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KGL Logistics Archive

KGL – A Test Case on Sanctions?

Posted April 4, 2012 By Forseti

Despite Ongoing Federal Probe, Pentagon Asserts Big Contractor Has No Iranian Ties

A Whistleblower Alleges Death Threats

Kuwait and Gulf Link Transport Company (KGL), a major U.S. military contractor, is facing renewed allegations that it is working with Iran, possibly violating U.S. sanctions. In the political climate where sanctions on Iran are one of the few things people can agree on, KGL may become a test case for what happens when a U.S. contractor violates those sanctions.

Adam Zagorin – (POGO) – April 4, 2012 – If there’s one thing most Americans support in foreign policy, it’s sanctions against Iran to halt its alleged drive for nuclear weapons. From President Obama to Mitt Romney, Rick Santorum, and Newt Gingrich, leading candidates all want to put the economic squeeze on Tehran and to signal their support for Israel. President Obama recently announced he will ratchet up sanctions on the country’s oil exports and declared a “national emergency” to deal with the Islamic Republic. The Senate will try to iron out its differences over anti-Iran measures in coming weeks, as bus stations around Washington, DC, are studded with advertisements questioning the President’s resolve on the issue.

In this politicized environment, the last thing any candidate or legislator would countenance is gobs of U.S. taxpayer money going to a military contractor caught doing business with the Islamic Republic. Indeed, Congress specifically addressed that possibility in 2010, when contractors were required to certify in writing that they have no ties to Iran’s sanctioned enterprises.

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Following new report from federal watchdog, Senator calls again for suspending federal work with bad contractors

Rocky is laid to rest at Arlington National Cemetary in Washington, DC

PoliticalNews.me – WASHINGTON, D.C. – November 17,2011 – Citing the case of a private contractor that was never held accountable for negligence in the death of a U.S. servicemember, U.S. Senator Claire McCaskill used a Senate hearing to renew her call for the federal government to stop doing business with contractors responsible for wrongdoing.

McCaskill quizzed a panel of experts in a Senate Homeland Security and Governmental Affairs Committee hearing about how to strengthen accountability for private contractors by expanding the government’s use of suspension and debarment for bad contractors—something McCaskill has championed during her time in the Senate.

“Shouldn’t we just, as a matter of character of our nation, say that if you’re indicted like Halliburton was for bribery in Africa—if you’re indicted for criminal activity in connection with your government contracting activities—that you’re done with us,” asked McCaskill, Chairman of the Senate Subcommittee on Contracting Oversight. “Shouldn’t we just make that a rule? Isn’t that a good standard for us to have?”

McCaskill specifically cited the case of Lieutenant Colonel Dominic “Rocky” Baragona, who was killed in Iraq in 2003 when his Humvee was struck by a supply truck driven by an employee of the contractor Kuwait Gulf & Link Transport Company (KGL). At the time of Baragona’s death, KGL was under contract with the U.S. Army to deliver supplies into Iraq.

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MATTHEW MOSK and RICHARD ESPOSITO
(ABC News) – June 21, 2011 – A Kuwaiti shipping company that has done more than $1 billion in business with the U.S. military has also had ties to one of the men indicted in New York Monday for his alleged role in an international conspiracy to violate U.S. sanctions against Iran.

Members of Congress have for months been asking the Pentagon if the defense contractor Kuwait and Gulf Link Transport (KGL) may be secretly doing business with Iranian front companies, and those questions took on fresh urgency Monday with the 317-count indictment (PDF). Among those indicted by Manhattan District Attorney Cy Vance was Moghaddami Fard, an Iranian man whose name appears on dozens of emails with top KGL executives, and who sat on the five-member board of directors of a company that was partially owned by KGL.

“I am deeply concerned by information that suggests the U.S. Army and Defense Logistics Agency may be contracting sensitive military logistics services to an entity tied to Iran’s primary shipping company,” Sen. Mark Kirk (R-Ill.) told ABC News Monday.

“We must come down hard on this company so others realize they will pay a price for doing business with Iran,” said Sen. Claire McCaskill (D-Mo.). “Our sanctions must have sharp teeth.”

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We have an acronym for that and other news

Posted April 17, 2011 By Forseti

Pentagon Issues Bitchy Acronym Memo (PIBAM)
Spencer Ackerman – (Danger Room) - April 15, 2011 – Anyone who has dealt with the military learned early on that our men and women in uniform don’t speak English, they speak Acronym. Full fluency typically corresponds with time spent on a headquarters staff, where the only thing officers like more than acronyms is PowerPoint, and the only thing they like more than PowerPoint is a PowerPoint filled with acronyms.

And if there’s one thing defense bureaucrats like, it’s telling people to RTFM on the correct usage. (You can Google that one if you don’t already know it.)

Apparently, officers briefing Defense Secretary Robert Gates recently deluged the Pentagon chief with an impenetrable and inelegant downpour of acronyms — obviously without consulting our guide to the best of them. Because last fall, his staff instructed practically the entire Defense Department on the right and wrong ways to use acronyms. OMG.  (Click HERE for article)

DOD Launches New Helpline to Support Victims of Sexual Assault
(DoD) – April 15, 2011 – The Department of Defense today launched its newest initiative to support victims of sexual assault. Using DoD Safe Helpline, service members can “click, call or text” for victim support services for themselves or others. The free, anonymous and confidential resource can be accessed worldwide, 24-hours a day, every day, to connect with live sexual assault support professionals.

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According to the Defense Logistics Agency/Defense Distribution Center (DLA/DDC) KGL Logistics has been awarded  the very lucrative Contractor-Owned/Contractor-Operated (COCO) storage and distribution contract worth up to $157 million US dollars. This contract was award February 28, 2011.

KGL Logistics is the controversial Defense contractors with alleged business ties with Iran and is accused to killing a U.S. soldier LTC Rocky Baragona on May 19, 2003.

The Contractor-Owned/Contractor-Operated (COCO) storage and distribution contract, formerly known as the Defense Distribution Depot Kuwait (DDKS) contract,  had been awarded to Agility who has since been indicted for contract fraud accused of overcharging the U.S. Army over 41 months on $8.5 billion in contracts to provide food to soldiers in Iraq, Kuwait and Jordan. Currently Agility is suspended and not eligible to bid on USG contracts.

The COCO contract includes labor, material, equipment and indoor and outdoor storage space in support of storage and distribution services in the CENTCOM Area Of Responsibility (AOR).

According to the FedBizOps.Gov, the scope of this requirement includes planning and managing, receiving, storage, inventory, packaging, Care of Supplies in Storage (COSIS), stock control, stock selection, issue processing, packing, shipping , distribution of repair parts and HAZMAT processing of DLA managed material. All materials, tools, equipment, transportation, and any other items and services not government furnished shall be required, including maintenance of material handling equipment.

The indoor storage space requirement shall be a minimum of 700,000 square feet of collocated space configured for secure rack, bin, bulk and open storage. Also, office space for government personnel is required and is inclusive of the specified indoor space.

The outdoor storage space shall be a minimum of 800,000 square feet and be adjacent to the indoor space. The outdoor storage space is required to be capable of accommodating forklift, truck and trailer vehicles and static loads of full 20 and 40 foot MILVANs. The perimeter of the indoor and outdoor space shall be secured.

The estimated period of performance for this requirement consists of a six (6) month base period for transition /Phase in, and four (4) 1 year options for a total of $157 million US dollars.

Agility lost the 6 year $2 billion dollar Prime Vendor III contract to Anham in April of 2010.