It’s noon on the first day of the Democratic Convention. About 700 foreign political leaders, who are in Los Angeles to watch American democracy in action, are being treated to a luncheon at the Dorothy Chandler Pavilion. There, Milan Panic, chairman of Costa Mesa-based ICN Pharmaceuticals Inc., sits in his chair at a table about 10 yards from the podium. A few minutes later, Panic’s friend, President Bill Clinton, will come out and address the group. On one side of Panic’s table is the ambassador from Bosnia and Herzegovina, the head of international relations for France’s Socialist Party, an ICN board member and the company’s chief lobbyist in Washington, D.C. But Panic isn’t paying much attention to them. Instead, his eyes scan the crowd. Over at one table is Secretary of State Madeline Albright. At the same table is Walter Mondale, former vice president and a former ambassador to Japan. Also in attendance are Los Angeles Mayor Richard Riordan and District Attorney Gil Garcetti. The Rev. Jesse Jackson walks by, sees Panic and strikes up a conversation with him. As is his custom when he talks to people, Panic points a finger toward Jackson’s chest. After a minute of talking, Jackson leaves. Panic’s departing words: “Keep up the good work.” Last week’s Democratic National Convention was a big affair for Panic, arguably the best-known Orange County businessman involved in Democratic politics on a national level. The colorful businessman and former prime minister of Yugoslavia is a notable party celebrity,and a sizable benefactor, too.
Unusual Champion
“I am a Democrat, a very liberal Democrat,” he said. “It’s unusual for the Democratic Party to have a former prime minister as a member.”
Panic’s unabashed support for the Democrats also is unusual for the chairman of a large company in Orange County, where most business executives are Republicans.
While Panic has faced his share of controversy over the years, his business pedigree is solid. He’s built ICN Pharmaceuticals from scratch 40 years ago into a company that has a $2.3 billion market cap and $747 million in sales last year. Still, some businesspeople might have felt out of place at the Democrats’ party, where there was a clear disdain for some industries. At the start of the convention, the Democrats issued a press release with the headline, “Big tobacco not welcomed” and touted that their convention didn’t solicit donations from tobacco companies. Some health maintenance organization executives might have bristled at the gathering’s repeated calls for a patients’ bill of rights. And some speakers outright mocked the Republican candidates for their ties to the oil industry. Not even Panic’s industry was spared. In a speech on the convention floor, Terrence McAuliffe, chair of the Democratic National Convention, criticized Republicans because “they didn’t stand up to the pharmaceutical companies.”
Kinship With Democrats
But the 70-year-old Panic, who fought Nazis and then communists before fleeing his native Yugoslavia in the 1950s, said he feels a kinship with the Democrats. “From the very beginning, I supported the positions of blacks 30 years ago,” he said. “I was anti-war on Vietnam. I am for the equality of women, the same salary for the same job. It’s not very popular, but it’s a question of principle.”
But Panic’s support of the party isn’t universal. When asked whether he supports more liberal Democrats who promote higher taxation of corporations, he said, “I’m liberal when it comes to the issues, but I’m fiscally conservative.” An ICN official declined to say how much Panic spent on the convention, other than to acknowledge it’s in the tens of thousands of dollars. Not only is Panic a contributor to the Democrats, ICN Pharmaceuticals hosted a reception for the National Democratic Institute at the Ritz-Carlton Huntington Hotel in Pasadena. The institute, which is backed by the party, promotes democracy in nations around the world. The group sponsored the foreign politicians who visited the convention and attended Clinton’s speech at the Dorothy Chandler Pavilion.
Panic has easy access to these politicians, as many of them work in countries where ICN does business. He gave a welcoming speech to them.
Good Investment
Panic said his one-year stint as prime minister of Yugoslavia in 1992 taught him that training foreign politicians about the ways of democracy is a good investment. “I’m trying very hard to use my American experience of democracy and my experience in Yugoslavia,” he said. “They are such diverse systems,one is almost not functioning and the other is almost perfect. My experience is helpful to these people and that’s why they come around and consult me.” At the gathering, Panic talked to politicians from Mexico, Cameroon, the Balkans, Russia and elsewhere. He said the foreigners are perplexed by the low voter turnout for U.S. elections. “In poor countries, about 80% to 90% of the public is involved in politics,” he said. “When you have a healthy economy as prosperous as ours, then it’s difficult for people to get involved in politics. That’s what these people don’t understand,” he said.
Panic’s access to politicians extends to Washington, too. He proudly mentions a thank-you note he received from President Clinton for his role in bringing a peace agreement to Bosnia.
Walking a Fine Line
But Panic rejects the idea that it is good business for him to have such political ties, even though he’s had run-ins with federal regulators. He said a U.S. senator recently approached him for advice on drug issues. But Panic said he declined to offer any.
“I make a distinct difference between American politics and business,” he said. “I don’t like to connect the two. Business is business and politics is my duty as an American. I don’t promote business at all. People will come to you if you’re a good businessman, not because you’re a good politician.” Panic said he’s attended all but one Democratic convention since 1960, the last time it was held in Los Angeles. He missed the one in 1992 because he was serving as prime minister. Panic has taken vacation time to focus on the convention. He was invited to a Hollywood salute to the president but didn’t attend, preferring to attend a separate dinner for Clinton a couple days later. Panic hosted a party at his Pasadena mansion for the foreign politicians. He partied with the California delegation at Universal Studios. He walked the floor of the convention, shaking hands with delegates. Panic said the foreigners find the convention to be more show than substance. But he loves the convention, saying it’s “a typical Americana style” that Americans can afford because they are wealthy. “I am an immigrant and I appreciate this system more than most Americans,” he said. “I adopted this country.” n
