Blackwater Firm to Pay Gov't $42M in Fines

(AP)  The troubled security firm formerly known as Blackwater will pay $42 million in fines to settle thousands of violations of U.S. export control regulations, according to The New York Times.

The newspaper reported on its website Friday that the Moyock, N.C.-based company now known as Xe Services reached a settlement agreement with the State Department.

The alleged violations included providing sniper training for Taiwanese police officers, illegal weapons exports to Afghanistan and making unauthorized proposals to train troops in south Sudan, the newspaper said. The State Department requires government approval before the transfer of certain types of military technology or knowledge to other countries.

A company spokeswoman confirmed the deal to The Associated Press but did not immediately know the amount. State Department spokesman P.J. Crowley said he was unaware of the settlement and had no comment.

The settlement involves practices from before Blackwater was rebranded as Xe Services.

The private company provided guards and services to the U.S. government in Iraq, Afghanistan and elsewhere. It became one of the most respected defense contractors in the world but also attracted sharp criticism over its role in those missions.

It has been trying to rehabilitate its image since a 2007 shooting in Baghdad that killed 17 people and outraged the Iraqi government. A federal grand jury has indicted five Blackwater officials on conspiracy weapons and obstruction of justice charges.

The company still has contracts to provide security for both the State Department and the CIA in Afghanistan. In June, the CIA gave Xe an additional $100 million contract to provide security for its regional offices in Afghanistan.

Blackwater Firm Gets $120M U.S. Gov't Contract

[tsigili]

Big deal. How much did our government pay out to them, in the first place? Billions.

[DSR_57]

Troubled company ???? It's funny when CBS makes up headlines, Blackwater is doing Great ! They have more work now then they ever did . I also like how they said that all combat troops are out of Iraq but are being replace by double the amount of Civilian Security forces... What's the difference of having troops or civilians with guns in Iraq ??

[curse914]

Yeah BlackWater is great, they pay a tiny fine for selling arms to Afgahnis. They are an extension of the Unitary Executive Arms dealing POTUS, Ronney Raygun. This weapon sold to the enemy is for the "Gipper."

[NoWayJose9999]

Wow. TAlk about a slap on the wrist. The're getting off scott free for murder.
This rotten POS of a company made hundreds of millions if not billions off of the blood of Americans, and innocent civilians.

[NoWayJose9999]

Wow. TAlk about a slap on the wrist. The're getting off scott free for murder.
This rotten POS of a company made hundreds of millions if not billions off of the blood of Americans, and innocent civilians.

[U8ntINdMiL]

As a military member, I feel that these private contractors are out of control. Our government shouldn't have hired these folks from the beginning. Many of us in the military feel insulted that our government would not truly entrust us to defend the nation and carry out all combat missions. If the Government would give us better benefits (like... ceasing the collection of Federal and state taxes on us, since we are U.S. Government property) then the military would stay full. Also instead of giving money to contractors our "wonderful political leaders" should make shure that hurt and injured combat veterans (like myself) get the medical help that we need, when we come back home. We give our lives for this country and we get nothing but a (below) minimum wage check and a pat on the back. How about some dedication to the military from key political leaders? We've been "there" for the government since the inception of this nation. It is time for the political and government leaders of this country to truly stand with the military, instead of giving money away to corporations (that just dont give a crap about our nations security). Political speaches and promises sound good but, we (in the military) are looking for results and a bold demonstration of loyalty. Instead of expanding the military (like Gulf War Generals had encouraged and advised congress to do in the early 90's)... Our "***omnipitent and all knowing***" political leaders made the decision to downsize the military by 2 divisions. Looks like that decision bit the country in the butt. Unruly, unkept, and unregulated corporations like blackwater are paid billions to escort dignitaries and perform combat missions when Soldiers can do the job much better. It's really a slap in the face to every military man and woman in uniform... Seeing your government selling itself out to the lowest bidder instead of entrusting you (as the military, uniformed servicemember) to carry out your orders. Our country only needs the military, not private assasins doing whatever they want to do.

[curse914]

The Oligarchs need a private Army that "they can trust." The trick is getting all of us to pay for their person army that protects investment capital in unstable regions.

[curse914]

The Oligarchs need a private Army that "they can trust." The trick is getting all of us to pay for their person army that protects investment capital in unstable regions.

[taxchurches]

With a standing army of over 1,400,000 and over 800,000 in the reserves, why do we even employ these people? It seems a recipe for disaster. We don't even know who these people are, or anything about their training, qualifications or character. One assumes their motive is profit, but what if it isn't? And even if it is, what does it tell us about someone who gets paid to kill people? Surely a mercenary could make a living painting houses or collecting garbage. There must be some employment for able-bodied persons that doesn't involve potential bloodshed.

[astro1959]

They pay 42 Million in fines and most likely made 2.7 Billion in Profits paid by you and me!

[ddal10]

All of these contractors should be put in uniform if they want to serve our country in battle. The danger of private armies cannot be understated. Anything done in the American Peoples name when it comes to war must mean that these people are answerable to the American People and not to some CEO.
The Military is mission driven and Corporations are Profit driven. The only way to increase the bottom line is to find more people to kill outside a mission mandated by the President who Represents the people. They have provided services that are valuable but the danger of operating outside of the mission to increase the bottom line is just too tempting. They must answer to the People, They must be in uniform...

[ddal10]

All of these contractors should be put in uniform if they want to serve our country in battle. The danger of private armies cannot be understated. Anything done in the American Peoples name when it comes to war must mean that these people are answerable to the American People and not to some CEO.
The Military is mission driven and Corporations are Profit driven. The only way to increase the bottom line is to find more people to kill outside a mission mandated by the President who Represents the people. They have provided services that are valuable but the danger of operating outside of the mission to increase the bottom line is just too tempting. They must answer to the People, They must be in uniform...

[rwsmith29456]

I think using contractors to engage the enemy is stupid. The US government should have DIRECT power over anybody in the field.