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Inspectors: Millions in Iraq aid wasted

Inspectors: Millions in Iraq aid wasted
By HOPE YEN and PAULINE JELINEK, Associated Press Writers
January 31, 2007
http://news.yahoo.com/s/ap/20070131/ap_on_go_ca_st_pe/iraq_reconstruction_waste

WASHINGTON - Major U.S. companies with multimillion-dollar contracts for
Iraq reconstruction are being forced to devote 12.5 percent of their expenses for security due to spiraling violence in the region, investigators said Wednesday.

Meanwhile, tens of millions of U.S. dollars have been wasted elsewhere in Iraq reconstruction aid, some of it on an Olympic-size swimming pool ordered up by Iraqi officials for a police academy that has yet to be used.

The quarterly audit by Stuart Bowen Jr., the special inspector general for Iraq reconstruction, is the latest to paint a grim picture of waste, fraud and frustration in an Iraq war and reconstruction effort that has cost U.S. taxpayers more than $300 billion and left the region near civil war.

According to the report, nine of the largest U.S. contractors in Iraq reported paying significant amounts of money for personal security for their workers, protection against violence at their construction sites and elsewhere.

Contractor security costs ranged from 7.6 percent to 16.7 percent, or an average of 12.5 percent, the report said.

"The security situation in Iraq continues to deteriorate, hindering progress in all reconstruction sectors and threatening the overall reconstruction effort," according to the 579-page report.

Calling Iraq's sectarian violence the greatest challenge, Bowen said in a telephone interview with The Associated Press that billions in U.S. aid spent on strengthening security has had limited effect. He said reconstruction now will fall largely on Iraqis to manage — and they're nowhere ready for the task.

Former Rep. Lee Hamilton, co-chairman of the Iraq Study Group, said Wednesday that the report shows the uphill battle for the United States and the international community in their efforts to bring stability in Iraq.

"There are very, very few things that hurt our effort more in trying to succeed in Iraq than that kind of performance, because it turns all people off," Hamilton during testimony before the Senate Judiciary Committee.

The audit comes as President is pressing Congress to approve $1.2 billion in new reconstruction aid as part of his broader plan to stabilize Iraq by sending 21,500 more U.S. troops to Baghdad and Anbar province.

Democrats in Congress have been skeptical. Sen. Jim Webb, D-Va., has suggested the U.S. is spending too much on Iraq reconstruction at the expense of Hurricane Katrina rebuilding in New Orleans, while California Rep. Henry Waxman (news, bio, voting record) plans in-depth hearings next week into charges of Iraq waste and fraud.

According to the report, the State Department paid $43.8 million to contractor DynCorp International for the residential camp for police training personnel outside of Baghdad's Adnan Palace grounds that has stood empty for months. About $4.2 million of the money was improperly spent on 20 VIP trailers and an Olympic-size pool, all ordered by the Iraqi Ministry of Interior but never authorized by the U.S.

U.S. officials spent another $36.4 million for weapons such as armored vehicles, body armor and communications equipment that can't be accounted for. DynCorp also may have prematurely billed $18 million in other potentially unjustified costs, the report said.

Responding, the State Department said in the report that it was working to improve controls. Already, it has developed a review process that rejected a $1.1 million DynCorp bill earlier this month on a separate contract because the billed rate was incorrect.

A spokesman for DynCorp, Greg Lagana, did not immediately return a phone message seeking comment.

Bowen, whose office was nearly eliminated last month by administration-friendly Republicans in Congress, called spending waste in Iraq a continuing problem. Corruption is high among Iraqi officials, while U.S. contract management remains somewhat weak.

With the United States' $21 billion rebuilding effort largely finished, it will be up to the international community and the Iraqis to pitch in to sustain reconstruction, Bowen said in the interview. "That will be a long-term and very expensive process," he said.

According to the inspector general:

_Shoddy construction was widespread at the $73 million Baghdad Police College, including plumbing problems that posed health risks to Iraqi recruits.

_Bowen's office opened 27 new criminal probes in the last quarter, bringing the total number of active cases to 78. Twenty-three are awaiting prosecutorial action by the Justice Department, most of them centering on charges of bribery and kickbacks.

Still, "fraud has not been a significant component of the U.S. experience in Iraq," Bowen said.
As of the end of 2006, contracts had been let for all of the $21 billion that Congress put into the Iraq Relief and Reconstruction Fund it created in 2003. Some 80 percent of the money has been paid out, the report said.

Since 2003, use of the reconstruction aid changed several times as U.S. officials shifted priorities to spend more on security problems or programs critical to supporting elections or developing the new government.

For example, money was cut from what had been originally planned for electricity, water, oil projects and transportation and communication so it could be used to help pay for such things as health care, elections, democracy programs and training Iraqi security forces.

Overall, the largest single expense was security. The total was spent in the following way:

_34 percent for security and justice.

_23 percent to try to generate and distribute electricity. Still, the report noted, output in the last quarter averaged below prewar levels.

_12 percent for water.

_12 percent for economic and societal development.

_9 percent for oil and gas.

_4 percent for transportation and communications.

_4 percent for health care.

Auditors had "significant concern" about the way ahead, partly because of the Iraqi government's bad track record on budgeting for such projects, the report said. It said the Iraqi government had "billions of budgeted dollars remained unspent at the end of 2006."

Unemployment remains high, contributing to the insurgency because it sours the population and leaves idle young men to their own devices, according to the report.

The government's "most significant challenge continues to be strengthening rule-of-law institutions — the judiciary, prisons and the police," the report said. "The United States has spent billions of dollars in this area, with limited success to date."
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On the Net:

Special Inspector General for Iraq Reconstruction:
http://www.sigir.mil/Default.aspx

Quarterly Report: http://www.sigir.mil/reports/quarterlyreports/default.aspx

DynCorp audit: http://us.rd.yahoo.com/dailynews/ap/ap_on_go_ca_st_pe/storytext/iraq_reconstruction_waste/21769803/SIG=11k0hejp2/*http://www.sigir.mil/reports/pdf/audits/06-029.pdf

Bush to Seek as Much as $8 Billion for Afghanistan, Snow Says

By Judy Mathewson

Jan. 25 (Bloomberg) -- President George W. Bush plans to ask Congress for $7 billion to $8 billion in security and reconstruction aid for Afghanistan, White House Press Secretary Tony Snow said today.

Secretary of State Condoleezza Rice will discuss Bush's plan tomorrow at a NATO meeting in Brussels, Snow told reporters on Air Force One today en-route to Kansas City, Missouri.

Afghanistan has received a total of about $14 billion in U.S. aid since the 2001 U.S. invasion that ousted the radical Islamic Taliban militia, the State Department said. The Taliban controlled most of the country and provided a safe haven for the al-Qaeda terrorist network.

Taliban insurgents have hampered the North Atlantic Treaty Organization's effort to unite the country under the leadership of President Hamid Karzai, who was elected in 2004. NATO's 33,000-man military force is gearing up to repel a spring offensive by the resurgent Taliban.

U.S. Defense Secretary Robert Gates earlier today announced a plan to extend the Afghan tours of 3,200 U.S. soldiers in an effort to defeat the Taliban.

The Washington Post first reported Bush's plan to ask for the $7 billion to $8 billion as part of his budget request to Congress.

To contact the reporter on this story: Judy Mathewson in Washington at jmathewson@bloomberg.net

Bus from Charlotte to January 27 National March On Washington!

Bus from Charlotte to January 27 National March On Washington!

The bus will leave Charlotte at 12:01 am on January 27 and will leave DC to return at approximately 6:00 pm on the same day after the march. We will leave from the Unitarian Universalist Church at 234 N. Sharon Amity Rd, Charlotte, NC, 28211. (However, you must contact us if you want to come, don’t just show up, so that we may accommodate everyone.)

The cost is $50 round trip.

You can pay online using the donation link on our web page www.geocities.com/nomorevictims/support and specify it’s for Jan. 27 bus.

If you can't pay online, you must contact us to make other arrangements at 704-492-8527 or bringthemonhome@yahoo.com.

Donations are needed to cover costs and provide scholarships to low income persons & students that want to attend. Donations may be sent to Action Center For Justice, 7100 Mapleridge Dr, Charlotte, NC 28210 or you can donate online using the link at www.geocities.com/nomorevictims/support and note Jan 27 sponsor.

Full and partial scholarships will be given to students/low-income persons as available. Contact us at 704-492-8527 or bringthemonhome@yahoo.com if you need a scholarship.

Help us spread the word: Email this to friends & family.
Download flyers to print, copy & pass out at:
1/2 page http://lists.riseup.net/www/d_read/actioncenter/jan27flyer.doc
Full page http://lists.riseup.net/www/d_read/actioncenter/jan27flyerfull.doc
(Note: this is a word document. It will not look right unless you view it in “Print Layout View” however it should print out correctly regardless.)

Sat., January 27 National March on Washington – Tell Congress to “Stop funding war & occupation!” Reserve your seat today!

Assemble on the National Mall, between 3rd and 7th Streets, at 11 am. March will kick off at 1pm.

This past Saturday had the third highest daily death toll for U.S. troops, at least 25 killed, and an untold number of Iraqis killed, in addition to all the troops & Iraqis wounded and maimed. Bush’s so called surge has only just begun and already the death and carnage is increasing.

As the death toll in Iraq continues to rise -- more than 3,000 U.S. soldiers and more than 600,000 Iraqis -- President Bush has made it clear that he has no intention of bringing the troops home. In fact, he has begun sending over 21,000 more troops to Iraq and is threatening war against Iran and Syria while U.S. gunships have recently shot down Somali people in the streets.

It is equally clear that Congress, despite their clear mandate to bring the troops home, plans to vote for another $130 billion dollars in war spending this spring. The only way we will stop the war is if we stay in the streets. Get on the Action Center For Justice bus to Washington for January 27!

Join us for the January 27 March on Washington, organized by United for Peace and Justice and hundreds of other national and local groups. We will march to demand the Immediate, Complete, Unconditional withdrawal of all occupying forces from Iraq---no timetables, no surge, not another penny for war and occupation. Bring the Troops Home Now -- Money for Jobs, Healthcare, and Education, Not War!

For more information contact Action Center For Justice at 704-492-8527 or see http://www.charlotteaction.org/.

For national details and info see http://www.unitedforpeace.org/.

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March 17 – 18 Worldwide Protests on 4th Anniversary of the U.S. Invasion & Occupation of Iraq

March 17 National March on Washington
March 18 Rally in Charlotte, NC
Bring the Troops Home Now! Stop the war at home and abroad! Money for Jobs, Healthcare, and Education, Not War!

How You Can Help:

Endorse the ACJ plans for March 17 & our March 18 Rally in Charlotte. Email name, address, phone (& organization & title if applicable-state if organization endorses or is for id only) to bringthemonhome@yahoo.com with endorse as the subject

Read & endorse the Troops Out Now Coalition call for March 17 - Washington DC - http://www.troopsoutnow.org/mar17.html

Volunteer to help with Charlotte area plans-
email bringthemonhome@yahoo.com with volunteer as subject

Donate to help with organizing expenses -
http://www.geocities.com/nomorevictims/support


Action Center For Justice
www.CharlotteAction.org
704.492.8527

January 27 Charlotte Says "End The War Now!”

January 27 Charlotte Says "End The War Now!”

4:00 pm gather at MLK Jr statue in Marshall Park
Martin Luther King Blvd & S. McDowell St
Charlotte , NC

Although we wish everyone were joining us in Washington this Saturday, the purpose of this local action is to give Charlotte residents who are not able to travel to the January 27 Peace March on Washington the opportunity to express their hopes and dreams locally.

Bring signs, banners, drums, whistles etc. Have candles, lighters, flashlights ready in parked cars for ending ceremony. March up MLK Blvd , and right on Tryon to the corner of Trade and Tryon, assembling at the "Future" statue. Rally, chant, sing, readings, etc - whatever the participants want to do, to witness for peace and justice. March back to MLK statue.
Candlelight Ceremony (approx 6PM ?) - Honor the Dead, Heal the Wounded.
Bring The Troops Home Now! Fund Jobs, Education & Healthcare, Not War!

Sponsored by Char-Meck CODEPINK Women For Peace & Action Center For Justice. For more information see www.CharlotteAction.org or call (704) 492-8527 or (704) 641-9463.