Report: Halliburton Subsidiary Received $39.5 Billion For Iraqi War Alone

KBR_Logo250px-Halliburton_logo.svgMany of us who opposed the continuing Iraqi and Afghanistan wars, it has been difficult to imagine how politicians and others in Washington could continue to sacrifice lives and hundreds of billions in these conflicts. Now there is a report giving an insight into just how profitable these wars are for key companies. For just Iraq alone, some $138 billion went to private companies with an army of lobbyists eager to keep the pipeline of cash flowing. What is rarely striking however is that some ten contractors received 52 percent of the funds and one company received $39.5 billion. That company is Houston-based KBR, Inc., which is an extension of its parent, Halliburton Co. in 2007. That of course is Dick Cheney’s firm.


Many of those contracts going to KBR lacked any competitive bidding process.
This includes the $568-million contract renewal in 2010 to provide housing, meals, water and bathroom services to soldiers — a contract that the Justice Department now says is rife with corruption and kickbacks.

For $40 billion, a single company may be willing to do a lot to keep a war alive. In the very least, it may not be eager to see it end.

Source: ZNet

105 thoughts on “Report: Halliburton Subsidiary Received $39.5 Billion For Iraqi War Alone”

  1. Elaine:

    wow, wasnt this an episode of 24? Life immitates art or the writers of 24 knew something.

    Blackwater should have never existed.

  2. One story about another war contractor:

    Blackwater Founder Implicated in Murder
    By Jeremy Scahill
    August 4, 2009
    http://www.thenation.com/article/blackwater-founder-implicated-murder#

    Excerpt:
    A former Blackwater employee and an ex-US Marine who has worked as a security operative for the company have made a series of explosive allegations in sworn statements filed on August 3 in federal court in Virginia. The two men claim that the company’s owner, Erik Prince, may have murdered or facilitated the murder of individuals who were cooperating with federal authorities investigating the company. The former employee also alleges that Prince “views himself as a Christian crusader tasked with eliminating Muslims and the Islamic faith from the globe,” and that Prince’s companies “encouraged and rewarded the destruction of Iraqi life.”

    In their testimony, both men also allege that Blackwater was smuggling weapons into Iraq. One of the men alleges that Prince turned a profit by transporting “illegal” or “unlawful” weapons into the country on Prince’s private planes. They also charge that Prince and other Blackwater executives destroyed incriminating videos, emails and other documents and have intentionally deceived the US State Department and other federal agencies. The identities of the two individuals were sealed out of concerns for their safety.

    These allegations, and a series of other charges, are contained in sworn affidavits, given under penalty of perjury, filed late at night on August 3 in the Eastern District of Virginia as part of a seventy-page motion by lawyers for Iraqi civilians suing Blackwater for alleged war crimes and other misconduct. Susan Burke, a private attorney working in conjunction with the Center for Constitutional Rights, is suing Blackwater in five separate civil cases filed in the Washington, DC, area. They were recently consolidated before Judge T.S. Ellis III of the Eastern District of Virginia for pretrial motions. Burke filed the August 3 motion in response to Blackwater’s motion to dismiss the case. Blackwater asserts that Prince and the company are innocent of any wrongdoing and that they were professionally performing their duties on behalf of their employer, the US State Department.

  3. Dredd:

    gbk knows a good deal about rocks though, a testament to the fact that we all have some redeeming quality.

  4. Naomi Klein’s “Shock Doctrine” is a great read and discusses some of these backroom deals that contractors were involved in; not only in Iraq but many others as well.

  5. gbk 1, April 9, 2013 at 10:27 am

    Dredd,

    “Not so nice of a diversion gbk, more like an infantile troll slip.

    I was describing the content of my comment when I referred to USCENTCOM and Halliburton, so you could find it.

    Great lookup skills there gbk, you found it, but you did not read the next sentence . . .”

    I didn’t look shit up, nor was I offering a diversion, Dredd.

    I just don’t like you and your constant reference to your feeble blog. Got that? Is that clear enough for you?

    You spout common known fact as if you were the holder of many secrets, but in reality you just regurgitate while claiming none can follow your astute observations.
    ============================================
    You just admitted what I said.

    You are an ad hominem troll whose mind is malfunctioning and should not spend much time on a blog of this character.

    Get on over to Sarah Palin’s or Michelle Bacman’s place and sing troll songs to the ignorant.

  6. Bron,

    Don’t play your asinine word games, Bron.

    It’s history now, you can read about it, they teach 9/11 and our response in college level critical thinking classes now. Put your one-color prism down for a second and you might see other hues.

  7. There are too many “lives in the balance”… Thanks, Elaine M.

  8. “I’ll keep on moving
    Things are bound to be improving these days
    These days–” -Jackson Browne

    Thanks, gbk.

    “the quest for more — and it is obtuseness that keeps this obscene ball in play” -gbk

    Yep. “The quest for more” $$$, power, authority, control… And it’s obscene, to be sure.

  9. Bron,

    Then you are blind because that’s exactly how “it” started — the quest for more — and it is obtuseness that keeps this obscene ball in play.

  10. gbk:

    you beat me to it with the New Yorker article.

    That is how it has worked out, I dont think it started that way.

  11. Bron,

    “I was going to post to you that I would not have thought it prudent to depend on another country for logistical support during war time.”

    Then why didn’t you?

    These are not wars that the country is engaged in — they are profit machines, finely tuned to the “exceptionalism” of american culture and so their acceptance for more than a decade. After all, we are saving the world, again, aren’t we?

  12. Dredd,

    “Not so nice of a diversion gbk, more like an infantile troll slip.

    I was describing the content of my comment when I referred to USCENTCOM and Halliburton, so you could find it.

    Great lookup skills there gbk, you found it, but you did not read the next sentence . . .”

    I didn’t look shit up, nor was I offering a diversion, Dredd.

    I just don’t like you and your constant reference to your feeble blog. Got that? Is that clear enough for you?

    You spout common known fact as if you were the holder of many secrets, but in reality you just regurgitate while claiming none can follow your astute observations.

  13. gbk:

    that was an interesting article. I was going to post to you that I would not have thought it prudent to depend on another country for logistical support during war time.

    the whole war has been a bad business from the beginning and I believe Osama got what he wanted; America in chaos.

  14. Check out the leadership of the “Arab” chamber of commerce called “U.S.-U.A.E. Business Council”, founded by U.S. Military Industrial Oil Complex operatives listed in my comment above:

    Danny E. Sebright President, U.S.-U.A.E. Business Council

    Danny E. Sebright was appointed in June 2008 to the position of President of the U.S.-U.A.E. Business Council, the leading advocate for building commercial relationships and expanding business opportunities between the two countries.

    Since 2002, Mr. Sebright held the position of Vice President at The Cohen Group, an international strategic consulting firm led by former Secretary of Defense William S. Cohen. Mr. Sebright was responsible for new business development activities, client management, and building the firm’s Middle East and India practice groups. Mr. Sebright will continue to be affiliated with The Cohen Group as a Counselor.

    Previously, Mr. Sebright served as the Defense Department’s Director of the Policy Executive Secretariat for the global war on terrorism from 2001-2002, leading a team responsible for tracking US and coalition actions related to the war on terrorism. During this time, he also participated in oversight of Operation ENDURING FREEDOM in Afghanistan and Operation NOBLE EAGLE, the defense of the U.S. homeland. In this capacity, he was awarded the Department of Defense Exceptional Civilian Service Award for his service to his country.

    Mr. Sebright also served in the Office of the Under Secretary for Policy at DoD from 1995-2001, representing Department of Defense positions with other executive-branch policy offices…

    Colin Rutherford Vice President, U.S.-U.A.E. Business Council

    Colin Rutherford assumed the role of Vice President in May of 2012. In this capacity he is responsible for managing the day to day operations at the Council and oversees member services, recruitment, and retention.

    Previously, Colin served as a Senior Commercial Specialist at the U.A.E. Trade and Commercial Office, Embassy of the United Arab Emirates. Colin handled the Defense, Offsets, Rail & Transportation, and International Trade Compliance portfolios. On the policy side, Colin contributed to the TIFA-Plus annual agenda as well as the Economic Policy Dialogue (EPD) between the U.A.E. Ministry of Foreign Affairs and the U.S. Department of State.

    (Team Members). None of those listed on the “U.A.E. Team” are U.A.E. citizens, they are Americans.

  15. Worldview: The real winners in the war
    By Trudy Rubin, Inquirer Columnist
    Posted: April 01, 2013
    http://articles.philly.com/2013-04-01/news/38165576_1_wartime-contracting-kbr-iraq-work

    Excerpt:
    Perhaps the biggest beneficiary of the contract largesse, as you may recall, was Kellogg Brown & Root, or KBR, then a subsidiary of Halliburton Co. – whose CEO from 1995 to 2000 was Dick Cheney. KBR received huge, no-bid government contracts and reaped tens of billions of dollars for its Iraq work. A highly placed Pentagon procurement officer who tried to blow the whistle on some KBR contracts was drummed out of her job in 2005. In 2009, Halliburton agreed to pay $559 million to the U.S. government to settle corruption charges linked to KBR.

  16. The All-Time 10 Worst Military Contracting Boondoggles
    —By Adam Weinstein
    | Fri Sep. 2, 2011
    http://www.motherjones.com/mojo/2011/09/contractor-waste-iraq-KBR

    Excerpt:
    3, 2, 1. KBR, KBR, KBR: According to the contracting commission, megacontractor KBR (a.k.a. the contractor formerly known as Halliburton) was paid at least $36.3 billion to provide base support in Iraq for the past eight years. That’s slightly less than the government bailouts for Bank of America and Citigroup. But then, the banks eventually returned the money. The commission report details numerous examples of waste by KBR. Where to begin?

    There’s the kickback from the subcontractors who were awarded a $700 million dining deal in Iraq. (The Department of Justice has filed a claim against KBR for that.) Then there’s the $5 million spent on 144 KBR mechanics who worked as little as 43 minutes a month, on average. Inspectors have found that KBR can’t account for $100 million worth of its government-furnished property in Iraq. Despite collecting $204 million for electrical work on Iraq bases, KBR’s shoddy wiring has been blamed in as many as 12 soldiers’ electrocution deaths, including a Special Forces commando who died after he was shocked in a shower stall. The company has also billed Uncle Sam a half-billion dollars to hire Blackwater to provide personal security in Iraq, a big contractor no-no.

    Perhaps most troubling is the company’s links to purported human trafficking. In late 2008, reporters discovered a windowless warehouse on the Camp Victory complex outside Baghdad, where about 1,000 men from Bangladesh, India, Nepal, and Sri Lanka were being held in prisonlike conditions. The men had been hired by a KBR subcontractor. Around the same time, another KBR subcontractor was sued for allegedly spiriting Asian workers into Iraq with false promises of high-paying jobs.

    And the waste continues. When the troop drawdown in Iraq started, writes the commission, “KBR accounted for about half of contractor personnel in Iraq. When bases closed and its personnel left those bases, KBR merely transferred some of them to other bases and continued to bill for their support.” In all, KBR has cost the government at least $193 million in pay for unnecessary personnel, and maybe as much as $300 million. However, the Pentagon is in no hurry to give KBR the boot. “We basically said that KBR is too big to fail,” commission co-chair and former Rep. Christopher Shays (R-Conn.) complained last year, “so we are still going to fund them.”

  17. “Many of those contracts going to KBR lacked any competitive bidding process.
    This includes the $568-million contract renewal in 2010 to provide housing, meals, water and bathroom services to soldiers — a contract that the Justice Department now says is rife with corruption and kickbacks.”

    Really. Then who was entirely responsible for running the wars in 2010. Must be those awful people on the other side we all denigrate here. Oh wait. No it was the corrupt OBAMA ADMINISTRATION of course with the Nobel Peace Prize winner as the Commander in Chief.

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