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Archive for the LOGCAP III – KBR Category

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Court Publishes Decision in Contractor Fee Dispute Involving “The Mother of all DFAC Drug Deals”

By Ms Sparky | Filed in GOV. CONTRACTORS, Indictments, Convictions & Arrests, KBR Contract, LAWSUITS, LOGCAP III - KBR, Politics, Reports & Investigations
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– () – May 10, 2012 – The U.S. Court of Federal Claims recently unsealed its opinion and order in the nearly four-year fight by KBR to recoup the $41 million it claims the U.S. Army owes under the LOGCAP III contract in Iraq. The government, in return, filed a countersuit claiming kickbacks two contract managers took from a LOGCAP III subcontractor invalidates ’s claim.

KBR filed a lawsuit in the Court of Federal Claims seeking $41 million in unpaid costs and fees incurred under LOGCAP III for dining facility (DFAC) services at Camp Anaconda, Iraq from July through December 2004. The government filed a counterclaim alleging that the thousands of dollars in kickbacks KBR managers and accepted from DFAC subcontractor Tamimi Global Company, Ltd. should cause KBR to forfeit its claims against the government under various fraud theories and the Anti-Kickback Act.

The case went to trial in late 2011. Two weeks ago, the court issued its judgment, awarding KBR $11,792,505 plus interest but also awarding the government $38,000 in civil penalties on its counterclaim. Interestingly, KBR’s statement about the judgment filed with the U.S. Securities and Exchange Commission (SEC) last week does not mention the latter.

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Judge Tosses KBR Defense to Feds’ False Claims Case

By Ms Sparky | Filed in GOV. CONTRACTORS, KBR, KBR Contract, LAWSUITS, Lawsuits Against KBR, LOGCAP III - KBR, Qui Tam, Security Contractors
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“More Cost….More Plus” as the managers used to say!

Ryan Abbott - (Courthouse News) – WASHINGTON – Defense contractor KBR cannot deflect fraud claims by accusing the U.S. government of failing to provide “force protection,” a federal judge ruled.

Formerly known as Kellogg Brown & Root Services, the contractor faces up to $300 million in civil penalties and treble damages on charges that it overbilled the government for private security contractors in Iraq.

The Army hired KBR to provide logistical services, such as transportation, maintenance, facilities management and dining facilities, for U.S. military operations around the world. But the contract excluded payment for armed contractors that provide security for KBR and its subcontractors.

Though KBR hired , and to provide security for executives in Iraq, the government says it should have relied on military protection. Its 2010 complaint alleges that KBR collected “more than $100 million in payments related to private security.”

In a 2011 answer and a counterclaim, KBR accused the government of not providing enough security.

Chief U.S. District dismissed the counterclaim Monday but said the contractor can try revising the claim to pass muster at a later date.

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Former KBR employee Keith Strimple sentenced to just over 2 years on child porn charge

By Ms Sparky | Filed in Civilian Contractors, GOV. CONTRACTORS, Indictments, Convictions & Arrests, LOGCAP III - KBR, Trafficking In Persons (TIP) Violations
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Former Employee of Government Contractor Sentenced in Oklahoma for Pornography Offense

May 23, 2002 mug shot

(DoJ) – WASHINGTON – April 11, 2012 – A former employee of a government contractor was sentenced today to 27 months in prison, followed by seven years of supervised release, on a child exploitation charge brought under the , announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division and U.S. Attorney for the Northern District of Oklahoma Thomas Scott Woodward.

Keith Strimple, 58, of Tulsa, Oklahoma, pleaded guilty in January 2012 before Chief U.S. District Judge Gregory Frizzell in the Northern District of Oklahoma to one count of attempted possession of a visual depiction of a minor engaging in sexually explicit conduct.

According to court documents and proceedings, Strimple worked as an employee of a government contractor between April and September 2007 at a U.S. military facility at , Iraq. During that time period, Strimple admitted that he searched for and downloaded videos of minors that he believed to be as young as 12 years old engaging in sexually explicit conduct and downloaded such images using the contractor’s computer system.

MEJA gives U.S. courts jurisdiction to prosecute crimes committed outside the United States by, among others, employees of a government contractor whose work supports a military mission.

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Contractor KBR says it wasn’t at fault in soldier’s electrocution death

By Ms Sparky | Filed in A Soldiers Story, Cheryl Harris vs KBR, Electrocutions/Shocks, GOV. CONTRACTORS, LAWSUITS, Lawsuits Against KBR, LOGCAP III - KBR, Ryan Maseth-US Army
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Rich Lord – (Pittsburgh Post-Gazette) – March 30, 2012 – Staff Sgt. Ryan Douglas Maseth’s death in a shower in Iraq stemmed from U.S. Army decisions that can’t be questioned by courts, lawyers for a top defense contractor argued in court today.

Or maybe they were the result of Mr. Maseth’s own risky decisions, attorneys for Kellogg Brown & Root Services Inc. told U.S. District , in oral arguments supporting their motion to dismiss the four-year-old lawsuit pursued by the sergeant’s parents and estate.

The hearing became an hours-long debate that vividly depicted the cold calculus of wartime decision making, showing that Army officials — and maybe — knew troop showers were death traps, but opted for what military planners called “the least-bad option.”

Mr. Maseth, whose parents live in the North Hills, was 24 at the time of his Jan. 2, 2008, electrocution on the U.S. base at Radwaniyah Palace complex in Baghdad. KBR had a contract for maintenance of buildings there.

Mr. Maseth was assigned to a building that initially was not considered fit to house troops, but was later deemed by the Army to be adequate despite an ungrounded electrical system, said attorney , representing KBR. The Army knew for four years prior to Mr. Maseth’s death that the building was ungrounded, as were many buildings in Iraq, he said.

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Federal Court Upholds Right to Sue Jordanian Defense Contractor in U.S.

By Ms Sparky | Filed in CONTRACTOR DEATHS, GOV. CONTRACTORS, Iraq Human Trafficking, KBR, LAWSUITS, Lawsuits Against KBR, LOGCAP III - KBR, Trafficking In Persons (TIP) Violations
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Judge rejects argument that U.S. court lacks jurisdiction in Nepali case

PRESS RELEASE
(Cohen Milstein) – WASHINGTON –  March 05, 2012 – A federal court today upheld its jurisdiction over Daoud & Partners, a Jordanian defense subcontractor that allegedly participated in trafficking Nepali laborers to work at a U.S. military base in Iraq against their will. A trial date has been set for April 29, 2013.

In denying Daoud’s motion to appeal this decision, Judge Keith Ellison, of the Southern District of Texas, ruled that the court has personal jurisdiction over Daoud & Partners, a subcontractor to , Inc., the Houston-based defense contractor that also is a defendant in the case. The case involves 13 Nepali men who in 2004 were promised jobs in Jordan, but were instead involuntarily transported to Iraq. Twelve of the men were captured and killed by insurgents on the way to the U.S. Air Force base where they were to work.

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