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Billy Joe Hunt & Gaines R. Newell sentenced for crimes committed while working for Parsons in Iraq

Two U.S. Contractor Employees Sentenced for Kickback Conspiracy and Tax Crimes Related to Iraq Reconstruction Efforts

(DoJ) – WASHINGTON – September 10, 2012 – Two former employees of The Parsons Company, an international engineering and construction firm, were sentenced in federal court in the Northern District of Alabama for their participation in a kickback conspiracy in Iraq and related tax crimes, announced Assistant Attorney General Lanny A. Breuer of the Criminal Division and U.S. Attorney for the Northern District of Alabama Joyce White Vance. 

Billy Joe Hunt, 57, was sentenced today by U.S. District Judge Abdul Kallon in federal court in Huntsville, Ala., to 15 months in prison, three years of supervised release, $66,212 in restitution to the Internal Revenue Service (IRS) and forfeiture of $236,472.  Gaines R. Newell Jr., 53, was sentenced yesterday by U.S. District Judge Virginia Hopkins in federal court in Birmingham, Ala., to 27 months in prison, three years of supervised release, $1,102,115 in restitution ($861,027 to the U.S. Army Corps of Engineers and $241,088 to the IRS) and forfeiture of $861,027.

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UK Citizen & Two Americans Charged in Alabama for Allegedly Conspiring to Defraud United States Government

The press release doesn’t name the company(s) where Gaines R. Newell Jr. and Billy Joe Hunt work(ed) for, it does say their company was the Prime contractor, here are 2 possibles who are based in Pasadena, California and had at least a portion of this contract:

  1. Parsons – U.S. Army’s Coalition Munitions Clearance (CMC) effort, headquartered in Baghdad, Iraq. From 2003 to 2008, we provided logistical support, coordination, and management for the effort to collect, maintain, or destroy uncontrolled military munitions found in Iraq.
  2. Tetra Tech – Iraq Coalitions Munitions Clearance, for U.S. Army Engineering and Support Center, Huntsville, Alabama, Tetra Tech provides mobile teams support at sites across Iraq.

If anyone has more information about the companies or individuals involved, leave a comment or contact us.  ~Forseti

(DoJ) – WASHINGTON – March 13, 2012 – United Kingdom citizen Ahmed Sarchil Kazzaz and his company, Leadstay Company, were charged in an indictment unsealed today in the Northern District of Alabama for their roles in a conspiracy to defraud the United States and pay kickbacks in exchange for receiving subcontracts for a Department of Defense program in Iraq, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division and U.S. Attorney Joyce White Vance of the Northern District of Alabama.

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Blacklisted contractor continues receiving government money through Haiti contracts

Despite the blacklist designation Agility was able to secure government funding for work in Haiti through a joint venture. An analysis of the Federal Procurement Data System shows that Contingency Response Services LLC (CRS) has received over $16 million in government funding from the Department of the Navy since the earthquake. The particularly bland sounding Contingency Response Services consists of three defense contractor giants — Dyncorp, Parsons and Agility Logistics (then PWC logistics).

Jake Johnston, lead researcher at Center for Economic and Policy Research – (The Hill) – December 2, 2011 – Following the devastating earthquake in Haiti on January 12, 2010, the U.S. launched an unprecedented relief effort, eventually totaling over one billion dollars. But the lead agency in the immediate aftermath was not the U.S. Agency for International Development (USAID), as is typically the case when our nation provides humanitarian assistance, but the military.  Just after the earthquake, the U.S. had over 20,000 troops in Haiti. Of the $1.1 billion in humanitarian funding from the U.S. in 2010, nearly half was channeled to the Department of Defense.

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T. Christian Miller – Injured War Contractors Sue Over Health Care, Disability Payments

T. Christian Miller – (ProPublica) – September 27, 2011 – Private contractors injured while working for the U.S. government in Iraq and Afghanistan filed a class action lawsuit [1] in federal court on Monday, claiming that corporations and insurance companies had unfairly denied them medical treatment and disability payments.

The suit, filed in district court in Washington, D.C., claims that private contracting firms and their insurers routinely lied, cheated and threatened injured workers, while ignoring a federal law requiring compensation for such employees. Attorneys for the workers are seeking $2 billion in damages.

The suit is largely based on the Defense Base Act, an obscure law that creates a workers-compensation system for federal contract employees working overseas. Financed by taxpayers, the system was rarely used until the wars in Iraq and Afghanistan, the most privatized conflicts in American history.

Hundreds of thousands of civilians working for federal contractors have been deployed to war zones to deliver mail, cook meals and act as security guards for U.S. soldiers and diplomats. As of June 2011, more than 53,000 civilians have filed claims for injuries in the war zones. Almost 2,500 contract employees have been killed, according to figures [2] kept by the Department of Labor, which oversees the system.

An investigation by ProPublica, the Los Angeles Times and ABC’s 20/20 [3] into the Defense Base Act system found major flaws, including private contractors left without medical care and lax federal oversight. Some Afghan, Iraqi and other foreign workers for U.S. companies were provided with no care at all.

The lawsuit, believed to be the first of its kind, charges that major insurance corporations such as AIG and large federal contractors such as Houston-based KBR deliberately flouted the law, thereby defrauding taxpayers and boosting their profits. In interviews and at congressional hearings, AIG and KBR have denied such allegations and said they fully complied with the law. They blamed problems in the delivery of care and benefits on the chaos of the war zones. (Click HERE for original article) (Click HERE for complaint PDF)

Watch out Parsons employees, here comes babblin’ Bill (Bodie)

Parsons Appoints Bodie as Energy, Systems & Security Division Manager 

Posted on : 2010-05-17 | Author : Parsons : PressRelease 
PASADENA, CA — 05/17/10 — Parsons announces the appointment of William Bodie as Manager of the Energy, Systems & Security (ESS) Division for its Infrastructure & Technology group. In this role, Mr. Bodie will lead ESS’s work in the energy, mission-critical systems, homeland security and defense, and intelligence markets — Parsons is one of the largest providers of management, engineering, environmental, and planning services to government agencies.

Prior to joining Parsons, Mr. Bodie worked for one of the world’s largest engineering, logistics, and defense services contractors. He was president and lead executive of the company’s North American Government & Defense business unit, responsible for the strategic goals, business operations, and financial performance of an enterprise with more than 25,000 employees globally. He also managed the company’s interface with the U.S. Army on LOGCAP, its largest expeditionary support services program, as well as overseeing numerous major engineering, construction, and logistics projects for the Army Corps of Engineers, the United States Air Force, and other U.S. federal and allied national security agencies.

“Bill brings to Parsons a wealth of knowledge and leadership skills from his roles as a defense services contractor, leading national security consultant, and policy adviser to the Secretary of the Air Force,” said Todd Wager, Parsons Group President. “We are committed to the government services market, and having someone of Bill’s caliber join our leadership team demonstrates that commitment.”

Mr. Bodie is a leader in strategic communications and public affairs, having served as Special Assistant to the Secretary of the United States Air Force and Director of Communications at a leading global security company. He also was a Senior Fellow at the National Defense University’s Institute for National Strategic Studies where he directed research on national security institutions in Russia and other ex-Soviet republics. Mr. Bodie is the author of numerous articles, monographs, and book reviews on intelligence, defense, and national security. He holds a bachelor’s degree in history from Columbia University and a master’s degree in politics from New York University. He will be based in Washington, D.C. Read the remainder of this entry »