Kodak significantly increased its lobbying spending before getting a $765 million contract from the trump administration to produce antiviral drugs, according to a document released by the U.S. Congress on Tuesday.
according to the document, Kodak spent $870000 in the second quarter of this year to lobby US Congressmen and federal agencies. Prior to that, the company spent less than $5000 on lobbying in the first quarter of last year, and since then until the second quarter it has been zero.
according to the U.S. Congress report, three Kodak executives, including the chief financial officer, lobbied the US Department of defense, the food and Drug Administration (FDA), the White House and US overseas private investment companies in the second quarter. Kodak specifically lobbied for the covid-19 project, which involves “specialty chemicals manufacturing,” as well as the cares act and another new crown epidemic relief act.
novel coronavirus pneumonia was released by the Trump administration at the end of July this year, and the government announced a $765 million financing agreement with Kodak to produce the new crown pneumonia medicine raw material. The day before the announcement, Kodak’s share price soared by more than 2000%, bringing unexpected wealth to its executives, some of whom, including its chairman, received options granted by the company the day before the announcement.
on August 4, the US Securities and Exchange Commission (SEC) announced an investigation into whether Kodak’s information disclosure was suspected of violating the rules. The US International Development Finance Corporation (DFC) said that Kodak’s $765 million pharmaceutical raw material loan agreement with the US government had been shelved because of “recent allegations of misconduct”.