- The Army official who managed the Pentagon’s largest contract in Iraq says he was ousted from his job when he refused to approve paying more than $1 billion in questionable charges to KBR, the Houston-based company that has provided food, housing and other services to American troops.
- The official, Charles M. Smith, was the senior civilian overseeing the multibillion-dollar contract with KBR during the first two years of the war. Speaking out for the first time, Mr. Smith said that he was forced from his job in 2004 after informing KBR officials that the Army would impose escalating financial penalties if they failed to improve their chaotic Iraqi operations.]
- Army auditors had determined that KBR lacked credible data or records for more than $1 billion in spending, so Mr. Smith refused to sign off on the payments to the company. “They had a gigantic amount of costs they couldn’t justify,” he said in an interview. “Ultimately, the money that was going to KBR was money being taken away from the troops, and I wasn’t going to do that.”
- But he was suddenly replaced, he said, and his successors — after taking the unusual step of hiring an outside contractor to consider KBR’s claims — approved most of the payments he had tried to block.
- Army officials denied that Mr. Smith had been removed because of the dispute, but confirmed that they had reversed his decision, arguing that blocking the payments to KBR would have eroded basic services to troops. They said that KBR had warned that if it was not paid, it would reduce payments to subcontractors, which in turn would cut back on services. ("Army Overseer Tells of Ouster Over KBR Stir," The New York Times, by JAMES RISEN, June 17, 2008)
Showing posts with label kbr. Show all posts
Showing posts with label kbr. Show all posts
Tuesday, June 17, 2008
and what kbr wants....
Wednesday, April 11, 2007
profiteering on this war..., and the next
i suppose to empasize that dick cheney was ceo 1995-2000 of these guns for hire and has defended them doing business in iran is somehow to make unfair aspersions.
i suppose to empasize that dick cheney was ceo 1995-2000 of these guns for hire and has defended them doing business in iran is somehow to make unfair aspersions.
- Halliburton is moving to UAE at a time when it is being investigated in the U.S. for bribery, bid rigging, defrauding the military and illegally profiting in Iran. It is currently in the process of divesting all of its ownership interest in the scandal-plagued KBR subsidiary, notorious for overcharging the military and serving contaminated food and water to the troops in Iraq.
- Although Halliburton will still be incorporated inside the United States, moving its corporate headquarters to UAE will make it easier to avoid accountability from federal investigators....
- Halliburton has also used its operational structure for contracts in Iraq and post-Katrina -- especially multiple layers of subcontractors -- to elude oversight and accountability to taxpayers....
- The United States has no extradition treaty with the UAE....
- Sarah Anderson of the Institute for Policy Studies notes that most Fortune 500 companies have global operations, so that moving an entire headquarters to another country is not necessary. "With today's technologies, there's no real reason to have to physically relocate," she said....
- Martin Sullivan, contributing editor at the nonpartisan Tax Notes magazine, said relocating to the no-tax jurisdiction of Dubai would change Halliburton's tax situation "significantly" even though the company would still be registered in the US. By re-locating its CEO and other top executives to Dubai, Halliburton can argue that a portion of its profits should be attributed to the no-tax jurisdiction, he said.
- Halliburton earned a record $2.3 billion in profit last year. That's almost equal to the $2.7 billion the Pentagon found in the company's overcharges in Iraq. ("Halliburton bails out of Iraq, KBR and now America," 12 March 2007, Halliburton Watch)

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