zimv20
Jul 5, 2004, 10:59 PM
link (http://www.baltimoresun.com/news/nationworld/iraq/bal-te.money03jul03,0,5386955.story?coll=bal-iraq-headlines)
U.S. accused of depleting Iraq fund
Money is intended for rebuilding use; international board plans to do audit
By Mark Matthews
Sun National Staff
July 3, 2004
WASHINGTON -- U.S. officials in charge of the Development Fund for Iraq drained all but $900 million from the $20 billion fund by late last month in what a watchdog group has called an "11th-hour splurge."
An international monitoring board is planning an audit of money from the fund that was spent on contracts for Iraq's reconstruction that were approved without competitive bidding.
The fund, made up largely of Iraqi oil revenue, is intended to pay for the rebuilding of Iraq. Critics have charged that U.S. officials have failed to account properly for money spent so far.
In a report this week, the General Accounting Office said that "contracts worth billions of dollars in Iraqi funds have not been independently reviewed." It also questioned what control over U.S.-approved contracts would now exist with the handover of formal sovereignty to Iraqis.
Beth Marple, a U.S. spokeswoman in Baghdad, said the rapid spending was agreed on between the now-dissolved Coalition Provisional Authority and Iraqi officials. She said that "the unfunded needs of the Iraqi people demanded that these dollars be put to work."
U.S. authorities have not identified all the contractors hired. But they have told international monitors that some of the contracts were awarded without competitive bidding to Halliburton, the Texas-based company formerly led by Vice President Dick Cheney. Halliburton has been at the center of Pentagon and congressional inquiries.
Some critics have suggested that American authorities tapped the Iraqi money to avoid the stricter controls Congress demanded on the spending of U.S. tax dollars, after reports last year of overcharges by Pentagon contractors.
(more)
U.S. accused of depleting Iraq fund
Money is intended for rebuilding use; international board plans to do audit
By Mark Matthews
Sun National Staff
July 3, 2004
WASHINGTON -- U.S. officials in charge of the Development Fund for Iraq drained all but $900 million from the $20 billion fund by late last month in what a watchdog group has called an "11th-hour splurge."
An international monitoring board is planning an audit of money from the fund that was spent on contracts for Iraq's reconstruction that were approved without competitive bidding.
The fund, made up largely of Iraqi oil revenue, is intended to pay for the rebuilding of Iraq. Critics have charged that U.S. officials have failed to account properly for money spent so far.
In a report this week, the General Accounting Office said that "contracts worth billions of dollars in Iraqi funds have not been independently reviewed." It also questioned what control over U.S.-approved contracts would now exist with the handover of formal sovereignty to Iraqis.
Beth Marple, a U.S. spokeswoman in Baghdad, said the rapid spending was agreed on between the now-dissolved Coalition Provisional Authority and Iraqi officials. She said that "the unfunded needs of the Iraqi people demanded that these dollars be put to work."
U.S. authorities have not identified all the contractors hired. But they have told international monitors that some of the contracts were awarded without competitive bidding to Halliburton, the Texas-based company formerly led by Vice President Dick Cheney. Halliburton has been at the center of Pentagon and congressional inquiries.
Some critics have suggested that American authorities tapped the Iraqi money to avoid the stricter controls Congress demanded on the spending of U.S. tax dollars, after reports last year of overcharges by Pentagon contractors.
(more)
