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Paul Desmarais, Jr., OC, OQ (born July 3, 1954) is a Canadian businessman in his hometown of Montreal.
He is the eldest son of Paul Desmarais, Sr. Currently he is the chairman and co-chief executive officer of Power Corporation of Canada.
Desmarais was born in Sudbury, Ontario. He was educated at Lakefield College School in Lakefield, Ontario, McGill University in Montréal, Quebec, and at INSEAD in Fontainebleau, France, where he earned a Master of Business Administration. He is a Roman Catholic.
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Power Corporation of Canada (TSX: POW) is a Canadian company that has assets in North America and Europe in the fields of mass media, pulp and paper and financial services.
The company was criticized for its links with politics canadienne1, and specifically for its commitment to the defense of federalism in Quebec. Indeed, several former Canadian prime ministers have worked in it: Brian Mulroney, Jean Chrétien, Paul Martin, etc.. In addition, he is accused of using his media such as the press to spread his political views and to convergence.
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Power Corporation of Canada 2 was formed in 1925 by broker Arthur J. Nesbitt and his partner Peter Thompson AT. Nesbitt was the first president of the company. Power Corporation was established as a holding company to manage their substantial investments in utility companies involved in the sector of electric power in the Eastern Townships of Quebec and in other Canadian provinces of Ontario , Manitoba and British Columbia. In the last part of the 1930s, the company acquired a controlling interest in Bathurst Pulp and Paper Company Ltd and in 1938, Canadian Oil Companies Ltd.. She sold the first to Shell Oil Company in 1962.
In 1952, Arthur J. Nesbitt was replaced as president by his son Arthur Deane Nesbitt (1910-1978). The family sold most of their interest in Power Corporation to the group Paul Desmarais Sr. in 1968 and 1970, she had no involvement.
Power Corporation owns 100% of Gesca Ltd., 66.4% of Power Financial Corporation and 7.1% of CITIC Pacific.
Although it was originally established as a utility company power, under the control of the political relations of Paul Desmarais Sr., the company became a conglomerate with major interests in publishing and the finance3 industry. Power Corp is widely described as the power behind the Canadian government and the most influential elected
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Corporate Governance
Current members of the board of directors of the company are: Laurent Dassault, André Desmarais, Paul Desmarais Sr., Paul Desmarais, Jr., Anthony Graham, Robert Gratton, Don Mazankowski, Jerry Nickerson, James Nininger, Robert Parizeau, Michel Plessis -Bélair, John Rae, Amaury-Daniel de Seze and Szathmáry Emöke. The Fellows of the directors of the company are: James Burns and Michael Pitfield.
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The scandal "Oil against food"
A U.S. investigation into the UN Oil for the scandal against food has determined that Power Corporation had important links with the French bank BNP Paribas, was chosen in 1996 to negotiate the program "Oil against food." Power Corp. held a Paribas through its subsidiary Pargesa Holding SA5. The portfolio also includes Pargesa Holding SA Imerys, a major mining entity owned by the Desmarais family and Albert Frère, the tycoon Belgium6.
Desmarais and Frère families are also major shareholders of the oil company Total SA, the largest French company in the pétrole7. Total was the subject of a formal investigation by the United Nations in February 2010 for alleged corruption involving oil deliveries from Iraq during the rule of dictator Saddam Hussein
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Policy
The company is controlled by Paul Desmarais (father) and Paul Desmarais (son). It is one of the thirty members of the North American Competitiveness Council, a group whose advice direct the policy of security and prosperity of North America (SPP). In addition, the company has long been a close ally of the Liberal Party of Canada, although the current or former members of other Canadian political parties have also worked for Power Corp.. Below is a brief summary of the connections between Power Corp. and those with political power in Canada:
Former Prime Minister of Canada, Paul Martin, was hired in the 1960s to work for Paul Desmarais (father) by Maurice Strong. Martin became president of Canada Steamship Lines (CSL), a subsidiary of Power Corp., and in 1981 Desmarais sold the company to Martin and a partner. Martin then made his personal fortune as owner of CSL.
Former Prime Minister of Canada Jean Chretien has served on the board of Power Corp. subsidiary Consolidated Bathurst in the late 1980's before becoming the leader of the Liberal Party of Canada. Chretien's daughter, France is married to the son of Paul Desmarais, Sr., Andrew. The chief of staff Jean Chrétien, Eddie Goldenberg worked in the past for Power Corp.
Former Prime Minister of Canada, the late Pierre Trudeau, served in the mid-1990 Power Corp of the International Advisory Board. His assistant, Ted Johnson also worked for Power Corp..
During the administration Michael Pitfield held various positions in government, but in the private sector, he was both Vice President of Power Corp. and is currently considered a Director Emeritus.
Former Prime Minister of Canada Brian Mulroney also has a relationship with Power Corporation. His friend Ian MacDonald described Desmarais as "Mulroney's mentor in the business world," and we think that Mr. Mulroney has done legal work for Power Corp. since the end of his term as prime minister. In addition, the former minister Don Mazankowski Transport is currently Director of the company Power Corp..
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The former premiers of Ontario William Davis and John Robarts of the Progressive Conservative Party have both supported Power Corp. to the National Advisory Council. John Rae, the brother of former NDP premier Bob Rae is currently the executive vice president.
Former Quebec premier Daniel Johnson, Jr. worked for Power Corp. from 1973 to 1981 and over the last three years of that term, he was vice president of the company.
The former Liberal member of Canada's Maurice Strong became President of Power Corporation. He had a role in the creation of the Canadian International Development Agency and in 1976 he was appointed head of Petro-Canada. He then worked for the United Nations.
The International Advisory Board of Power Corp. has also been linked with people like former German Chancellor Helmut Schmidt, former oil minister of Saudi Arabia Sheikh Ahmed Zaki Yamani, the former head of the Federal Reserve, Paul Volcker, and as we noted earlier, former Prime Minister of Canada Pierre Trudeau.
The former president of the Caisse de depot et placement du Quebec and CEO Henri-Paul Rousseau became the vice president of the company and a member of the Board of Directors of Power Corporation.
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