Ketchum Inc.
Ketchum Inc. is a global public relations firm and one of the largest public relations firms in the world. Ketchum offers marketing, branding and corporate communications services. Founded in 1923, Ketchum has 23 offices and 46 affiliates and associations in North America, Europe, Asia Pacific, and Latin America. Ketchum covers five global practice areas: brand marketing, corporate communications, healthcare, food and nutrition, and technology. Since 1996, Ketchum is a subsidiary of the Omnicom Group.
History
Ketchum has worked for some of the nation's largest corporations and industry trade groups. Over the years, the company has worked for such companies as FedEx, Wendy's and the California Raisin Advisory Board. Ray Kotcher currently serves as CEO of Ketchum, Inc.
Ketchum has fulfilled contracts totalling over $100 million for the United States federal government. These include work for the Department of Education and the Internal Revenue Service; for the U.S. Army, to "reconnect the Army with the American people" and boost recruiting around its 225th birthday; and for the Department of Health and Human Services, to "change the face of Medicare," promote long-term health care planning, encourage preventive care, and present home care information. Large contract increases for Ketchum since 2003 mirror the PR spending boost for the Centers for Medicare and Medicaid Services, suggesting that Ketchum's Medicare work may be more extensive than is currently known.
Department of Education scandal
The U.S. Department of Education has been accused of breaking Federal Law by paying commentators to publish articles and appear on talk shows promoting the agenda of the Bush Administration. The use of taxpayers money for this purpose is in violation of U.S. law and has been the subject of several Congressional investigations which reached their peak during the 2004 election battle. Some government reports have exonerated Ketchum and others strongly criticized the actions of the department and Ketchum. Further, Ketchum was strongly criticized by the public relations industry for its inept handling of this crises. [1]
Propaganda scandal
In 2004, Ketchum produced a controversial series of prepackaged news stories for HHS that featured actors posing as journalists and touted drug benefits. The ads aired on at least 40 television stations and violated a federal propaganda ban because they did not inform viewers that they came from the government, the Government Accountability Office stated.
According to HHS officials, Ketchum got the new work because it already had a multiyear contract to provide public relations services for the department. [2]