Bell Pottinger's British Business Folds After South Africa Scandal

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Bell Pottinger’s British arm collapsed on Tuesday after the global public relations agency’s clients deserted it over a racially-charged political campaign it ran in South Africa, Reuters reported. After working behind the scenes on some of the most defining moments in recent history, from the election of Margaret Thatcher to the death of Russian spy Alexander Litvinenko, Bell Pottinger crumpled following a scandal of its own making. It entered a tailspin earlier this month after it was thrown out of an industry body for running a campaign in support of South African President Jacob Zuma, funded by the influential Gupta family, that sought to stir racial tension. Bell Pottinger, which is based in London, has lost customers, partners and its second-biggest shareholder in recent weeks, prompting the UK company to be put into administration -- a form of creditor protection -- after failing to find a buyer. “Following an immediate assessment of the financial position, the administrators have made a number of redundancies,” accountants BDO said on Tuesday. Read more.