Sunday, October 31, 2004 - DOD warned about Halliburton contracts

The only amazing fact about this issue is how late it seems to lead into a formal investigation. Contrast that with all the efforts and special prosecution that went into Whitewatergate, Monikagat etc., how little came out of that - and one really wonders why noone has been looking into this obvious conflict of interest way earlier and with way more depth? - DOD warned about Halliburton contracts: "Corps officials initially justified stopping the bidding by concluding that a 'compelling emergency' would exist if Halliburton's work was interrupted.
However, when Greenhouse challenged the justification and sought an explanation of the emergency, Corps officials changed their reasoning. The new explanation was that Halliburton subsidiary KBR was the 'one and only' company that could do the job.
Greenhouse wrote Strock on Oct. 5 that 'the truth should be clearly explained' about the reason for halting competition.
She not only complained there was no explanation of what drove officials to cite an emergency, but, referring to the second justification, added, 'It is not reasonable to believe that only one source responded to the solicitation.'
Greenhouse, who has said she was frozen out of decisions on Halliburton, went public last weekend with allegations that Army officials showed favoritism to the company. "


The Army has cited severe problems with Halliburton's work in the Balkans, many of them documented in a Jan. 4, 2002, report by Greenhouse — who reviewed findings of investigators known as a "tiger" team.

"The general feeling in the theater is that the contractor is 'out of control,'" she wrote. "There is little or no incentive for the contractor to reduce or keep cost down."

Greenhouse said it appeared the Halliburton subsidiary "makes the decisions of what is constructed, purchased or provided and it appears that oftentimes the products and services delivered reflect gold-plating since the contractor proudly touts that they provide the very, very best."

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