 |
| AP Photo/Bill Barrow |
Ronald Reagan used to say the nine most terrifying words in the English language are: I’m from the government and I’m here to help.”
These days those words might be applied to Amazon.
In 2019, Amazon was all set to “help” New York with the building of its second headquarters in Queens. But once taxpayers got a look at what it costs to land these projected 25,000 jobs — more than $2.8 billion in tax breaks — they decided to decline this gift.
Former President Trump also was on to its scam. Yes, Amazon delivered all kinds of products in record time and for less than its competitors, but it did so in large part because the U.S. Postal Service charged $2 to deliver its packages, even though the Postal Service’s costs were nearly $3.50.
So frustrated was Mr. Trump with the Postal Service’s refusal to renegotiate the Amazon deal or even create a plan to get the Postal Service out of this mess that he fired the postmaster general and had the new postmaster general fire most of the top brass.
Mr. Trump knew what Amazon was doing. It was taking advantage of the fact the Postal Service still considers its package delivery business to account for only 5.5% of its expenses when the actual total is about 25%. Thus, its losses in the package business look like gains, but its balance sheets, which are based in reality, look worse by the quarter even as package volume increases dramatically thanks to the pandemic.
Amazon locked in long-term deals with significant concessions on the part of the Postal Service and thus enjoyed discounts from the Postal Service that crippled its balance sheet but enabled Amazon to turn record profits. --->READ MORE HERE
 |
Reuters |
A pair of New Jersey men allegedly scammed the United States Postal Service out of some $6 million over the past two years by altering ePostage labels on hundreds of thousands of packages they shipped to customers through Amazon.
According to a criminal complaint unsealed Dec. 1 in New Jersey federal court, Ismail Yilmaz and Selim Memis, who went by the names Jack and Steven Koch, ran a virtual storefront, Fresh N Clear LLC, on Amazon Marketplace. Fresh N Clear sold a wide selection of household items, such as cases of bottled water and laundry detergent. The duo sent out roughly 30,000 parcels each month. But beginning in January 2018 and continuing through September 2020, postal inspectors say Fresh N Clear altered the labels on 97 percent of the packages reviewed by law enforcement, allowing them to pay a far lower “flat rate” price—$7.15 as opposed to $98.38, in one example cited by prosecutors—than they really owed. --->READ MORE HEREFollow link below to more Amazon News:
Amazon mandating drivers sign 'biometric consent' form or lose jobs: Report
If you like what you see, please "Like" us on Facebook either here or here. Please follow us on Twitter here.
No comments:
Post a Comment