This Could Be Worse Than Enron - Ripoffs From Katrina to Iraq
Reports from FEMA poured in over the holiday weekend suggesting that overcharges or waste from Katrina contracts could soar past two billion dollars. All this waste is apparently a product of the government granting contracts worth over 500 million dollars or less with lttle or no bidding.
Now, there is no question that Katrina reconstruction had to be done quickly, but this is another case of gross government incompetence. Everyone knew that Katrina’s cost would include some level of fraud,
but this is just not appropriate.
All of this on top of extraordinary cost overruns on the iraqi reconstruction that the Pentagon knew about, and still paid. KBR, a subsidiary of Halliburton Corporation, may have overcharged over a billion dollars. My study of this problem has included some startlng reports. They include work performed on oil rigs that was already done by Iraqi workers. KBR charged for water cleanup that didn’t work. There are many other projects that are questionable.
My sources in Washington expect a Congressional investigation of both the Katrina and Iraq War ripoffs that promises to pass the Enron calamity in scope and final impact.
We are spending eight billion dollars in Iraq. You wouid think that the government would have , at the very least, the capacity to ensure that we are not getting ripped off.
The cost in lives is the number one challenge we face.
People who steal from the government in a war zone or disaster zone, must be held accountable

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