Army Official Ousted For Refusing To Approve $1 Billion In Questionable Iraq Funds

New York Times:

The Army official who managed the Pentagon's largest contract in Iraq says he was ousted from his job when he refused to approve paying more than $1 billion in questionable charges to KBR, the Houston-based company that has provided food, housing and other services to American troops.

The official, Charles M. Smith, was the senior civilian overseeing the multibillion-dollar contract with KBR during the first two years of the war. Speaking out for the first time, Mr. Smith said that he was forced from his job in 2004 after informing KBR officials that the Army would impose escalating financial penalties if they failed to improve their chaotic Iraqi operations.

Army auditors had determined that KBR lacked credible data or records for more than $1 billion in spending, so Mr. Smith refused to sign off on the payments to the company. "They had a gigantic amount of costs they couldn't justify," he said in an interview. "Ultimately, the money that was going to KBR was money being taken away from the troops, and I wasn't going to do that."

But he was suddenly replaced, he said, and his successors -- after taking the unusual step of hiring an outside contractor to consider KBR's claims -- approved most of the payments he had tried to block.

Army officials denied that Mr. Smith had been removed because of the dispute, but confirmed that they had reversed his decision, arguing that blocking the payments to KBR would have eroded basic services to troops. They said that KBR had warned that if it was not paid, it would reduce payments to subcontractors, which in turn would cut back on services.

Read the whole story: New York Times

Comments

[The5thW]

This is damning evidence that the regime and their Democrat collaborators will never yield power voluntarily, with billions in long term contracts in jeopardy. You think assassination is anything to them?. Obama, pick your VP carefully. A "radical" like Kucinich would be your best insurance.

[The5thW]

Democrats: "We're shocked! Shocked, I tell you."

[oberon123]

Can someone explain to me how it is possible in this country to impeach a president for engaging in consensual adult sexual relations, and not impeach another president for engaging in blatant acts of treason and high crimes?

[tinarm]

What we have had for the last 7 years is an administration who has tried to keep the economy going by borrowing, debt, and the military. Keep these big companies in money they think it will eventually trickle down. Though throughout history is has proven to be wrong. Ronal Regan was a good man, but when he left office we had huge deficits due to trickle down economics, same with George Bush Sr. and now his son. It's the only way republicans know and that will not change. You would think they would have figured out the history behind this crap, but their noses are stuck up corporations so far they can't see.

[wndrwrthg]

War profiteering is punishable by death. Let us have trials and if guilty carry out the sentance.

[Nonamnesiac]

Impeachmen­t/removal. 67 Senators necessary for removal are reached when those Republicans running for reelection for the 22 Republican Senate seats up in November either vote for removal of Bush/Cheney or are removed by the voters of their states. Once Articles of Impeachment are competently presented the Ameican people wll demand impeachment/removal of both of them.

Impeachment/removal is the only accountability weapon for executive criminalty. It's not enough to rely on elections, as the precedent is now set for criminal behavior in the White House or in the Executive Branch to continue. Congress's failure to move impeachment/removal means they are collaborating in high crimes and misdemeanors.

[bluesnot]

Extortion of taxpayer money.

[Oldbuck]

This tipical of what been going on in Iraq from the beginning we sent our military over there poorly equipped but have spent enough money to have won two war of the same size should have cost. KBR , Dyno Corp , Backwater have over bill the government for billions and have done shoddy work from the start. This can all be tied back to Cheney ,Bush and Rumsfeld and what really criminal about it all is they are still doing it. Its time to wake up people. If we can not find any congressman who can do something about this then we should elect some different one's To make things even worse these companies have hold companies out side the United States and do not pay a dime on money earned.

[bola47]

how dare a government official question payments totaling over $1 billion to a company that at one time was wholly owned by haliburton. what nerve. did he not realize that darth cheney needs to build up his retirement accounts.

[fcsakes]

I hope somebody who knows what they're doing will get a little committee together sole purpose of which is to follow the money - would be very interesting I think to see whose fingerprints are on all that money. All that TAXPAYER money.

The only honest people to come out of this administration are the ones who got fired or "retired" because they wouldn't cave to cheney and bush. This is so putrid and disgusting it defies understanding.

[CheneysACoward]

This (KBR) is the result of what Republicans call "Smaller Government" this incodent does not stand alone Walter Reeed Army Hospital is another of many examples. This administration farmed out what was government work to private industry. Sold it as "They can do it better and at a lower cost"...so­rry geroge and co. they can't and never will. What is worse is they are not held responsible and paid no matter how they do or do not work. Another example...­the water and ice that was to be sent to Florida a few years ago. It never made the trip and never made it out of the gate. It was also a KBR Co.

[supergranny]

Shock & Awe, Shock & Awe. The hits keep on comin. Its like a slow acid drip on our attitudes. We sit by complacent, waiting for Big Daddy to do the right thing. Feeling powerless? I think the american people are so battered by the nightmare of the W's stupidity and patriotic sales job that they have gone numb. We the people are now We the slaves. I guess we're competing with China on a whole new level.

[NTO08]

These people will do anything to keep their nefarious war going. Obama will not be getting in the way of this profiteering machine...­if it means starting another war, Bush declaring marshall law and null and voiding the election, you name it, they will do what it takes, including the same shady tactics they did in '04 and '00...powe­r hungry nuts don't give it up without a fight.

[Sundialsvc4]

As Baby Herman put it in "Who Framed Roger Rabbit?":

"The whole thing schtinks like yestahday's diahpers!"

But if you act surprised, it means that you didn't listen to a Five(!) Star General when he told you what was going to happen. "Ike was right."

What you have right now is a gang of well-placed criminals who are looting our treasury to the tune of more than $1 million a MINUTE. They've got the media, by virtue of owning it, and they've got Congress in the same way. And they're betraying their homeland into the hands of its enemies just to make more money... and selling weapons, goods, and mercenaries to both sides of every conflict. I do not make comments like these casually. They are quite-verifiably true... and it does not matter what political-party flag they choose to fly.

[brushfinch]

This administration's corruption knows no bounds....­such waste...wh­ile our returning wounded have to struggle to get benefits.

[DerAmi]

Yes, Mr. M c C A I N, it is very difficult tobe proud of the "good 'ol" US of A.

So when do people get arrested for war profiteering and other high crimes?

[NTO08]

Contrary to bitter Michelle, it is difficult to be proud of this Administration, not the country.

[PAposter]

No, NTO, the disdain stretches far beyond this administration.