wall off” From his project in Washington. The firm’s services for Rostec related routines “Commercial and operational issues” He added, and “It would not be fair or accurate to describe this act as benefiting the Russian military.”
Rostec is Russia’s largest defense company, and one of its affiliates has exclusive rights to Russian arms exports. It oversees the research and development of new military hardware “Checkmate” Fighter jets, and their companies manufacture weapons ranging from armored combat vehicles to helicopter attacks. As NBC noted, many of the missiles used in Russia’s military operations against Ukraine are powered by Rostek-built engines.
McKinsey has previously been accused of ignoring potential conflicts of interest when consulting with opioid manufacturers and their federal regulators, the Food and Drug Administration, at the height of the U.S. opioid crisis. The firm agreed to pay $ 573 million last year to help settle the allegations “Turbocharge” Opioid sales contribute to addiction that leads to more than 400,000 deaths.
U.S. Senator Maggie Hassan (D-New Hampshire) has suggested McKinsey “Behavior style” Raised “Serious concern” Its about foreign work. “Whether it’s the substance abuse crisis or the work for state-owned enterprises in places like Russia and China, I’m deeply concerned by McKinsey’s choices, and the US government continues to deal with McKinsey despite this potential conflict.” He told NBC.
Many former McKinsey employees have played influential roles in business and government. Its former advisers include U.S. Transportation Secretary Pete Boutig, Sheryl Sandberg, Facebook’s chief operating officer, and Susan Rice, a national security adviser under then-President Barack Obama and now head of President Joe Biden’s Domestic Policy Council.
McKinsey has done consulting work for Russia’s largest bank, SberBank, VTB Bank and state-owned energy giants Gazprom and Rosneft, NBC quoted court documents as saying. In March, the firm announced that it was withdrawing from Russia, joining an exit from Western corporations to punish Moscow for the Ukraine conflict.
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