RawStory: Halliburton Accused in New Wave of Overbilling (Waxman Report)

[Hissyspit]

http://www.rawstory.com/news/2006/Democratic_oversight_review_of_Halliburton_contract_0328.html

Undisclosed documents shed light on further Halliburton billing abuse; $57m in new questioned charges
03/28/2006 @ 10:47 am
Filed by RAW STORY

An analysis by a Democratic congressman of Halliburton's third major contract in Iraq found that the firm's third contract was ripe with allegations of billing abuse, RAW STORY has learned.

According to Waxman's review, some $57 million in charges were questioned by the Defense Contract Audit Agency, an arm of the Pentagon, in a random audit of several task orders. Out of $111 million in costs examined, $57 million were questioned or unsupported -- more than 50% of the total costs for these orders.

Halliburton has faced scrutiny of its Iraq contracts before -- they were awarded a secret "no-bid" contract as the US went to war in Iraq in March 2003. Army auditors previously questioned large chunks of Halliburton's billing, but the company was awarded a bonus for their work regardless.

- snip -

Rep. Henry Waxman (D-CA) released the first analysis of Halliburton's "Restore Iraqi Oil" 2 contract Tuesday. The examination of previously undisclosed correspondence, evaluations, and audits reveals that government officials and investigators have harshly criticized Halliburton's performance under RIO 2.

MORE

Full PDF File of Waxman report HERE

[MadMaddie]

1. This is war profiteering clear and simple

criminal charges need to be filed against Halliburton...No Bid contracts must be eliminated.

[Hissyspit]

2. But this is the response so far:

"Though the Army flagged $263 million of an earlier $1.5 billion contract as unsupported, they ultimately decided to pay the firm $253 million of the 263. This was reported by the New York Times in February."

[MadMaddie]

7. Yea I remember that...well I hope that Bonatine Greenhouse

is brought back....because let me tell you a sister on a mission to clean up the corruption is a storm you don't want to be caught up in.....

Oh...I can't wait......

[wordpix]

10. nice that BFEE and CheneyFudd will get their $253M bonuses

[rodeodance]

11. there wee no repercussions for them last time and prob. will not be now.

[wordpix]

13. that's right-they got $253M of $263M overbilled. Big Whoop

[rocktivity]

3. The following post is part of Bush's GULF WAR GOOD NEWS initiative

Ex-Halliburton CEO and American Vice President Dick Cheney can look forward to the interest from 57 million dollars in his pension fund--GOOD NEWS!

:party:
rocknation

[unblock]

4. why do they bother overbilling?

the shrubbies would gladly pay them whatever they ask for.

if the contract is "cost + 10%", then just take over a supplier and have the supplier charge an arm and a leg for supplies.

e.g., supplier gives a hammer to halliburton and charges $250,000. halliburton charges gov't $250,000 + $25,000. halliburton makes $25,000 profit on a hammer procurement deal. nice work if you can get it! the supplier separately funnels the money back the $250,000 back to halliburton (minus $5 for the hammer).


oh, i'm sure you think that would be illegal, but as people like cheney and scalia know, it's only illegal if democrats do it.

[Hissyspit]

6. GREED on top of GREED

Incredible.

[Hissyspit]

5. One of the report's bullet points: ARROGANCE

"Refusal to Cooperate: Evaluations described Halliburton as 'obstructive' with oversight officials. Despite the billions in taxpayer funds Halliburton has been paid, the company's 'leadership demonstrated minimal cooperative attitude resolving problems.'"

[leesa]

8. Yes. We Know. Halliburton is stealing the US treasury. They're almost

done now.

[wookie294]

9. MISSION ACCOMPLISHED

[lovuian]

12. Thats why Rumsfeld has a jobs the Pentagon keeps giving

Halliburton the contracts!!!

[JudyM]

14. Henry Waxman is one of the hardest workers in Congress, for years. nt

[DainBramaged]

15. How much body armor will $57,000,000 buy even at list price of $499

114,228 complete sets, enough to outfit just about the entire Iraqi Freedom Force.

Level IIIA 911 Tactical/Concealable vest with two 8" X 10" tactical pockets (Free trauma plate included)




Fucking sad, fucking sad.

http://www.interamer.net/index.asp?PageAction=VIEWCATS&Category=305

[MissMillie]

16. The PDF link isn't working for me

anyone else having trouble with it?

[MissMillie]

17. try this one

http://www.democrats.reform.house.gov/Documents/20060328091257-29180.pdf

[Hissyspit]

18. Thanks, MissMillie. I didn't test it before I had to leave my laptop. n/t

[Lostnote06]

19. Waxman/Conyers......very efficient/dedicated

Americans.....I wish them well

[UpInArms]

20. Halliburton overcharged for Iraq oil work-report

http://today.reuters.com/misc/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=uri:2006-03-29T001446Z_01_N28212618_RTRIDST_0_ARMS-HALLIBURTON-UPDATE-1.XML

WASHINGTON, March 28 (Reuters) - Halliburton Co. <HAL.N>, the world's second largest oil services company, repeatedly overcharged taxpayers and provided substandard cost reports under a $1.2 billion contract to restore Iraq's southern oil fields, according to a new report by U.S. Rep. Henry Waxman.

Waxman, a California Democrat, said Democratic staff members of the House Committee on Government Reform examined a series of previously undisclosed government audits and correspondence that criticized Halliburton's performance under the "Restore Iraqi Oil 2" (RIO2) contract.

The documents, which cover the period from January 2004 to July 2005, painted "an absolutely abysmal picture of Halliburton's RIO2 work" and cited profound systemic problems, misleading and distorted cost reports, he said.

Halliburton, a Texas-based company formerly run by Vice President Dick Cheney, dismissed the committee report as partisan and said it focused on old issues with the two-year contract that have been resolved.

<snip>

In one case, the agency said Halliburton tried to inflate cost estimates by $26 million. In another, it said Halliburton claimed costs for laying concrete pads and footings that the Iraqi Oil Ministry had already installed.

The report said the same agency reported Halliburton was "accruing exorbitant indirect costs at a rapid rate," while the Defense Contract Audit Agency challenged $45 million of $365 million in costs as unreasonable or unsupported.

...more...

I am so surprised :sarcasm:

[Canuckistanian]

21. If they ever charged what thay were contracted for

Or even fully fulfilled the requirements of a contract - THAT would be news.

[slay]

22. The same Halliburton that DICK CHENEY used to run?

I'm shocked I tell you - SHOCKED! :sarcasm: Seriously though, if this was a Democrat VP's ex company, it would be all over FoxNews 24/7. :(

[NanceGreggs]

23. Halliburton ... formerly run by Vice President Dick Cheney.

'Nuff sid?

[MasonJar]

24. How many times have they overcharged? How much harm have

they imposed on Iraq? Why? To line Cheney and CEO pockets. of course.

[mitchum]

25. These thieves are stealing our goddamn $$$$$$$$$$$$$$

[goforit]

26. Hit'em hard Waxman!

[Hissyspit]

27. He earns his salary. n/t

[Hissyspit]

28. kick

[classysassy]

29. Black kid in the ghetto

steal a loaf of bread gets 10 to 20 yrs,Haliburton steals billions get their contract to continue stealing,thats fair and its the american way.

[Hissyspit]

31. Belated Welcome to DU!

:toast:

:patriot:

[eppur_se_muova]

30. How can they pick out a "wave" from this continuous flood???

Kick for Waxman and Conyers. Geez, can't anyone else in Congress grab a shovel and pitch in?