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.Democrats ask Pentagon to probe Iraq oil imports
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.
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.From the Left:
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.
SouthKnoxBubba __ another Mission Accomplished and the must read GOP Bizarro World Politics
Skippy the Bush Kangaroo ___ the CGI President and Culture Clashing with the Facts
Ruminate This ___ AARP; Just Another Insurance Agency and Another Vain and Vindictive Run
Damage: Global Warming Catastrophe - New Evidence
We support Damage in this week's new blog showcase. Read the entry above and while you are there check the archives.
More required reading: The False Hero The Mahablog





League of Liberals member
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.
Dr. PZ Myers of pharyngula is new League of Liberals member 5 in the past 6 hours.







