12.9.05

What Oligarchy tastes like

The contracts that keep on giving. So far several indictments are pending (I'm holding my breath), there is the threat of criminal prosecution, and the reccomendation that portions of the contract be held back pending a financial review.

Note: this doesn't include the 'movie library' of 10,000 units that cost $152M to build.

'Money' quotes:


• Marie deYoung, a Halliburton logistics specialist, testified about subcontracts under which Halliburton paid $45 per case of soda and $100 per 15-pound bag of laundry. Ms. deYoung also disclosed that Halliburton did not comply with the Army’s request to move Halliburton employees from a five-star hotel in Kuwait, where it cost taxpayers approximately $10,000 per day to house the employees, into air-conditioned tent facilities, which would have cost taxpayers under $600 per day.15 •

Henry Bunting, a Halliburton procurement officer, described how he and other buyers were instructed to split large purchase orders into multiple purchase orders below $2,500 in order to avoid the requirement to solicit multiple bids. Supervisors routinely told the employees responsible for purchasing: “Don’t worry about price. It’s cost-plus.”16 •

David Wilson, a convoy commander for Halliburton, and James Warren, a Halliburton truck driver, testified that brand new $85,000 Halliburton trucks were abandoned or “torched” if they got a flat tire or experienced minor mechanical problems. Mr. Warren brought these and other concerns to the personal attention of Randy Harl, the president and CEO of KBR. He was fired a few weeks later.17 •

Mike West, a Halliburton labor foreman, described how he and other Halliburton employees spent weeks in Iraq with virtually nothing to do, but were instructed to bill 12-hour days for 7 days a week on their timesheets. In addition, his superior directed him to buy unnecessary equipment, telling him: “Don’t worry about it. It’s a cost-plus-plus contract.”18

No comments: