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The Wall Street Journal reports this morning that a contractor says he told Wal-Mart CEO Lee Scott more than two years ago, telling him that there was a possibility that illegal immigrants were being employed as cleaners in the company’s stores.

The allegation has been made in federal court, where the illegal immigrants have filed suit against the company, charging it with profiting from the exploitation. There are no reports that it has been considered by the federal grand jury probing the hiring of the illegal immigrants by outside cleaning contractors to work at Wal-Mart, a probe in which Wal-Mart reportedly is considering writing a $10 million check to settle the case.

According to the WSJ, the contractor who wrote to CEO Scott told him that his company had lost contracts with Wal-Mart to companies that were using the illegal workers. The contractor, Raymond Drude, says he never heard back.

Wal-Mart denies that Scott ever received such a letter from Drude.
KC's View:
We’re have no idea if Drude or the feds have any evidence that the letter was sent. But if there is such evidence, suddenly a $10 million settlement check looks like a pretty decent bargain.

Though if this allegation is true, the pressure could well be on the Justice Department not to settle the case so cheaply.