Hell for Halliburton

HOW I BECAME THE KNOXVILLE 22ND

2010-04-02T07:58:00.013-04:00

Picture on left: Observers across the road from the Admin building. I'm the guy below the red line with a raised hand.

In late January 1970 I got a visit from my father's law partner at my apartment on the UT Campus. It came as quite a surprise. Jim Jones was a young lawyer in Dad's law firm and he said he was sent because they thought he could 'relate' to me better. His message was that I had been indicted by a grand jury on the Felony charge of INCITING A RIOT for my participation in a demonstration on January 15th. To say I was shocked is considerable understatement and this is why.
I had traveled to Miami with my younger brother's band over the Christmas and New Year's holiday to assist the band as a manager/sound mixer. My brother and I returned to Knoxville in early January and I decided to enroll at UT to finish up a couple of courses required to complete my degree. On Jan 15 I had gone up to the Hill to register for classes and there encountered a small group of students listening to speeches by guys I later came to know as Peter Kami, Gus Hadorn, and Carroll Bible. They were protesting the decision by a committee to name Dr Edward J. Boling as the next UT President.
I knew Dr Boling quite well because I worked for him as the student in charge of the Alumni Giving program and my family were friends with the Boling family. I understood that the students and some faculty were upset with the choice because they had been named to the selection committee and they wanted an academic person to be President. Boling was a development person who mainly raised money and helped build the physical part of the university.
The speeches were not too exciting until Peter Kami a very anemic looking guy with a Brazilian accent challenged Dr. Boling to an arm wrestling match for the office. It was funny because Peter's arm was pencil like and his lack of muscle was quite apparent.
The "crowd" (small group) grew weary and began to drift away until a long haired fellow jumped on the stump and suggested that the participants enter the admin building and "gum up the works" by standing in the Drop and Add lines. This suggestion failed to rally the troops and they continued to drift toward the stairs leading down the Hill. Then two amazing things occurred.
First the bells rang marking an end to that period of classes and several hundred student poured out of nearby classroom buildings causing a temporary increase of people in the area, and 2) there appeared on the Hill a phalanx of UT Police in full riot gear - White storm trooper helmets, clear acrylic shields, and large riot batons. The 30 men marched in a V formation toward the administration building from the south with shield and helmets glistening in the bright Winter sun. What the speeches failed to do - inspire the interest of the students - the storm troopers managed in an instant. Now the students were very interested although only a few had any idea what was going on.
Over the next 30 minutes about 50 students gathered at the door to the admin building demanding to be admitted and a couple of hundred more stood around waiting to see what would happen next. An announcement over a loudspeaker demanding everyone clear the area was met with derision as student insisted they had the right to free assembly. A couple of the guys nearest the door were pushed an a single diamond shaped pane in a window broke. The troops formed a semicircle around the walkway and front door but people came and went in and out of that with no resistance. Finally an ultimatum and deadline were given and we got to wait and watch the clock tick down.

When the appointed time was reached the front doors to the building opened and out poured some 200 Knoxville Police in full riot gear with gas masks and dogs. We now had over 200 cops for around 150 students. The cops grabbed 15 or 20 of the closest people and everyone else headed off the hill in a hurry.

While I was on the Hill that Jan afternoon I spoke to several fraternity brothers and a number of other students I knew. I had been President of Phi Sigma Kappa Fraternity, An elected representative from the liberal arts college in the student government, a member of the student tribunal, and President of the Freshman Class during the previous 5 years. In 1968 I had been selected as a national student field secretary for my Fraternity and had then gone to the Law School for one year before deciding that law was not for me.

The year working for the fraternity had taken me to UC Berkeley and Stanford in the west where student activists were prevalent and relatively powerful. I had been to universities in New York, Pennsylvania, and New England in the East and the student demonstrators there were quite active as well. One thing I knew beyond all doubt was that there was no hope that that kind of student activism would thrive at the University of Tennessee.

I really was shocked at the police response. What were 200 city police officers in riot gear doing inside the administration building? I know for certain they had to be there prior to the start of the gathering. It would have been impossible for them to arrive later because there was no way inside that would not have revealed their entry. Why would the administration decide on such a massive police response to such a small gathering of students making speeches about their discontent with the selection of a President?

In the days that followed the event I began to spend some time trying to help raise money for the defense of those students who had been arrested. Among them were two fraternity brothers who also had nothing to do with the demonstration. They like me had watched the events out of curiosity. One of them is now a staunch Republican - a stance I find difficult to believe given his experience. The other passed away some time ago. Both were mild mannered southern guys who definitely did not fit the "radical" mode or mindset. Both were shocked, chagrined, and rather embarrassed by their arrests. All of the then KNOXVILLE 21 were charged with FELONY "INCITING TO RIOT" for an event that bore no earthly resemblance to a riot even after the UT cops made their dramatic entrance or the mass of KPD officers poured out of the administration building.

So here it was a few weeks later and I was being driven downtown and booked as the 22 person arrested for the events of Jan 15. The question is why? The answer is simple.
Knoxville Tennessee is a part of the Second Congressional District and that District has never had a Democrat in the seat. The County had been solidly Republican until 1948 when my father became the County Judge (equivalent of Mayor of the City) to fill out the last two years of the CJ who resigned to become Mayor of Knoxville. Dad was then elected to two full 8 year terms in 1950 and 1958 serving for 20 years and he had made one run for the Congressional seat in 1956 coming closer than any Democrat in history in a race against Howard Baker Sr.
The District Attorney of Knox County was a staunch Republican. The picture you see shows that I was present on the hill that day and that is all they required to get an indictment. Their logic was clear - indict the Judge's son and harm him politically.

Eventually all of the charges were reduced from felonies to the misdemeanor of Obstructing the Entrance to a Public Doorway on every participant except Peter Kami the frail Brazilian who challenged Ed Boling to an arm wrestling match. Poor Peter was forced to flea the country over this event His life was put in peril over a harmless bit of theater because he dared to register his protest and speak his mind here at the largest University in the South.
I have little to complain about because I'm still here and I didn't even pay the $25 fine imposed for my non-infraction. But the events of Jan 1970 made me a radical in a land where 'freedom of speech and assembly' are empty and hollow terms even on the campus of a University. The FEAR and PARANOIA of local Republicans shown in their massing of hundreds of cops to quell a small protest rally is in a large part responsible for what happened in the 70's all over the country. The high minded idea of FREEDOM wasn't really enjoyed in AMERICA when those people were in control.

There is a "COLLECTION" in the Hoskins Library downtown consisting of an exhibit about the KNOXVILLE 22

GOP refusing to allow testimony on Halliburton spending

2004-06-17T08:28:00.000-04:00

By Seth Borenstein Knight Ridder Newspapers

WASHINGTON - Halliburton Inc. paid high-priced bills for common items, such as soda, laundry and hotels, in Iraq and Kuwait and then passed the inflated costs along to taxpayers, according to several former Halliburton employees and a Pentagon internal audit.

Democrats in the House of Representatives, who are feuding with House Republicans over whether the spending should be publicly aired at a hearing on Tuesday, released signed statements Monday by five ex-Halliburton employees recounting the lavish spending.

Those former employees contend that the politically connected firm:

-Lodged 100 workers at a five-star hotel in Kuwait for a total of $10,000 a day while the Pentagon wanted them to stay in tents, like soldiers, at $139 a night.

-Abandoned $85,000 trucks because of flat tires and minor problems.

-Paid $100 to have a 15-pound bag of laundry cleaned as part of a million-dollar laundry contract in peaceful Kuwait. The price for cleaning the same amount of laundry in war-torn Iraq was $28.

-Spent $1.50 a can to buy 37,200 cans of soda in Kuwait, about 24 times higher than the contract price.

-Knowingly paid subcontractors twice for the same bill.

Halliburton is already under fire for allegations of overcharging the Pentagon for fuel and soldiers' meals. The latest accusations center on whether Halliburton properly keeps track of its bills from smaller subcontractors, Pentagon auditors said in a month-old report released Monday by Rep. Henry Waxman, D-Calif.

The 36-page report by the Defense Contract Audit Agency said that Halliburton subsidiary Kellogg, Brown and Root had a billing system that was "inadequate," had numerous deficiencies and billing misstatements and that KBR didn't follow laws and regulations relating to spending and recordkeeping. Its contracting practices are so bad, the auditors said, that KBR shouldn't be allowed to bill the Pentagon directly without the government poring over every detail in advance.

Statements by the whistleblowers - five of whom were identified - and the government's audit report "portray a company and a contracting environment that has run amok," Waxman wrote in a letter to Government Reform Committee Chairman Tom Davis, R-Va., on Monday.

Halliburton disputed the auditor's report and said Waxman was politically motivated.

Wendy Hall, a company spokeswoman, said Waxman's allegations do nothing "to feed a single member of our military, create a single unit of housing, repair a single oil well or supply a single piece of material for reconstruction."

Hall also noted that Halliburton continues "to be a target in this presidential election year. This is the 35th news release about Halliburton from the congressman's office since March 2003."

But one former Halliburton subcontracting manager, Marie deYoung, said in her signed statement that she had seen "significant waste and overpricing."

"Halliburton rarely collected adequate information from subcontractors to justify payment of invoices. When I attempted to properly verify invoice terms before setting up payment authorization, I was chastised," said deYoung, a former Army captain and chaplain who resigned from the company last month.

According to deYoung, Halliburton's financial staff lives at the five-star Kempinski Julai'a Hotel and Resort in Kuwait. "For a three-month period, the Kempinski hotel charged almost $1 million to house 100 Halliburton employees. By comparison, it costs less than $200,000 a year to lease tents that could house 400 soldiers. ... The military requested that Halliburton move into tents, but Halliburton refused."

Hall didn't respond to the specific charges made by deYoung and other employees, but said, "There are clear inaccuracies in these assertions. We take any charges of improper conduct seriously."

While the allegations of high prices and overcharging are startling, the Pentagon audit report found a larger problem in that Halliburton isn't controlling or watching what its suppliers charge, said Pete Singer, a Brookings Institution researcher who's written a book about private contractors' increasing role in the military.

KBR has a multibillion-dollar, multiyear logistics and supply contract that allows it to add on a profit of 1 to 2 percent and pass along all costs to the government. So far, the Army has agreed to pay KBR up to $4.55 billion for Operation Iraqi Freedom.

In his letter to Davis, Waxman charged that since House Republicans won't let the whistleblowers testify Tuesday, the congressional committee is "not fulfilling its obligation to protect the taxpayer from waste, fraud and abuse."

Davis' spokesman Dave Marin said Republicans "simply had not had the time to properly flesh out, corroborate, investigate the many and wide-ranging claims that these individuals have made." If the whistleblowers turn out to be legit, he said, the committee may schedule "a follow-up hearing in the summer months."

Also Monday, the General Accounting Office released its assessment of contracting in Iraq and said most of the no-bid work was legitimately awarded. The GAO did have some objections to a separate Halliburton contract on restoring oil production capacity in Iraq.

Last week, Halliburton revealed that it's being investigated by the Securities and Exchange Commission over allegations of bribery in Nigeria for the late 1990s, when Vice President Dick Cheney was in charge of the firm. Last month, a dozen truckers told Knight Ridder that Halliburton sent them back and forth across Iraq with empty trailers more than 100 times.

THE OWNER'S AND AUTHOR'S OF RUSH LIMBAUGHTOMY HAVE CLOSED THIS BLOG FOR THE FORSEEABLE FUTURE

2003-12-05T18:44:00.000-05:00

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Halliburton racks up $1.72 Billion as NO-BID Contract is Extended AGAIN

2003-12-03T03:35:00.000-05:00

Pentagon delays award of Iraq oil contracts again - So what else is new.

Army doubles the Halliburton Contract Cost Estimate to 2 Billion for "sabotage".

We didn't really believe it when we were told Halliburton's NO-BID Contracts would be open for bidding in August.
In October when we were told it would be mid-December we did not really buy that either.

Well here we go again.

"Army Corps spokesman Bob Faletti said the "deadline window" had been extended until Jan. 17, 2004. An announcement would be made between Dec. 15 and Dec. 17, "

Nobody believes for a minute that Halliburton won't win the open bidding but why don't they at least care about appearances? We know Dick Cheney is running the war and the country. As long as that is true more billions will be funneled to Halliburton. When are we going to wake up and throw these thieves out of Washington? If 1.72 Billion isn't enough then what is?

12.02.03, 12:35 PM ET WASHINGTON - The U.S. military said Tuesday it had again extended a deadline for awarding two new contracts to repair Iraq's oil fields, giving Vice President Dick Cheney's old firm Halliburton more time under its no-competition deal.

The U.S. Army Corps of Engineers said in October it would replace by the end of December a no-bid deal given in March to Halliburton subsidiary Kellogg Brown & Root, which by last week had clocked up more than $1.72 billion in business.

But Army Corps spokesman Bob Faletti said the "deadline window" had been extended until Jan. 17, 2004. An announcement would be made between Dec. 15 and Dec. 17, he said. "Our goal is to make sure that we have a good contract and so we are giving ourselves that five-week window to ensure we have a good, solid contract," said Faletti.

Bushit! Contracts don't get better with more time! By the time this deal gets done the secret underground pipeline to Kuwait will have sucked IRAQ dry like the Bush led Congress is sucking the treasury dry. All of these thieves will be living on some island like Sultans while we are left here in utter financial ruin and chaos.

In the meantime, he said KBR, which has also bid on the new deals, would continue its work in Iraq."This is not about KBR, it is about having a good solid contract," he said, rejecting past criticism that delays served to give KBR more lucrative business in Iraq.

Yeah and if you believe that I have bridge in Brooklyn.....and you also believe this:

"Work will continue in Iraq and the work to award these contracts will continue. Our goal has always been to issue competitively-bid contracts."

Faletti said the deadline had been extended to give selection officials more time to look at the complicated bids and because of the coming holidays. He said the terms of the contracts -- one for the north and the other for the southern region in Iraq -- had not changed and he did not expect the amount of the contracts to increase.

The two new deals were meant to have been announced in October but were delayed after intense looting and sabotage doubled defense officials' original estimates from a billion dollars to $2 billion.

Yes we have an army there but they can't stop a billion dollars worth of sabotage and looting.

Faletti said looting and sabotage still hampered oil field repair work but it was not as intense. "Every time the pipelines are blown up that is money that has to be diverted to fix it from other stuff that was due to be repaired."

The work given to KBR in Iraq has been strongly criticized by Democrats, who allege cronyism and favoritism in handing out the deals and claim that KBR is overcharging for some of its services. Aside from the oil fields no-bid deal, KBR has a separate logistics contract with the military, with tasks ranging from building bases to delivering mail and feeding U.S. troops.

Last week, three Democratic lawmakers asked the Pentagon's inspector general to investigate alleged overpricing of gasoline sent to Iraq by KBR. Halliburton has strongly denied overpricing of gasoline into the oil-rich country, which has suffered an oil shortage because its refineries are not running to capacity.

Well you wouldn't expect them to admit to being thieves would you? Christ gimme a break. Just take all the money and leave us with some self-respect.

GET YOUR BEST HEADLINES AT WHAT REALLY HAPPENED

Cheney threatens "fundamental principles of the separation of powers"

2003-12-01T22:57:00.000-05:00

High court may hear Cheney appeal -
Energy case focuses on confidentiality, presidential powers

This administration now threatens the power of Courts and Congress to balance the Executive

12/1/2003 WASHINGTON -- The Bush administration's sustained campaign to build up the powers of the presidency and to extend the confidentiality of White House decision-making is due for a major test in the Supreme Court, possibly as early as today.

The justices appear ready to decide whether they will hear an appeal by Vice President Dick Cheney, who is defending his refusal to disclose files of the task force that he headed in developing the administration's energy policy, which is now stalled in Congress.

If the court grants a review, a final decision would be months away. The administration has raised the stakes on the preliminary decision by arguing that the case threatens "fundamental principles of the separation of powers" between the branches of government.

Because of the sweeping constitutional arguments being made, the case has the potential to sharply curtail the power of the courts and, by implication, Congress to oversee the workings of the executive branch.

The key argument is that the Constitution's separation of powers among the three branches means that the other two branches are without authority to second-guess the president when he and his staff are deciding how to use executive powers.

The position of the administration in the case parallels arguments against judicial interference in the president's handling of the war on terrorism, arguments being made with increasing frequency in court cases involving terrorist suspects or "enemy combatants."

The White House has been making similar arguments in a running battle over access to internal presidential papers that are being sought by the National Commission on Terrorist Attacks Upon the US, an independent body that is investigating the Sept. 11, 2001, attacks.

Cheney is not only the leading figure in the task-force dispute that is now ready for the Supreme Court's reaction. He also is the central officer of the administration waging the public campaign for greater presidential authority.

Early last year, he told a television talk show that in 34 years in Washington, "I have repeatedly seen an erosion of the powers and the ability of the president of the United States to do his job." It is a theme he repeats often in public appearances, and that Justice Department lawyers regularly make in briefs filed in court.

In the energy task force case, those arguments have been losing for the past two years, as a federal judge and then a federal appeals court have ruled that courts may order at least limited inquiry into the decision-making process that the agency used.

Two private groups, Judicial Watch, a conservative legal advocacy organization, and the Sierra Club, an environmental protection group, have sued Cheney, Cabinet officers, and other government officers, seeking to force into the open the role that energy industry executives might have played in influencing administration policy.

So far, the case is nowhere near going to trial, because Cheney has steadfastly refused to acknowledge that the courts may order such an intrusion into the decision-making process. Although given a chance by the federal judge to cite specific documents that the White House could claim were shielded by "executive privilege," the administration has refused to assert that claim as to any document, standing on its view that it need not do so in order to maintain confidentiality.

In the past, challenges over the confidentiality of presidential documents have often been ended, or settled, after presidential assertions of executive privilege -- a broad confidentiality doctrine first outlined by the Supreme Court in 1974 in the White House tape recordings case during the Watergate scandal.

But Cheney and President Bush have refused to invoke that privilege in the energy policy case, saying the independence of the executive branch does not require it. Besides, Cheney has argued, the president should not be bothered with the task of going over each document sought and deciding whether to claim a privilege to withhold it.

Cheney's appeal insists that the task force's work involved only government officials giving advice to the president. But the case against him by Judicial Watch and the Sierra Club argues that industry executives served as influential advisers, too, and their lawsuit seeks documents to show who attended meetings and what role advisers played. US District Judge Emmet G. Sullivan has allowed the case to go forward, at least to the point of requiring the disclosure of some task force papers -- unless the government claims they are privileged.

Last week, Senate leaders decided not to press for final congressional action on the broad energy measure during the current session of Congress, because of the threat of a Democratic-led filibuster. The bill will be brought up again next month.

These people are megalomaniacs and will stop at nothing to claim total control of the country.

Five Black Veterans Accuse KBR div. of Halliburton with Racial Bias

2003-11-30T17:42:00.000-05:00

Nov 29, 2003 Five black veterans have accused Kellogg Brown & Root, a subsidiary of Halliburton, of engaging in racial discrimination. One of the men, a 21-year veteran of the Marines, contended in an arbitration filing that he was paid less than his colleagues, endured racist epithets, was passed over for promotion in favor of less-qualified people who were white and ultimately lost his job at Kellogg Brown & Root, the engineering and construction subsidiary of Halliburton, which is a major global supplier of oil field services.

It is difficult to draw conclusions about a company's employment practices based on the accusations of a handful of employees, specialists in employment law say, and nearly every large company has faced its share of discrimination claims. But such accusations made by veterans are potentially very sensitive for Kellogg Brown & Root, which has strong ties to the military.

A former Army staff sergeant said he lost his job when the company fired 84 percent of the blacks in his unit, according to the filing. Two other claimants, a former Army major and a former sergeant, said that, in separate incidents, they were told their jobs were no longer necessary - only to find later that white employees were promptly given their old positions.

A fifth man, a former Air Force sergeant, said that he was repeatedly denied employment at Kellogg Brown & Root when he applied in person for jobs at the company but received an offer when he sent his résumé via fax; the offer was rescinded before he could start.

"I was devastated," said Wayne Whiting, the former Army staff sergeant. He and the other four men have begun arbitration proceedings against Halliburton and Kellogg Brown & Root. "I was a former military guy, now a retired military guy, and I was well known in logistics, and I was just surprised that a company of this magnitude could go on to treat their employees with no kind of respect whatsoever."

The terms of the employment contracts signed by the four former Kellogg Brown & Root employees prohibit them from suing in federal court. This is not unusual, employment lawyers say. A date has not yet been set for the arbitration, which will be in New York, said Joshua Friedman, the lawyer for the veterans.

The stories of the four veterans who worked at the company have common elements. Each man says that he was singled out for unfair treatment by superiors. Two say that they complained to the human resources department at the company, and three filed complaints with the Equal Employment Opportunity Commission.

All four lost their jobs and contend that clearly less-qualified white employees took their old positions - even after the company told them, in some cases, that the positions were to be eliminated.

Mr. Whiting, for example, started in November 1998 at Kellogg Brown & Root in Taszar, Hungary, helping to run a supply system for the Army, according to the arbitration filing. He was told in an e-mail message in October 2000 that his position was being eliminated, the filing said. Then he learned that one of his subordinates, who is white, was taking over his old job.

According to the arbitration claim, the e-mail message with the news of Mr. Whiting's job loss came after one of his supervisors told him, "You're not the right man and color for this job."

"Militarily, their statements are almost absurd" Top Military Strategist Says of Bush and Cheney "fear-mongering"

2003-11-28T14:42:00.000-05:00

White House assertion of terror network in Iraq may undermine own case for war
WHY IS THIS WAR MONGER LAUGHING?

Ft. Worth TX.- Vice President Dick Cheney, speaking at fund-raisers on Monday, offered his rationale for the American presence in Iraq. "Iraq has now become the central front in the war on terror," he said at a Bush-Cheney fund-raiser in Cleveland and at a fund-raising reception for Rep. Anne Northrup in Louisville, Ky. "We are aggressively striking the terrorists in Iraq, defeating them there, so we do not have to face them on the streets of our own cities."

It's a line that generates applause. It's also a line that makes several military and intelligence analysts cringe. They say it gives the impression that those carrying out terrorists acts against United States and allied forces are internationally organized with the power and reach to wage war on America's shores.

As Cheney and President Bush use the rhetoric, some experts say the White House is giving Americans a false impression of who the terrorists in Iraq are and their reasons for conducting deadly attacks. "Militarily, their statements are almost absurd," said Anthony Cordesman, a national security and military intelligence expert for the Center for Strategic and International Studies. "There is no evidence of activity … by extremist terrorist groups affiliated with al-Qaida."

The line from the Bush administration and similar ones from some of the Democratic presidential challengers reflect a difference of opinion between politicians and soldiers in the field, Cordesman said. White House officials say the line captures the essence and the urgency to defend America from the nontraditional, guerrilla-type warfare that's becoming an everyday occurrence in Iraq.

A senior administration official, who spoke on condition of anonymity, said Bush and Cheney's remarks reflect the belief that there are "al-Qaida or al-Qaida types" behind the terrorism in Iraq. "The president, (Defense Secretary Donald) Rumsfeld, (Gen. John) Abizaid have talked about foreign fighters on Iraq soil, foreign jihadists' will to inflate terror," the official said.

But Cordesman and other analysts say military officials in Iraq already have an idea where the bulk of the terrorist threat there is coming from: the locals. Abizaid, the top military official in the region, told reporters two weeks ago that most of the resistance and violence in Iraq have been spawned by former members of Iraq's Baath Party and other groups loyal to former Iraqi President Saddam Hussein, who are waging a low-intensity war to return him to power. Abizaid said the resistance may only number 5,000, but they are a dedicated and dangerous bunch.

"It doesn't take a large group of people to commit terrorist acts," the senior administration official said. "The clear and most dangerous enemy to us at the present time are the former regime loyalists, the Baathist cells that operate in the areas primarily of Baghdad, Fallujah, Tikrit, Mosul, Kirkuk, and conduct operations against us primarily through the use of improvised explosives devices, mortars, rocket-propelled grenades and, very infrequently but sometimes, small-arms fire," Abizaid said.

In addition, the Baathists have hired criminals "to do their dirty work" and work with a small but well-organized group of foreign fighters, according to Abizaid. Cordesman estimated that about 95 percent of the terrorist threat is from Saddam loyalists.

The argument by Bush and Cheney that fighting the terrorist threat in Iraq will help keep terrorists away from American cities diminishes the White House's original stance for going to war, said Michael O'Hanlon, a military analyst for the Brookings Institution. Bush initially said that Saddam's brutality toward his own people, his decision to ignore countless United Nations resolutions and the pursuit of weapons of mass destruction that threatened to destabilize the Middle East justified going to war.

By now describing the war as an effort to get the terrorists before they get to America, "the administration, in a strange way, discredits its own case," O'Hanlon said. "It's a weak argument," he said. "There aren't that many in Iraq who are foreign fighters who are a threat to U.S. shores. I don't know if it's fear-mongering or false re-assuring."

Cordesman and others say that Americans won't get the full story on the war on terrorism as long as the White House keeps talking about Iraq as a beachhead. "It doesn't prepare the American people for a war forced on us to fight, for its length, its intensity and risks," he said. "It's the kind of politics that gets you through two weeks."

This is the same lying and posturing that Bush and Cheney used to lead us in to this war.

Is Our "Fearless Leader" a Chicken or a Turkey?

2003-11-28T14:03:00.000-05:00

Bush sneaks in and out of Baghdad airport in 2 hours under cover of darkness unlike some Presidents we remember
Since things are slow this weekend I took the time to catch up on reading the League of Liberals. Here is what I found from our illuminating and diverse membership:
Indigo Ocean has finished her first novel and ended a dead end
T-Rex Updates Where are they Now and explains why Republicans are bad for the economy
Our Democratic Veteran tracks the brother's Bush and takes two shots at a. sullivan
A MUST READ AND COPY - Natalie Davis All Facts and Opinions 10 Actions to Stop Bush and a few Dem Candidates are failing her test.
George is always a target rich environment says Dohiyi Mir, even with his stagecraft
The Politburo Diktat on less than good intelligence developed a map that fails to give mention to a single L o L member What's up with that?
The People's Republic of Seabrook has Tom Delay as Turkey of the Year and a nice shot at a Compassionate Conservative
Officially Unofficial covers the aftermath of the Shrubs shrubbery damage and other Orwellian happenings
Turkey and more Turkey is the T-Day offering of WTF is it Now?
Turkey at Pen-Elayne's looks appetizing during the Thanksgiving Day Parade which was not to some bigots.
The Cosmic Iguana covers a different Byrd while mentioning that the turkey has landed
Pharyngula found the Turkey in Iraq insulting but the timing of The Two Towers to be Turkey perfect
Cup O Joe ruminates on the recent L o L chat and reminds us that Repugnicans Hate Soldiers
Hammerdown gives us a few thousand words in pictures
The Happy Furry Puppy has T-day predictions
Concentration Camps and UN Resolutions are on the menu at Anarchy Xero
Different Strings covers the FOX "nuze" and Church and State
What can Bush do in IRAQ that Saddam can't asks 18 Minute Gap: answer - Nothing
If Byte Back had tallied the reactions of L o L blogs Ricky would have a very large tally although TPRS would have added to "the Left"
Why North Georgia Dogma is worth note I cannot devine. I make the L o L count about 20 to 2 on the side of "chicken little sneaks in under cover of darkness for photo op = Zero style points or more Mission Accomplished"
Rick's Cafe rates some sites for the King of Blogs and tells us the Marine Girl is back at Across the River
Bush V. the Troops Clareified by Bush Vs the Troops Again Pt II
Failure, babbler, and Blowhard are the 3 Screaming Points
Left is Right has Quotes of the Week and Friday Fun
The Gunther Concept on James Yee
Speedkill says it's serious when they don't tell Fox on the way home
The Poison Kitchen - President's in war zones and a new toy.
The Art of Worldy Wisdom Anonymoses - from Whom God Hid Nothing
Futurballa on Clinton's 21 books and a vote for Damage

The rest will wait until tomorrow

HALLIBURTON FLEECING US TAXPAYERS - Lieberman, Dingell, & Waxman

2003-11-25T20:55:00.000-05:00

The Charges that HALLIBURTON hoped would die
find some powerful support in Congress

Wed 26 November 2003, 23:54 GMT__ Halliburton, the Houston-based oil services and construction group once headed by US Vice President Dick Cheney, is again under fire. The energy giant and its subsidiary Kellogg Brown & Root have been accused by three US lawmakers of fleecing ordinary American taxpayers by charging "inflated prices" for selling petrol to US troops in Iraq.

Senator Joseph Lieberman and Representatives John Dingell and Henry Waxman on Tuesday called for a US Defence Department investigation of the company. They said Halliburton was charging US taxpayers $2.65 per gallon to transport gasoline from Kuwait to Iraq, while the Iraqi state oil company paid only 96 cents per gallon. The Defence Department's own fuel distribution centre also paid considerably less, between $1.08 dollars and $1.19 per gallon.

In a letter to the Inspector General of the Defence Department, the three lawmakers have insisted "transparency and accountability are essential if the efforts to reconstruct Iraq are to succeed".

"We hope you will help restore transparency and accountability to this process by undertaking the important investigations described in this letter" "We hope you will help restore transparency and accountability to this process by undertaking the important investigations described in this letter," the trio said.

Alarmed that the company had cornered Iraqi reconstruction contracts worth $500 million, other congressmen have questioned why so much work had been given to Halliburton's subsidiary Kellogg Brown & Root (KBR) without any competition.

Instead of asking for fresh bids, the Pentagon awarded Halliburton new contracts based on a 2001 contract it had won for supplies to US troops. This led to allegations Halliburton was being favoured for its ties to Cheney.

The three Democrat politicians also allege some of the fuel payments to Halliburton come out of the Development Fund for Iraq, which is meant to pay for humanitarian efforts in the occupied country. The Fund, some non-government agencies say, is being mismanaged and the latest furore over "inflated prices" is likely to fuel the charge further.

Democrats ask Pentagon to probe Iraq oil imports

WASHINGTON, Nov. 25 — Three U.S. Democratic lawmakers asked the Pentagon inspector general on Tuesday to investigate alleged overpricing of gasoline sent to Iraq by Halliburton, the firm once run by Vice President Dick Cheney.

Sen. Joseph Lieberman from Connecticut, Rep. Henry Waxman from California and Rep. John Dingell from Michigan, also urged the Pentagon to look into the use of money from a humanitarian account, the Development Fund for Iraq, to buy gasoline and possibly weapons.

''We hope you will help restore transparency and accountability to this process by undertaking the important investigations described in this letter,'' the lawmakers wrote. A subsidiary of Texas-based Halliburton has been importing gasoline into Iraq under a contract with the U.S. Army Corps of Engineers until the oil-rich country's refineries are running at full capacity.

Halliburton, where Cheney served as chief executive from 1995 to 2000 when he left to become U.S. President George W. Bush's running mate, has denied claims of overbilling and says the dangerous security situation has elevated prices. The Corps of Engineers also said it has not found evidence of wrongdoing but is looking into cheaper ways of importing oil.

The lawmakers asked the Pentagon to look into why it cost as much as $2.65 a gallon to import gas from Kuwait when the Iraqi state oil company told them it paid less than a dollar a gallon. The Army says it costs an average of $1.60 a gallon. ''The price Halliburton has charged to import gasoline from Kuwait needs thorough investigation,'' the lawmakers wrote.

''Transparency and accountability are essential if the efforts to reconstruct Iraq are to succeed,'' they added. To date, the members of the U.S. Congress said Halliburton had been paid more than $380 million for all gasoline imports into Iraq and an additional $690 million has been approved for future fuel imports.

The lawmakers said that based on figures provided by the Iraqi state oil company, SOMO, Halliburton may have overcharged the U.S. government by about $150 million to date. The lawmakers asked who in the U.S. Defense Department had approved Halliburton's billing and whether the oil services company had violated any laws or regulations.

Referring to the Development Fund, the lawmakers said the U.S.-led Coalition Provisional Authority in Iraq was attempting to use the money to buy assault rifles and millions of boxes of ammunition. These funds were intended to ''meet the humanitarian needs of the Iraqi people,'' they said. The Pentagon's Inspector General's office said it had received the letter and was examining it.

From the Left:
South Knox Bubba __ another Mission Accomplished and the must read GOP Bizarro World Politics
Skippy the Bush Kangaroo ___ the CGI President and Culture Clashing with the Facts
Rum in ate This ___ AARP; Just Another Insurance Agency and Another Vain and Vindictive Run

Damage: Global Warming Catastrophe - New Evidence

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Big Fish Set to Swallow Spoils of Iraq War

2003-11-24T21:46:00.000-05:00

ALL PRETENSE ASIDE HALLIBURTON REMAINS BIG HOG AT THE TROUGH

Nov. 24 20:58 David Nash, head of the new Iraq Infrastructure Reconstruction Office (IIRO), appealed to businesses' patriotism last week at a conference designed to enlist them in the effort to rebuild the war-torn country. But Mr Nash, a retired rear admiral, must have felt as if he had walked into hostile fire when it came to question time. One by one, small businessmen aired concerns that they would be cut out of the process.

Sylvester Myers, an independent construction supervisor, appeared to sum up the mood when he asked Mr Nash whether Halliburton, the Houston oil-services giant, had an information booth at the conference. "These are the guys who are going to be running the show," Mr Myers said warily. "I know how it works."

Many procurement experts agree with that assessment - although they do not believe a conspiracy is to blame. The scale of the rebuilding effort is so vast, they say, and the timetable so ambitious that it seems all but guaranteed that the government will call on large, familiar companies such as Halliburton. The deteriorating security situation in Iraq should also tilt the competition in large companies' favour, they argue, as government agencies put more emphasis on bidders' ability to protect themselves.

"At the prime contractor level there are going to be a bunch of the usual suspects," predicted Steven Kelman, a professor of public administration at Harvard University. Peter Kant, a procurement specialist at Jefferson Consulting in Washington agreed. "You're definitely going to see the more traditional government contractors. If it's not Bechtel this time, it will be Fluor or Shaw," Mr Kant said.

That could prove embarrassing for the administration of President George W. Bush since the IIRO was created in part to meet criticism that large, well connected companies were cashing in while others were being shut out. Halliburton, for instance, which from 1995 to 2000 was headed by Dick Cheney, now US vice-president, was granted a contract to restore Iraq's oil fields - valued at up to $7bn - without competition.

But it looks as though Mr Nash and the IIRO will have to rely on such companies given the time constraints. The IIRO plans to award $18.7bn in new contracts for tasks - ranging from repairing Iraqi sewers and roads to refurbishing hospitals and training the new Iraqi Army - by early February. To place the mission in context, the federal government spent about a decade ramping up a similar-sized programme to provide food stamps to poor Americans.

"This is an adventure with no comparison anywhere else in the world," said Andrew Bearpark, the Coalition Provisional Authority's director of operations in Iraq and a veteran of several post-war rebuilding exercises. "The sums are absolutely staggering."

The IIRO's central strategy, however, appears to be "bundling". It plans to divide the funds into 25 enormous contracts that will each be overseen by a prime contractor who will then carry out some of the work themselves but also subcontract much of it. "A lot of what the primes are going to be doing is managing a system of subcontracting," Mr Kelman explained.

The small business community objects to bundling because it puts the resulting prime contracts - typically the most lucrative ones - out of their reach. In the case of Iraq, each averages about $750m. "We feel frustrated in the process because the government bundles these large contracts," one small businessman complained to Mr Nash last week. "I doubt we'll see one penny from helping to rebuild Iraq."

Even companies with the capacity for such large assignments are unlikely to win unless they have worked for the government before. The shortened time scale means rounds of vetting, bidding and rebidding that might have proved their credentials will have to be condensed. Competition for the first round of contracts may not be as level as many hoped, but it seems to be following the natural law of government contracting.

"During Desert Storm a huge number of contracts were awarded very quickly and there wasn't even a pretence of full and open competition," said Jim Nagle, a Seattle lawyer and author of the book History of Government Contracting. "What you gain in efficiency, you sacrifice in fairness."

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MYSTERY SURROUNDS DEATH of STATE DEPARTMENT OFFICIAL

2003-11-22T09:38:00.000-05:00

November 22, 2003 (FTW), WASHINGTON -- In a case eerily reminiscent of the death of British Ministry of Defense bio-weapons expert, Dr. David Kelly, an official of the State Department's Bureau of Intelligence and Research Near East and South Asian division (INR/NESA), John J. Kokal, 58, was found dead in the late afternoon of November 7. Police indicated he may have jumped from the roof of the State Department. Kokal's body was found at the bottom of a 20 foot window well, 8 floors below the roof of the State Department headquarters near the 23rd and D Street location. Kokal's death was briefly mentioned in a FOX News website story on November 8 but has been virtually overlooked by the major media.

Interestingly, the FOX report states that State Department officials confirmed Kokal's death to The Washington Post yet the Post - according to an archive search - has published nothing at all about Kokal's death.

Kokal's INR bureau was at the forefront of confronting claims that Iraq possessed weapons of mass destruction. Washington police have not ruled out homicide as the cause of his death. Kokal was not wearing either a jacket or shoes when his body was found. He lived in Arlington, Virginia.

However, a colleague of Kokal's told this writer that the Iraq analyst was despondent over "problems" with his security clearance. Kokal reportedly climbed out of a window and threw himself out in such a manner so that he would "land on his head." At the time Kokal fell from either the roof or a window, his wife Pamela, a public affairs specialist in the Bureau of Western Hemisphere Affairs, was waiting for him in the parking garage. Mrs. Kokal had previously worked in Consular Affairs where she was involved in the stricter vetting of visa applicants from mainly Muslim countries after the Sept. 11 attacks.

State Department officials dispute official State Department communiqués that said Kokal was not an analyst at INR. People who know Kokal told the French publication Geopolitique that Kokal was involved in the analysis of intelligence about Iraq prior to and during the war against Saddam Hussein.

Another INR official, weapons expert Greg Thielmann, said he and INR were largely ignored by Under Secretary for Arms Control and International Security John Bolton and his deputy, David Wurmser, a pro-Likud neo-conservative who recently became Vice President Dick Cheney's Middle East adviser. Kokal's former boss, the recently retired chief of INR, Carl W. Ford, recently said that Bolton often exaggerated information to steer people in the wrong directions.

A former INR employee revealed that some one-third to one-half of INR officials are either former intelligence agents with the CIA or are detailed from the agency. He also revealed it would have been impossible for Kokal to have gained entry to the roof on his own. INR occupies both a Sensitive Compartmented Information Facility (SCIF) on the sixth floor that has no windows and a windowless structure on the roof that has neither windows nor access to the roof, according to the former official. The other windows at the State Department have been engineered to be shatter proof from terrorist bomb attacks and cannot be opened.

INR and other State Department officials report that a "chill" has set in at the State Department following Kokal's defenestration. A number of employees are afraid to talk about the suspicious death. It also unusual that The Northern Virginia Journal, a local Arlington newspaper, has not published an obituary notice on Kokal.

Around the League - On Top of their games this weekend
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Speed kill_ Who is leading the Attacks? The Daily Howler? _ Hilarity Ensues
Bill Gates better watch out for The Poison Kitchen
Ink from the Squid on Medicare
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T-Rex's Guide to Life_ Nader is a Sanctimonious Prick and Judicial Stats
The People's Republic of Seabrook_ Canadian Outdoor Hockey and Holiday in Dallas

Exxon Mobil Claims $2.2 Billion Tax Benefit $5 Billion Court Victory - BIG OIL EVEN BEATS THE IRS

2003-11-20T20:30:00.000-05:00

November 2003 - 7.2 Billion Dollar Benefit Month for Exxon-Mobile

Nov 20, 2003 IRVING, Texas (AP) - Exxon Mobil Corp. has settled a long-running battle with the Internal Revenue Service and said it will get a refund and interest worth about $2.2 billion. The oil giant said it would report the after-tax benefit in its fourth-quarter results. The refund and interest will be worth more than half of Exxon Mobil's profit in last year's fourth quarter.

Under a tax break called the percentage depletion allowance, oil companies are allowed to deduct some of the value of their production from income in computing their taxes. The IRS challenged Exxon's application of the allowance on some sales. Exxon went to trial three times in federal district court in Dallas and a federal appeals court in Washington, beginning in 1989, and won, the company said.

The company won decisions in 1996 and 2001 over its deductions for tax years 1974 and 1975 and was reimbursed by the government for the taxes it had paid. Earlier this year, the company won a third court ruling and the IRS and Justice Department agreed that Exxon Mobil was entitled to the deductions for 1976 to 1990, the company said.

The company said the decision to settle the case was reviewed by the congressional Joint Committee on Taxation. Under federal law, the committee can review any refund above a certain amount, currently about $2 million. It was unclear where the Exxon Mobil refund would rank on the scale of large taxpayer victories.

A committee official declined to discuss the review and said the proceedings were confidential unless the taxpayer wanted to discuss the case. "We are taking what we and the IRS agreed was a fair refund plus interest," said Tom Cirigliano, a spokesman for Irving-based Exxon Mobil. The interest will be paid at rates set by the IRS, he said.

Exxon Mobil did not disclose the tax case in its filings with the Securities and Exchange Commission. Cirigliano said the company was waiting until it had an agreement with the IRS. Exxon Mobil, the world's largest publicly traded oil company, earned $11.46 billion last year on revenue of $204.5 billion.

So if you are the World's largest Oil Company you can beat the Bush Government on Taxes - refuse to pay the Exxon Valdese settlement and have it overturned (see below), and give massive amounts to the Bush/Cheney campaign. Any questions?

Court overturns $5 billion Exxon Valdez award

November 7, 2001, 5:56 PM EST The $5 billion punitive damages award against Exxon Mobil Corp. in the 1989 Valdez oil spill is excessive, a federal appeals court ruled today. The court ordered a judge to determine a lesser amount. A jury in Anchorage, Alaska, had ordered the oil giant in 1994 to pay the sum to thousands of commercial fisherman, Alaska natives, property owners and others harmed by the nation's worst oil spill.

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This site supports A MARINE GIRL in her 'battle' with the lying scumbag "Gunny" and so should you

New Blog Showcase contestant Anarchy Zero is the latest addition to the League. Another Cat Blogger is always welcome and keeping with the Open for Change full acceptance policy of the League an Anarchist will fit right in:
Britain Welcomes "President" Bush as Perle Tells Truth and the World Reacts in Shock as 1,000's Dance At the FTAA and 27 are Killed By Truck Bombs in Instanbul
Is it the End of The World or will the "Irrelevant" United Nations Rescue America from Bush the Madman who sent London into Literal Martial Law

IRAQ = DEATH is Anarchy Xero's entry in the New Blog Showcase and The League of Liberals has a new member in the race. Cast your votes and update your blogrolls accordingly.
Welcome Anarchy Xero.

25 More Dead 400 Wounded - Who is Winning the War on Terror?

2003-11-20T08:43:00.000-05:00

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Explosions Hit British Consulate and London-Based Bank, Killing at Least 25 People and Wounding Nearly 400

Nov 20, 2003 ISTANBUL, Turkey (AP) - Trucks packed with explosives blew up near the high-rise headquarters of the London-based HSBC bank and the British consulate on Thursday, killing at least 25 people and wounding nearly 400, officials said.

The bombings, which occurred five minutes apart, at about 11 a.m., came days after two synagogue suicide bombings and coincided with the visit of President Bush to London. They were blamed on al-Qaida.

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Our showcase vote is for: Anarchy Xero: Winding the Iraq Deathwatch
He Loved the Rush - William Bennett replaces Rush Rush is Back Rush is a Money Launderer Liar Liar Pants on Fire Liberal Radio Network Greatest Threat to Life on the Planet ? Bush or just Stupid and Incoherent?

New York Taxpayers Pick up the Tab for Cheney

2003-11-20T00:01:00.000-05:00

(Buffalo-AP) -- New York taxpayers will wind up picking up the tab for the beef-up security measures provided for Vice President Dick Cheney's campaign swing across upstate New York.
Law enforcement agencies in the Syracuse, Rochester and Buffalo areas devoted hundreds of officers and thousands of dollars to ensure the vice president's safety during Monday's appearances.In Buffalo, police officers on motorcycles, on foot and in cars and helicopters guarded Cheney's route to and from a Buffalo restaurant where a fund-raiser was held.
Cheney also had breakfast in suburban Syracuse and lunched in Rochester, collecting at least $700,000 for the Bush-Cheney re-election warchest.

In Buffalo alone, the cost of the extra security is estimated at ten-thousand dollars.

Such expenses are typically paid for by the host cities -- not the president's campaign or the White House.

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Natural Resource Giveaway GOP's Inhofe approves of torture Clap for the Pigboy's Money Laundry and Tennessee GOP Rep in a perp-walk.
Is Dawn Wierd? a Woman of Color or a Lawyer? have Pedro Martinez feelings? Well Hooray join the Conspiracy
Difficult Days during the Illegal Invasion and the Rape of the Earth where Protests and Whistleblowers are Patriots not Traitors
A Periodic Check of the League show better planning than the Military and certainly for "wirehead" BJ. Shades of the Solviets A Matrix Score No News Here hardly.
Just a Bump in the Beltway Too Sweet Yer Cadillac Pissed Off 1 and 2 Sick F#@K$ like Gunny and more at the Mudshark

Dollar Near All-Time Low Against Euro

2003-11-19T09:32:00.000-05:00

Nov 19, 2003 LONDON (AP) - The U.S. dollar hovered near an all-time low against the euro and was mixed against other major currencies Wednesday in European trading. Gold prices rose.

The euro was trading at $1.1929 in late morning trading Wednesday in Europe, up from $1.1896 Tuesday. It had reached $1.1973 in late trading Tuesday in New York - the highest level since the euro was introduced in 1999.

Traders began selling dollars following news that the Bush administration has granted U.S. industry requests to impose temporary quotas on some imports of Chinese textiles. That fed concern about trade wars developing between the United States and key trading partners.

What the Average, Educated Iraqi thinks - Is Very Bad News for American Soldiers in IRAQ

2003-11-16T06:16:00.000-05:00

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The Anglo-American presence in Iraq is not considered one of liberation, but one of occupation
As US Casualties Mount, Iraqis Vow More Attacks -

A series of interviews with prominent Iraqi thinkers, university professors, historians and artists revealed that none believe that Iraq is about to become a democracy. In fact, many believe that Iraq is more likely to become a moderate Islamic state, very dissimilar to the Islamic Republic of Iran. Iraqis today, seven months after Saddam’s ouster, have differing opinions on how to create a stable, prosperous civil society, but they do agree on a number of things:

1) The Anglo-American presence in Iraq is not considered one of liberation, but one of occupation: The lessons of the British occupation of Iraq in the period 1921-1958 (1958 was the year the British-enforced monarchy was overthrown in a bloody, vicious revolution), and particularly the British-orchestrated coup in 1941 against the government of Rashid Aali (Arab nationalism was the government’s platform) are not lost on the middle-class Iraqi today. Some Iraqis suspect that the only way the US can consider their invasion a success is to install some puppet government, a Saddam clone who is rather keen on pleasing Washington.

2) The Iraqi Governing Council is considered a cruel joke at best and a foreign weapon of domination - a proxy legate - at worst. A prominent University of Mustansiriyah professor warned that the violence in Iraq will not subside but rather increase several-fold in the weeks and months to come. He suggested that the American public exercise some wisdom and compassion for “their young boys and girls who are caught in this mess,” and that the American government transfers power over to the Iraqis as soon as possible. He called for “an Iraq ruled by the will of the legitimate Iraqis.”

3) The country is being robbed blind by US conglomerates and a White House that cares only to cement its financial ties with special interest groups. Several weeks before the invasion of Iraq, I had a phone conversation with a prominent Iraqi-American bio-medical engineer in Maine. He was furious over reports that Iraqi companies would be shut out from the reconstruction process. “We have many skilled and educated professionals in Iraq. Why are they shutting us out?” The Coalition Provisional Authority (CPA) in Iraq says that foreign companies doing reconstruction business in Iraq employ thousands of Iraqis. However, there are no Iraqi companies that have been awarded independent contracts. Iraqi companies that are given a portion of reconstruction responsibilities usually do so under Halliburton or Bechtel proxy.

4) Iraqi Resistance will likely grow and become deadlier. Iraqis know they are in for a difficult time ahead. Last week, White House officials privately hoped that the suicide attacks on the Red Cross (ICRC) and previously on the United Nations compound would convince Iraqis that the resistance was barbarous and against their best interests. The hope fizzled as Iraqis took to the streets not only blaming the CPA for lack of security, but also blaming Israel for orchestrating the attacks “to undermine security and stability in Iraq and pit one side (Shiite and Sunni) against another.”

North American media pundits have seen fit to give very little room to Iraqi voices of dissent; Iraqi opinions of the reconstruction effort, or lack thereof, are drowned out by the number of proponents of the Iraqi war - Friedman, Krauthammer, Gaffney, Rice - who repeatedly cite the number of free newspapers that have blossomed in Iraq recently, some 300 newspapers and magazines. However, a number of these newspapers have been closed by US forces raising concerns that the press in Iraq is not that free and can only print news US forces found acceptable.

The situation in Iraq for the Iraqis themselves is so hopeless that many are finding renewed strength and hope in the Iraqi resistance, according to a CIA report released last week. The report cites the lack of faith in the US forces and the lack of progress in infrastructure development as two reasons why many Iraqis are increasingly supporting the resistance movement.

At press time, violence and attacks had spread far beyond the “Sunni Triangle.”

WHAT REALLY HAPPENED the best source for NEWS

Legal fees for Enron 'shocking' in stature

2003-11-15T18:36:00.000-05:00

By Enron's own reckoning, the legal and accounting costs of its bankruptcy will exceed $1 billion in 2006. Typically, legal fees in a bankruptcy drop off dramatically after a company gains approval for a plan of reorganization -- a road map for its exit from bankruptcy -- which Enron expects to do early next year. But the company's budget through 2006 estimates more than $300 million will be spent after Enron confirms its plan. That's more than any company has ever spent confirming a Chapter 11 bankruptcy plan.

"It's shocking," said Lynn Lopucki, a law professor at the University of California at Los Angeles law school who studies bankruptcy professional fees. The largest amount of professional fees on record is the Luxembourg-based case of Saudi Arabian Bank of Credit and Commerce International, with $200 million in fees, although WorldCom may meet or exceed this total.

Sometime this summer, Enron surpassed $500 million in legal and accounting fees billed by more than three dozen law firms and a handful of accounting and consulting firms since the company filed for bankruptcy Dec. 2, 2001. According to Enron's budget estimates, it will spend $156 million in the second half of 2003 on professional fees. It projects professional fees of $229 million in 2004, $112 million in 2005 and $68 million in 2006.

The budget estimate is located in one of 18 appendices and more than 1,000 pages of amended documents Enron submitted to its bankruptcy court Thursday in support of its plan of reorganization. This is the third version of the plan and disclosure statement prepared by Enron. The modifications to the disclosure statement, which provides financial information and legal framework supporting the plan, came in advance of a hearing next Tuesday when Enron will ask Judge Arthur Gonzalez to approve the massive document, a key step toward confirming the plan.

Creditors have urged Enron to move quickly in developing a compromise plan of reorganization in large part because of a legal fee burn rate that exceeds $25 million a month. A lawyer for some creditors of Enron Corp.'s Enron North America unit that have closely followed professional fees said the future fee estimates are disturbing. "Obviously, that's of concern to our constituency," Judith Ross, of Thompson & Knight, said. "The whole point of a compromise was to move quickly."

Enron's legal expenses are notable both in gross and as a percentage of assets. Based upon estimates of about $12 billion in cash and stock to distribute among creditors, and an estimated cost of $700 million in legal fees before confirming its plan, Enron should expend about 6 percent of its assets for plan approval. By contrast, Kmart, with assets of about $11 billion and legal fees of about $138 million, spent just over 1 percent of its assets to confirm a plan. That's a more typical expenditure in a large bankruptcy, Lopucki said.

Enron, its bankruptcy lawyers and some bankruptcy professors have defended the company's expenditures by noting it is easily the most complex bankruptcy ever. The money in coming years will be spent to wind down outstanding issues and on litigation, Enron spokeswoman Karen Denne said. Legal battles include settling billions of dollars in claims and the dozens of lawsuits filed by Enron against former partners, including banks and other energy companies, seeking the return of millions and, in some cases, billions of dollars.

while we keep track of the Miserable Failure Project, snicker at Senator Bill Frist's Web Shenanagans, and marvel at the Damn Liberal Media thanks to the efforts of oour newest member, Turquoise Waffle Irons in the Back Yard. Remember to update your blogrolls, and favor this Slimy Mollusc with a few links.
Study the Myths of the War on Terrorism and Iraq, travel around the world in 80 days with Nellie Bly, or learn how to shake hands with the president. While you're welcoming Pip and the Blogmanac to the League of Liberals, you'll be thinking universally and acting terrestrially. Just wait--it will all become clear!

The League of Liberals is ~~PROUD~~ dismayed to ~~WELCOME~~ tolerate the inclusion of AYN CLOUTER just to keep an eye on her. AYN is the infamous author of THE BLOGFATHER review and the shrill twisted diatribe "How I Came To Hate Liberals" Ayn's work like CANONIZE BUSH and RENAME THE DEMOCRATS has caused speculation about her possible membership in The Landover Baptist Church There should be no question now that The League of Liberals is unbearably Liberal. We are truly the "party of inclusion" and we may see applications from LITTLE BROWN POOHBALLS and the INSTYPOOHBAH.

NOTE: If any of the membership wishes to call into question the leadership that has allowed inclusion of Ayn Clouter and The Politburo Diktat to the League now is the time to speak your piece. Welcome to "The Big Tent"

2 Tits Up Bush Brit Tabloid Growth Industry Here's shocking proof that US takes hostages and buys votes dying for Halliburton with the pilgrim Jihadist

Halliburton Reaches Agreement in Principle to Limit Cash Required for Asbestos Settlement to $2.775 Billion

2003-11-14T20:44:00.000-05:00

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Halliburton plan a precursor to bankruptcy re-organization

Nov. 14, 2003 HOUSTON, 8:30pm-- Halliburton (NYSE:HAL) and the asbestos claimants committee with whom it has been negotiating a proposed asbestos settlement for its DII Industries, Kellogg Brown & Root and other subsidiaries jointly announced today that they have reached an agreement in principle to limit the cash required to settle pending asbestos and silica claimants currently subject to definitive agreements to $2.775 billion. The proposed debtor entities currently are parties to such definitive agreements with attorneys representing more than 95% of the current asbestos and silica claimants.

The company and the representatives of current claimants have agreed that if, at the completion of medical due diligence for current claims, the cash amounts provided in the current settlement agreements is greater than $2.775 billion, the total cash payment to each claimant would be reduced pro rata so that the aggregate of payments would not exceed $2.775 billion.

The terms of this revised settlement still must be approved by 75% of known present asbestos claimants. Despite reaching the agreement in principal, there can be no assurance that such approval will be obtained, that all members of the asbestos claimants committee and other lawyers representing affected claimants will support the revised settlement or that claimants represented by members of the asbestos claimants committee and other affected claimants will vote in favor of the revised plan of reorganization.

Contractors' Deaths Add to Iraq Toll

2003-11-14T09:39:00.000-05:00

Haliburton Subsidiary Describes 3 Fatalities

November 14 NEW YORK -- Although the total number of American troops killed in Iraq is 397, as of Nov. 13, the overall American death count is higher. One group whose deaths often go unreported are independent contractors from American corporations working in the war-torn country. These fatalities, often from mines and ambushes, are rarely reported by newspapers and are not listed in the Pentagon's official death toll.

"I know contractors are not reported there," Pentagon spokesperson Maj. Joe Yoswa said about the official Operation Iraqi Freedom death toll. "I can tell you the contractors' names are not listed in the roll-up."

As of Thursday afternoon, for example, three employees of Kellogg, Brown & Root (KBR), a subsidiary of Houston-based Halliburton and the largest military contractor in Iraq, have been killed in Iraq since the war began. The contractor deaths were the results of a vehicle accident, an anti-tank mine, and a gunshot wound.

"On 10 July 2003 a KBR employee died as a result of injuries sustained in a single-vehicle accident near the city of Basra in southern Iraq," Halliburton spokesperson Patrice Mingo told E&P Online via e-mail.

The second KBR death occurred on Aug. 5 "as a result of injuries sustained when his truck hit an anti-tank mine," Mingo said. The third KBR employee died on Sept. 3 after being "fatally shot in Baghdad while driving a vehicle that was escorted by military personnel."

"KBR's primary concern is for the safety and security of all personnel, especially those working in such challenging environments and conditions," Mingo said. "We are proud of our many employees who are currently working in the Middle East in support of the U.S. military. These men and women are working hard in the midst of a difficult situation, and are doing a great job."

As a result of cutbacks in personnel, the military has increasingly relied on contractors to perform a wide range of tasks. The size of the United States standing army has shrunk from 2.1 million in 1990 to 1.4 million in 2003, according to an Oct. 30 Associated Press report. In an effort to free up more troops for combat, the military hires independent contractors for just about every other imaginable task.

The total number of contractors killed in Iraq is not known, nor is the number of contractors currently working in Iraq, according to the Oct. 30 AP article. "Estimates range from under 10,000 to more than 20,000 -- which could make private contractors the largest U.S. coalition partner ahead of Britain's 11,000 troops,"

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Cheney Hurts Bush's Chances for Re-Election

2003-11-13T13:40:00.000-05:00

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Dump Cheney Movement Under Way - Started in State Department

Nov 13, 2003 -- Is Vice President Dick Cheney an electoral liability for President Bush? Some top Republicans are reportedly worried that Cheney's actions might threaten Bush's bid for re-election in 2004. The dump-Cheney talk probably originated with disgruntled State Department folks, who would like nothing better than to undermine the neocon foreign-policy cabal headed by Cheney and Secretary of Defense Donald Rumsfeld. The movement's underlying premise is that the vice president's hawkish positions and statements related to terrorism, Iraq and foreign policy have put Bush at risk.

But even as more Republicans criticize the handling of postwar Iraq, international issues are only half the story. Another problem is Cheney's failed stewardship of the administration's domestic agenda in Congress, which also leaves the president vulnerable next year. Cheney is the administration's chief legislative officer, responsible for shepherding its priorities through Congress. He's a regular presence at the weekly Senate Republican policy lunches. He also is the first vice president to maintain offices in both chambers. As a former House minority whip, Cheney is surpassed by few in knowing what makes the institution run.

Despite Cheney's unprecedented ties to the other end of Pennsylvania Avenue, Congress has publicly rebuffed the administration on a series of legislative matters. Barring late reversals, the White House defeats will include changes in overtime regulations, the Federal Communications Commission's ruling on media consolidation and the end of the ban on travel to Cuba, despite veto threats from the president.

Other bills, such as school vouchers for Washington, D.C., and funding for Head Start, have passed the House by a single vote. Several judicial nominees, such as Charles Pickering, have yet to win Senate confirmation. Cheney's role in pushing the administration's agenda isn't likely to get any easier. As Cheney's batting average on Capitol Hill drops, moderate Republicans are straying from the White House line. Even reliable members of the GOP caucus are abandoning ship on issues such as the Cuba bill. When that happens, the White House knows it's in trouble. Of course, not all of the fault lies with Cheney. The White House dispatches other advisers to make its case on Capitol Hill. Party leaders such as Bill Frist in the Senate and Tom DeLay in the House share the blame.

But Cheney's own actions have made him an unusually inviting target. He snubbed Congress and the General Accounting Office by refusing to answer questions about his energy task force. The panel, which came under fire for meeting with industry groups, helped shape the administration's energy agenda. The uncontested bid by Cheney's former employer, Halliburton, to restore Iraq's oil industry left a bad taste in the mouths of lawmakers whose districts contained other energy companies. Democrats have attacked Cheney's nearly $500,000 in deferred compensation from Halliburton.

The vice president's experience in Washington was supposed to balance Bush's lack of expertise in that area. If Cheney, who was elected six times to Congress, can't hold together a GOP Congress for a Republican president, perhaps Bush needs to tap someone else for the job.

In the campaign, Bush needs to be able to point to accomplishments other than his management of Iraq, especially if the death toll continues to rise and his approval ratings continue to drop. With Cheney focusing so much of his attention on terrorism and Iraq, perhaps the vice president has lost sight of Bush's legislative agenda. If so, Cheney may prove to be a bigger domestic liability to Bush than he is a foreign-policy burden. Bush will have to decide whether he can afford both worries.

Mary Lynn F. Jones covers Congress for the Hill newspaper in Washington; Thomas Schaller is a political scientist at the University of Maryland, Baltimore County.

WHAT REALLY HAPPENED the best source for NEWS Oh. the Irony - Bush "welcoming" protests in Britain? He doesn't expect everybody in the world to agree with him except the US Senate on his reactionary Judges Next He'll nominate Judge NO Moore Accept Natalie's "birthday gift" to us "The Speech Bush Did Not Give" and wish Natalie "Happy Birthday" (a few hours late) while you are there.
Cast your vote for the latest plan cause you are either with us or against us Flashback on the stepped up strategy and stage the news one more time. SouthKnoxBubba has the plan.

And Then's Late Night With Majority Leader Frist

2003-11-13T09:16:00.000-05:00

League of Liberals member And Then..'s entry in the New Blog Showcase is Late Night With Senate Majority Leader Bill Frist
And Then... takes on Tennessee Senator, the Shame of Rocky Top, Majority Leader Bill Frist.

Hell for Halliburton is proud to link to Rush Limbaughtomy's Bill Frist "Republican Role Model of the Day" in support of And Then.... and urges everyone to consider And Then...... and to vote by placing a link to "Late Night With Senate Majority Leader Bill Frist" in their blogs.

Halliburton Hangover

2003-11-12T23:55:00.000-05:00

In terms of sheer size, the $87 billion Iraq spending bill recently approved by Congress is the nation’s largest ever for war, bigger than the budgets of the Homeland Security and Education Departments combined. With so much at stake, you would think that Congress would have done all it could to ensure that these tens of billions of dollars are scrupulously monitored and wisely spent, with no opportunity for waste, fraud or abuse.

But you would be wrong. While the Iraq spending bill makes some modest progress on accountability, House and Senate leaders who negotiated the final bill eliminated or weakened more stringent reform measures passed by their colleagues in both chambers. And given the influence of the White House on the final bill, one could reasonably conclude that the Bush administration was wary of many of the accountability measures that Congress originally intended to require.

This spending plan has too little accountability and too few financial controls.

Stripped From The Bill

Consider the reform measures that never made it into the final bill:

GAO audits. The Senate originally voted 97 to 0 to have the General Accounting Office (GAO)— Congress’ investigative arm—conduct audits of the Coalition Provisional Authority (CPA) in Iraq. The CPA oversees the entire rebuilding effort in Iraq, and is in charge of dispensing billions of dollars in reconstruction contracts. That audit provision was stripped in the conference committee on a party line vote. Another provision that would have required the GAO to look at the profits made by U.S. contractors in Iraq was accepted by the Senate, but also never made it into the final bill.

Competitive bidding on oil contracts. Responding to the uproar about non-competitive bidding in Iraq, the House passed an amendment requiring competitive bidding on all oil contracts. The provision eliminated exceptions for emergencies and other extenuating circumstances, such as national security, that might make competitive bidding prohibitive. Every Democrat, plus 47 Republicans, supported it. Rep. Brad Sherman (D-Calif.), who sponsored the amendment, said that it was necessary because “Democrats and many Republicans do not trust the administration to use the government contracting exceptions rarely and fairly.” Still, the Sherman provision was removed during a conference committee vote.

Penalties for war profiteers. Perhaps most astounding, Congress in its final Iraq spending bill did not even include language to penalize war profiteers for defrauding American taxpayers. The Senate Appropriations Committee unanimously approved the provision, sponsored by Sen. Patrick Leahy (D-Vt.), to ensure that contractors who cheated the American taxpayer would face fines of up to $1 million and jail time of up to 20 years. Senators of both parties supported it, but Republican House negotiators refused to include it in the final bill. “Congress is about to send billions and billions of dollars to a place where there is no functioning government, under a plan with too little accountability and too few financial controls,” Sen. Leahy said after his provision was stripped from the final bill. “That’s a formula for mischief. We need strong disincentives for those who would defraud taxpayers. It baffles me why House members would not want to provide this protection to taxpayers.” The inspector general would be appointed by the secretary of defense and would not have to be confirmed by the Senate.

Lax Oversight

And even when House and Senate negotiators did see their way clear to approving reform provisions, what they approved was often flawed. For example, the final bill provides for a much needed inspector general to monitor the Coalition Provisional Authority. But that inspector general would be appointed by the secretary of defense and would not have to be confirmed by the Senate—which has historically used the confirmation process to assure the American public of a nominee’s integrity and credentials.

“I am dismayed that this individual is not subject to Senate confirmation,” Sen. Robert Byrd said. Byrd also noted that the bill’s congressional negotiators rejected his amendment that would have required the inspector general to testify before Congress when requested. “Could it be that the president’s supporters in Congress are afraid to hear what the inspector general might tell them?” Byrd asked. And while the inspector general would be required to submit periodic reports to Congress, the President would have the right to waive those reporting requirements for certain reasons, such as national security.

Why the White House and key Republican leaders would be opposed to more accountability for this huge spending bill is hard to understand. But we at Common Cause will continue to monitor the spending in Iraq, to work in coalition with other groups to press the government to report what it is doing fully and completely. We will watch to see if the inspector general named to monitor spending in Iraq is well qualified for the job, and we will keep track of how well or poorly government officials report on the progress of Iraq reconstruction to Congress and the American people. Too much is at stake for us to do any less.

Hell on the Bush Admin all over the Blogosphere

2003-11-12T23:36:00.000-05:00

Franken ponders a run for the Senate in his Native Minnesota at Speedkill
Is Gephart the tortoise gonna catch Dean the hare? BYTE BACK is excited.
Mad Kane has the humor round up and St. Reagan's song I am waiting for "Why Can't the American's Teach Their Leader How To Speak" and "All I Want is a War Somewhere", from the same musical.
The latest "Where will you be" picture is up at Hammerdown. There is a whole series of pained expressions.
Chinese food on the Moon - only from The Poison Kitchen
Origination of Denomination and Anti-American Asshats on Parade will Shock and Awe you.
It is Officially Unofficial - Celine Dion is destitute check your sitemeters
ACT now the Shrub is not welcome at this Coffee Break
Rick's response to the Truth Laid Bear has drawn 147 Responses _ some of them are worth the time _ As is Bush honoring the veternarians at Arlington National Cemetary
Bush tells the British what to do and Flint has Jessica in the nude
With us or Against Us Clear Skies and More Lies and they are Coming to take you away It is always a strong signal to noise ratio at SouthKnoxBubba
216 Days have passed in the search is it Time to Evolve? The Sesquipedalian is no Incipient Ass
He is For God and Country and "pretty much a shot in the dark most days..."

We Alway's Knew They'd Come Around and make Bush fear for his re-selection with More Lost Heart's and Minds Losing Faith with the Occupation.
So enters Stageleft like the Freeway Blogger

GOP Sleepover at the Crybaby Party where Mr. Smartass and Mr. High horse were seen begging a Cup O Joe at the LoL Roundup

Michael Moore: Quote of the Day for Halliburton

2003-11-11T09:52:00.000-05:00

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Nov. 12, 2003 When most authors do a reading they get a few dozen devotees in a chilly bookshop. Michael Moore, the American filmmaker turned best-selling polemicist (of Bowling for Columbine and Stupid White Men fame), is so huge that, when he promotes a book in Britain, he needs consecutive sittings at the London Palladium - and even they don't leave a spare seat in the house.

Moore does very little performance: just him, a shlubby guy in baseball hat standing by the microphone. He riffs on a few themes, reads a chapter of his book and then takes a lot of questions.

He does pack a few great lines. He urges Britons to be brave enough to sack Tony Blair: the left has nothing to fear from the Tories, who are deader than dinosaurs. "Come on, buck up here. You used to be brave and bold and send Australians into battle."

He notes that United States Vice-President Dick Cheney's former company, Halliburton, has won several contracts to rebuild Iraq. If American and British soldiers are dying for Halliburton, "then it's only fair that for every kid that dies, Halliburton has to slay a mid-level executive".

Visit Rush Limbaughtomy for a new 12 Step Recovery Program by Thom Hartmann And listen to the Tom Hartmann Radio Program

He hits all the buttons his audience want pressed: Tony Blair must go, George Bush is evil, Rupert Murdoch should be struck down by a thunderbolt.

Dr. PZ Myers of pharyngula is new League of Liberals member 5 in the past 6 hours.
Appropriate since our embryonic League has possibly reached the pharyngula stage in it's rapid growth.
Godless Sunday, about pharyngula, Tim Berglund Still Doesn't Get It, FOOM!, and my favorite: The Crayola Strategy about Texas textbooks, make for great reading at pharyngula.
You will also find interesting pictures
Please offer an educated welcome to the insightful intelligent pharyngula
and update those blogrolls.
Haunting Bush from the Grave
The Rush Addiction Trifecta and Parsing Rush
School Boards & the Most Patronizing Deception Just a few of the offerings at The Huck Upchuck
Ask Me NO Questions, I'll Tell You NO Lies
A Squid Down in Texas' Pop Quiz
He's not "Changin Tactics"
These Cliff Notes are His
Get a Rope he'll help Bush with "good-byes"

Ornicus sez Left IS Right and it's true
Our "focus" is slightly askew
Praise be to George Soros Want to marry Kucinich?
Read GORE and there's more
Here that's NEW.

Please welcome these new members to the League of Liberals despite the bad poetry.
And don't forget to update those blogrolls.
If it aint broke, don't Frist it.
Shoshana Johnson is a Wonderful American
Bush can be insulting
Soilders, White House and Media Agree, Andrew of BYTE BACK is What Bush is Afraid Of
Please welcome BYTE BACK to the League of Liberals

Cheney Evacuated from White House ___________ Too Bad it's not Permanent

2003-11-10T20:25:00.000-05:00

FAMOUS CHICKENHAWK SCARED AWAY BY SMALL PLANE

AFP - US Vice President Dick Cheney and White House chief of staff Andrew Card were briefly evacuated from the White House after a tourist plane violated an aerial security zone over the residence. "A small private plane violated the TFR (Temporary Flight Restricted) zone," put in place after September 11, 2001, around 11:15pm (0315 Tuesday AEDT), Secret Service spokeswoman Ann Roman said.

"It was intercepted and escorted out of the zone," by military jets a few moments after it had broached the secure zone, Roman explained adding that the tourist plane's pilot had fully cooperated with the authorities. The security scare sparked an emergency evacuation within the White House forcing the evacuation of Cheney and Card, Roman said. The tourist's aircraft was tracked by the authorities until it had safely landed.

There is no 18 Minute Gap in the blog of the same name. It is all good.
A nice chart on campaign contributions The can't dance puppets of the Iraqi Council - another miserable failure of the Bush Admin.
Webster's introduces McJob The latest plug for the Freeway Blogger and committing crime for Healthcare
Class War you bet says The Estimated Prophet and sobering news in We're Watching You

Iraq contracts ‘for select few’ - So what else is new

2003-11-10T07:40:00.000-05:00

Nation building: The burden - and profits - to fall on 'few shoulders'

Monday 10 Nov 2003 As few as three main contractors will be chosen by February to handle as much as $15 billion of public works projects in Iraq. The contracts would be funded through the $87.5 billion spending package US President George Bush signed last week and overseen by a new Pentagon-run Iraq Infrastructure Reconstruction Office, the Wall Street Journal said on Monday.

The move will be closely watched by critics of the Bush administration, which has been accused of trying to farm out contracts to companies with links to the White House, notably Halliburton and Bechtel. Halliburton has been given the task of restoring and operating Iraqi oilfields. The contract is officially temporary but could be worth $7 billion over two years. Bechtel has been awarded contracts to rebuild the port of Umm Qasr, including the water supply, 12 electrical power stations and 1200 schools. The contracts are worth more than a billion dollars.

Get Headlines at What Really Happened

US bungling in Baghdad

2003-11-09T14:46:00.000-05:00

The cost in taxpayer dollars and frustration on the part of allies and Iraqis grows as Halliburton lines it's pockets. The administration seems immune to the price gouging of Halliburton that costs American's millions. Is this any way to run a reconstruction for 20 Billion of your dollars? Why aren't Americans outraged?

Frustrations growing as Iraqis are locked out of their own reconstruction work

Sunday November 9, 2003 Anwar Diab is a frustrated man. As an Iraqi who has recently returned to his homeland from America to participate in its reconstruction, his description of winning a contract from the American authorities in Baghdad is reminiscent of K's struggles with the powers-that-be in Kafka's The Castle.
Speaking on a satellite phone from the Iraqi capital, he outlines the problems in getting any work out of the Americans - and as an English-speaker who lived in the US for 23 years, he will have had it relatively easy.

'There is no system or procedure on how to reach the Americans,' he says. 'Every ministry has an American co-ordinator, but it is very difficult for ordinary Iraqis to reach them. The system is not transparent to Iraqis.' Diab, who started a technology company in Baghdad three months ago, says increasing numbers of small contracts are being handled by Iraqi authorities, where there is openness. But dealing with the US Coalition Provisional Authority (CPA) or any of the other government agencies is truly Kafkaesque.

'They have two offices, but the one where the real work is done is in the old palace of Saddam. You cannot go there unless you are invited and you have to be met at the door.' The contacts needed for such an invitation elude most Iraqi would-be businessmen. Diab, who secured a small contract to supply IT equipment for an internet cafe, says: 'I had to use all my personal contacts and knock on the door like a hard-nosed salesman.'

A CPA website now lists contracts for everything from installing valves and switches on power stations to providing policing equipment. But it is criticised for having very short tender periods - sometimes less than a week - which effectively rule out those Iraqis who are aware of it in the first place.

'Those who get the contracts are lucky,' says Diab, 'and it is large American companies that get the big ones. The awarding of contracts to [Halliburton subsidiary] Kellogg Brown and Root and Bechtel [two companies with controversial links to the Bush administration] is above and beyond what is happening in Iraq. But Iraqis are very suspicious of this. And the problem is increased because these companies are not open either, just like the CPA.'

It is not just Iraqis who are suspicious of America in general and Halliburton in particular. President Bush's opponents have lambasted the administration for its award of con tracts to the Texas company. California Democratic congressman Henry Waxman has recently accused Halliburton of profiteering from importing petrol from Kuwait. Waxman is also concerned about the contract, awarded without competitive bidding and before the war started, to KBR for emergency services work on oil infrastructure.

That contract was to be replaced in the summer with two new ones, split into north and south, worth a total of $1bn. On 29 October, the US Army Corps of Engineers, the agency 'letting' the work, delayed the award for a second time, until December, citing increased sabotage and the poor state of infrastructure, and doubling its total value to $2bn.

Halliburton - whose third-quarter revenues rose 39 per cent thanks to Iraq-related work - continues to benefit from the original deal. Waxman says: 'The administration took only nine days to enter into a sole-source contract worth up to $7bn with Halliburton. Yet it now says that rebidding the contracts is so complex that it can't be done in less than nine months.'

Waxman's staff confirm that he is concerned that the administration is not being as expeditious as it might be because Halliburton is involved and gains by any delay. It is not simply political opponents who make the point. One competitor of Halliburton says: 'The longer the contract takes to re-let, the more by definition KBR benefit because they are paid by the man-hour.'

Radical Failure Puppet Liar Thief these are the Screaming Points. Please welcome our newest member and add Screaming Points to your blogrolls.

"Arab Trainer" bought illegal warheads from Halliburton

2003-11-07T18:01:00.000-05:00

David Hudak, a 42-year-old entrepreneur from Vancouver, Canada, is being tried in federal court here on charges he illegally possessed nearly 2,500 illegal warheads designed for shoulder-launched missile systems, and of illegally providing defense training to soldiers from the United Arab Emirates, a U.S. ally. His trial ended its third week Thursday, with Hudak taking the stand for the first time. He told jurors the warheads the government says he illegally owned were sold to him by a U.S. subsidiary of Halliburton.

Hudak said the company, Jet Research Center, called the deal a "blue light special" and sold the devices, which had failed inspection for use in military weapons, to Hudak's commercial demolition company for about $1.35 apiece, far less than what he would have paid for other similar explosives.

Federal customs agents as well as agents from the Bureau of Alcohol, Tobacco and Firearms raided Hudak's Roswell business, High Energy Access Tools, in August 2002. At the time of his arrest, Hudak was training approximately 25 counterterrorism soldiers from the United Arab Emirates in the use of explosives to forcibly enter an aircraft without killing passengers. During the raid, agents also discovered the 2,500 warheads.

Prosecutors contend he lacked the proper federal license to provide that training. They also say the warheads are illegal "destructive devices," a classification that includes bombs, missiles, grenades and mines. Prosecutors' contend that Hudak's employees were told by the United Arab Emirates that the training it was requesting from Hudak's company had been specifically denied to it by the U.S. government. He faces a 50-year mandatory sentence if convicted.

Project Trinity: I-I, SDi, Neurotechnology: Project Trinity 101
A new voting member The Mudshark gives us tales of Missions ~~Accomplished~~ Impossible, Der Gropenfurer Another Dittohead Recovery Program and other good stuff. Please offer a warm League of Liberals
Hammerdown has voted
Spongebob Squarepants has agreed.
No more Great Moments in Hypocrisy, Where's the Outrage, Bush Lied, Schweet - Hammerdown has joined the League of Liberals Please welcome the illustrious SPADEHAMMER to the League and read.
Blunted on Reality has a great post on the Dean Flag Flap and a good reason to vote in the showcase.
The high price of protest, family values, and a Govs Enron ties are amoung the GOP felonies of the week on the Felonious Elephant
Lying Liars, Wrong Answers and Reasons one and 60 FSU loses and T-Rex gets prolific.

Halliburton Wants Settlement Extension

2003-11-06T18:01:00.000-05:00

Nov. 6, 2003, 4:28 PM EST Halliburton Co. needs until Nov. 19 to close a financial gap between new asbestos claims and the nearly $2.8 billion in cash set aside to settle them, the company said Thursday. The oilfield services and construction company hopes the extended negotiations will produce a revised reorganization plan for a pre-negotiated bankruptcy filing by two of its subsidiaries.

Last December, Halliburton agreed to settle 347,000 asbestos claims for about $4 billion in cash and stock. The deal includes agreement on a reorganization plan for subsidiaries DII Industries and Kellogg Brown & Root and certain of their subsidiaries.

Halliburton is biding time so the Asbestos Class Action Bill can pass Congress and dissolve any liability Halliburton may have under any settlement agreement.

You gotta read this * *** from Happy Furry Puppy Story Time

Cruise the Cosmos with the League of Liberals
Harmonic Concordance tomorrow night. - Indigo Ocean _ does that mean we all will vote this week?
Veralynne at A-Changin' Times is in Concordance too but not with Bloodthirsty Christians.
Christmas a week after Halloween? our Philosophical Scrivner wants to be British
A TTLB cartoon at Gotham City and another take on Hillbilly Heroin Rush
The author of The People's Republic of Seabrook and I share more than the same white beards, cats, and politics _ we have the same sunsign
This job "creation" chart from the 18 1/2 Minute Gap will make you wish you could Hitchhike the Galaxy
Officially unofficial is in the poppy fields of OZ looking at the tollbooths on the information superhighway
More cyberspace travel will come later _ Enjoy your trip around our cosmos.
Please Welcome Kevin and The Gunther Concept to the League of Liberals. Like The People's Republic of Seabrook, The Gunther Concept is an isolated bastion of reason in the lost State of Texas soon to be the only home of the current pReznit. So update those blogrolls and give a Texas sized Howdy to The Gunther Concept _ the latest link to the League of Liberals.

Pillage Is Forbidden: Why the Privatization of Iraq Is Illegal

2003-11-06T17:55:00.000-05:00

What are the US-UK's responsibilities as occupier of Iraq?

On May 22, 2003, the United Nations Security Council passed Resolution 1483, abolishing sanctions against Iraq and recognizing the United States and United Kingdom as the country's occupying powers. The resolution called upon the US-UK Authority to "comply fully with their obligations under international law, including in particular the Geneva Conventions of 1949 and the Hague Regulations of 1907."

How has the CPA changed Iraq's economy and laws?

Among many changes, the US-UK Coalition Provisional Authority (CPA) has laid off hundreds of thousands of Iraqi workers, virtually eliminated trade tariffs and enacted laws that radically alter Iraq's economy. Order 39, announced by CPA head Paul Bremer on September 20, abolished Iraq's ban on foreign investment, allowing foreigners to own up to 100 percent of all sectors except natural resources. More than 200 state-owned enterprises, including electricity, telecommunications and pharmaceuticals, have been privatized. Iraq's highest tax rate has been lowered from 45 percent to a flat rate of 15 percent. Although foreign ownership of land remains illegal, companies or individuals will be allowed to lease properties for up to forty years.

Are these changes legal?

These laws stand in clear violation of Iraq's Constitution, as is openly admitted. The US Commerce Department notes that "the Iraqi Constitution prohibits foreign ownership of immovable (real) property," and "prohibits investment in, and establishment of, companies in Iraq by foreigners who are not resident citizens of Arab countries."

Consider how the CPA's new laws and massive layoffs conform to its obligations under international law:

Hague Regulations

Article 43. The authority of the legitimate power having in fact passed into the hands of the occupant, the latter shall take all the measures in his power to restore, and ensure, as far as possible, public order and safety, while respecting, unless absolutely prevented, the laws in force in the country.

Article 46. Family honour and rights, the lives of persons, and private property, as well as religious convictions and practice, must be respected. Private property cannot be confiscated.

Article 47. Pillage is formally forbidden.

Article 53. An army of occupation can only take possession of cash, funds, and realizable securities which are strictly the property of the State, depots of arms, means of transport, stores and supplies, and, generally, all movable property belonging to the State which may be used for military operations.

All appliances, whether on land, at sea, or in the air, adapted for the transmission of news, or for the transport of persons or things, exclusive of cases governed by naval law, depots of arms, and, generally, all kinds of munitions of war, may be seized, even if they belong to private individuals, but must be restored and compensation fixed when peace is made.

Article 55. The occupying State shall be regarded only as administrator and usufructuary of public buildings, real estate, forests, and agricultural estates belonging to the hostile State, and situated in the occupied country. It must safeguard the capital of these properties, and administer them in accordance with the rules of usufruct.

Geneva Conventions:

Article 53: Any destruction by the Occupying Power of real or personal property belonging individually or collectively to private persons, or to the State, or to other public authorities, or to social or cooperative organizations, is prohibited, except where such destruction is rendered absolutely necessary by military operations.

Article 54: The Occupying Power may not alter the status of public officials or judges in the occupied territories, or in any way apply sanctions to or take any measures of coercion or discrimination against them, should they abstain from fulfilling their functions for reasons of conscience.

What is usufruct?

In accordance with Article 55 of the Hague Regulations, the US-UK are "regarded only as administrator and usufructuary" of Iraq's resources and immovable property, which it must administer "in accordance with the rules of usufruct." Bouvier's Law Dictionary defines usufruct as: "The right of enjoying a thing, the property of which is vested in another, and to draw from the same all the profit, utility and advantage which it may produce, provided it be without altering the substance of the thing."[5] As usufructuary, the US-UK coalition would have the right to use Iraq's resources without altering or destroying the character of the resource itself. It is widely recognized that agriculture, wherein crops can grow again and no serious effect is made on the soil or the land, is an appropriate usage of the right of usufruct. But oil is far different: The extraction of oil is the process of extracting the original resource itself, as the fossil fuels are not renewable and the character of the land from which it comes is severely altered, if not depleted.

In addition, the responsibilities of usufruct can also apply to structural changes to a public resource or service. As Naomi Klein points out, "What could more substantially alter 'the substance' of a public asset than to turn it into a private one?"

Does the CPA know this already?

In a leaked March 26 memo that caused a stir in Britain, Attorney General Lord Peter Goldsmith advised Prime Minister Tony Blair that the invasion and subsequent occupation of Iraq was illegal. "My view is that a further Security Council resolution is needed to authorize imposing reform and restructuring of Iraq and its government," Lord Goldsmith wrote. He added that in his view "the imposition of major structural economic reforms would not be authorized by international law," and that "the longer the occupation of Iraq continues, and the more the tasks undertaken by an interim administration depart from the main objective [of disarming Saddam], the more difficult it will be to justify the lawfulness of the occupation."

Bring Halliburton Home

2003-11-06T17:41:00.000-05:00

Cancel the contracts. Ditch the deals. Rip up the rules.

Those are a few suggestions for slogans that could help unify the growing movement against the occupation of Iraq. So far, activist debates have focused on whether the demand should be for a complete withdrawal of troops, or for the United States to cede power to the United Nations.

But the "Troops Out" debate overlooks an important fact. If every last soldier pulled out of the Gulf tomorrow and a sovereign government came to power, Iraq would still be occupied: by laws written in the interest of another country, by foreign corporations controlling its essential services, by 70 percent unemployment sparked by public sector layoffs.

Any movement serious about Iraqi self-determination must call not only for an end to Iraq's military occupation, but to its economic colonization as well. That means reversing the shock therapy reforms that US occupation chief Paul Bremer has fraudulently passed off as "reconstruction" and canceling all privatization contracts flowing from these reforms.

How can such an ambitious goal be achieved? Easy: by showing that Bremer's reforms were illegal to begin with. They clearly violate the international convention governing the behavior of occupying forces, the Hague Regulations of 1907 (the companion to the 1949 Geneva Conventions, both ratified by the United States), as well as the US Army's own code of war.

The Hague Regulations state that an occupying power must respect "unless absolutely prevented, the laws in force in the country." The Coalition Provisional Authority has shredded that simple rule with gleeful defiance. Iraq's Constitution outlaws the privatization of key state assets, and it bars foreigners from owning Iraqi firms. No plausible argument can be made that the CPA was "absolutely prevented" from respecting those laws, and yet two months ago, the CPA overturned them unilaterally.

On September 19, Bremer enacted the now-infamous Order 39. It announced that 200 Iraqi state companies would be privatized; decreed that foreign firms can retain 100 percent ownership of Iraqi banks, mines and factories; and allowed these firms to move 100 percent of their profits out of Iraq. The Economist declared the new rules a "capitalist dream."

Order 39 violated the Hague Regulations in other ways as well. The convention states that occupying powers "shall be regarded only as administrator and usufructuary of public buildings, real estate, forests, and agricultural estates belonging to the hostile State, and situated in the occupied country. It must safeguard the capital of these properties, and administer them in accordance with the rules of usufruct."

Bouvier's Law Dictionary defines "usufruct" (possibly the ugliest word in the English language) as an arrangement that grants one party the right to use and derive benefit from another's property "without altering the substance of the thing." Put more simply, if you are a housesitter, you can eat the food in the fridge, but you can't sell the house and turn it into condos. And yet that is just what Bremer is doing: What could more substantially alter "the substance" of a public asset than to turn it into a private one?

In case the CPA was still unclear on this detail, the US Army's Law of Land Warfare states that "the occupant does not have the right of sale or unqualified use of [nonmilitary] property." This is pretty straightforward: Bombing something does not give you the right to sell it. There is every indication that the CPA is well aware of the lawlessness of its privatization scheme. In a leaked memo written on March 26, British Attorney General Lord Peter Goldsmith warned Prime Minister Tony Blair that "the imposition of major structural economic reforms would not be authorized by international law."

So far, most of the controversy surrounding Iraq's reconstruction has focused on the waste and corruption in the awarding of contracts. This badly misses the scope of the violation: Even if the selloff of Iraq were conducted with full transparency and open bidding, it would still be illegal for the simple reason that Iraq is not America's to sell.

The Security Council's recognition of the United States and Britain's occupation authority provides no legal cover. The UN resolution passed in May specifically required the occupying powers to "comply fully with their obligations under international law including in particular the Geneva Conventions of 1949 and the Hague Regulations of 1907."

According to a growing number of international legal experts, this means that if the next Iraqi government decides it doesn't want to be a wholly owned subsidiary of Bechtel or Halliburton, it will have powerful legal grounds to renationalize assets that were privatized under CPA edicts. Juliet Blanch, global head of energy and international arbitration for the huge international law firm Norton Rose, says that because Bremer's reforms directly contradict Iraq's Constitution, they are "in breach of international law and are likely not enforceable." Blanch argues that the CPA "has no authority or ability to sign those [privatization] contracts" and that a sovereign Iraqi government would have "quite a serious argument for renationalization without paying compensation." Firms facing this type of expropriation would, according to Blanch, have "no legal remedy."

The only way out for the Administration is to make sure that Iraq's next government is anything but sovereign. It must be pliant enough to ratify the CPA's illegal laws, which will then be celebrated as the happy marriage of free markets and free people. Once that happens, it will be too late: The contracts will be locked in, the deals done and the occupation of Iraq permanent.

Which is why antiwar forces must use this fast-closing window to demand that the next Iraqi government be free from the shackles of these reforms. It's too late to stop the war, but it's not too late to deny Iraq's invaders the myriad economic prizes they went to war to collect in the first place. It's not too late to cancel the contracts and ditch the deals.

HALLIBURTON TO BE REPLACED AS OIL SUPPLIER TO ARMY

2003-11-06T00:01:00.000-05:00

.Halliburton's Price Gouging to End - Lieberman calls for Reimbursement of Overcharges
The Pentagon's Defense Energy Support Center imports military fuel from Kuwait to Iraq for $1.08 to $1.19 per gallon, compared with the $2.65 per gallon that Halliburton charges the U.S. government under a no-bid Army contract. Joseph Lieberman, said the Pentagon should seek reimbursement from Halliburton ``for the amounts it has overcharged'' the government.

The Army said Wednesday it is negotiating to replace Vice President Dick Cheney's former company as an importer of oil products into Iraq. Robert Faletti, a spokesman for the Army Corps of Engineers, said the Army needs to find a long-term importer to serve the Iraqi population and is talking with the U.S. military's fuel delivery agency.

Faletti confirmed the negotiations after they were disclosed by Reps. Henry Waxman of California and John Dingell of Michigan, two Democratic critics of the company that Cheney led before he ran for the vice presidency. The corps spokesman said the imports will be needed through the winter because of pipeline sabotage in Iraq.

The Pentagon's Defense Energy Support Center imports military fuel from Kuwait to Iraq for $1.08 to $1.19 per gallon, compared with the $2.65 per gallon that Halliburton charges the U.S. government under a no-bid Army contract.

Waxman and Dingell said Jeffrey Jones, the recently retired head of the fuel support center, agreed with them that Halliburton's price was too high. Jones, in an interview, said he did not know how Halliburton calculated the price it charges U.S. taxpayers. He said the fuel purchases should cost about 90 cents a gallon in Kuwait and transportation could add 10-to-20 cents more. "I can't construct a price that high,'' he said of Halliburton's price.

Halliburton has said its price is controlled by the need for more expensive, short-term contracts and the high cost of transportation in a war zone. The company has denied gouging U.S. taxpayers.

The corps has said Halliburton's no-bid contract would be replaced by two separate competitive contracts, but the selection of new contractors - originally scheduled for October - would be delayed until December or January. The corps said it needed time to revise the contract proposal to reflect higher costs, resulting from the pipeline damage.

Faletti said arrangements have not been completed with the defense support center. He said the talks are ``an admission that we know for sure this (the need for imports) will last through the winter because production in Iraq will not meet the needs.''

Joseph Lieberman, said the Pentagon should seek reimbursement from Halliburton ``for the amounts it has overcharged'' the government.

The Army Corps of Engineers was considering switching the business to the Pentagon's Defense Energy Support Center, said two Democrats in the House of Representatives, Henry Waxman and John Dingell.

"Given the extraordinarily high prices that Halliburton has been charging to import gasoline, this action could save American taxpayers hundreds of millions of dollars," they wrote in a letter to the Army Corps.

Start your tour of the League of Liberals here:
The Democratic Veteran asks Where have all the Cowboys Gone? and offers a lesson on the Fish Dyslexicon
Anglican Aftermath and Cowardly Cave are the crux of the avuncular entries on All Facts and Opinions
What rhymes with witch-slapped? and other "horrors" are among the Halloween holdovers at WTF is it Now?
Seek or See different strings on Diebold problems in Va.
Bush Sucks Bush hates Blue Skies read Sick of Bush it is a Principal of Least Effort.
Futurballa voted for Whale Power
Speedkill supports the League of Liberals by vote and voice
Limbaughtomy revisited Escape and Diebold sued see Rush Limbaughtomy

Escape by Voice Vote

2003-11-05T16:55:00.000-05:00

If defeat is an orphan, the U.S. occupation of Iraq, for which the Senate appropriated $87 billion by a voice vote on Monday, should already go down in the loss column. By rejecting the normal option of a recorded vote, America's senators decided that they did not want to be held individually accountable for our continuing presence in Iraq. That decision speaks far louder than their decision to actually fund our forces there and the Iraqi reconstruction.

What a difference a year makes! In the fall of 2002, the administration was positively gleeful about forcing Congress to go on record to authorize the coming war, and Democrats from swing states or districts knew they voted no at their own peril. This week no such pressure was forthcoming. Those Republicans who live by the wedge issue understand when they could die by it, too. There was simply no percentage in compelling members to vote yes on a floundering occupation that could easily grow far worse.

It's instructive, though, that opponents of the occupation weren't exactly clamoring to be recorded against it either. Only old Robert Byrd stood on the Senate floor and shouted no when the vote was taken, but Byrd has been casting recorded votes since the waning days of the Roman Republic, and it's a hard habit to break.

What was striking Monday was that Byrd's colleagues were scuttling away from all sides of this debate, and it's not hard to understand why. The administration's handling of both the war and occupation has been so deeply flawed that it has created a situation to which not only its own policy but all the existing alternatives are clearly inadequate. Bush and his neos have given us a kind of Gothic horror version of Goldilocks, in which the policy alternatives are either too big or too small, while their own is just wrong.

Plainly, the U.S. force in Iraq is spread too thin to protect our own troops, the employees of international aid agencies and those Iraqis who have cast their lot with the new order. But there's no political support, either in the United States or Iraq, for increasing the number of U.S. troops there, and rightly so. It's not just that more troops means more targets. It's also that any such act would be viewed as a step back from Iraqi sovereignty, which would only further inflame the situation there.

Those who argued that the administration needed international approval for a war against Saddam Hussein -- the better, in part, to de-Americanize the occupation -- have been all too grimly vindicated. The problem is the occupation has proved so rocky that it's hard to envision the United Nations rushing into Iraq if we now admit we fear to tread there. Bush's decisions -- to wage a unilateral war and exercise unilateral political power during the post-Hussein reconstruction -- have not merely failed in themselves but have dimmed the prospects for more sustainable multinational alternatives.

Historians will have to determine the precise mix of White House hubris, xenophobia and mistrust of allies that contributed to our determination to hold sole control in post-Hussein Iraq. (Of course, the anti-Americanism rampant among many of our longtime allies played a role, too, but anyone with a long memory -- one that goes back at least three years -- can recall a time when the United States actually had the respect of the global community.) Now a new factor has popped up for historians' future consideration when they ponder why we wanted the occupation to ourselves. It turns out that Paul Bremer, our man in Baghdad, has decreed that come next year Iraq shall have a flat tax on individuals and businesses of 15 percent.

It's hard to know whether to laugh or cry. Is Iraq to become a laboratory for all those right-wing brainstorms that have gone nowhere in this country but that we are free to impose there during our short-order mandate? While we're at it, we could also outlaw stem cell research and elevate Charles Pickering to the Baghdad bench.

Already, the administration is beginning to blame its critics at home for its problems in Iraq. The criticisms voiced by the Democratic presidential candidates, Deputy Defense Secretary Paul Wolfowitz told Georgetown students last week, send "a very unsettling message to Iraqis that our elections might decide their future." But it was Wolfowitz, along with a handful of others, who so inextricably linked America's future -- on which, the last time I looked, Americans had a right to vote -- to a disastrous policy in Iraq.

And it wasn't Democratic critics who forced a Republican-run Senate to cast an unrecorded vote on the occupation. It was Republicans, who voted for the funding but who lack all confidence in the president's chosen course.

Please welcome Blogs Canada: Officially Unofficial to the League of Liberals
Officially Unofficial has voted and is officially a member. Blogs Canada posts on everything from Farting Fish to Canadian Prescription Drugs and is among the TOP BLOGS of Canada. Welcome Blogs Canada: Officially Unofficial to the League of Liberals and update those blogrolls.

2003-11-05T12:46:00.000-05:00

ROCK THE CONFEDERACY

Welcome to the Future

Don't Trust Government

The independent commission set up to investigate the Sept. 11 attacks is threatening to use subpoenas to get documents that the White House has so far refused to give up. This is stonewalling and a cover-up.

The president, at his recent news conference, referred to his daily intelligence briefings and said, in his own muddled way, that if they were made public, the people who prepared them would somehow be inhibited in preparing future intelligence briefings.

That is so illogical it beggars reply. These briefings are written in summary form. It's not as if they quote Serge, Russian President Vladimir Putin's butler. They don't quote anybody. No harm at all would be done if they were made public, except on some occasions to embarrass the president by revealing the fact that he had information and didn't act on it.

I had an off-the-record interview years ago with the man who prepared the president's daily intelligence briefing. He explained in detail how it's prepared. This was during the first Bush presidency, after the first Gulf War. The current president's father had used as an excuse to rush American troops to Saudi Arabia the idea that the Iraqi forces in Kuwait were about to invade the kingdom.

So I asked the guy, who had talked about his access to all the latest satellite imagery, "Did you at any time see any evidence that Iraqi troops were massing for an invasion of Saudi Arabia?"

"Off the record?" he said as a reminder.

"Off the record," I replied.

"No," he said.

So, 13 years later, you can know that two President Bushes have led this country into war in the Persian Gulf on false pretenses. It's no wonder the White House loves secrecy so much. The wonder is that the American people are so tolerant. It's also no surprise that some folks refer to oil as "the devil's tears."

What Rudyard Kipling popularized as the "great game" is afoot again. World demand for oil is rising, and the world supply of oil is static. It won't be many years before the situation will get sticky and hairy. The United States wants to be positioned militarily in the Persian Gulf (hence the Iraq wars) and around the Caspian Sea (hence Afghanistan). Of course, the Russians are no fools. They just opened a Russian military base about 30 miles from an American military base in the Caspian Sea area. And they are keeping their hands in the Persian Gulf area with strong relations with Iran.

I don't pretend to know what is going on in the world's mahogany-paneled back rooms, but I do know you can discard as disinformation practically every word uttered by the federal government in regard to foreign policy. What government officials say is blarney for public consumption. The real reasons usually involve money, oil, other valuable resources and power relationships.

The American people don't really control their own government. Until they realize this and decide to take it back by electing honest men and women who can't be bought by corporations and other special interests, they will go on supplying the blood and money for the great game that yields great profits only to the few.

None of the young men and women who have died in Iraq, nor those who are yet to die, will make a penny profit from the war. Those profits will go to multinational corporations as the Bush administration auctions off the Iraqi people's country and resources.

Forgive me if this sounds cynical, but you ought to take note of how easily things like Saddam Hussein, Osama bin Laden, Mullah Omar and weapons of mass destruction just disappear from the president's speeches. You should ask why the White House won't cooperate with the independent commission, why it won't reveal the notes that went into its energy bill, and why so many other things are kept secret.

The American Revolution was not fought so that people could be passive and uninformed citizens. You can be that in a dictatorship. To be free, you must be an informed, skeptical, inquiring citizen.

by Charlie Reese

SEC: More firms to face charges in fund probe

2003-11-05T11:33:00.000-05:00

More firms are likely to be charged in the burgeoning scandal surrounding the mutual fund industry, the head of the Securities and Exchange Commission's enforcement division told Congress Tuesday.
Stephen Cutler, testifying about the wide-ranging investigations into the management of the $7 trillion mutual fund business, said the SEC plans to send notification to some firms this week that SEC investigators intend to file charges.

He said they had already sent notification to one firm regarding possible abuses, and said more than 100 others were being scrutinized to see if they gave the proper volume discounts to customers. He did not name any of the companies.

Cutler's remarks came in testimony before the House Subcommittee on capital markets, insurance and government sponsored enterprises, which also heard testimony from New York Attorney General Eliot Spitzer, who has launched several investigations of misdeeds on Wall Street.

Spitzer argued the compliance departments at many of the mutual firms need to be overhauled because they have proven ineffective. "They have utterly betrayed the American public," Spitzer said.

The testimony followed a Monday hearing in which senators sharply questioned the response of federal regulators to alleged trading abuses that were widespread within the mutual fund industry and among brokers that siphon money from ordinary investors.

2003-11-05T10:56:00.000-05:00

Choices present themselves for the League of Liberals
Here are a few for now.
A Legal Victory for Clarefied and Death by Invitation
Cosmic Iguana's Deadly Garage Sale
Gotham City 13 cites That ol Bush Admin and joins the League
Is the Philosophical Scrivner a Geek?
or a virgin?
What to do with the NASCAR DADS? asks Maha and Censoring for the Gipper
Linda Tripp on MTV that's an 18 Minute Gap that should get your attention
Rick has new diners at his Cafe Americain are you on the A list?
Relax go surf and see on the healing waters of the Indigo Ocean
Take the Oxy out of Oxymoron
Take the poll at SKBubba and remember Rabin the recipie at the Poison Kitchen
Welcome to the Future with a Cup O Joe
Return of Poison Rush has Churchill spinning in his grave _ the untold costs of war

Civilian contractor workers in IRAQ as many as 20 Thousand - Death Toll Unknown

2003-11-04T09:40:00.000-05:00

A Private Army Grows Around the U.S. Mission in Iraq and Around the World

In Iraq, private contractors do just about everything a soldier would do. They sling Spam in mess tents. They tote guns along base perimeters. They shoot. They get shot. Sometimes they get killed. And it's not just in Iraq, but around the world - in conflict zones from Liberia to Kosovo to Afghanistan - that the United States is putting hired help behind the front lines to ease the burden of its overworked armed forces. By paying civilians to handle military tasks, the Bush administration is freeing up U.S. troops to fight. But the use of contractors also hides the true costs of war.

Their dead aren't added to official body counts. Their duties - and profits - are hidden by close-mouthed executives who won't give details to Congress. And as their coffers and roles swell, companies are funneling earnings into political campaigns and gaining influence over military policy - even getting paid to recommend themselves for lucrative contracts. For the civilians handling these soldierly jobs, the risks are high.

A contractor near the Iraqi city of Fallujah died and an American engineer was wounded when their vehicles came under attack Monday - possibly by U.S. soldiers, said the British-based company, European Landmine Solutions. U.S. officials said their soldiers weren't responsible. The chief military contractor in Iraq, Kellogg, Brown & Root, has had three workers killed in Iraq, two of whom died in ambushes. Another top U.S. military contractor, DynCorp, saw three of its workers killed in an ambush by Palestinians in the West Bank this month. In Afghanistan, two civilian contractors working for the CIA were slain in an ambush Saturday.

As the United States slashes the size of its standing army from 2.1 million in 1990 to 1.4 million now, the Pentagon began running out of soldiers to handle postwar violence in Iraq and Afghanistan and peacekeeping in Bosnia and Kosovo while facing threats elsewhere.

Defense Secretary Donald H. Rumsfeld argued wars could still be fought without boosting the number of soldiers by outsourcing just about everything except battlefield gunning. Under U.S. employ in Iraq, American companies turn profits while operating missile defense batteries, piloting unmanned aerial vehicles and snapping satellite pictures of bombing targets.

The machine-gun toting guards who shadow Afghan President Hamid Karzai and L. Paul Bremer, the U.S. administrator in Iraq, are private-sector workers, as are those who built and operate the cavernous white mess tent on the base of the 2nd Armored Cavalry Regiment in Baghdad.

There, a $3 million contract with Kellogg, Brown & Root paid for the tent's construction and the Bangladeshi and Indian cooks who feed 4,000 troops daily. One soldier breakfasting inside the tent, a nine-year veteran, said she's been sent to patrol Baghdad since contractors took her job as a cook. With Kellogg, Brown & Root handling everything from mail delivery to bug control on U.S. bases in Iraq and around the world, plenty of other soldiers are finding themselves on the front lines.

Peter W. Singer, a Brookings Institution military analyst, estimates there is one contractor for every 10 foreign soldiers in Iraq - 10 times the private involvement in the Gulf War.

Worldwide, private military companies earn about $100 billion in yearly government contracts, Singer believes. Ninety private military companies are listed on the Web site for the Center for Public Integrity. In comparison, the U.S. defense budget is about $380 billion this year, excluding emergency spending, and is expected to rise to more than $400 billion.

Some of the firms working in Iraq are huge, politically connected conglomerates like Halliburton - corporate parent of Kellogg, Brown & Root and formerly headed by Vice President Dick Cheney. Others are little known, like Erinys, a security firm chocked with former South African special forces that will train 6,500 Iraqis to guard oil installations.

Contractors' deaths aren't counted among the tally of more than 350 U.S. soldiers killed in Iraq. No one is sure how many private workers have been killed, or, indeed, even how many are toiling in Iraq for the U.S. government. Estimates range from under 10,000 to more than 20,000 - which could make private contractors the largest U.S. coalition partner ahead of Britain's 11,000 troops.

The Reagan Truth - WTF is it NOW?
The NRO is Pathetic - Dohiyi Mir
blunted on reality - The End of the World
Windfall - Hell for Halliburton
Disconnect? - Happy Furry Puppy Story Time
Crappy Porn? - Shock and Awe
All Fact's and Opinions on Left Wing Media?
Mad Kane has the Spinning Song and
Pen-Elayne is Spinnin
different strings - Bush is a NITHING
Futurballa has a new gallery
Meet the NeoCons on Cup O' Joe
Indigo is NaNo
SpeedKill from Bozeman has his own Roundup
A Byrd in the hand is worth 200 Bushes - Sick of Bush
Arms and the Man - Sabotage
Election Day - at Rick's Cafe
Chomsky Soundbites And Then
Art Spies? - the Estimated Prophet
Rebel War - A Changin' Times

Bush's buddies clean up

2003-11-04T04:51:00.000-05:00

Major contributors to US President George Bush's election war chest have been awarded around US$8 billion in contracts in Iraq and Afghanistan, the Washington-based US Center for Public Integrity (CPI) reported on October 30. Companies that coughed up a total of at least $500,000 to elect Bush have benefited.

According to CPI, most of the 10 largest contracts went to companies that employed former high-ranking government officials, or have executives with close ties to members of Congress and even the agencies awarding their contracts. Major contracts for Iraq and Afghanistan were awarded by the Bush administration without competitive bids.

Halliburton and its subsidiary KBR topped the list with more than $2.3 billion in contracts to support the US military and restore Iraq's oil industry. Halliburton was headed by Vice-President Dick Cheney before he was elected in 2000. Cheney is still on the company's payroll.

Bechtel was second with a $1 billion contract to rebuild Iraq's utilities, telecommunications, railways, schools and other infrastructure. Bechtel has close ties with senior Republicans.

The CPI's analysis of contractor political donations showed that the top 10 contractors contributed $11 million to US political parties and candidates, with more than 60% going to the Republicans, since 1990.

CLICK HERE: WAR CASH CONSOLIDATES REPUBLICAN POWER

U.S. Contractors Reap the Windfalls of Post-war Reconstruction

2003-11-03T20:54:00.000-05:00

Winning Contractors

WASHINGTON, October 30, 2003 — More than 70 American companies and individuals have won up to $8 billion in contracts for work in postwar Iraq and Afghanistan over the last two years, according to a new study by the Center for Public Integrity. Those companies donated more money to the presidential campaigns of George W. Bush—a little over $500,000—than to any other politician over the last dozen years, the Center found.

Kellogg, Brown & Root, the subsidiary of Halliburton—which Vice President Dick Cheney led prior to being chosen as Bush's running mate in August 2000—was the top recipient of federal contracts for the two countries, with more than $2.3 billion awarded to the company. Bechtel Group, a major government contractor with similarly high-ranking ties, was second at around $1.03 billion.

However, dozens of lower-profile, but well-connected, companies shared in the reconstruction bounty. Their tasks ranged from rebuilding Iraq's government, police, military and media to providing translators for use in interrogations and psychological operations. There are even contractors to evaluate the contractors. (See company list.)

Nearly 60 percent of the companies had employees or board members who either served in or had close ties to the executive branch for Republican and Democratic administrations, for members of Congress of both parties, or at the highest levels of the military.

The results of the Center's six-month investigation provide the most comprehensive list to date of American contractors in the two nations that were attacked in Washington's war on terror. Based on the findings, it did not appear that any one government agency knew the total number of contractors or what they were doing. Congressional sources said they hoped such a full picture would emerge from the General Accounting Office, which has begun investigating the postwar contracting process amid allegations of fraud and cronyism

ILLEGAL FUND TRADING SCANDALS HIT MUTUAL FUNDS

2003-11-03T09:40:00.000-05:00

Why do Republicans make more money that you do?

SEC Finds Illegal Fund Trading Survey Discloses After-Hours Deals - Monday, November 3, 2003 - A quarter of the nation's largest brokerage houses helped clients trade mutual funds after hours, a practice that is illegal, a Securities and Exchange Commission survey has found.

The survey, to be disclosed at a Senate governmental affairs subcommittee hearing Monday, found that after-hours trading and other abuses were widespread in the $7 trillion mutual fund industry, shortchanging a majority of fund customers. Half of the 88 largest mutual fund companies had arrangements that allowed select customers to use a trading technique known as "market timing," a legal short-term trading strategy that exploits the fact that mutual fund prices are set once a day but stock prices change continually.

Around the web with the League of Liberals
Natalie Davis at ALL FACT'S AND OPINIONS covers Justice for HMO Members.
Oppose the parade of Right Wing Judges join ARMACT Alerts
Is Halliburton protected at the expense of injured workers? - see Arms and the Man
Do we only protect the white troops? asks Blunted on Reality
Clarified asks "What does a Lawyer look like?"
Iraq price tag to hit $200 Billion? - The Cosmic Iguana
Cup O' Joe says they want us LINED UP AND SHOT
Democratic Veteran covers yet more Republican whining.
Different Strings finds Wolfowitz Over the Line
Dohiyi Mir has a Quote from Cheney we all should read and take to heart.
Futurballa has his own take on Ecosystem fluctuations.
The Happy Furry Puppy runs down the Conservative Columnists.
Hell for Halliburton takes on the Mutual Fund Inside Traders
Indigo Ocean strings it all together
Mad Kane has the Spinning Song and The Felonious Elephants finds Lincoln spinning in his grave
That hissing sound is Dennis 'the menace' Miller's ego inflating on TPRS
Pen-Elayne covers the Strange Case of Stephen Kaye
The Philosophical Schrivner is all over the E-mail dilemma
163 Million Dollars for LASSER of Prudential and he could not resist stealing a million on top of that?
Should we baptise Patriots - see Shock and Awe
Sick of Bush on the STALKER T-Rex on the Party of Hatemongers The Mahablog on Bush's Down Day The Poison Kitchen offers and invitation to Canada
The difference between CEO's and CIA agents? check here: The Spy Game
Nobody should have to go a day without WTF is it NOW!?
Read Rush Limgbaughtomy for the latest on the growing Mutual Fund Scandal

2003-10-30T01:17:00.000-05:00

WEDDING THIS WEEK

My wonderful daughter Allison and Ben Lawhon
Will be married this Saturday in beautiful Cashiers, North Carolina

Allison and Ben will return to their home in Boulder Colorado
following a trip to Nevis in the British West Indies

Allison is a University of Tennessee Graduate in graphic arts
This is her neat Wedding Website

We will return to blogging on Monday.

Iraq work helps Halliburton 1.6 Billion Dollars

2003-10-29T15:17:00.000-05:00

October 29, 2003: 11:50 AM EST Houston-based Halliburton, the world's largest oilfield services company, said third-quarter net revenue jumped 39 percent to $4.1 billion, mainly due to the work its KBR engineering and construction group is doing for the U.S. government in Iraq and elsewhere.

Halliburton said Iraq contributed $900 million in revenue and $34 million in operating income in the quarter, and about 5 cents a share of the quarter's earnings per share. The company, where Cheney was CEO from 1995 to 2000, has come under intense scrutiny in the past year for its no-bid contract, worth up to $7 billion, from the U.S. Army to repair Iraq's oil infrastructure.

Cheney, the Army, and Halliburton -- which has so far been paid about $1.6 billion under that contract -- all deny the company has benefited from any special treatment from the government in winning the contract.

The price gouging felon Corporate Welfare recipient Halliburton has it's hand in your pocket.
This is a miserable failure on the part of lawmakers

BIG TAX BREAKS FOR HALLIBURTON/BECHTEL

2003-10-28T22:36:00.000-05:00

Generous new tax break for Bechtel and Halliburton?
Joint Committee on Taxation, says bill provides $142 billion in corporate tax relief.

Bechtel, which hired a former commissioner of the IRS to lobby on its behalf, has won support from Republicans in the House for a generous new tax break. The break, which was to be taken up Tuesday by the House Ways and Means Committee, was originally intended to help shore up U.S. factory jobs by reducing the tax rate for domestic manufacturers to 32 percent from 35 percent.

But the bill now includes a provision sought by Bechtel, an engineering conglomerate that is one of the biggest recipients of government contracts for Iraqi reconstruction, that would reduce taxes on "architectural and engineering services." The new provision would also benefit Halliburton, which now has a Pentagon contract to repair Iraqi oil facilities. Another company, Fluor, which recently won a $102 million contract to work on Iraq's electrical system, would receive a tax reduction as well.
.
The value of the tax break remains unclear, and there was confusion on Monday over whether it would apply to profits earned on the billions of dollars of work that the companies do outside the United States. But the provision is merely one example of many special-interest items that have been attached to what Republican and Democratic lawmakers both consider a vital tax bill. The general purpose of the legislation is to replace a longstanding tax break for U.S. exporters that the World Trade Organization has declared an illegal trade subsidy. The bill would repeal the existing tax break, which is valued at about $55 billion over the next 10 years, and add new tax breaks totaling about $142 billion over the same period.

Donald Alexander, a former IRS commissioner is lobbying for Bechtel. The WTO estimated the old tax break was worth $22 million a year to architectural and engineering companies. The new provision could be far more valuable than that. Bechtel, a privately held company that does not disclose its full financial results, had revenue of $11.6 billion last year. About $9 billion of that was in the United States. Most of Halliburtons 12 Billion in revenues came from overseas. This is a miserable failure on the part of lawmakers

According to the Joint Committee on Taxation, the bill would provide $142 billion in new corporate tax relief.

ink from the squid: investing in the future
MORE GREATEST HITS AROUND THE WEB
SouthKnoxBubba has a rant worth reading

Shock and Awe is in the League of Liberals

WTF is it Now? is in the League of Liberals

Maybe you should read the Democratic Veteran

The Poison Kitchen is in the League of Liberals - maybe you should check it out and join too.

T-Rex

Please welcome Major Barbara of Arms and the Man to the League of Liberals
Please welcome and continue to be Sick of Bush

Please welcome The Felonious Elephant to the growing League of Liberals. An Elephant never forgets to blogroll

Please welcome member number 30 Speed kill and remember those blogrolls.

Read Rush Limgbaughtomy for the latest on the growing Mutual Fund Scandal

HALLIBURTON EMPLOYEES must write letters to improve Corporate Image

2003-10-27T11:16:00.000-05:00

HALLIBURTON CHIEF ISSUES MARCHING ORDERS TO EMPLOYEES.

Employees of HALLIBURTON have been instructed by the CEO to write letters to newspaper editors and Congress in an effort to "restore fairness and accuracy" after revelations that the company was overcharging US Taxpayers by 217million dollars on gas delivery while feasting at the public trough.

The president of military contractor Halliburton has asked employees to join a "Defending Our Company" campaign by writing to newspapers and lawmakers to counter criticism of the firm's no-bid contract in Iraq. Dave Lesar said in the Oct. 17 memo that he is offended by "those who are distorting our efforts" to restore Iraq's oil industry and provide other services to the U.S. military there. He cautioned workers to "be positive,"

Lesar, who is president, CEO and chairman of the company, said, "Now I'm asking you to help by writing a letter to the editor of your newspaper." He listed "some facts that you can use to help deliver your letter." With a subject line of "Defending Our Company," Lesar also told workers "it would be helpful to write to your representatives in Washington, D.C., asking them to support fairness and accuracy."

Among Lesar's suggestions for the letters to newspapers:
1)"Halliburton makes our troops more comfortable in a difficult environment by bringing shelter, supplies, clean uniforms and mail from home."
2)"Halliburton is proud to offer its global resources at this critical time in the Middle East."
3)"Halliburton has successfully helped to restore needed services in Iraq that will help bring some sense of normalcy for those who have suffered losses."

The e-mail also included suggestions for making the letter effective, telling employees to "write from the heart and use your own words and, where possible, use first-hand stories." "It's OK to show your pride in your work and your co-workers, and to mention your own experience with Halliburton," Lesar said.

Nothing like a little pressure from the boss and a script to follow to get those employees to express their true feelings. Wonder what the odds on job security are for the authors of less than flattering letters. Heck Dave why don't you hire a few ghost writers to pen I love Halliburton letters and send them to every newspaper in the country? But that idea has been tried last week with the Army - oops too slow.

The LEAGUE OF LIBERALS is PERFECT

2003-10-27T09:14:00.000-05:00

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THE LEAGUE OF LIBERALS BANNER IS DISPLAYED

The League of Liberals comes roaring out of the gate in their first official week in the contest to deliver a staggering 100% (yes, 100%) participation rate among their 27 members. Full results are:

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League of Liberals: 27 of 27 = 100.0 % participation
Blogger Alliance: 40 of 89 = 44.9 % participation
Axis of Naughty: 6 of 24 = 25.0 % participation

"I am therefore declaring the League the winners for this week effective immediately, and their logo now hangs in the place of honor atop the Showcase. Congratulations to the League for their victory!" NZ BEAR

CONGRATULATIONS FELLOW LIBERAL LEAGUERS

New Blog Showcase Winner Patrick Taylor and the Poison Kitchen become the first Canadian Charter Members of The League of Liberals Please welcome The Poison Kitchen and update those blogrolls for Patrick who blogs from beautiful Halifax, Nova Scotia.

INDIGO OCEAN is a former New blog showcase winner we have heard from on the League of Liberals comments. Read Mindfullness V. Concentration and Leave No Corporation Behind on her beautiful blog with exquisite photos from Hawaii. We encourage Indigo Ocean to join our League of Liberals

This prodigious pachyderm ponders the crimes of Republican Politicians
Please welcome The Felonious Elephant to the growing League of Liberals.
An Elephant never forgets to blogroll

Smart Solid and Stim ul ating SPEED KILL slips into the League of Liberals.
Please welcome member number 30 Speed kill and remember those blogrolls.

Natalie Davis at All Facts and Opinions has an excellent Sunday Sermon on Steps to Recovery from Bible Abuse
Is Kynn at Shock and Awe a "Spongite" (if you know what that is) or are the folks at The Boar's Head hypocrites? Make up your own mind

Democratic Veteran has the good news from Illinois. The slide continues and gathers momentum

Follow Eric Idle on his Greedy Bastard Tour with Pen-Elayne on the Web

Susan Madrak over at Sub urb an Gue rril la has something in common with Cher. Is it the wardrobe?

Earl Dunovant says Black Con serv atives make his head hurt. Check it out at Prometheus 6

Maru at WTF is it NOW has the scoop on Faux News threat to sue The Simpsons for a parody news crawl: POINTLESS NEWS CRAWLS UP 37 PERCENT ... DO DEMOCRATS CAUSE CANCER? FIND OUT AT FOXNEWS.COM ... RUPERT MURDOCH: TERRIFIC DANCER ... DOW DOWN 5000 POINTS ... STUDY: 92 PERCENT OF DEMOCRATS ARE GAY ... JFK POSTHUMOUSLY JOINS REPUBLICAN PARTY ... OIL SLICKS FOUND TO KEEP SEALS YOUNG, SUPPLE ... DAN QUALYE: AWESOME ... ASHCROFT DECLARES BREAST OF CHICKEN SANDWICH "OBSCENE" ... HILLARY CLINTON EMBARRASSES SELF, NATION ... BIBLE SAYS JESUS FAVORED CAPITAL-GAINS CUT ... STAY TUNED FOR HANNITY AND IDIOT ... ONLY DORKS WATCH CNN ... JIMMY CARTER: OLD, WRINKLY, USELESS ... BRAD PITT + ALBERT EINSTEIN = DICK CHENEY ...
"Fox News has told the Simpsons creators that it might confuse the viewers." NO KIDDING It looks like a FAUX NEWS FEED to me.
Does Rush have AIDS? What is the deal with that rapid weight loss? Is treatment just a cover story?
My good friend Jack of The Peoples Republic of Seabrook posted this picture withcomments about extremists on the Left who are doing damage to Liberals by these anti-American flag burinings

Kevin Hayden at Reach Em High Cowboy Noose Network has an excellent post on Censoring the Dead about the ban on pictures of returning coffins from IRAQ.

Barbara at The Maha blog remembers the Berlin Airlift and touches on these same Anti-war movement demonstrations and A.N.S.I.R.

Arms And The Man keeps us up to date on Who's Making A Killing On Killing In Iraq
Please welcome Major Barbara of Arms and the Man to the League of Liberals

Sick of Bush is sick of the lies, the soildiers who have died, the mothers who have cried and the money they have pried from everyone but the wealthy corporate well connected Republican interests in America. Please welcome Douglas and continue to be Sick of Bush.

This prodigious pachyderm ponders the crimes of Republican Politicians
Please welcome The Felonious Elephant to the growing League of Liberals.
An Elephant never forgets to blogroll
Smart Solid and Stim ul ating SPEED KILL slips into the League of Liberals.
Please welcome member number 30 Speed kill and remember those blogrolls.

2003-10-24T09:19:00.000-04:00

HALLIBURTON FOUND LIABLE FOR 70MILLION IN DAMAGES
Oil giant loses in court again - Houston man cheated by Halliburton

Jury Awards $70M Against Halliburton A jury has awarded $70 million to a Houston man who claimed that Halliburton and another oil company cheated him out of the chance to develop an oil field in Kazakhstan in the late 1990s. Scott Van Dyke and his company, Anglo Dutch Tenge, sued the Halliburton and Ramco Oil in 2000. A jury found in favor of Van Dyke's company on Friday.

Van Dyke's attorney John O'Quinn said his client was promised a concession for an oil field near the Caspian Sea when he met the Turkish president. Halliburton contacted him in 1997 and signed a confidentiality agreement not to disclose data that Van Dyke allowed the company to review, O'Quinn said. After opting not to invest, Halliburton located another company with ties to the Kazakhstan government and bought the field out from under Van Dyke, according to the lawsuit.

Yet another chink in the battered armor of Halliburton. Can't these guys do anything without cheating?

Halliburton, Again and again, and again - - - - when does it end?

2003-10-21T01:37:00.000-04:00

UPDATE: Richard Cheney is an evil bloodsucking black hole from which there is no escape
and the root cause of every bad idea from the misleader. And that is saying something.

Halliburton Corporation and it's various subsidiaries are under fire for various illegal and questionable activities around the globe and at home: The former Cheney led Corporation has been granted "prior immunity" by the President. WE do know that Halliburton is making huge amounts of money feasting at the public trough on no bid taxpayer funded government contracts despite the fact that Halliburton:
1) pled guilty to a felony paid a 1.2 million dollar fine
2) moved ops to overseas tax shelters to avoid millions in taxes
3) over charged on million dollars of contracts at home and abroad
4) offered to settle fraud lawsuits by stockholders for 6 million dollars.
5) admitted to illegal bribes in Nigeria
6) paid Dick Cheney 40 million dollars and continues to pay Cheney
7) is under SEC Investigation for questionable accounting practices.
8) Gives hundreds of thousands in campaign contributions to Republicans only.
9) Is under investigation for illegal activities in France.
Despite these violations of law and trust Cheney's company is raking in big bucks to make the oil flow.
This blog is dedicated to exposing the incredible felony record of the Halliburton Corporation and it's continuing ties to Vice-President Richard Cheney, the Republican Party, and George W. Bush. Check back often because there are new revelations almost every week. Here are the most recent developments:

IN THE PENNIES A GALLON DEPARTMENT:

"Halliburton said in response to the Congressional letter last week that it charges $1.59 to a gallon for its gasoline imports, which includes the 2 percent profit margin. In a fax, the Iraqi marketing organization's general manager, Mohammed al-Jibouri, said that gasoline from Turkey costs $347 a metric ton delivered to Baghdad, which he said translates to about 98 cents a gallon."

That's 61 cents a gallon more or 31% more from Halliburton and that is on 700 million dollars worth of gas or 217 million dollars ripped off by Halliburton. 217 BILLION IS A BUNCH OF PENNIES

Is Halliburton guilty of Iraqi gas gouging?
Congressmen accuse Halliburton of "highway robbery."

Iraq has a lot of crude oil. Before the war, this was the one point that both the administration and its fiercest critics agreed on. Everyone had a different theory about what would happen to the oil in the event of war -- the administration promised that Iraq's resources would pay for its redevelopment, while the critics argued that the oil money would fill the coffers of Western corporations -- but people saw eye to eye on one incontrovertible fact: A Saddam-free Iraq would be an endless source of cheap gas.

But gasoline in Iraq is not cheap and this might surprise you - you've been paying for it! According to a study by Reps. Henry Waxman and John Dingell, a gallon of gas sold in Iraq costs American taxpayers $1.59, and possibly as much as $1.70. In the rest of the Middle East, gas costs half that amount; even in Toledo, Ohio gasoline's cheaper than it is in Baghdad.

Why is getting gasoline to oil-rich Iraq costing Americans so much money? The congressmen have a one-word, obvious answer: Halliburton.

Army, Halliburton Deny Iraq Fuel Price Allegation-
But declined to disclose how much it had paid for gasoline or what the delivery cost was.

A Halliburton Inc. subsidiary responsible for importing and distributing fuel in Iraq has done nothing improper, the U.S. Army Corps of Engineers said yesterday.

In passing the president's request for aid to rebuild Iraq yesterday, the Senate cut $200 million in spending on fuel. Sen. Ron Wyden (D-Ore.), who co-sponsored the cut, cited a recent Congressional Research Service report that the administration may have inflated projections of the cost of petroleum products by as much as $249 million.

In a statement Dave Lesar, Halliburton's chief executive, called the Waxman-Dingell overcharging claim "inaccurate, misleading and unwarranted." But the company declined to disclose how much it had paid for gasoline or what the delivery cost was.

Cheney has 18 to 87 million invested in the Vanguard Group
One of 10 largest Shareholders in Halliburton - holdings worth 176million
So bold was his defense that last week Bushist minions called on critics to issue a formal apology to the poor maligned unelected multimillionaire war profiteer (and former business partner of Saddam Hussein). But even granting the ludicrous assumption that Cheney was actually telling the truth about the fact that his deferred earnings are insured and that profits from 400,000 stock options will go to charity-- which only involves chump change of a few hundred thousand dollars, after all -- the fact is that Halliburton is using a back door to fill its former chief's coffers with millions in blood money pumped directly from the corpses of American soldiers and Iraqi civilians.

This profitable arrangement was found hiding in plain sight last week by investigator Maggie Burns of the Progressive Populist. While the media mandarins were gulping soap, Burns committed the increasingly rare act of journalism by checking out Cheney's financial disclosure forms. These show that Cheney has a minimum of $18 million invested in The Vanguard Group, a leading mutual fund. (Given the deliberately vague, vast ranges of the "disclosure" forms, this nest-egg could be as high as $87 million. We mere mortals are not meant to know).

Vanguard, as it happens, is the 10th-largest shareholder in -- oh, you guessed already! -- Halliburton. The fund owns 7.6 million shares in the firm, worth about $176 million. Thus any government contract that swells Halliburton's bottom line does indeed pour war profits straight into Cheney's bulging bank accounts. No amount of soap can wash away that fact. Meanwhile, five of the other top 10 shareholders in Halliburton have big bucks parked with our old friends The Carlyle Group, where George Bush Sr. hangs out his shingle as a pricey corporate shill (and former bin Laden business partner). So Bush family coffers are definitely not forgotten when Halliburton goes to war.
So it is undeniably true that money for HALLIBURTON is money for CHENEY - as if we did not know that already. When will the Senate IMPEACH this theif? Visit Rush Limbaughtomy today for more on the Halliburton Theives

Inventor of Hydraulic Fracturing that poisons groundwater.

HYDRAULIC FRACTURING is not an activity with which most people are familiar, but those in the oil and gas business know it well. Hydraulic fracturing involves the injection of diesel fuel, hydrochloric acid, water, sand or other substances into the ground, in order to facilitate the extraction of oil or natural gas.

The thought of what could happen to underground water supplies when diesel fuel and other poisonous-sounding substances are injected into the ground continues to worry people, and there is some evidence that they are right to be worried. In Alabama, where the technique is widely used, the owners of a water well believed their water had been poisoned by the practice (a "black jelled substance" started coming out of the tap, according to one of lawyers involved). They filed a lawsuit and won, forcing the EPA to regulate the practice more strictly in that state, and opening up the possibility of regulation elsewhere.

A clause contained in the House version of a currently pending energy bill and slated to appear in the final legislation will simply lift the issue out of the reach of federal regulators altogether. That will end the debate. It will also help out a small group of powerful oil and gas companies, among them Halliburton, the company that invented hydraulic fracturing. In another context, it might be possible to nod at the House Energy and Commerce committee's claim that the states do a perfectly good job of regulating hydraulic fracturing and that there is no need for federal legislation. Given the context --a pork-laden energy bill chock full of perks for the oil and gas industry and the deep involvement of the vice president's former company, it just isn't possible to take the "states' rights" rhetoric seriously. It behooves Congress to bend over backward to avoid the appearance of favoritism.

Just a few of the illegal and questionable activities of HALLIBURTON.

Skippy the Bush Kangaroo has two pieces of lowered pie from the "prosperity is just around the far distant almost visible corner squatters" at 1600 Pennsylvania Ave.
Kynn at Shock and Awe has posted an awesome and colorful tribute to The League of Liberals.
Thank you Kynn for you link to our entry in the Ecosystem new blog showcase
Everybody should check it out.

Please welcome the delightful, delicious, and daring different strings to the League of Liberals. and update your blogrolls naturally!
The Fantastic Fabulous F(ph)otographer Futurballa has joined forces with The League of Liberals
Please welcome this past winner of the TTLB New Blog Showcase to the League and update those blogrolls.
Need a quick lift try a shot of caffine - the full strength expresso of a Cup O' Joe
Want to take action to make a better world? ARMACT Action Alerts from The Armchair Activist presents progressive-issue activism opportunities for direct-action types and stay-at-homes.
blunted on reality has a great Ann Coulter Doll Post too.

Vote in the The TTLB new blog showcase

2003-10-21T01:08:00.000-04:00

Contact The League of Liberals through the comment section for information if you want to join The League of Liberals - A Fearless Force for Truth and Justice in Cyberspace.

The game is afoot and the League of Liberals has been challenged to do battle against the larger Blogger Alliance (83 members) and Axis of Naughty (24 members). If you have friends who blog and who will vote ask them to join. We need to strengthen our numbers.

Liberal League Launches
Current vote, links, and visits information

Hell for Halliburton: entry Halliburton Again - and again - and again has been entered in the TTLB New Web Log Showcase.

We need to get as close to 100% participation from The League of Liberals as possible to become the reigning sponsors of the New Weblog Showcase next week. Be sure to use the URL Link as indicated above somewhere on your blog this week.
Multiple links appear to count.

This link TTLB Hell for Halliburton votes will display the current votes from our membership.

Welcome Sam from Blunted on Reality and Kynn from Shock and Awe to The League of Liberals
Welcome Natalie Davis of All Facts and Opinions To the League of Liberals.
Please Welcome the Dememted Delirious Drivel of Dubya's Daily Diary and Please Welcome the Magnificent Marvelous Magical Madeleine Begun Kane and Please Welcome the Penetrating Pensive and Perceptive Pen-Elayne to the League of Liberals!!!

Check the Democratic Veteran for Rush'N Odds and register your take in the comments.
Things to do around the web.
1) The Marvelous Mad Kane has Fox News declaring the 2004 Election results very early and her regrets at being left off the NRA Blacklist 2) Read Mark A. R. Kleiman on the Ministry of Truth 3) South Knox Bubba has an interesting debate on violent computer games 4) The Daily Howler is as always a must read for me and this one is among the best.

Voting for others on the TTLB Showcase
From The Truth Laid Bear's New Webblog Showcase:
Politics04: Hey look, FREE Healthcare!

stu@thelyricalmadmen.com: strolling

Diary of the Blue Ridge: Beauty, Pleasure

Cronyism in US contracts clouds fundraising:

2003-10-21T00:40:00.000-04:00

If you're writing out checks, please make sure to spell Halliburton with two 'l's

The Republican Congress and Senate may buy it but the world does not. Other nations are not blind to what is happening here and in IRAQ where obscene amount of money are being ripped off by Bush cronies and Cheney's Halliburton.

A recent political ad campaign highlighting corruption and cronyism in US contracts awarded to rebuild Iraq takes a shot at a major corporation with ties to the White House. According to the facetious political slogan aired on US television, international donors were offered a piece of unsolicited advice: "If you're writing out checks, make sure to spell Halliburton with two 'l's".

The huge US-based energy conglomerate, once headed by Vice President Dick Cheney, has received more than US$2 billion in contracts for the reconstruction of Iraq. But what is outrageous, say analysts, is that Halliburton was awarded $1.2 billion in contracts on a non-competitive basis, shutting out all other contractors.

"If the US has abandoned the concept of transparency, which it so assiduously preaches to others, how do you expect international donors to dig deep into their pockets to help in the reconstruction of Iraq?" asks one Asian diplomat.

A second major US company, Bechtel Corporation - with close ties to the administration of President George W Bush - has also come under fire for various irregularities relating to Iraqi contracts. Clifford George Mumm, a senior Bechtel official in Baghdad, has denied any irregularities in the 105 sub-contracts that the firm has signed with Iraqi companies.

But Henry Waxman, a congressman from the State of California, has accused the Bush administration of wasting billions of dollars in contracts with Halliburton and Bechtel "when Iraqi companies could do the work for less".

Last Thursday, the New York Times reported that two senior Democratic congressmen were questioning if Halliburton was overcharging the US government for supplying gasoline in Iraq. In a letter to the White House Office of Management and Budget, Waxman and Representative John Dingell of Michigan said, "The overcharging by Halliburton is so extreme that one expert has privately called it 'highway robbery'."

Arab boycott lifts Halliburton from blacklist

2003-10-20T11:26:00.000-04:00

ONE WAY TO KEEP THE USA FROM ATTACK IS TO LIFT A HALLIBURTON BOYCOTT - what kind of dealing went on here?

The Syrian-based Arab boycott of Israel office has taken US Vice President Dick Cheney's former company, Halliburton, and Citigroup off its blacklist.

The Central Boycott Office's report, which was made available to The Associated Press on Monday, said four branches of U.S. steelmaker, The Timken Co., in France, Italy, Romania and Poland have also been removed from the list.

The Cairo-based Arab League has received a copy of the report. The boycott office said the companies had "settled" outstanding issues. It did not elaborate.

The 52-year-old boycott office once blacklisted more than 8,500 companies and people for dealing with Israel.

But its influence has waned considerably over the past two decades as Egypt and Jordan made peace with Israel, the Palestinians embarked on a now-faltering peace process and several Gulf states started ignoring it.

Houston-based Halliburton is the US government's sole contractor working in Iraq to restore its petroleum industry with $1.4 billion of contracts and to import petroleum products while the system is being repaired.

On Thursday, representatives of 18 Arab countries recommended in Damascus that the boycott was the best way to push Israel to work for Middle East peace.

Arab League members Egypt, Jordan, Mauritania and Comoros did not attend the five-day meeting.

The report said the boycott office added the names of 34 ships and tankers to its black list for violating boycott rules and lifted the names of 10 others.

Halliburton warns on earnings

2003-10-20T11:21:00.000-04:00

Big oilfield service company Halliburton, based in Houston, said that it expects to report Oct. 29 diluted earnings per share from continuing operations of at least 27 cents per share in the 2003 third quarter, down from its previous estimate of at least 32 cents per share.

The company attributed the revision to lower than expected operating results from joint ventures, and a significant increase in legal fees recorded during the third quarter.

Gee I guess fraud, bribery, accounting, over-charging, and price gouging does have a legal downside afterall. $.05 a share

Join the League of Liberals

2003-10-20T09:41:00.000-04:00

JOIN THE LEAGUE OF LIBERALS - the alliance of liberal bloggers
If you have a progressive liberal blog apply to join the League of Liberals
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STRANGER THAN FICTION

2003-10-19T02:54:00.000-04:00

VP DOPPLEGANGER'S HIDEAWAY REVEALED
Exclusive: Richard Cheney's cave hideaway - This is the lair of the strangler

THIS is the cave where killer Richard Cheney spent days living

Sadistic Cheney, now serving a life sentence for the murder of gay cinema worker Ian Webster, went on the run to this North Yorkshire hideaway before finally handing himself in to police. The 29-year-old – jailed on Thursday for strangling and dumping Mr Webster, in the River Aire in Leeds last year – later said he gave himself up because he was feeling the urge to kill again.

Homophobic killer a bizarro twin of the Vice-President? A duplicate evil in Great Britain?
JOIN THE LEAGUE OF LIBERALS - the alliance of liberal bloggers
If you have a progressive liberal blog apply to join the League of Liberals
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Visit the League of Liberals for details.

Business as usual in the US Senate

2003-10-19T01:22:00.000-04:00

Senators vote to allow Dick Cheney to keep ill-gotten Halliburton half-million.

Vote validates Halliburton financial ties to Cheney and the Senates self serving proclivity to keep Senators and VP in profits.

The Senate rejected efforts on Tuesday to keep Vice President Dick Cheney from collecting $500,000 that he is scheduled to receive from Halliburton Corp. this year. By a vote of 65 to 34, the Senate voted to set aside an amendment that would have prevented Cheney, who led the Houston-based energy firm from 1995 to 2000, from receiving the deferred compensation. It also would have forced the former Wyoming congressman to sell 400,000 options to buy stock in the firm.

The amendment was part of a multi-pronged attack by Democrats against Halliburton and Cheney, who represented Wyoming from 1979 to 1989. Rep. Henry Waxman, D-Calif., sent a letter to the Bush administration this week in which he charged that Halliburton was manipulating the price of exported Iraqi oil. Sen. Frank Lautenberg, D-N.J., tried to attach the amendment to a bill, S 1689, that would provide $87 billion to fund military operations in Iraq and Afghanistan, and to rebuild Iraq. The proposal includes $65.6 billion in military funding and $20.3 billion for the reconstruction of Iraq.

The Senate never actually voted on the amendment, but rather voted on whether to continue debating the issue. Lautenberg was disappointed that a majority of his fellow senators voted to set aside his amendment. "What we were asking is that if a high ranking official has a financial interest in a company that company should not be allowed to get contracts that benefit that high ranking official," Lautenberg said. "It's pretty simple and obvious."

Sen. Mike Enzi, R-Wyo., and other Republicans leapt to Cheney's defense. Enzi was furious that the amendment was clearly directed at the vice president. "I think it is pure politics," Enzi said while standing in a hallway a few feet from the Senate floor. "It was the worst personal attack on an individual that I have seen since I have been a member of the Senate." Enzi, who was a member of the Senate during the effort to impeach President Bill Clinton, was equally vehement in his criticism during a speech on the Senate floor.

"This (amendment) tries to take a 'stealth' approach to the matter, but in fact, its real purpose is pretty obvious," Enzi said. "I don't think anyone will be fooled by it because we all know who it is directed against. Back in my home state of Wyoming, a lot of people who know Dick Cheney will be surprised to see the Senate using its valuable time in what some might see as a witch hunt against the vice president."

Enzi noted that Cheney has put his assets in a blind trust, which means that he has handed over the day-to-day management of them to someone else. He also noted that Cheney has promised to donate after-tax proceeds from the exercise of his Halliburton stock options to the Capital Partners for Education, the George Washington University Medical Facility Associates and the University of Wyoming.

"No serious minded individual who belongs to any political party really believes this amendment is necessary or needed," Enzi said. "It must be withdrawn and an apology extended to both the vice president and the president for its promotion." Lautenberg neither withdrew the amendment nor proffered an apology.

Lautenberg was a successful businessman before being elected to the Senate in 1982. He retired in 2000, but chose to run again in 2002 after the Democratic incumbent Robert Torricelli chose not to run again because of a financial scandal. Lautenberg, whose father was a immigrant silk mill worker, transformed his company, Automatic Data Processing, from a three-man business into a world leader in processing paychecks.

When asked if he was afraid that his amendment would prevent business men like him from entering politics or devoting their efforts to public service, Lautenberg responded: "When I got here I learned an old adage: 'If you want to make a small fortune, come to Washington with a big fortune.'" Although the amendment was set aside, the Democratic attacks on Cheney and Halliburton are likely to continue.

Statement of Rep. Henry A. Waxman on Contracting Abuses in Iraq October 15, 2003

2003-10-15T23:49:00.000-04:00

Read Waxman's Letter to the OMB

There is a lot that is controversial about the war in Iraq and its aftermath. Many Americans believe the President misled the country about the reasons for going to war. Others think the Administration is not doing enough to protect our troops in Iraq. And many more question why so much money is going to Iraq when economic conditions are so tough at home.

But there is one thing that everyone should agree on: If we are going to be spending taxpayer dollars to rebuild Iraq, we ought to be getting our money’s worth. Yet even on something as basic as this, the Administration is failing. There is growing evidence that favored contractors like Halliburton and Bechtel are getting sweetheart deals that are costing the taxpayer a bundle but delivering scant results.

Today, I am releasing with Rep. John Dingell a letter to OMB Director Bolten that details the latest evidence of overcharging by Halliburton. I asked my staff a simple question: Can we trace the path of a gallon of gasoline from a refinery in Kuwait to the streets of Baghdad? Although the question was simple, getting the answer was hard. Obtaining useful information from this Administration is virtually impossible. But what independent experts told us was appalling. The taxpayer is getting gouged by Halliburton.

The wholesale price of refined gasoline in Kuwait and other Mideast nations is 71 cents per gallon. A reasonable cost to transport gasoline into Iraq is another 10 to 25 cents per gallon - unless the company is Halliburton. It is charging taxpayers nearly $1 per gallon to truck this gasoline 400 miles from Kuwait to Baghdad.

When we checked with independent experts to see if this fee was reasonable, they were stunned. One called Halliburton’s prices “outrageously high.” Another said it was “highway robbery.”We then learned that this gasoline is being sold inside Iraq for as little as 4 to 15 cents per gallon. Although Iraq is an oil-rich nation, the Administration has apparently made a policy decision that the U.S. taxpayer — not the Iraqi consumer — should pay the costs of gasoline that Iraqi citizens and companies consume. As a result, the U.S. taxpayer loses $1.50 or more every time a gallon of gasoline is sold in Iraq.

Unfortunately, this dramatic example of overcharging is more likely the rule than the exception. The problem is that the Administration’s approach to contracting in Iraq is fundamentally flawed. The Administration is making three basic mistakes. First, it is relying almost exclusively on cost-plus contracts. These contracts are a great deal for companies like Halliburton and Bechtel because they are structured so that the more the companies spend, the more profits they will make. They are notoriously prone to abuse.

Second, the Administration is shielding Halliburton and Bechtel from any competition by granting them virtual monopolies over basic services. The kind of contracts that Halliburton and Bechtel have received are umbrella contracts called IDIQ contracts because they involve “indefinite delivery and indefinite quantities.” These umbrella contracts are supposed to be awarded to multiple companies at the same time. That way, when there’s a specific task that needs to be performed, the government can make the contractors bid against each other.

But there’s no competition in Iraq. Halliburton has a monopoly over oil reconstruction contracts and Bechtel has a monopoly over infrastructure reconstruction contracts. Again, this is great for the companies, but terrible for the taxpayer. Both companies are already in Iraq. They can both do the same work. Think how much money the taxpayer could save if the companies actually had to compete against each other for specific projects.
The third problem is that the Administration is not taking advantage of Iraqi companies who could often do the work at a fraction of the cost that Halliburton and Bechtel charge. We have been told that the Iraqi oil company SOMO has been able to import gasoline at a price that is 50 cents per gallon less than Halliburton charges. If that’s true, something very wrong is going on.

Ultimately, the root cause of these problems is the Administration’s insistence on virtually absolute secrecy about how it is spending the taxpayer’s money. These abuses could not continue if the Administration were forced to disclose the details of these sweetheart arrangements. That’s why I will support amendments on the House floor to inject transparency into the contracting process. And on top of this, there’s virtually no congressional oversight, so there’s no accountability. If we at least had hearings on these issues, we could put pressure on the companies to cut wasteful spending. Millions of Americans want to help Iraqis, but they don’t want to be fleeced.

Visit The Spy Game and vote in the TTLB New Weblog Showcase
Matthew Langer at Untelevised a long time addition to the RL blogroll has an interesting concept about improving blog traffic and impact.
The Thousand Yard Glare comments on the rise of the Citizen Blogger and mentions Open Source Politics

The Gunther Concept has the e-mail detail in bold audacity from Texas redistricting.

The NRO has fired the first shot in the 9/11 blame game and Tapped fires back citing Franken's Operation Ignore.

The Talking Dog takes a bite out of the People's Republic of China despite their manned space flight. Why doesn't the dog blogroll Rush Limbaughtomy Seb?

Suicides now account for 10% of the non-combatant deaths in IRAQ - via talk left

Yikes - here is a grim view of Americans from Surfing the Tsunami
Double Yikes or Yikes Yikes - Get on the list to receive Rapture notification e-mails so you will know when your disappeared friends have been raptured into heaven. Just one question? Would it not be heaven on earth if everyone who believe in the rapture (Robertson, Falwell, Bakker, Swaggert, Reed & the pseudo-Christian coalition) suddenly disappeared? from the Stout Dem Blog.
Spilled Ink and more bad news on Diebold here.
A Speedkill of Bill O'Reilly is available here

Dems seek to strip VP of $500K

2003-10-15T01:23:00.000-04:00

Dems seek to strip VP of $500K

Senate Democrats want to deprive Vice President Dick Cheney of close to $500,000 in deferred compensation he is scheduled to receive from Halliburton, the energy company he once headed, and to divest himself of over 400,000 stock options he holds in the firm. The group, ed by Sens. Frank Lautenberg (N.J.), Dick Durbin (Ill.), Russ Feingold (Wis.) and Joe Biden (Del.), the top Democrat on the Foreign Relations Committee, will try to amend the $87 billion reconstruction supplemental bill that is currently before the Senate.

Lautenberg is likely to file the amendment tomorrow. A Lautenberg aide projected that nearly the entire Democratic Caucus, with one or two possible exceptions, will support the effort to force Cheney to relinquish his financial stake in Halliburton. Cheney served as the energy giant’s CEO from 1995 to 2000. On the House side, Rep. Henry Waxman (D-Calif.), the top Democrat on the House Government Reform Committee, will send a letter to the Bush administration this week alerting it that Halliburton has manipulated the price of exported Iraqi oil, Democratic sources said.

The dual efforts in the Senate and House indicate that Democrats now view Bush as vulnerable to criticism that corporations with close ties to the administration will reap a windfall from the Iraqi occupation from U.S. taxpayers. Democrats campaigning for president also have made Halliburton’s large government contracts in Iraq an issue on the trail.

The Senate Democrats amendment would also bar companies with current financial ties to the president, the vice president, or cabinet secretaries from receiving government contracts in Iraq. Officials holding stock options or due to receive deferred compensation from a company with an Iraq contract would have 90 days to exercise them or forfeit them. The amendment could also affect Secretary of Defense Donald Rumsfeld who holds stock options in several companies from which he also receives deferred compensation. However, none of those companies has government contracts in Iraq.

Earlier this year, the Army Corps of Engineers awarded Halliburton a no-bid contract to extinguish potential oil fires in Iraq. However, the open nature of the contract has expanded to include digging ditches for telecommunications lines and managing military bases, Senate Democrats charge. So far, the contract has earned Halliburton $1.25 billion. It was one of several Iraqi reconstruction contracts awarded to Kellogg, Brown & Root, a Halliburton subsidiary.

Cheney, who earned $192,600 last year from the government last year, also received over $200,000 in deferred compensation in 2001, and over $160,000 in 2002. Cheney is due to receive similar payments this year and in 2004 and 2005. If the Democrats prevail, Cheney would have to forego his future compensation because Halliburton already has a contract in Iraq. Earlier this year, Cheney reported assets worth between $19 million and $87 million in a filing with the Office of Government Ethics.

The vice president also holds 433,333 in unexercised Halliburton stock options. He has the option to buy 100,000 shares at $54.50 by the end of 2007, 33,333 shares at $28.13 by the end of 2007 and 100,000 shares at $39.50 by the end of 2009, data compiled by Lautenberg shows. Halliburton stock closed on the Big Board yesterday at $24.38 a share. For Cheney to cash in on his options, Halliburton’s stock would have to climb to above those strike prices.

During an appearance on NBC’s “Meet the Press” last month, Cheney emphatically denied that he had any financial interest in Halliburton. “Since I left Halliburton to become George Bush’s vice president, I’ve severed all my ties with the company, gotten rid of all my financial interest.” He argues that he plans to donate his stock options to charity if they become valuable. He has also taken out an insurance policy that guarantees that he will receive his deferred compensation even if the company goes out of business.

However, a Congressional Research Service (CRS) report requested by Senate Democrats contradicted the vice president. CRS concluded that unexercised stock options in a private corporation, as well as deferred salary received from a private corporation were “retained ties” or “linkages” to a former employer and should be reported as “financial interests.”

Cheney, Halliburton ties facing more questions

2003-10-14T13:59:00.000-04:00

Cheney, Halliburton ties facing more questions

WASHINGTON -- Between 1995 and 2000, while Democrat Bill Clinton ran the country and Republican Dick Cheney ran Halliburton, there was no talk of favoritism or political ties as the Houston-based company billed the government $2.2 billion for its work in Kosovo.

Now, six months after the United States toppled Saddam Hussein, there is mounting scrutiny of Halliburton's Iraq contracts, which total $3.1 billion and grow by the day. The contracts look suspect to some critics, given Halliburton's past overcharges to the government, its ties to Cheney and the absence of competitive bidding for a $1.4 billion oil fields contract.

At the same time Cheney, vice president since January 2001, faces renewed criticism for getting nearly $368,000 in deferred salary from a company that is profiting so handsomely from a war he helped launch.

Not surprisingly, many of the critics are Democrats. Sen. Frank Lautenberg of New Jersey, brandishing a Congressional Research Service report that he said proves the vice president's ongoing financial ties to Halliburton, urged Cheney on Sept. 25 to come clean. "I ask the vice president to stop dodging the issue with legalese and acknowledge his continued financial ties with Halliburton to the American people," he said.

Rep. Henry Waxman, a Los Angeles Democrat, wrote White House budget director Joshua Bolten on Tuesday to inquire about "waste and gold-plating" in Iraq. "Too much money appears to be going to Halliburton and Bechtel while costing the U.S. taxpayer millions and imperiling the goal of Iraqi reconstruction," Waxman wrote.

Bechtel, a San Francisco-based engineering and construction company, has a $1 billion contract from a State Department agency to rebuild Iraqi infrastructure apart from the oil industry. That contract also is likely to grow. Beyond Bechtel, a number of other companies have landed smaller contracts. But Halliburton is so dominant that it is hardly a stretch to call it the general contractor of the war in Iraq and its aftermath.

Spending not capped

Kellogg Brown & Root, a Halliburton subsidiary, has received $1.7 billion so far under a broad-based, competitively bid Pentagon contract signed in December 2001 for an array of military support services in and around Iraq. The contract, which is annually renewable through 2011, has no cap on spending.

Under a separate contract awarded in March -- without seeking bids from other companies -- the Army Corps of Engineers is paying Halliburton $1.4 billion to rebuild Iraq's oil industry. Halliburton is one of four firms competing for a massive oil services contract that the corps expects to announce any day.

Cheney and his aides vigor- ously reject allegations of wrongdoing in the awarding of Halliburton contracts or the receipt of Halliburton money. The vice president has nothing to do with deciding which companies get government contracts, they say, and his payments from Halliburton since taking office are for 1999 salary that he chose to defer long before taking office. "Since I left Halliburton to become George Bush's vice president, I've severed all my ties with the company," Cheney said last month on NBC's "Meet the Press."

Giving an outside administrator control over 433,333 Halliburton stock options that Cheney owns and designating three charities to receive any profits from exercising those options. A recent rise in Halliburton's stock price -- which is up 50 percent since Bush began talking about war in Iraq 18 months ago -- has pushed the value of Cheney's options to more than $10 million. It is not known whether his administrator has exercised any options this year. (Ed note: Regardless Cheney still owns the options and will benefit when he is retired by vote next year) None was exercised in 2001 or 2002, according to Cheney's tax returns.

For its part, Halliburton is no stranger to controversy when it comes to dealings with the fed- eral government. In 1978, the company paid $1 million to settle grand jury charges that it and a competitor had colluded on construction work. The government fined Halliburton $3.8 million in 1995 for making illegal exports to Libya. The company also settled a lawsuit last year, filed in Sacra- mento, agreeing to pay the government $2 million over charges of contract inflation for maintenance and repairs at Ford Ord, a now-closed military base near Monterey, between 1994 and 1998. Cheney was Halliburton's chief executive officer during most of that time.

Kosovo services unnecessary

And a September 2000 report by the General Accounting Office, the investigative arm of Congress, found that Brown & Root, the subsidiary, had overbilled the government millions of dollars for excessive electric-ity, overstaffing and unnecessary furniture in Kosovo. Despite the outcry among some Democrats on Capitol Hill, polls show the Halliburton controversy barely registering with the American public.

Benjamin Barber, a University of Maryland political science professor and author of "Fear's Empire," a new book about the war on terrorism, said many Americans don't care about the Cheney-Halliburton questions because of broader changes in public thinking that began nearly a quarter-century ago.

Under an ideological revolution introduced by Ronald Reagan, Barber said, government was branded as bulky and inefficient and many public functions were shifted to the private sector. The result, according to Barber, is a blurring of the tradi-tional line between public service and private work. "When the government is the problem and the market is the solution, it no longer is corruption," he said. "It becomes efficiency."

Cheney's former company in probe

2003-10-13T00:52:00.000-04:00

Cheney's former company in probe

The French public prosecutor's office is to open a judicial inquiry into alleged corruption by a French engineering firm and the American oil services giant Halliburton, which was headed until two years ago by Dick Cheney, the Vice-President of the United States.

The investigation is the first of its kind in France under laws introduced as part of an international convention on cross-border corruption signed in 1997 by about 35 countries, including the US.

The financial crimes squad in Paris believes a French oil and gas engineering firm, Technip, and particularly the Halliburton subsidiary KBR, were jointly involved during the 1990s in the payment of up to $US200 million of under-the-counter "commissions" in relation to a huge gas contract in Nigeria.

The convention, under the auspices of the Organisation for Economic Co-operation and Development, aims to fight corporate attempts to buy the favours of public authorities abroad.

Max over at MaxSpeak You Listen posts on traffic stats. The differences in the various sitemeters, webalizers, blogpatrol, eXTREME trackers, One Stats, Blogstreet, BlogMatrix etc. has fascinated me since starting this blog in May. Max has been very successful in term of the rank of MaxSpeak you listen. 36.MaxSpeak (485) details is the current position on the TTLB Ecosystem. The relationship between these various logging and metering systems is strange to say the least. At least this post will increase MaxSpeak's links on the Ecosystem and the more liberal progressive bloggers who ascend those rankings the better for our collective impact on the internet.

Blue Streak posts about group blogs The tip is from Skippy the Bush Kangaroo

South Knox Bubba has a lively comments section on the Drug Rush

Kevin Hayden returns to blogging at The Reach Em High Cowboy Noose Network with this entry about electoral politics and his decision to leave the group blog that he started and made so successful.

Earl at Prometheus 6 covers a frightening incident that happened to a friend. This is a story you need to read. And P6 is a Titans Fan

The Hampster covers the new Newsweek Poll with some good news for Democrats

Susie Madrak of the Suburban Guerrilla watched Joe Klein take down Peggy Noonan. Go there for the blow by blow - links to the Daily Howler

The Democratic Veteran tells us that Guvnor Enrongroper has already started with the Enron Agenda
TBogg reminded us that: "In 1994 Rush married Marta Fitzgerald, a woman he met online (which explains so much). Again, we don't hear the pitter pat of little Limbaugh cloven hooves. " This by way of Lilith at A Rational Animal
Blah blah blah 3 quotes Munford on Limbaugh ""The part about the pus being blue is patently false," the noted hunka hunka burnin' homophobia did not say. Catch the whole thing at Blah 3
Busted: vile, hypocritical gasbag and deluded dittomonkeys is the subject of W T F is it Now from the magnificent Maru the Crankpot today. Read it now.

The Ma ha blog makes Condi into a block of sushi Rice in two posts today. Read them with 2 week old hamachi for an accurate taste of the pReznit's ~~new, newer~~, newest PR campaign for his personal little vendetta against Saddam (is he caught yet after 7 months) Hussein.
You gotta love the H. L Mencken quote on Musings of a Philosophical Scrivner today:

The notion that a radical is one who hates his country is naive and usually idiotic. He is, more likely, one who likes his country more than the rest of us and is thus more disturbed than the rest of us when he sees it debauched. He is not a bad citizen turning to crime; he is a good citizen driven to despair.
--H.L. Mencken

Although I disagree with his characterization of my friend Al (and I do call him Al) Gore; the Septic Tank may be on to something with his open letter to Al Gore

Hurricane Juan is the subject of Patrick Taylor at the Poison Kitchen in Halifax Nova Scotia. It is amazing how little we were aware of the true extent of the damage. N. Todd covers the latest Gallup Poll on Dohiyi Mir T Rex (Kenneth Quinnell) is a Margaret Cho fan and so is Howard Dean Major Barbara of Arms and the Man considers the difference in Russian and American corruption. Jeremy Puma of Fantastic Planet reports on two fantastic sightings Apathy Incorporated's Joe F is concerned about Bush's spectacular fiscal incompetence

A SERMON FOR THE SUNDAY AFTER THE FALL OF RUSH LIMBAUGH is the Sunday offering at Rush Limbaughtomy

Cheney defends Administration Fearmongering

2003-10-10T20:17:00.000-04:00

Cheney defends Administration Fearmongering and large amounts of money given to Halliburton to promote the Illusion of Security

Cardinal Richelieu Cheney said Friday that terrorist ~~non-Christians~~ are "doing everything they can" to get weapons of mass destruction to kill hundreds of thousands of ~~Christians~~ Americans "in a single day of horror" ~~and that all suspected heretics should be reported and subjected to inquisition.~~

His appearance before the conservative Heritage Foundation marked the latest in a series of speeches top administration officials are giving in hopes of ~~instilling a growing fear in the hearts of Americans~~ curbing the growing criticism over the U.S. handling of Iraq.

"Some claim we should not have acted because the threat from Saddam Hussein was not imminent," Cheney said. "~~non-Christian~~ Terrorist enemies of ~~the faith~~ our country hope to strike us with the most lethal weapons known to man and it would be reckless in the extreme to rule out ~~inquisition~~ action and save our worries until the day they strike."

"If you give me six lines written
by the most honest man, I will find
something in them to hang him."
—Cardinal Richelieu ~~Cheney~~

Richelieu adhered to the maxim that "the ends justify the means." Although he devoutly believed in the mission of the Roman Church, he sought to assign the church a more practical role. Richelieu argued that the state is above everything, and that religion is a mere instrument to promote the policies of the state.

The Cosmic Iguana of manis2society has another CIA outing for us to consider: Think Valerie Plame times two.

The father of slain CIA officer Johnny "Mike" Spann said Thursday he believes an independent counsel should investigate allegations that someone in the Bush administration exposed a CIA officer's identity -- an act he called treasonous.

Spann, the first American killed in Afghanistan, died in a prison uprising. His father, also named Johnny Spann, said he is still angry because he feels his son's identity and hometown were disclosed before his son's family could be adequately protected. see the links at the Cosmic Iguana
via the fabulous Suburban Guerrilla Susie Madrak where you will find more of Margaret Cho ripping Ann Coulter.
Len over at Musings of a Philosophical Scrivner has an interesting interview with Molly Ivins about the "de eadukashun" pReznit when he was in Texas

MORE BENEFICIAL LEGISLATION FOR HALLIBURTON

2003-10-05T18:08:00.000-04:00

S.1125 SAVES COMPANY 3 BILLION DOLLARS?
Follow, if you will, this twisted tale of special legislative relief, tailored, it would seem, for the benefit of one specific company - a company already under fire for unsevered ties to the Vice President and preferential treatment in no-bid contracts in Iraq.

Update 1: Halliburton to end request for asbestos stay

Halliburton Co. said on Monday (Sept. 29) it would cease trying to extend a bankruptcy TRO blocking more than 200,000 asbestos injury claims, and said it will make a prepackaged Chapter 11 bankruptcy filing in November. Once filed, the bankruptcy plan automatically blocks any further asbestos claims, even if the court's stay has expired. Halliburton estimates the cash portion at $3.05 billion, or 9.8 percent higher than previous forecasts. Combined with the value of 59.5 million common shares to be contributed the total cost of the settlement exceeds $4.5 billion.

UPDATE 2: September 30, 2003 Insurers Oppose passage of S. 1125 In a letter to Majority Leader Frist insurers admit that almost all costs of S.1125 will be borne by the Insurance Companies - not defendants like Halliburton:

The Senate Judiciary Committee approved the Fairness in Asbestos Injury Resolution Act (S.1125), by a vote of 10-8-1, with Senator Kyl abstaining. As the legislative process and debate move to the full Senate, we want to express our immense disappointment with the current state of S.1125, and to explain why we must now vigorously oppose this bill.

UPDATE 3: September 30, 2003 The Asbestos Alliance website is offered by "asbestos defendant companies", "trade associations", and "insurers" and made to appear as if it is an asbestos victims support site. Tactics include efforts to get asbestos victims to ask their Senators and Congressional Representatives to support the legislation. Using the appellation "non-profit organization" this site obscures the fact that it's membership is entirely composed of "for BIG profit" companies and their "for profit" insurers:

The Asbestos Alliance is a non-profit organization comprised of asbestos defendant companies, trade associations, insurers and others seeking congressional legislation to solve America's asbestos litigation crisis.

Where does the government of the United States end and the corporation known as Halliburton begin? Corporations have always exerted great financial influence in Washington in the form of contributions to candidates, and corporate interest lobbies have supported legislation that benefits their membership. But the current legislation known as S.1125 smacks of something quite different. It seems to be especially beneficial to one particular corporation: HALLIBURTON.

First, take a look at S.1125.IS (you must type S.1125.IS in the "bill number" window):

Under Section 403 at the end of the bill you will find the following language:
SEC. 403. EFFECT ON OTHER LAWS AND EXISTING CLAIMS.

(a) EFFECT ON FEDERAL AND STATE LAW- The provisions of this Act shall supersede any and all Federal and State laws insofar as they may relate to any asbestos claim filed under this Act.

(b) SUPERSEDING PROVISIONS-

(1) IN GENERAL- Any agreement, understanding, or undertaking by any person or affiliated group assigned to Tiers II through VI with respect to the treatment of any asbestos claim filed before the date of enactment of this Act that requires future performance by any party shall be superseded in its entirety by this Act.

(2) NO FORCE OR EFFECT- Any such agreement, understanding, or undertaking by any such person or affiliated group shall be of no force or effect, and no person shall have any rights or claims with respect to any of the foregoing.

(c) EXCLUSIVE REMEDY- The remedies provided under this Act shall be the exclusive remedy for any asbestos claim under any Federal or State law.

This means that this legislation, sponsored by Senator Rick Santorum, will RETROACTIVELY supersede all settlements previously made between Halliburton and the 200,000 claimants Halliburton has agreed to compensate with an amount between $2.775 billion and $4.3 billion:

Halliburton Reaches Agreement To Achieve Global Settlement of Asbestos Claims
* Plan covers all present and future asbestos claims, fully and permanently resolving all personal injury asbestos liability.
* Plan provides that Halliburton will retain 100% ownership of DII, KBR and all other subsidiaries.
* Plan preserves rights of customers, employees, vendors and financial creditors -existing contracts and obligations will be honored and creditors will be paid in full under terms of their agreements.
* Up to $2.775 billion in cash, 59.5 million Halliburton shares and notes with a net present value expected to be less than $100 million . . . . [Ed. note: Present value of Halliburton shares is $24.03 Sept. 29, 2003 market open.]

If S.1125 passes as-is, Halliburton's obligation to pay this $4 billion would disappear. Instead, the corporation would be bound by the provisions of S.1125. Here is what Halliburton has to say about that:

Halliburton spokeswoman Wendy Hall said if the legislation passes before the company's settlement is finalized, Halliburton's asbestos claims would move to the national fund. The company says it doesn't know if it would save money that way. [Ed. note: Emphasis added.]

Halliburton "doesn't know if it would save money that way" like we don't know if the Pope is Catholic.

Under this legislation, the top contributors to the fund, or Tier 1 contributors, are bound to pay a percentage based on 2002 "earnings," as reported to the SEC. Under Section 203 (b), corporations are to pay 1.5005 percent of the debtor's 2002 revenues in years 1 through 5 and declining percentages of that amount for the next 27 years. It does not matter if the "settlement is finalized" or not. The legislation supersedes any financial settlement.

So let's take a look at Halliburton's 2002 revenues to see what 1.5005 percent will be:

Revenues in 2002 were reported at $12.57 billion of (mainly taxpayer) dollars, so 1.5005% is $188,642,860 a year for the first five years, or $943,241,300 overall, which is just under one-quarter of the $2.775 billion in cash and 59.5 million shares (value $1,431,570,000) proposed under the previous settlement agreement.

NOTE: If S.1125 passes expect the stock price to return to pre-asbestos claim levels of $45 per share or more. Any increase in the price of the stock will personally benefit Cheney. Although he has pledged any dividend income on his stock options in Halliburton to charity (reducing his tax burden?) he has not relinquished ownership thus benefiting from the gain in equity.

After the first five years, the yearly obligation drops to $169 million a year for three years, with declining amounts for the years that follow. So Halliburton is looking at, at a minimum, a $3 billion advantage through this legislation over the next five years. And to top it off, Halliburton is substantially insured - so effectively, in fact, that the company may pay nothing after collecting the insurance. At 1.5% and falling for 27 years, the "loss" will be made up in insurance and 1.5% price increases.

Just think how the 51 Republican senators who have indicated their approval of the legislation are salivating at the prospect of a major contributor having billions of extra dollars to spread around in campaign contributions.

Given that Halliburton stock fell from a high of $45 per share prior to the asbestos problem that caused it to plummet to $8.50; it would be reasonable to expect the stock to regain that loss and more on the passage of S. 1125. If that happens Vice Presiden Richard Cheney stands to double the value of his stock options along with all of the shareholders of Halliburton stock.

This gain in equity is only part of the shift in financial power that fuels the campaigns of candidates for elective office. Trial lawyers who support Democrats will suffer significant financial loss while Republicans that benefit from 100% of the Halliburton political contributions will benefit from significant financial gain.

For the background and history of Halliburton and S.1125 Asbestos Legislation go here.

Great Reading at Open Source Politics
Jeff Alworth’s Cheney Lied
Susie Madrak’s Self-defense for Voters George Will’s context by John Williams Jeremy Puma’s Republican’s are just mean
The Pot Calling the Kettle Pious by Earl Dunovant Colin Powell is Done by Kenneth Quinnell Civility Dawn’s on Bush by Kevin Hayden

Robert Novak is a coward - The CIA's Patriotic Math - A Matter of Trust - I Have A Little List
all are about The Valerie Plame Affair

More good progressive blogs that deserve your attention:
Notes on the Atrocities - The Right Christians-- Sub urban Guerrilla -- US Democratic Veteran -- Shock and Awe -- Pro metheus 6 -- The People's Republic of Seabrook -- Lean Left -- Body and Soul -- South Knox Bubba -- Seeing the Forest -- The Incomparable Mad Kane -- blah blah blah 3 -- Rum inate This -- Dem ocratic Under ground -- The Lefty Directory -- Bart Cop -- The Smirking Chimp -- Busy Busy Busy -- Scoobie Davis

LIBERAL LINK-A-THON: moving progressive blogs up through the blogosphere Half the Sins of Mankind -- Sadly No ! -- rant a vation -- The Mad Prophet Blog -- Mouse Mus ings -- A Rational Animal -- The Funny Farm -- Arms and the Man -- The Mod ulator -- WTF is it Now -- Out to Lunch -- Nit pick er -- To the Barricades -- Folkbum’s Rambles and Rants please consider these fine progressive bloggers for your blogrolls and links.

The Troglodytes that elected Schwartzengroper are the concern of Maru the Crankpot at WTF is it Now
Da Gropenguvnor is gonna need a lota luck sez Jack at The People's Republic of Seabrook
A Rational Animal has Herr Rumsfeld left out of the Loop
High on the list of Halliburton information sources: is Arms and the Man
NPR interviews AEI NeoCon by rant a vation
Arnold's Ode is up at the The Incomparable Mad Kane
GOPZILLA is the subject over at the Dem ocratic Under ground
Rum inate This move by GWB "lowering expectations" in leaky DC.

LIBERAL LINKS UPDATE on the Recall (mostly):
Fan tastic Plan et has a great link to the Gropenguvnor's Japanese TeeVee ads. (Quicktime movies) heheheheheh.
The Mod ulator links to some Recall Positives.
There are signs of the Apocalypse in California according to The Peoples Republic of Seabrook
South Knox Bubba has his own take on the new Super Hero of California, and
Kevin at Lean Left offers more notes on the Wierd Election in the Golden State.
Go wish The Funny Farm a happy first birthday of blogging - you also get to see Tom via digital photography.
It's pathetic over at South Knox Bubba
The Demo cratic Veteran hopes that Gray Davis has a nice retirement, and the SteroidFuhrer has a wake-up call that the job involved more than just showing up...like he does for movies.
The Cheeseweasle adds err subtracts err crunches the numbers for Ahnuld, and leads us to George Wills Conservative Travesty
The Cosmic Iguana hits on potential Gropenator lawsuit number one - this one from the UK and Thars gold in them thar wars.
Emphasis Added covers winner take all aspects of the Recall
From the Swamp has Greg's take on the Recall
The Gutless Pacifist gives us Conan the Governor and Comics for Swartzengroper
The Liberal Oasis has Four Lessons from the Recall but they do not mention the one(s) just below.
Mark A. R. Kleiman has a short take on the Recall results
Plucky Punk's Happy Land thinks Californians my be fleeing to Santa Fe to escape the Terminator
Meanwhile Nurse Ratched's Happy Valley Asylum Notebook has patients from California lining up for immigration status to Canada

Kenneth Quinnell of T Rex has Right Wing Zombies classified (Like the Rush Limbaughmicus) at Open Source Politics
The Blow torch Monkey Armada's Palmer Hass has his first post up at Open Source Politics

Stephen at To the Barr icades turns 50: I am fashionably late in wishing him a happy 'it's not ALL downhill from here' day. We welcome Chris Grubner of American Dissent to OSP and agree that Republicans are out of their Gorditas
Natalie Davis at All Facts and Opinions is right _ we should be outraged until they Free Tommy Chong
I wonder if the Limbo Mumbo Jumbo druggie has looked into getting one of these yet _ read about the whizzinator at The People's Republic of Seabrook
Nurse Ratched over at the Happy Valley Asylum is gonna wash the foul mouthed administrations mouth out with soap. Meanwhile The Mad Prophet Blog's C. Bryan Lavinge explains his long absence. Does Ahnuld need practice? asks the Mod ulator Will computer woes stifle The Funny Farm? stay tuned for clues.
Speed kill has moved to a very nice new address. Update and blogroll progressive bloggers.

Final Push for S.1125 Asbestos Legislation

2003-10-05T01:45:00.000-04:00

OF BANKRUPTCY, RESTRAINING ORDERS, AND SETTLEMENT AGREEMENTS - And the Final Push for S.1125 Asbestos Legislation

To fully understand the implications of S.1125 legislation, it is necessary to review some of the history of Halliburton and its asbestos problem.

On Tuesday, September 30 (tomorrow) the latest extension of a temporary restraining order will expire at midnight. As you read the material below, you'll discover the strategy of Halliburton's settlement team, and the reason for the notice sent last week of a bankruptcy filing planned for November will become perfectly clear.

Halliburton's major problem began back in 1998, when the company sought to solidify its dominance by the purchase of its chief rival:

Back in 1998, when he was CEO of oil-services giant Halliburton Co. (HAL ), Vice-President Dick Cheney oversaw the purchase of a smaller rival, Dresser Industries Inc. On Dec. 7, the deal backfired on his former company. When a little-known former Dresser subsidiary suffered defeat in a key asbestos litigation case, worried investors sent shares plunging 42%, to $12.

Halliburton began settling asbestos claims at a rate of 140 cases a day, paying an out-of-pocket average of $220 per case.

Halliburton executives say the Dallas-based company settled 36,000 asbestos claims last year for slightly less than its average historic cost of $750 each, that insurers picked up all but $220, and that the management remained committed to fighting unreasonable settlement demands.

"We have got a strategy of being willing to take every single case to trial if we have to, but last year ended up in trials that concluded in verdicts in only 17," Chairman Dave Lesar said last week. "We settle, on average, 140 cases in a positive way every day. We don't put a press release out every time that happens."

The asbestos lawsuits caused huge problems for investors, and, coupled with falling energy prices, the stock value fell from $45 to $8.70

Halliburton was already well off its 52-week high of $45 because of falling energy prices. Now investors are scared the company is about to get eaten by the asbestos monster--the same one that bankrupted Johns Manville and Owens Corning. With their coffers empty, asbestos lawyers are now going after other companies such as Halliburton, Viacom (VIA ), and Pfizer (PFE ). Although none of them produced the flame retardant, all sold products containing it or bought companies with asbestos exposure.

You'd think asbestos-exposure verdicts totaling more than $130 million against Dallas-based Halliburton (HAL ) might have a negative impact on the oil-patch giant's stock. Think again.

Since the latest Texas jury verdict in December, shares of Halliburton have rebounded by about 50%, to $13 a share, from a 52-week low of $8.70.

To assist in recovery from the stock price free-fall, Halliburton pushed a settlement strategy and benefited from rumors that major asbestos legislation would be passed. [Ed. note: the share price hit $25.90 last week]

Driving the run-up: The company rushed forward with a plausible strategy to deal with the lawsuits. Plus, rumors spread that President Bush would propose limiting corporations' exposure to asbestos litigation in his State of the Union address. After all, Vice-President Dick Cheney used to be CEO at Halliburton. However, the State of the Union address came and went on Jan. 29 with no such proposal in it.

The legal strategy was more complex, because it would depend on the text of the legislation. So Halliburton began settlement negotiations as asbestos claims reached 275,000. The original settlement was announced in December of 2002, and a temporary restraining order was obtained in February of 2003. The strategy of the company has become increasingly clear as the temporary restraining order has been renewed at least twice since February. The last renewal came in July and it expires on Tuesday, September 30.

Click here for the May 21, 2003 Client Information Letter and Temporary Restraining Order of February 2003, now in effect until September 30, 2003, after two extensions.

Click here for a compendium of all Halliburton press releases and asbestos related filings from attorneys Motley and Rice.

The Notice of Bankruptcy filing for November is now understandable in the context of this history and the excellent prospects for passage of S.1125.

Halliburton/Units: To Mail Disclosure Statement 09-22-03

HOUSTON (Dow Jones)--Halliburton Co.'s (HAL) DII Industries Inc., Kellogg Brown & Root Inc. and other affected units began soliciting claimants in connection with its planned asbestos and silica settlement.

Last December, Halliburton agreed to pay $4 billion in cash and stock to a trust that would pay current and future asbestos claims. As part of the settlement, the company agreed to put DII unit, including its Kellogg Brown & Root Inc. construction business, into bankruptcy proceedings.

In a press release Monday, the oilfield-services company said the disclosure statement, which incorporates and describes the plan of reorganization and trust distribution procedures, is being printed and mailed to asbestos and silica claimants for the purpose of soliciting votes to approve the plan of reorganization.

The company expects the mailing process will be completed in less than two weeks.

Remaining conditions to a Chapter 11 filing by the affected Halliburton units include completion of definitive financing arrangements, approval of the plan of reorganization by required creditors, including at least 75% of known present asbestos claimants, and Halliburton board approval. In July, Halliburton warned the cash required to fund the settlement may modestly exceed $2.78 billion, as a result of an increase in the estimated number of current asbestos claims. If this occurs, the company would need to reach an agreement with the claimant representatives to adjust the settlement matrices to reduce the overall amounts or increase the amounts the company would be willing to pay to resolve its asbestos and silica liabilities, resulting in an additional condition to a Chapter 11 filing. If all remaining conditions are timely satisfied, Halliburton anticipates that DII Industries, Kellogg Brown & Root and the other affected units would make the Chapter 11 filing in November. [Ed. note: Emphasis added.]

In case you ever previously wondered why George W. Bush and his friends have strongly pushed for tort reform to put lower caps on class-action lawsuit settlements, look no further than the case of mega-contributor Halliburton. How does a company that's repeatedly detailed its plans to file for bankruptcy for the past three years still generate wads of cash donations for Republicans?

On Monday, Halliburton began yet another mailing to participants, outlining its plan to file for Chapter 11 reorganization in November. This delay in payments on 200,000 claims for asbestos-related injuries is entering yet another phase.

This is reminiscent of the Exxon delays in paying settlements for the Valdez spill. Will it go on for 14 years without a dime being paid until friendly judges can reduce the settlement to peanuts?

Stay tuned for more amazing stories of corporate weasels re-writing the law while benefiting from billions of your taxpayer dollars.

Sens. to Propose Bill on Iraq Contracts

2003-09-26T20:14:00.000-04:00

Two senators proposed Friday that an $87 billion spending bill for Iraq should require competition in most cases for lucrative reconstruction work. The proposal could curtail future controversies over a lack of competition, an issue that has enveloped Vice President Dick Cheney's former company.

Sens. Susan Collins, R-Maine and Ron Wyden, D-Ore., said their amendment would require that funds would be spent on fully competitive contracts, unless the awarding agency notified Congress and explained - in the official Federal Register - why full competition was rejected.

The amendment would do little to stop the controversy over Halliburton, run by Cheney before he became the vice presidential candidate in the year 2000. The company's KBR subsidiary has received noncompetitive work worth $1.2 billion so far to restore Iraq's oil industry. The U.S. Army Corps of Engineers has increased KBR's work several times by adding to its oil mission

Iraq Deals Not Helping Halliburton Stock

Halliburton Co.'s business may be booming in Iraq thanks to reconstruction efforts, but the small profit margins there and lingering asbestos liabilities are a drag on the stock, analysts said.

So far, the Houston company -- once headed by Vice President Dick Cheney -- has won $1.7 billion in Iraq-related contracts.
Halliburton's KBR engineering and construction division has been awarded a $705 million contract for oil field infrastructure repairs. It has also been awarded a Logistics Civil Augmentation Program (LOGCAP) contract, estimated at over $900 million, to build base camps and provide logistical services like delivering mail and providing hot meals. "The dollar values are huge," said Rep. Henry Waxman, a California Democrat who has reviewed the breakdown of the LOGCAP contract.

But while the KBR unit is expected to win millions of dollars more in additional contracts, the stock has not outperformed the broader market. The shares, which surged in May after President Bush declared an end to major combat operations in Iraq and said reconstruction of the nation was under way, are down nearly 4 percent since mid-June. The S&P 500 index is up slightly over the same period.

"While the dollar amount of the contracts is large, historically the profits off of them have been very small," said Jim Carroll, portfolio manager of the Loomis Sayles Value Fund which owns shares of Halliburton. "I don't know what the situation is in this particular contract, but I think investors have a fair amount of skepticism about hundreds of millions of dollars in profits." He added Halliburton's operating profit margins in the engineering and construction division are generally in the low single digits, as opposed to the low double-digit margins of its larger oilfield services business.

ASBESTOS UNCERTAINTY

At the same time, Halliburton's asbestos liabilities have weighed down the stock. The second-largest oilfield services company, behind Schlumberger Ltd. , agreed late last year to a $4 billion cash-and-stock deal to settle 200,000 asbestos lawsuits. But since then, Halliburton has asked for and received extensions and last month said it needed even more time to document claims and file prepackaged Chapter 11 bankruptcy plans for its DII Industries LLC unit and KBR.

The latest postponement came as the U.S. Congress debates a plan that would limit the impact of asbestos litigation on companies and would reduce Halliburton's asbestos costs by an estimated $3.5 billion. Wicklund said uncertainty is the top issue for the stock. "You don't know how much it's going to cost them, how much insurance is going to pay them back, when they're going to get it done," he said. "And until they get it done, there's the question if they'll get it done."

Asbestos Bill Could Be Windfall for Business

2003-09-26T19:46:00.000-04:00

The Senate has taken a major step toward setting up a national fund to compensate people whose health has been ruined by asbestos, but the first and biggest beneficiaries of the plan may be companies such as Halliburton - the Texas oil services firm - which could save $3.5 billion of its pending liability for asbestos claims.
On a 10-8 vote last week, the Senate Judiciary Committee sent to the floor a business-backed plan to close the courts to all asbestos claims. Instead, the claims would be transferred to a newly created federal trust fund. Over its 27-year life, the fund is supposed to have $108 billion to pay people who develop cancer or other health impairments from their exposure to asbestos in the workplace. The money in the trust fund would come from about 8,500 companies that made or sold asbestos products directly or through their subsidiaries, as well as the companies' insurers. But most of the firms would pay no more than $25 million a year.
The arrangement could prove a windfall for Halliburton and its insurers. In February, the company reached a "global settlement" of 200,000 asbestos claims. Under the deal, Halliburton and its insurers agreed to pay $4.2 billion to settle the claims. Dresser Industries, a Halliburton subsidiary, had incurred the asbestos liability through another company it once owned. But the Senate bill, the fate of which remains uncertain, would cancel all such pending settlements. At $25 million a year, Halliburton would pay $675 million over the 27-year life of the federal trust fund.

Halliburton asbestos claims costs to cut Q1 profits Dallas-based Halliburton Co. said Thursday it expects to take an 11 cent per share charge in the first quarter due to a write-off of receivables related to asbestos liabilities. The write-off relates to insurance coverage from Highlands Insurance Group Inc., which provided primary coverage for roughly 30,000 asbestos claims against Halliburton's Brown & Root Inc. unit
On Wednesday, the Delaware Supreme Court upheld a ruling by the Court of Chancery that the asbestos claims couldn't be covered by Highlands Insurance policies, which ended Jan. 23, 1996, when Highlands was spun off by Halliburton (NYSE: HAL).
However, Halliburton said the primary coverage represents only a portion of total insurance covering Brown & Root asbestos claims. The company said it has more than $2 billion of additional coverage.
"We are surprised by the decision of the court and we are currently reviewing our options,'' Dave Lesar, Halliburton's chairman and CEO, said in a statement. "The actions of the court only affect claims that are related to Brown & Root operations, which represent less than 11 percent of the total 274,000 claims outstanding at the end of last year."
Halliburton said it expects to write off about $80 million in claim receivables against the Highlands insurance policies for settlement and defense costs and pending asbestos litigation. The write-off will occur in the first quarter and result in an after-tax reduction in income of 11 cents per share.
Analysts polled by Thomson Financial/First Call had expected the oil services company to earn 24 cents per share for the quarter. Halliburton said about 45 percent of the receivables relate to payments of settlement and defense costs it has already made. The remainder is management's estimate of insurance recoveries against future settlement payments on existing Brown & Root asbestos claims.

2003-09-26T19:38:00.000-04:00

Halliburton executives say the Dallas-based company settled 36,000 asbestos claims last year for slightly less than its average historic cost of $750 each, that insurers picked up all but $220, and that the management remained committed to fighting unreasonable settlement demands.

"We have got a strategy of being willing to take every single case to trial if we have to, but last year ended up in trials that concluded in verdicts in only 17," Chairman Dave Lesar said last week. "We settle, on average, 140 cases in a positive way every day. We don't put a press release out every time that happens."

Back in 1998, when he was CEO of oil-services giant Halliburton Co. (HAL ), Vice-President Dick Cheney bought smaller rival Dresser Industries Inc. On Dec. 7, the deal exploded on his former company. When a little-known former Dresser subsidiary suffered defeat in a key asbestos litigation case, worried investors sent shares plunging 42%, to $12.

Halliburton was already well off its 52-week high of $45 because of falling energy prices. Now investors are scared the company is about to get eaten by the asbestos monster--the same one that bankrupted Johns Manville and Owens Corning. With their coffers empty, asbestos lawyers are now going after other companies such as Halliburton, Viacom (VIA ), and Pfizer (PFE ). Although none of them produced the flame retardant, all sold products containing it or bought companies with asbestos exposure.

You'd think asbestos-exposure verdicts totaling more than $130 million against Dallas-based Halliburton (HAL ) might have a negative impact on the oil-patch giant's stock. Think again. Since the latest Texas jury verdict in December, shares of Halliburton have rebounded by about 50%, to $13 a share, from a 52-week low of $8.70.

Driving the run-up: The company rushed forward with a plausible strategy to deal with the lawsuits. Plus, rumors spread that President Bush would propose limiting corporations' exposure to asbestos litigation in his State of the Union address. After all, Vice-President Dick Cheney used to be CEO at Halliburton. However, the State of the Union address came and went on Jan. 29 with no such proposal in it.

Still, with Halliburton trading at a mere 12 times the consensus estimate of 2002 earnings of $1.06 a share, should investors consider diving in with hopes of scooping up a bargain? Only if they have a long time horizon and a stomach for risk, analysts say.

SMALL CLAIMS IN COURT Halliburton argues that asbestos claims won't ruin the company's finances. Ole Slorer, who follows Halliburton for Morgan Stanley Dean Witter, agrees. He estimates that future asbestos claims against the company will be less than $1 billion, or $2.30 a share. That's well under Halliburton's insurance coverage for asbestos claims, which the company says is substantially more than $2 billion, or $4.60 a share.

2003-09-26T19:10:00.000-04:00

May 21, 2003 Client Information Letter and Temporary Restraining Order of February 2003 now in effect until September 30, 2003 after 2 extensions. A compendium of all Halliburton press releases and asbestos related filings from Attorneys Motley and Rice.

2003-09-26T18:41:00.000-04:00

Title 11 of the United States Code:
TITLE 11 - BANKRUPTCY
CHAPTER 1 GENERAL PROVISIONS
CHAPTER 3 CASE ADMINISTRATION
CHAPTER 5 CREDITORS, THE DEBTOR, AND THE ESTATE
CHAPTER 7 LIQUIDATION
CHAPTER 9 ADJUSTMENT OF DEBTS OF A MUNICIPALITY
CHAPTER 11 REORGANIZATION
News story on S 115 Legislation introduced by Sen. Rick Santorum

Two of the Republican Party's most desired legal changes - meant to reduce class-action lawsuits and asbestos litigation - will be presented to the Senate next week in one combined bill. The provisions, which were approved by the Senate Judiciary Committee but found strong opponents in Democrats, will be packaged together with other measures as part of a GOP jobs package, said Sen. Rick Santorum of Pennsylvania, a member of the Republican leadership.

(b) SUPERSEDING PROVISIONS-

(1) IN GENERAL- Any agreement, understanding, or undertaking by any person or affiliated group assigned to Tiers II through VI with respect to the treatment of any asbestos claim filed before the date of enactment of this Act that requires future performance by any party shall be superseded in its entirety by this Act.

(2) NO FORCE OR EFFECT- Any such agreement, understanding, or undertaking by any such person or affiliated group shall be of no force or effect, and no person shall have any rights or claims with respect to any of the foregoing.

(c) EXCLUSIVE REMEDY- The remedies provided under this Act shall be the exclusive remedy for any asbestos claim under any Federal or State law.

Halliburtons Earnings 2002
This chart shows that 2002 was the first year since 1993 that Halliburton showed Earned Income Before and After Taxes at a LOSS.

Oddly enough the provisions of the act base all payments on a percentage of 2002 Earnings: Halliburton has a settlement agreement much greater than 1 million dollars so they fall into sub Tier 1:
2) SUBTIER 1-

(A) IN GENERAL- All persons that are debtors with prior asbestos expenditures of $1,000,000 or greater, shall be assigned to Subtier 1.

(B) ASSIGNMENT- Each debtor assigned to Subtier 1 shall make annual payments based on a percentage of its 2002 revenues.

(C) PAYMENT- Each debtor assigned to Subtier 1 shall pay on an annual basis the following with respect to the year of the establishment of the Fund:

(i) Years 1 through 5, 1.5005 percent of the debtor's 2002 revenues.

(ii) Years 6 through 8, 1.3504 percent of the debtor's 2002 revenues.

(iii) Years 9 through 11, 1.2154 percent of the debtor's 2002 revenues.

(iv) Years 12 through 14, 1.0938 percent of the debtor's 2002 revenues.

(v) Years 15 through 17, .9845 percent of the debtor's 2002 revenues.

(vi) Years 18 through 20, .8860 percent of the debtor's 2002 revenues.

(vii) Years 21 through 23, .7974 percent of the debtor's 2002 revenues.

(viii) Years 24 through 26, .7177 percent of the debtor's 2002 revenues.

(ix) Year 27, .1794 percent of the debtor's 2002 revenues.

Yet their 2002 earnings were non-existent so they are liable for ZERO.

Halliburton/Units: To Mail Disclosure Statement 09-22-03

2003-09-24T13:33:00.000-04:00

Halliburton Co.'s (HAL) DII Industries Inc., Kellogg Brown & Root Inc. and other affected units began soliciting claimants in connection with its planned asbestos and silica settlement.

Last December, Halliburton agreed to pay $4 billion in cash and stock to a trust that would pay current and future asbestos claims. As part of the settlement, the company agreed to put DII unit, including its Kellogg Brown & Root Inc. construction business, into bankruptcy proceedings.

In a press release Monday, the oilfield-services company said the disclosure statement, which incorporates and describes the plan of reorganization and trust distribution procedures, is being printed and mailed to asbestos and silica claimants for the purpose of soliciting votes to approve the plan of reorganization. The company expects the mailing process will be completed in less than two weeks.

Remaining conditions to a Chapter 11 filing by the affected Halliburton units include completion of definitive financing arrangements, approval of the plan of reorganization by required creditors, including at least 75% of known present asbestos claimants, and Halliburton board approval. In July, Halliburton warned the cash required to fund the settlement may modestly exceed $2.78 billion, as a result of an increase in the estimated number of current asbestos claims. If this occurs, the company would need to reach an agreement with the claimant representatives to adjust the settlement matrices to reduce the overall amounts or increase the amounts the company would be willing to pay to resolve its asbestos and silica liabilities, resulting in an additional condition to a Chapter 11 filing. If all remaining conditions are timely satisfied, Halliburton anticipates that DII Industries, Kellogg Brown & Root and the other affected units would make the Chapter 11 filing in November. Company Web site:

2003-09-23T11:34:00.000-04:00

HALLIBURTON CRONY GETS TOP ENERGY POST

Houston's Robert E. McKee III, a former ConocoPhillips executive, has been appointed the new senior adviser to the Iraqi Oil Ministry.

He will replace Philip J. Carroll, the one-time head of Shell Oil Co. who has overseen the often tumultuous effort to jump-start Iraq's oil sector for less than five months.

His selection as the Bush administration's energy czar in Iraq already is drawing fire from Capitol Hill because of his ties to the prime contractor in the Iraqi oil fields, Houston-based Halliburton Co. He's the chairman of a venture partitioned by the giant Houston oil well service and engineering firm.

The Coalition Provisional Authority, in a brief statement released from Baghdad Monday, said McKee would take over as senior adviser next month.

He will report to L. Paul Bremer, the civil administrator of occupied Iraq, and serve as the liaison with Iraq's newly reconstituted oil companies.

The statement did not say why Carroll was leaving, except to note he would "return to private life."

Carroll could not be reached for immediate comment, but his wife, Charlene, reached by telephone in Houston, said Carroll had decided "it was time to hand it over to somebody else."

McKee also could not be reached for comment, despite repeated attempts.

Robin West, chairman of PFC Energy, a Washington-based energy consultancy, said the change in leadership is nothing more than a normal rotation out of Iraq, similar to the departure of Peter McPherson as the Provisional Authority's director of economic development.

Carroll, West said, "tried to do his best ... to bring order from chaos, but there were forces there beyond his control -- or anybody else's frankly."

McKee's appointment, however, comes as Iraq is still struggling to boost much-needed oil exports and meet basic domestic needs like gasoline and cooking oil.

Iraq has been able to ship only about 1 million barrels a day from its southern terminal, the London-based Centre for Global Energy Studies noted in a report.

That's a far cry from the export levels Bush administration officials had hoped to see by this time. But Iraq's oil workers have been forced to reinject the bulk of the crude production from the country's huge northern field of Kirkuk back into the ground, because a critical pipeline to Turkey has been shut down by repeated acts of sabotage.

On Sunday, Iraq produced 1.9 million barrels of oil, a record since the war, Bremer told a Senate panel. But he warned: "There will be bad days ahead. The saboteurs ... know how to attack ... where it hurts."

The chief responsibility of the senior oil adviser is to oversee the reestablishment of a functioning energy sector, purged of Baathist Party elements.

In a largely symbolic move to emphasize that transfer of power, Ibrahim Bahr al-Uloum, Iraq's newly appointed oil minister, will confer this week with other representatives from the Organization of Petroleum Exporting Countries in Vienna, Austria.

McKee's appointment already is coming under scrutiny because of his role as chairman of Houston-based Enventure Global Technology, an oil-field joint venture owned by Shell and Halliburton.

Halliburton's role in Iraq has been highly controversial, since the Corps of Engineers chose the firm once headed by Vice President Dick Cheney for the job of repairing Iraq's energy infrastructure without seeking bids from competing companies.

"The administration continues to create the impression that the fox is in charge of the hen house," said Rep. Henry Waxman of California, ranking Democrat on the House Government Reform Committee and a persistent critic of the Halliburton contract.

"Given Mr. McKee's close relationship with Halliburton, he's an odd choice to hold them accountable for the billions of dollars they are charging American taxpayers."

Officials from both ConocoPhillips and Enventure declined to discuss McKee's appointment Monday.

McKee, a native of Wyoming, earned a bachelor's degree in petroleum engineering from the Colorado School of Mines and a master's in industrial management from the Massachusetts Institute of Technology.

In 1967, he joined what was the Conoco in New Orleans and, over the next 36 years, worked his way up the ranks of the Houston-based oil giant.

In 1992, he was named executive vice president, responsible for the company's oil and gas exploration and production business, a position he would hold for a decade.

He retired in April, leaving what had become ConocoPhillips a wealthy man. McKee ranked second in the Houston Chronicle's latest list of 100 highest-paid executives, taking home $26.2 million in total compensation last year.

As the senior oil adviser, McKee will be responsible for both establishing energy policy for Iraq's new oil industry as well as operating a large petroleum operation, West noted. McKee is viewed as more of an operations man.

McKee also serves as co-chair of the volunteer committee for Super Bowl XXXVIII, to be played in Houston next year.

Halliburton Creating Iraqi Secret Police At Your Expense

To explain to the American people why the U.S. is spending more on the “war on terrorism”—some $215 million a day—than it does on education, Congress should audit the profiteers that service the military, starting with the company Dick Cheney headed before he became vice president.

KAPOSVAR, Hungary—“Camp Freedom” is a converted Soviet-era base at Taszár near Kaposvar, where the U.S. military trained an exile militia known as the “Free Iraqi Forces” and where it reportedly plans to train another 28,000 Iraqi “policemen.” The Taszár base resembles a high-security prison, and local authorities say they don’t know anything about what actually goes on inside the base.

Bernard B. Kerik, a former New York City police commissioner who heads the Iraqi Interior Ministry in Baghdad, told The New York Times that he hoped to begin training Iraqis at Taszár within a few months. Kerik said the courses in Hungary would be short and intensive, lasting about eight weeks.

When U.S. officials said they were holding talks with Hungary about training up to 28,000 Iraqi police officers at Taszár, the local authorities only learned of the plan when the Hungarian press picked up the story.

Karoly Szita, the mayor of Kaposvar, told the Hungarian press that it was “the same game” the U.S. had played earlier in the year when “nobody knew anything.” The exiles then were said to be training as interpreters for U.S. forces, but “were armed, in uniform, and being put through combat training,” The Guardian (UK) reported recently.

European press reports allege that the former Iraqi chief of staff and high-profile defector Gen. Nizar al-Khazraji, who mysteriously vanished on March 17 from Denmark where he was under house arrest, was snatched by the CIA and taken to Taszár, where he is helping the Americans train the new Iraqi forces.

Al-Khazraji, who was suspected of war crimes against Iraqi Kurds was under a court order to remain in Denmark, where he defected in 1999.

Danish reporter Arne Moeller said that CIA agents shepherded Khazraji out of Denmark to help with the war against Saddam: “All the witnesses told our newspaper that he left in a black car heading to the south of Denmark,” Moeller said. A Gulfstream aircraft “was ready to take off and two members of the CIA put him on board.”

American company Brown and Root Services, a subsidiary of Kellogg, Brown and Root (KBR) and its Dallas-based parent company Halliburton Corp., is running operations at the base from its fortress-like headquarters in Kaposvar. Brown and Root employees are forbidden from discussing what they do and see at the base. Local authorities say, “I don’t know” and add they are not allowed to discuss activities related to the base.

AFP visited KBR’s Kaposvar headquarters to ask about Wayne Uhl about the work the company did at the Taszár base. After an hour, a company representative named Valeria Strasszer emerged from the compound with the mayor of Taszár, Sándor Pataki.

“I don’t know,” Pataki replied to all questions.

Strasszer said all questions had to be submitted in writing. To a dozen questions submitted by AFP, Strasszer responded, “We do not discuss any given mission” and “we cannot answer on behalf of the U.S. Army.”

Kellogg, Brown and Root won a 10 year contract to provide support services to U.S. military bases around the world on Dec. 14, 2001. The contract is known as the Logistics Civil Augmentation Program (LOGCAP).

The LOGCAP contract “basically means that the federal government has an open-ended mandate and budget to send KBR anywhere in the world to run humanitarian or military operations for profit,” according to a 2002 article entitled “The War on Terrorism’s Gravy Train” published by the Berkeley-based (Calif.) CorpWatch.

Dick Cheney, who served as secretary of defense under President George H.W. Bush during the first Gulf War, was chief executive of Halliburton before resigning to run for office with George W. Bush. During his last two years at Halliburton (1999-2000) Cheney made nearly $30 million from compensation and stock sales. In 2001 KBR took in $13 billion in revenue, much of it from service contracts with the U.S. military.

The board of directors of Halliburton includes well-known former and active senior executives from the energy giants Chevron Corp., Hunt Oil Co., Phillips Petroleum Co., and Southern California Gas Co. Robert L Crandall, chairman emeritus of American Airlines and AMR Corp. has been on the board since 1986.

Assistant Secretary of State Richard Armitage worked as a consultant to Halliburton before his present job.

On “Meet the Press” on Sept. 14, Cheney said: “I have no financial interest in Halliburton of any kind and haven’t had, now, for over three years.” Cheney, however, continues to receive a large deferred salary of more than $160,000 a year from Halliburton. Cheney also holds 433,333 in unexercised Halliburton stock options.

Cheney bought an insurance policy for $15,000 before he was sworn in as vice president to protect this income if Halliburton were to go out of business, according to CNN. In 2001, Cheney received $205,298, and in 2002, another $162,393, in deferred salary payments from Halliburton.

Sens. Thomas Daschle (D-S.D.) and Frank Lautenberg (D-N.J.) say the revelations of Cheney’s financial interest in Halliburton and the no-bid contracts Halliburton has received from the Bush administration should be investigated.

“In 2001 and 2002, Cheney was paid almost as much in salary from Halliburton as he made as vice president,” Lautenberg said.

“The vice president needs to explain how he reconciles the claim that he has ‘no financial interest in Halliburton of any kind,’ with the hundreds of thousands of dollars in deferred salary payments he receives from Halliburton,” Daschle said in a statement.

On Sept. 16, Reps. Henry Waxman (D-Cal.) and John Dingell (D-Mich.) asked the General Accounting Office (GAO) to look into contracts awarded to Halliburton and its subsidiaries during the past two years.

KBR began providing services at U.S. military bases in 1992 after the Pentagon, under Cheney’s direction, paid the company nearly $9 million to produce a classified report on how private companies could help American troops. The same year, KBR won its first five-year logistical contract from the Army Corps of Engineers to provide services to the U.S. military in the Balkans and elsewhere.

CorpWatch reported that KBR’s Balkan operations had been the most profitable part of the company prior to the current U.S. war against Iraq. KBR has made more than $2.2 billion from its Balkan contract to provide a host of services for the U.S. military, according to the GAO.

In March 2003, Halliburton received a contract, without open bidding, from the Army Corps of Engineers (ACE) to repair and restore Iraq’s oil fields. The cost of this contract to taxpayers is about $1 billion, according to the ACE. Reuters reported that KBR has “racked up over $1 billion in expenses in Iraq, according to the U.S. Army Field Support Command.”

A February 1997 study by the GAO found that KBR overcharged the government $462.5 million for an operation it said would cost $191.6 million when presented to Congress in 1996.

In February 2002, KBR paid $2 million to settle a lawsuit with the Justice Department which alleged that the company had defrauded the government during its work in the closure of Fort Ord in Monterey, Calif.

Dammen Gant Campbell, a former contracts manager for KBR, turned whistle-blower and revealed “that between 1994 and 1998 the company had fraudulently inflated project costs by misrepresenting the quantities, quality and types of materials required for 224 projects,” CorpWatch reported.

“This is a company which has more experience with insider dealing and corruption than with efficiency,” Bill Hartung of the World Policy Institute said about KBR.

“During the Second World War, there was a Senate committee on war profiteering,” Hartung said, “I think we should set it up again and investigate Kellogg, Brown & Root.”

“The Bush-Cheney team have turned the United States into a family business,” Harvey Wasserman, author of The Last Energy War, said about the KBR contracts with the military. “That’s why we haven’t seen Cheney—he’s cutting deals with his old buddies who gave him a multi-million dollar golden handshake.”