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A taxing situation and other news

Pentagon defends millions to contractor despite unpaid taxes
Tom Vanden Brook – (USA Today) – WASHINGTON – April 15, 2012 –  The tax problems of the military’s top propaganda contractor in Afghanistan would not have prevented the Pentagon from awarding it multimillion-dollar contracts, a top official said in a letter to U.S. senators.

The owners of Leonie Industries, the contractor, owed at least $4 million in federal taxes when the contracts were awarded. Because the owners had entered into agreements to pay the overdue taxes with the Internal Revenue Service, they were not required to tell the Pentagon about their tax debt, acting Undersecretary of Defense Frank Kendall wrote in a letter to Sen. Tom Carper.

Carper, D-Del., said he wants the IRS and Pentagon to work more closely to ensure that contractors with large tax debts receive more scrutiny. (Click HERE for article)

Confusion over S3.2bn fraud penalty fund
Olawale Rasheed, Abuja Monday – (Nigerian Tribune) – April 16, 2012 – Nigeria and the United States of America are now locked in a struggle over an accumulated $3.2 billion penalty paid by American companies who were convicted of bribing Nigerian officials in order to secure juicy contracts.

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Errs on the side of corruption and other news

The final findings of the Commission on Wartime Contracting, a bipartisan coalition formed in the spirit of the legendary Truman Committee, which exposed massive waste in World War II-era defense contracting. The modern commission found that these problems persist: At least one out of every six dollars spent on defense contracting in Iraq and Afghanistan, more than$31 billion, has been lost to fraud, waste, and abuse — and that number is climbing.~Here Is The REAL Problem With Outsourcing The Military To Contractors - Dana Liebelson

SIGN OUR PETITION! (Click HERE)

One last fight for secret soldiers
Mark Brunswick – (Star Tribune) – Minneapolis – March 4, 2012 – In a small building on Arcade Street in St. Paul, about a dozen Hmong veterans of the Vietnam War – all trained, paid and armed to fight for the United States by the Central Intelligence Agency – gather regularly to discuss upcoming public service events or festivities where their honor guard might be needed. They dress in old military uniforms they have bought on their own and have decorated with patches of their own design.

The meetings now come with a renewed urgency.

When they die, these secret warriors of a secret American war want to buried in veterans cemeteries alongside their American comrades. But even though they now are commonly acknowledged as having fought for the United States in northern Laos, they are prohibited by law from being buried in national or state veterans cemeteries, which are reserved for American service members and honorably discharged U.S. military veterans and their families.

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That bird won’t fly and other news

Hold that Revolving Door! Four-Star General Coming Through
Dana Liebelson – (POGO) – January 28, 2012 – The revolving door that carried former Department of Defense honcho William Lynn III to a well-paying job with an Italian defense contractor keeps on spinning – now Gen. James Cartwright, who retired as the nation’s second-highest ranking military officer in August, is following Lynn into the private sector.

Cartwright is joining the Board of Directors at Raytheon, a major U.S. defense contractor. Earlier in the week, DRS Technologies named Lynn as its chief executive officer. (Coincidently, before Lynn was tapped as deputy defense secretary, he was a top lobbyist for Raytheon.)

“General Cartwright’s deep understanding of defense and broad experience in military operations and matters of national security will be of great value to our Board,” Raytheon Chairman and CEO William H. Swanson said in a press release.

Well, Cartwright certainly has a deep understanding of defense: He’s a four-star general with 40 years of service in the Marine Corps, including four years as the Vice Chairman of the Joint Chiefs of Staff. But then there’s that sticky “great value to the Board” comment. And that’s where the problem with the well-oiled revolving door that leads from the Pentagon to the defense industry rears its ugly head. (Click HERE for article)

Former United Nations Employee Sentenced to 18 Months in Prison
(DoJ) – WASHINGTON – January 27, 2012 – Jeffery K. Armstrong, 52, of South Riding, Va., was sentenced today to 18 months in prison for obtaining more than $100,000 in salary payments by fraudulently holding concurrent jobs at the United Nations (U.N.) and the National Labor Relations Board (NLRB). He was ordered to serve a three-year term of supervised release following his sentence and to pay $128,153 in restitution.

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Fraud Fight Has U.S. Seeking to Ban Record Number of Suppliers

Wishing the Government Accountability Office and the agencies in charge of oversight, a banner year of suspensions and debarments in 2012.  Here’s hoping the DoJ grows a set in the new year and prosecutes those who have “gotten away with it” for far too long.  Honestly Eric (Holder) you can’t possibly believe the American taxpayer is gullible enough to believe the only criminals making bank in Iraq and Afghanistan are the handful of petty criminals you have indicted to date?
~ Ms Sparky & Forseti

(Money News) – December 27, 2011 – The Obama administration, under pressure from Congress to weed out government suppliers for ethics violations or poor performance, has proposed to ban almost as many contractors this year as President George W. Bush did in his entire second term.

Federal agencies have proposed blocking 1,006 companies and individuals from contracting so far this year, as well as asking a judge to ban a unit of food-processing giant Cargill Inc. of Minneapolis, in a process known as debarment. That is 16 percent more than the 868 contractors that U.S. agencies proposed to block in all of 2010, and only 70 fewer than the 1,076 contractors that U.S. agencies sought to debar under Bush from 2005 to 2008, according to data provided by the General Services Administration.

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The art of decadence and decay & other news

Innospec Agent Sentenced to 30 Months in Prison for Bribing Iraqi Officials and Paying Kickbacks Under the U.N. Oil for Food Program
(DoJ) – WASHINGTON – December 22, 2011 – A former agent for Innospec Inc., a U.S. company, was sentenced today to 30 months in prison and ordered to pay a $250,000 fine for his participation in a conspiracy to defraud the United Nations Oil for Food Program (OFFP) and to bribe former Iraqi government officials in connection with the sale of a chemical additive used in the refining of leaded fuel, announced Assistant Attorney General Lanny A. Breuer of the Criminal Division.

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