Contracting Fraud? In Iraq? Say it ain't so!

Excerpts from the story in the NY Times - In the first corporate whistle-blower case to emerge from Iraq, a federal jury in Virginia yesterday found a contractor, Custer Battles L.L.C., guilty of defrauding the United States by filing grossly inflated invoices for work in the chaotic year after the Iraqi invasion.

Mr. Grayson said he was pleased that the jury found the case to be "airtight." But he said he was disturbed that the Justice Department had chosen not to join in the false claims case and that many other similar cases remained under seal.

"It fell upon whistle-blowers not only to bring this case to light but to recover money for taxpayers," Mr. Grayson said in a telephone interview.

The widely reported allegations against Custer Battles have come to symbolize the poorly monitored reconstruction spending in Iraq. In early 2003, Mr. Custer and Mr. Battles, two former Army Rangers in their 30's with limited experience, showed up in Baghdad and soon won a series of security and logistics contracts worth more than $100 million.

When is the Bush Administration going to make public the information about all of the other rip-offs of taxpayer money due to his Iraq War? Right after he leaves office and the 2008 elections are over maybe?

More things that just piss me off