Mubarak's Egypt: Kleptocracy in Action

The heavy-machines company Caterpillar has been in the news a bunch recently, in part because the Caterpillar corporate server was hit by a major worm virus and in part because of an Israel divestment campaign by some American church denominations. But what the hot and bothered churchgoers don't realize is that while the clerics are busy divesting from Caterpillar... the Mubarak family that rules in Egypt is busy investing in Caterpillar.

At least, so says this eclectic Egyptian opposition website, which provides a list of companies in which the Mubarak clan own at least a 25% stake. As the Arabist Network notes:

When you’ve lived in Egypt long enough and you take an interest in politics, sooner or later you’ll hear a story about how one of Mubarak’s sons edged himself into a business. The one I heard was about one of the more prominent members of an old Egyptian family... The family didn’t have that much money left, but enough to start businesses and be able to take take advantage of certain business opportunities. This elderly man, at some point in the 1990s, managed to become the dealer for one of the more prominent European car brands...

As he was about to sign the deal, he received a visit from Alaa Mubarak, Gamal’s older brother. He offered him to become a 50% partner in the new venture — the venture that he had spent a number of years trying to set up. It was, as they say in The Godfather, an offer they couldn’t refuse... It’s practically impossible not to hand over some of your money to the Mubaraks if you live in Egypt.

So what other companies are held in the Mubarak family portfolio? According to the (unverified) list, it's a diversified portfolio indeed: KFC, BMW, McDonald's, Dove, Siemens, the Four Seasons, Michelin, HP, Compaq, Hyundai, Subway, Kraft, Heinekin, and on and on. As Mel Brooks kinda likes to say, "It's good to be the dictator."

Looks as if the Episcopalian clerics might do well to broaden their horizons.

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