Accountability no, rewards yes and other news
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New law requires OMB to post information on contractors
Aliya Sternstein – August 4, 2010 – A bill President Obama recently signed requires the Office of Management and Budget to disclose on a public website contractor integrity information housed in a new vendor performance database, reversing a recent decision by the Defense Department to block public access to the entire database.
The supplemental appropriations bill (H.R. 4899), enacted on July 29, contains a provision mandating OMB to post all information in the Federal Awardee Performance and Integrity Information System (FAPIIS), except for past performance reviews. The rider amends the 2008 Clean Contracting Act, which established the internal online system. (Click HERE for article)
Alleged Traumatic Brain Injury Research Misconduct Investigated by Pentagon
Nick Schwellenbach – July 30, 2010 – The Pentagon’s Office of Inspector General (OIG) is reviewing allegations of research misconduct in a mild traumatic brain injury clinical trial with U.S. Marines in Iraq, according to documents and interviews.
“DoD OIG will determine whether DoD guidance regarding the performance of research on human subjects was violated, and whether research misconduct occurred in a DoD approved clinical research trial evaluating the treatment of mild traumatic brain injury” in Iraq, according to a Pentagon OIG document. The document details planned and on-going audits, and says the review was initiated in June 2009.
A summary of the same review listed in a report by the Special Inspector General for Iraq Reconstruction adds that the Pentagon’s OIG is reviewing “if clinical research using an unapproved medication was conducted on U.S. service members with Traumatic Brain Injury in Iraq.” (Click HERE for article)
Iraqis’ Torture Case Against Contractor Proceeds in U.S. Court
July 30, 2010 – A group of 72 Iraqi citizens who allege they were tortured while imprisoned at detention facilities across Iraq can continue with their lawsuit against military contractor L-3 Services, Inc. and a former employee, a federal judge in Maryland ruled Thursday.
In a 92-page opinion, U.S. District Court Judge Peter J. Messitte denied the defendants’ motions to dismiss the Iraqis’ federal and state court claims. He wrote, “On the facts alleged, Defendants’ actions arguably violated the laws of war such that they are not immune from suit under the laws of war.” The court also rejected claims of government contractor immunity defense.
“During wartime,” the Court wrote, “‘many things are lawful in that season, which would not be permitted in a time of peace.’ Some actions, however, have been deemed so repulsive to mankind, or so disconnected from prosecuting and winning a war, that they are universally condemned. The law of war attempts to rein in these behaviors. …One such universally recognized rule is that torture is prohibited.” (Click HERE for article)
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Other Related Posts From Ms Sparky
- McCaskill calls for greater accountability for contractors
- Suspending contractor accountability and other news
- Zero tolerance, zero accountability, zero prosecutions – FAR/DFARS be damned!
- Indictments, convictions, rewards & let’s make a deal
- Sen. McCaskill Rips DCAA on Audit Accountability
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Monday, August 9th 2010 at 2:25 am |
Agility stocks surge to two month high
Monday, 09 August 2010 – Kuwait’s Agility surged to a two-month high after the logistics provider said US prosecutors have moved to dismiss charges against a subsidiary.
Agility climbed 5.8 percent to 0.455 dinars, its highest finish since June 10. The stock remains down 5.8 percent since it was first charged with defrauding the US military in November.
Agility, formerly Public Warehousing Co, was dropped from supplying food to the US Army in Iraq, Kuwait and Jordan after being accused of overcharging the military.
Monday, August 9th 2010 at 3:19 am |
Forseti,
I think the report should read “down 58% since it was first charged”.
Monday, August 9th 2010 at 3:28 am |
I agree, I am curious if these articles are referring to dismissing DGS from the indictment or if another subsidiary is being let off the hook.
Monday, August 9th 2010 at 3:47 am |
Each and every article/report, except MEED for misconstruing the information and making HUGE assumptions, has clearly stated that the indictment dismissal only applies to the US-based DGS Holdings entity and possibly one other US-based subsidiary. Let the Kuwaitis speculate all they want. I recommend paying attention to Agility DGS’ actions in Kuwait: firing the majority of its staff, selling close to 1500 of its transportation assets, all since the indictments were issued last November. If Agility DGS had any intention of staying in the business in the near term they would have held onto their assets, or purchsed a new fleet, or held onto the quality personnel. They’ve done none of the above. Tarek Sultan can spew all of the misleading and ambiguous statements he wants, ignore stockholders, and rely on his Board of Direcors cronies to support him. No one has the cajones to kick his ass to the curb. They all got rich on the stock, sold days and months before the EPLS notification was released to the public. Now all of the current shareholders are left dust. Shame on you Tarek Sultan, Agility, and your underhanded, unethical business practices.
I would love to track Agility’s senior management’s sell off of their stock the week sprior ot the November 2009 indictments being released. I think the Kuwait Stock Exchange tracks this. Who knows how to obtain this data easily? I keep hearing that the KSE has implemented new rules recently and senior management now must hold onto their company stock for at least a year.
Monday, August 9th 2010 at 3:26 am |
http://www.justice.gov/
Why is there nothing from Eric Holder and his gang ?
Not a mention of it. I suppose a good way to raise the stock price up a bit to sell a few shares so you can get the hell out of Kuwait before Ramadan. Those that can afford to leave do.
Anyway. Agility is not supported by any reputable news source or the horses mouth themselves – the DOJ. Maybe the lobbying firm can buy themselves some news time from Reuters, BBC, FOX, or even Al-Jazzera.
Monday, August 9th 2010 at 5:33 pm |
Sodexho is worse than Agility ever was within its contracts which include all Marines foodservice within Marines US bases.
Sodexho got bagged for Agilityesque behavior within the NY State Foodservice program for schools. too bad DOD will not read and learn from the Times Union article or likely hear about the charges and settlement. Doesnt anyone there read, or notice? they will probably be reawarded within the next few months. ( Help, Mrs Sparky!)
http://blog.timesunion.com/capitol/archives/29802/cuomo-sodexo-swallows-fine/
Thursday, August 12th 2010 at 9:10 am |
ACCOUNTABILITY with DLA’s Michael Diettel
Not yet.
http://www.scribd.com/full/35783607?access_key=key-w7yyoeziib7ljosef4s
Since there has been an award made on the 5th to Mr. Diettel’s private solicitation for the DLA/DRMO which has now been made under the nose of General Joe Bass, it appears a POST-AWARD Protest will be filed to the GAO.
All solicitations greater than $ 25,000 are to be posted on FBO. What’s is the problem Michael. Your FOIA guys are dumb-founded on how to answer just who did you give that solicitation to and they cannot answer in the 28 days allowed just what are the DUNS codes of your friends. So, we just posted this online so that maybe someone can write to them who recognizes there name and help them out.
Your bypassing Federal Acquisition Regulations to this degree deserves to be recognized and let’s see if the GAO can really do the jobs they are there to do – protect the U.S. taxpayer and get something done in the best interest of the U.S. Government.
Thursday, August 12th 2010 at 12:41 pm |
Mr Barnes -
The Federal Govt will go a long way to getting the best deal for ALL if it ever employs staff that knows what it is doing, as opposed to employing over-paid, under worked bureaucrats whoe arrogance is only exceeded by their ignorance (or is it the other way around?).
And perhaps – having contracting agencies that don’t add 13% to the cost of procurement (like DSCP does the Middle East contracts) – there’s a savings right there.
Bottom line – prevention is worth a pound of cure…and what we have is the “cure” that screams fraud and then cuts down the entire forest of trees (as in anyone/everyone involved) and picks out the good ones, while allowing the rest to rot…destroying good people in the process…
Want this fixed? Fix the front end – but then again – that would mean hiring competent, motivated people that KNOW what the hell they are administrating and not merely employ a wad of pencil pushers concerned only about protecting their 35.5 hours a week, at pay above the private sector and massive union protection from having to be responsible….
Thursday, August 12th 2010 at 12:49 pm |
What I pointed out was fraud coming off of Camp Arifjan even when we have a PARC and a General that is there for – for what?
Solicitations are to be posted on FBO at greater than $ 25,000 ok, so Diettel broke the threshold by a factor of 228 times.
Does that make him incompetent or a criminal ?
Where is the U.S. Army CID on this ? DOJ? Ok, we will see what the GAO says? Subcommittee for Contracting Oversight?
What was the motivation to ignore the FAR?
Thursday, August 12th 2010 at 12:33 pm |
News today -
Agility’s contract for Prime Vendor will be extended 6 months since the new contractor ANHAM cannot be ready to take over until 2011. News is – the hold up is about what they call fair and equitable pricing….and what defines FOB and needed logistics costs…and the fact that DSCP adds 13%++ to the cost of goods for what should be a 2-3% oversight cost.
But then again – it is important to keep those seats full in Bldg 6 at Robbins…
The dismissal of the legal charges is merely a technical manuever for DOJ to regroup and try again – most likely dragging in individuals whom are “reachable”, albeit, are not the policy makers and “cashers-in”…so to speak…
Saturday, August 14th 2010 at 2:31 pm |
Here we go again. Camp Arifjan Corruption.
Camp Arifjan Contracting Officer reunion.
Arifjan doesn’t need a safe now – Colonel Alexander and General Joe Bass made sure that NBK has easy access to the base to make sure getting kickbacks and bribes can be done with greater efficiency and the hassle of safes off-base won’t be a problem now.
Question: Why were the Contracting Officers not putting these solicitations out for bid General Bass ? You and your gang were here then and most have gone to jail.
Former Defense Department Contract Employee Pleads Guilty to Bribery and Money Laundering Scheme Related to Contracts in Support of Iraqi War
Agrees to Forfeit $650,000 to U.S. Government
http://www.justice.gov/opa/pr/2010/August/10-crm-923.html
WASHINGTON – A former contract employee of the U.S. Defense Department (DoD) pleaded guilty today to conspiracy to bribe U.S. Army contracting officials stationed at Camp Arifjan, an Army base in Kuwait, and to money laundering conspiracy, announced Assistant Attorney General Lanny A. Breuer for the Criminal Division.
According to the court documents filed today in U.S. District Court for the Southern District of Indiana, Wajdi Birjas, 39, of Evansville, Ind., was a contract employee in the Host Nation Affairs office at Camp Arifjan between approximately 2004 and August 2007. In this position, his responsibilities included identifying Kuwaiti companies able to provide certain goods and services to the U.S. military in Kuwait. Through his work, Birjas had frequent contact with Army contracting officials, including officials who were regularly receiving unlawful payments from individuals who had contracts with, or were seeking contracts from, DoD.
According to court documents, Birjas, acting at the direction of a contractor working in Kuwait, developed corrupt relationships with certain Army contracting officials, including Christopher Murray, James Momon and a sergeant first class deployed to Camp Arifjan as a senior procurement non-commissioned officer (NCO.) By bribing these Army contracting officials in 2005 and 2006, the contractor ultimately received a total of more than $1.7 million in connection with contracts to provide various goods and services to the U.S. military. In exchange for his assistance in the bribery scheme, Birjas received a share of the profits that the contracts generated and was allowed to live rent-free in a villa that contained a hidden safe.
Court documents indicate that Birjas paid Murray approximately $10,000; paid the senior procurement NCO approximately $14,000; and paid the airplane and hotel expenses of a co-conspirator and Momon to celebrate New Year’s eve in Dubai, United Arab Emirates. According to the court documents, Birjas also allowed Momon to hide hundreds of thousands of dollars worth of his bribe money in Birjas’s safe.
Birjas admitted that he agreed to arrange for $250,000 of Momon’s bribe money to be transferred from Kuwait to the United States, after Momon had returned to the United States at the end of his tour. Birjas admitted to working out this agreement with the third Army officer and one of his associates, a former master sergeant in the Army who operated a concession to sell clothing at U.S. military bases in Kuwait. According to court documents, Birjas delivered approximately $85,000 worth of Momon’s bribe money to the former master sergeant for ultimate delivery to Momon.
“It is reprehensible that while the men and women of our armed forces are putting their lives on the line, there are others who are attempting to defraud our government using contracts intended to help provide vital goods and services,” said Assistant Attorney General Lanny A. Breuer. “Those who defraud the government – whether they are corrupt officials who accept bribes or fraudsters attempting to game the system – will be prosecuted.”
“Cleaning up contract fraud in Southwest Asia, to include bribery and gratuities, is the highest priority for DCIS. While we applaud this result today, it also sets forth a good example of conduct that cannot – and will not – be tolerated,” said James Burch, Deputy Inspector General for Investigations, Defense Criminal Investigative Service (DCIS).
“This case highlights the compelling need for comprehensive oversight of contractors and subcontractors working in war zones,” said Stuart W. Bowen, Jr., the Special Inspector General for Iraq Reconstruction. “SIGIR remains committed to holding accountable those who chose to engage in criminal activity involving U.S. funds allocated for Iraq’s reconstruction.”
The charge of bribery conspiracy carries a maximum prison sentence of five years and a $250,000 fine. The money laundering conspiracy charge carries a maximum prison sentence of 20 years and a $250,000 fine. Under the plea agreement, Birjas agreed to forfeit $675,000 to the government. Sentencing has been scheduled for Jan. 7, 2011.
The case against Birjas arose out of an investigation into corruption at the Kuwait contracting office at Camp Arifjan, which has led to charges against 14 individuals. Of those 14 defendants, 12 have pleaded guilty to their crimes, with some are already serving prison sentences. For example, on Dec. 2, 2009, former U.S. Army Major John Cockerham was sentenced to 210 months in prison and ordered to pay $9.6 million in restitution. On Dec. 17, 2009, Murray was sentenced to 57 months in prison and ordered to pay $245,000 in restitution. On Aug. 13, 2008, Momon pleaded guilty to receiving approximately $1.6 million in bribes and agreed to pay $5.7 million in restitution. On Feb. 18, 2010, Army contractor Terry Hall pleaded guilty to bribery conspiracy and money laundering conspiracy and agreed to forfeit $15.7 million to the U.S. government in connection with his payment of more than $3 million in bribes to Cockerham, Momon, Murray and former Army Major Eddie Pressley. The case against Hall’s co-defendants, Eddie Pressley and Eurica Pressley, is scheduled for trial on Nov. 29, 2010, in Decatur, Ala.
The case is being prosecuted by Trial Attorneys Peter C. Sprung and Edward J. Loya Jr. of the Criminal Division’s Public Integrity Section. The case is being investigated by special agents of the DCIS, the Army Criminal Investigation Command Division, the FBI and the Special Inspector General for Iraq Reconstruction.
Today’s plea represents the Department of Justice’s commitment to protect U.S. taxpayers from procurement fraud through its creation of the National Procurement Fraud Task Force. The National Procurement Fraud Initiative announced in October 2006, is designed to promote early detection, identification, prevention and prosecution of procurement fraud associated with the increase in contracting activity for national security and other government programs. The investigation is continuing.
Army Motto
Corruption “This We’ll Defend”
“Duty, Honor, Country, Corruption”
US Military Academy at West Point
Need I say more ……………
Saturday, August 14th 2010 at 2:42 pm |
What is the name of this Contractor??
DOJ ? Bass ? Alexander ? Odom ?
By bribing these Army contracting officials in 2005 and 2006, the contractor ultimately received a total of more than $1.7 million in connection with contracts to provide various goods and services to the U.S. military.
So, where is the suspension letter of this Contractor General Bass.
There will be an FOIA on the way to ask for this very paperwork. I will look forward to seeing it.
Sunday, May 8th 2011 at 12:00 am |
How to build a culture of accountability
Firstly, let’s clarify what culture is?
Culture is embodied in the phrase “this is the way we do things around here”. More precisely, “what people perceive they have to do to fit in, be accepted and rewarded around here”? Culture is the sum of the behavioral norms of the workgroup, team, division or organization. It is relatively common to have different cultures between teams or divisions within the one organization. These are referred to as sub-cultures and they can range from being marginally different from the culture of the overall organization to being quite radically different. This has implications for not only understanding an organization’s culture but also for managing it effectively.
Why is culture important?
Have you ever tried to stay within the speed limit when everyone around you is driving at speeds well over the speed limit? The behavioral norms of a group can strongly influence the behavior of the individual. Culture defines the behavioral norms (accepted behavior) in a group, team, division or organization. In turn, behavior underpins the performance (what gets done, when it gets done and how it gets done) of the organization and perceptions (reputation) of that organization.
A Framework for Managing Culture
While managing culture requires a range of approaches and cannot simply be managed by dictating the culture you want, it is essentially about managing messages. The objective is to ensure messages are consistently conveyed through aligned behaviors (especially of key people), systems and symbols.
What is accountability?
The key concept is the notion of having a sense of ‘responsibility’ and a willingness to be ‘answerable’ to others and is the difference between a group and a team. In our experience, the most important factor in developing accountability is the quality of leadership and management (and this is the only aspect leaders or managers are really in ‘control’ of). Good leaders and managers generate high levels of accountability in their people.
Whilst organizations should plan to recruit the right people in terms of their willingness to be team players and be accountable; recruitment is only the starting point. The real key is what leaders and organizations do from that point onwards. Good recruits can be ‘lost’ in poorly lead organizations with unsupportive cultures. Many managers see accountability as being attributed to an individual’s values; therefore they blame the individual and underestimate their own role in creating an accountability culture. In doing this, a great opportunity to build a high performance organization is missed.
Responsibility is not blame
It is important not to mistake responsibility for blame as they are diametrically opposed concepts. Where one exists the other will not remain. Responsibility is the ability to make a response; it is future and action focused. Blame is past focused and is more about the ego – isolating people, teaching them a lesson, point scoring or making them feel guilty/bad than it is about accountability. Guilt and fear is not a good basis for developing accountability.
A Framework for Building an Accountability Culture
We see the steps in building an accountability culture as being:
1. Building trust as the foundation:
The four key elements of trust are
• Openness/transparency (giving and accepting feedback, transparency in decision making)
• Reliability (doing what you say you are going to do)
• Congruence (saying what you mean)
• Acceptance (acceptance of others and acceptance of differences).
2. Engage your people: meaningful involvement with alignment. Remember you can’t truly and sustainably motivate another person but you can engage them. It is through engagement that motivation will grow.
3. Ownership: once the first two elements are in place people start to ‘take’ ownership they start to think and act like owners. (As this happens the future possibility for selling down equity, as part of the firm’s succession plan, becomes a reality).
The level of accountability is directly related to the level of trust, engagement and ownership that exists within an organization. Certainly work at improving all levels simultaneously; however remember higher levels in the pyramid cannot progress any faster than the base they are built on, there are no short cuts. Without trust and engagement no performance measures and rewards will be particularly effective over the medium to long term you cannot buy accountability. The key to building a culture of accountability is to find a way to lead people without ruling them.