Monday, Nov 30th

Last update11:40:24 PM GMT

You are here News Military Pentagon hires contractors to regulate contractors

Pentagon hires contractors to regulate contractors

E-mail Print PDF

Instead of keeping watch itself, the Department of Defense today relies on contractors to monitor the work of other contractors, a risk strategy that became cemented during the Iraq War thanks to a politically-connected-and powerful-company with ties to the Bush White House.

In late 2004, the U.S. Army command overseeing logistical support for troops in Iraq had a serious problem on its hands. Army officials had hired KBR, then a subsidiary of Halliburton, which Vice President Dick Cheney had helped lead, to supply soldiers with food and other supplies. But at least $1 billion in billing by KBR was questioned by the Pentagon's Defense Contract Audit Agency, resulting in the Army deciding to withhold 15% of its payments to KBR.

Company officials fought the withholding and pressured both the Defense Department and Congress to release the money it claimed it was owed. So the Army removed those who had raised alarms over the billing and hired another company, consulting firm RCI, to conduct its own audit of KBR costs.

RCI didn't find any problem with KBR's billing and the contractor got most of its money.

"This was a form of buying the audit that you want and the Army, who was relying on KBR for the major troop support in Iraq, gave this contractor a green light for business as usual ... running up as much costs as possible with the war as an excuse," wrote Charles M. Smith and Robert H. Bauman, two former Pentagon oversight and investigative personnel, for Truthout in recalling the KBR controversy.


Most Recent Related Stories...

UH-60 Black Hawk helicopter crash kills 4 in Fort Hood, Texas

helicopter crash at Fort HoodA UH-60 Black Hawk helicopter, similar to the ones pictured, crashed during a routine training mission...

Obama's drone war a 'recruitment tool' for Isis, say US air force whistleblowers

drones a recruitment tool for ISISFour former US air force service members, with more than 20 years of experience between them...

Raytheon moves forward with Multi-Object Kill Vehicle program

Raytheon kill vehicleRaytheon completed the first Program Planning Review with the U.S. Missile Defense Agency for its Multi-Object...

Opaque military justice system shields child sex abuse cases

Military shields sex abuse casesChild sex offenders are the largest category of inmates in U.S. military prisons, yet a full...
America's # 1 Enemy
Tee Shirt
& Help Support!
TVNL Tee Shirt
Conserve our Planet
& Help Support!
Get your 9/11 & Media
Deception Dollars
& Help Support!
The Loaded Deck
The First & the Best!
The Media & Bush Admin Exposed!