halliburton thrives on war!

Halliburton accused of 'contract abuse' in Iraq. 28/06/2005. ABC News Online

[This is the print version of story http://www.abc.net.au/news/newsitems/200506/s1401946.htm]


Last Update: Tuesday, June 28, 2005. 10:15am (AEST)
Halliburton accused of 'contract abuse' in Iraq
A top United States Army procurement official says Halliburton's deals in Iraq are the worst example of contract abuse she has seen as Pentagon auditors flagged over $A1.3 billion of potential overcharges by the Texas-based firm.

Bunny Greenhouse, the Army Corps of Engineers' top contracting official-turned whistleblower, said in testimony at a hearing by Democrats on Capitol Hill that "every aspect" of Halliburton's oil contract in Iraq had been under the control of the Office of the Secretary of Defence.

"I can unequivocally state that the abuse related to contracts awarded to KBR (Halliburton subsidiary Kellogg Brown and Root) represents the most blatant and improper contract abuse I have witnessed during the course of my professional career," said Ms Greenhouse, a procurement veteran of more than 20 years.

Her blistering criticism came as the Democrats released a new report including Pentagon audits that identified more than $1.338 billion in "questioned" costs and $548 million in "unsupported" costs for Halliburton's work in Iraq.

Halliburton's subsidiary KBR is the US military's biggest contractor in Iraq and has been accused by Democrats of getting lucrative work there because of its ties to Vice-President Dick Cheney who headed the company from 1995-2000.

KBR's Infrastructure Division Global Headquarters is located in Adelaide and it has secured a number of big Australian military contracts.

Halliburton is also a major contractor for Australian public infrastructure projects and owns 40 per cent of the Darwin to Adelaide rail link, which it will also run for 50 years.

Pressed by lawmakers whether she thought the Defence Secretary's office was involved in the handout and running of contracts to KBR, Mr Greenhouse replied: "That is true."

"I observed, first hand, that essentially every aspect of the RIO (restore Iraqi oil) contract remained under the control of the Office of the Secretary of Defence. This troubled me and was wrong," Ms Greenhouse said.

Halliburton issued a statement strongly rejecting comments by Ms Greenhouse and others at the hearing, including a former KBR employee who accused the company of overcharging for food services provided to troops under a logistics deal.

"The only thing that's been inflated is the political rhetoric which is mostly a rehash of last year's elections," spokeswoman Cathy Mann said of the hearing.

-Reuters


Wonder how much is going in backhanders to Cheyney, Rummy, and Bush?
Could Halliburton also have ripped us off with our NT railway contract?

GZ