http://www.guardian.co.uk/commentisfree/cifamerica/2010/nov/12/afghanistan-us-militaryAfghanistan: military quagmire and government money pit
One reason US reconstruction work in Afghanistan is so fruitless is that oversight into where the billions go is wholly inadequate Pratap Chatterjee
guardian.co.uk
Friday 12 November 2010
Louis Berger, a major construction company headquartered in New Jersey, has agreed to pay out a record $69.3m in fines (pdf), the largest ever such penalty imposed on a contractor working in the war zones of Afghanistan and Iraq. The company has been awarded billions of dollars in contracts for the construction of roads, schools and electrical plants in Afghanistan.
Harold Salomon, a former senior financial analyst at the company, discovered that company officials were sending bills for items like the cost of the music system in its Washington, DC office to the US Agency for International Development (USAID). Salomon blew the whistle on estimated overcharging of up to $20m and took the company to court with the help of Phillips & Cohen, a trial law firm in Washington, DC.
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The litany of financial mismanagement goes on. In a fourth audit issued by Sigar in October, investigators reported that Nangarhar province in eastern Afghanistan was receiving millions of dollars in aid which local government officials were unable to properly oversee. "This haphazard approach to development assistance results in overlapping, or duplicate, projects, and also a lack of much-needed facilities because donors funnelling in millions of dollars do not know what specific projects the various donor countries are responsible for," Maj Gen Fields reported. "This is a recipe for a disaster, and a recipe for tremendous waste of money and resources."
Nine years after the invasion of Afghanistan, one has to ask the questions: why is there no proper way to manage money in Nangarhar (where the US has a major military base); why are police stations in Helmand and Kandahar (the two provinces with the largest military operations) unusable; and why is there, apparently, no way to tell whether or not the government salaries are being paid out properly; and what, finally, has happened to the last 18bn of US taxpayers' dollars spent in the country?
Yet, reconstruction funding is only part of the problem in Afghanistan. An estimated $14bn a year has been spent by the Pentagon and Nato on contractors to build bases and drive fuel trucks. Some of that money is believed to leak out into the hands of insurgent groups like the Taliban, according to an investigation conducted by the US Congress.
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