The Muckraker
7th May 2003, 17:46
According to an article from Agence France Presse, the contract given to Kellogg, Brown and Root, a subsidiary of Haliburton, Dick Cheney's former employer, goes beyond simply fighting fires and repairing oil wells, as initially reported, but also includes operating the oil fields.
KBR was previously charged with overcharging the US Army and settled the lawsuit by agreeing to pay $2 million without admitting guilt. Last year, KBR also received a contract with no spending limit (http://www.motherjones.com/web_exclusives/features/news/halliburton.html), a virtual invitation to overcharge.
The contract now in question is particularly interesting in that it was a no-bid contract, the government simply gave it to KBR, but refused to say how much the contract was worth. Now it seems that the government also wasn't honest about exactly what the contract was for, either.
Democratic Reprsentative Henry Waxman has asked the GAO to investigate whether the firm has received favorable treatment from the Bush administration.
KBR was previously charged with overcharging the US Army and settled the lawsuit by agreeing to pay $2 million without admitting guilt. Last year, KBR also received a contract with no spending limit (http://www.motherjones.com/web_exclusives/features/news/halliburton.html), a virtual invitation to overcharge.
The contract now in question is particularly interesting in that it was a no-bid contract, the government simply gave it to KBR, but refused to say how much the contract was worth. Now it seems that the government also wasn't honest about exactly what the contract was for, either.
Democratic Reprsentative Henry Waxman has asked the GAO to investigate whether the firm has received favorable treatment from the Bush administration.