Fuel Fraud Latest In Army Contracting Woes
CBS News Exposes Kickback Scheme, As Epidemic Of Wartime Military Contract Fraud Grows
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Army Contract Fraud Crisis
Bribes and kickbacks are ripping off the U.S. military. Over 80 criminal fraud cases involving contractors in Afghanistan and Iraq are under investigation. David Martin reports.
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A new report said the Army lacks the leadership and personnel, both military and civilian, to provide sufficient contracting support. (CBS/AP)
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By comparison, the Air Force takes contracting much more seriously and officers in the field can aspire to positions of greater responsibility. It is not a coincidence that most of the ongoing investigations are targeting Army personnel, the panel said.
Since 2001, provisional offices have sprung up in the Middle East and Afghanistan to buy items such as bottled water, laundry services, barracks, food, transportation, and warehouse services.
But in certain places, such as Camp Arifjan in Kuwait, there were too few qualified people, too little oversight, high staff turnover, and poor record-keeping. In the midst of those shortcomings came a huge flow of dollars for the war, creating an environment ripe for misconduct and inefficiency.
A separate Army task force was assigned to examine a random sampling of the 6,000 contracts worth nearly $2.8 billion issued since 2003 by the Kuwait office in a search for rigged awards and sloppy work. That review is to be completed by the end of the year.
The Army Criminal Investigation Command already has 83 ongoing criminal investigations related to wartime contract fraud. Nearly two dozen military and civilian Army personnel have been charged or indicted and more than $15 million in confirmed bribes has changed hands, according to the command.
To federal acquisition experts, the Army's contracting problems come as no surprise. Following the end of the Cold War, defense budgets were cut sharply and so was the contracting work force.
Members of Congress derisively referred to acquisition personnel as "shoppers and buyers" and questioned why so many were necessary, according to Steve Boshears, chief knowledge officer at the National Contract Management Association in Ashburn, Va.
"Contract management was looked at as an administrative function - too much overhead and too hard to see the value it added," said Boshears, a retired colonel and a former Army contracting officer.
Over nearly a decade, few new contracting personnel were hired, which meant there would be a shortage of replacements when older workers retired. At the same time, contracting was becoming increasingly complex as the government outsourced more to the private sector using often subjective criteria.
Gone were the days where the lowest bid got the contract. Now, those making the decisions are expected to select the offer with the "best value" to the government and to perform detailed analyses of a company's past performance.
After 2001, when the amount of spending for the wars exploded and annual defense budgets exceeded $600 billion, the demands on this undersized, aging work force accelerated and led to the much-publicized breakdowns.
"This didn't happen overnight," Boshears said.
© MMVII, CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.



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See all 112 CommentsHow about it BUSH & CHENEY you can make up for some of those deferments and mia reports. Hey Condie and Rummie wanna give it a go?
Can''t be all that bad, afterall we''re winning!!
Those bush girls don''t look too busy--they can go too!
He remembers someone reading him something (the Emperor relies on people reading things to him because he can''t read), that during the Civil War, the armies on both sides relied on private citizens and families providing for their own people. This meant families would provide the food, uniforms, and arms used by their loved ones who marched off to fight.
The Emperor believes this is a great idea! He would declare war and not have to worry about paying to supply the troops; let the soldier''s friends and loved ones do it! It would also be the responsibility of the soldier to arrange for his own travel to the front lines, get and pay for their own medical needs when injured, pay for their own medals (that is happening already with Purple Hearts!), and dig their own graves when they know they aren''t coming back!
In the meantime, the Emperor will continue to demand billions of dollars from Congress to "support the troops", which means supporting the bottom lines of Blackwater, Halliburton, KBF, and every other war profiteer out there!
SIG HEIL, BUSH!!!
This is not the "latest" fraud.
This is just the latest FRAUD that has been DISCOVERED!
There are many other frauds yet to be uncovered.
Many more will be uncovered long after Bush leaves office (if he leaves office).
Bush, Cheney, the other stinking animals in their administration and the aiders and abettors of this criminal regime should be dumped in Fallujah and forgotten--they are thieving, filthy scum whose names will live in infamy for betraying this nation and the soldiers who serve it.
Re: "So far two former employees of Kellogg, Brown and Root have been arrested for their part in a scheme worthy of Tony Soprano."
"The two KBR men, who worked for the U.S. military at Bagram, forged receipts for 80 tanker loads trucked in but never delivered, according to court documents. The Pentagon paid for the undelivered fuel while the drivers sold it on the black market. For their role in the scheme, KBR employees divvyed up an estimated $800,000 in kick backs, reports Martin."
For those who do not know, KBR is a subsidiary of Halliburton- the company that sends millions of dollars in checks to ******** Cheney.
Posted by trillion1 at 07:32 PM : Nov 01, 2007
A big ''Amen'' to that .
Yeah and they''re gonna start with you cowardly Repugniscum Neocons--make you put your tiny little balls where your big fat mouth is, "tough guy". You must be a real terror on the video games with a screen name like "badaxmofo". I bet in real life your a little pussie!
Posted by javak at 07:21 PM : Nov 01, 2007
With respect, war is always for the rich, if it weren''t for Big Business and "Organized religion" there would never be a war. That is the History of the World. Poor people do not make war, they may fight for survival but that is totally different than making war.... Wars are fought so that those that ''have'' can get ''more''...
THIS ENTIRE WAR IS A FRAUD!!
LIES from Beginning to the End!
Tax Cuts for the Filthy Rich!
Middle Class Kids do the fighting and the dying!
Blackwater Civilian-Killers get immunity!
Bush and Cheney were LYING, Saddam Wasn''t
Hundreds of thousands of Dead Iraqis!
The Bush DEATH and DESTRUCTION makes Osama Bin Forgotten look like a wimp!
The rulers who OWN our COUNTRY are WAR PROFITEERS - Stealing the OIL, Building the EMPIRE
JAIL CHENEY JAIL BUSH Murderous Thugs
For your information,..KBR,...Kellogg,Brown& Root,..Halliburton are the Biggest Non-union contractors in the whole world,..Get out from under your rock !!!They are stealing billions of OUR money!
You hit the nail on the head.
Posted by ToolMangler at 08:05 PM : Nov 01, 2007
Like Bush''s grand-daddy and great grand-daddy. They made the family fortune by selling arms and ammo to both sides in WWII. Just another case of the rich using war to make even more money off of the blood of American soldiers.
I don''t know how the people that vote for this dirt ball sleep at night. Their water beds must be filled with American blood.
Try:
Missing Buildings In 9/11 New Footage Latest In Army Contracting Woes
Tell me that this doesn''t demonstrate a "rob the store" mentality on behalf of the administration.
Untrained contract managers overseeing $100 billion in contrats.
This stratches the definition of the word "inept" to beyond comprehension.
What name will you be using tomorrow?
Day before yesterday it was "theferrier". I reported you for spamming.
Yesterday it was "USAProphet". I reported you for spamming.
Today it''s "OldProphet", and I''ve reported you again.
Considering that no one bites on your ron Paul spam, you think you could take a hint.
But I''ll report you every day you spam.
Posted by formrusmcsgt at 09:26 PM : Nov 01, 2007
............
Ron Paul for Unemployed Politician 2009!
Was there ever an investigation / an outcome to the investigation?
Posted by USAyesterday at 09:30 PM : Nov 01, 2007
Is this guy eat up with it or what? (Must be Paul''s son-in-law, eh?)
Like we need a John Bircher to follow a warmongering megalomaniac. Geez.....
Was there ever an investigation / an outcome to the investigation?
Posted by hungry1968 at 09:33 PM : Nov 01, 2007
Gee. You don''t actually think that because Cheney has Halliburton holdings in his trust that that could have anything to do with no one being prosecuted, or even indicted, do you?
Posted by formrusmcsgt at 09:42 PM : Nov 01, 2007
I know - I was just wondering if there was ever a lie generated to cover it up, or if it was ignored until it went away.
However, the Great Emperor is concerned about the bottom lines of Blackwater, Halliburton, KBR, and other "contractors" (war profiteers is a more accurate term) which is why the Emperor continually demands money from Congress (all of it borrowed from China) to "support the troops", while denying those same troops any time at home to spend with their families. And, he is confident that he will get every last dime from his blindly stupidly loyal Fascist Republicans and the cowardly spineless Democrats.
GOD HELP THE USSA!!!
SIG HEIL, BUSH!!!
...............
As much as I like what Ron Paul represents... he has no more of a chance to become President as Ross Perot did back in 1992!
Underground popularity wins internet time, not a presidency.
The sad thing is... every forum, every message board, every user group has the same types of postings that we see here on this site every f''ing day, every f''ing news story.
I swear, if there was a news story about a christian conservative caught ******** a monkey at a zoo...
...there would be a posting on how Ron Paul is a supporter of animal rights and supports increased federal funding on public zoos!
Loss in this war doesn''t mean loss to Bush and Cheney.
Cheney has already transferred Halliburton''s head office and CEO to Dubai, United Arab Emirates ( A country whose Royal Family members were having lunch with OSAMA BEEN-FORGOTTEN when Sir Bill Clinton once planned to execute him).
Loss in this war doesn''''t mean loss to Bush and Cheney.
Cheney has already transferred Halliburton''''s head office and CEO to Dubai, United Arab Emirates ( A country whose Royal Family members were having lunch with OSAMA BEEN-FORGOTTEN when Sir Bill Clinton once planned to execute him).
Posted by patriotic9 at 09:55 PM : Nov 01, 2007
Unreal isn''t it. The media can dig into the Clinton''s and try to smear campaign once again but they will not report stuff like this. If we can only get the media to report the news
......
It''s really sad tucker.
Your post can simply be categorized under "No *****" because anyone who has a brain, and is educated/knowledgeable about politics and the corruption of politicians realize all that you and so many other people say on this board every f''ing day.
All we can do, I guess, is to just repeat our posts like we do. It''s always the same sheeple who fight the obvious (as you had posted).
We''re banging our head against the wall!
Posted by downtowner97 at 10:11 PM : Nov 01,
I think if we could get the media off tabloid news, and start reporting real news that affect this country it would be a great thing. They have been in the tabloid business so long they forgot how I think.
This one sure got buried in a hurry:
"Veteran Suicides Highest Yet Recorded"
www.cbsnews.com/stories/2007/11/01/terror/printable3439629.shtml
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Doesn''t CBS care much about our troops?
Those responsible for this corruption should not be punished since
JESUS DIED FOR THEIR SINS.
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