A stunning tolerance for corruption in Iraqi reconstruction aid

Occasionally, I think I can no longer be surprised. Stories like this one in the Wall Street Journal prove me wrong.

The Senate last week approved $109 billion in additional spending for the wars in [tag]Iraq[/tag] and [tag]Afghanistan[/tag], including $1.5 billion in added Iraq [tag]reconstruction[/tag] money. The administration has spent $20.9 billion to reconstruct Iraq’s infrastructure and modernize its oil industry, but the effort hasn’t restored the country’s electricity output, water supply or sewage capabilities to prewar levels.

A behind-the-scenes battle among legislators has made a crucial distinction between the new reconstruction money and that already spent: The new funds won’t be overseen by the government watchdog charged with curbing the mismanagement that has overshadowed the reconstruction.

The administration’s main vehicle for rebuilding Iraq has, in the past, been designated “Relief and Reconstruction” funds, which by law are overseen by a special inspector general, [tag]Stuart Bowen[/tag]. The new money going toward similar reconstruction goals will be classified as coming from “Foreign Operations” accounts. The State Department is responsible for spending both pools of money.

Here’s the deal: Stuart Bowen has led the office of the Special Inspector General for Iraq Reconstruction. When the White House tapped Bowen for the job in January 2004, Bush critics were deeply disappointed — Bowen was widely recognized as a close Bush ally, so few expected him to be thorough and aggressive.

The critics were wrong. Bowen has not only taken his job as inspector general seriously, he’s been the leading figure in exposing fraud and corruption. The Wall Street Journal reported in July that Bowen “has become one of the most prominent and credible critics of how the administration has handled the occupation of Iraq,” and considering his record, it’s a more-than-fair description. The guy even took on Halliburton.

So, what do Republicans do in response? They quietly make it easier for corruption to take place by going [tag]around[/tag] Bowen.

By law, Mr. Bowen can oversee only relief and reconstruction funds. Because the new money technically comes from a different source, Mr. Bowen, who has 55 auditors on the ground in Iraq, will be barred from overseeing how the new money is spent. Instead, the funds will be overseen by the State Department’s inspector general office, which has a much smaller staff in Iraq and warned in testimony to Congress in the fall that it lacked the resources to continue oversight activities in Iraq.

Wait, the story gets even better.

Now that the secret change that allows more corruption has come to light, everyone’s asking how and why this measure was included in the Pentagon spending bill.

In fact, the WSJ reported today that a group of senators, upon learning about the provision that would circumvent Bowen, offered an amendment that would have kept his oversight duties in place. For reasons that are not altogether clear, sponsors of the amendment were denied the chance to bring their measure to the floor for a vote.

So, who wanted the change? Who else? “Republican Appropriations Committee aides say legislators shifted the Iraq money to the foreign operations accounts at the request of the White House,” the WSJ reported. The White House says it simply did this for budgetary purposes and to help “streamline accounting.” The fact that the move cuts off the most effective auditor in Iraq at the knees, the Bush gang says, is a coincidence.

As Sen. Patrick Leahy (D-Vt.) put it, “This is nothing more than a transparent attempt to shut down the only effective oversight of this massive reconstruction program which has been plagued by mismanagement and fraud.”

“Dog bites man, story at 11:00”

  • Sorry, but “White House” won’t cut it. We all know this is the work of Cheney and his peckerwoods.

  • Kleptocracy … for a modern day example, see the administration of George W. Bush; a 20th century example is also known as a “banana republic.”

  • These crook’s are stealing ” our money ” They deserve to be treated like criminal’s and sent to prison. Forever!

  • That’s okay. Anybody else see the story yesterday in the NYT where an aid worker was murdered, then a couple hundred thousand dollars which she had been given by the reconstruction authorities mysteriously disappeared? I put nothing past these crooks. Hell, at least Stalin and Hitler were pretty darn honest about the crimes they were committing.

  • And don’t forget that the Daily Mirror is reporting that 200,000 AK-47s may have gone to Al Qaeda instead of the Iraqi government because of corrupt contractors. Oversight, begone!

  • That’s why it is correct to refer to the Regal Moron’s gang as the Bush Crime Family. The difference between the BCF and other crime families is that the latter made their money by investing their muscle and capital in high interest loans, illegal drugs and prostitution, while the BCF makes its money on the backs of US armed forces’ deaths, injuries and psychological damage, all paid for by the suckers otherwise known as the US electorate, who are too dazzled from staring at their TeeVees to even notice they”re being had (sort of like PTL 700 club members).

  • Kinda makes you want to just stop paying your taxes, doesn’t it? These criminals are just going to steal it all anyway. And to add insult to injury, they’ll leave us with a huge credit card bill on top of it.

    (Before the Bush administration took power, I never felt that way about paying taxes. Now I feel like “why should I fork it over to these bastards?”)

  • The difference between the BCF and other crime families is that the latter made their money by investing their muscle and capital in high interest loans, illegal drugs and prostitution,

    Ed, you sell the BCF short!!

    Give the Dukestir and Abramoff investigations a little more time, and I’m sure we’ll see loansharking, drugs and prostitution added to the rap sheet.

  • If there’s one person the Bush administration does not want overseeing wasteful spending habits, its the current I.G. of the State Department.

  • Reading this post made me wonder if there has been a reduction in the number of cases of low blood pressure in this country.

    Logically, that would have to be true. It’s not possible to read a post like this and not feel a spike in blood pressure.

    Someone should do a study. It would be one positive thing that Bush could take credit for – historic lows in the number of cases of low blood pressure.

  • Anybody else see the story yesterday in the NYT where an aid worker was murdered, then a couple hundred thousand dollars which she had been given by the reconstruction authorities mysteriously disappeared?

    That case is a micro-sized model of the entire Iraq debacle, where tens of thousands of people have been murdered and billions are unaccounted for (not to mention billions and billions more wasted).

  • Fubar wrote: Kinda makes you want to just stop paying your taxes, doesn’t it?

    This is actually a very serious observation. At bottom, the US tax system is based on voluntary compliance. As taxpayer confidence in the honesty of the system diminishes, non-compliance becomes an increasing problem. Worst president ever. Sounds about right to me.

  • The day “we” get rid of GWBush, all evil will disappear and the world will be a perfect place. Such one dimensional thinking will solve nothing.

  • =======

    The day “we” get rid of GWBush, all evil will disappear and the world will be a perfect place. Such one dimensional thinking will solve nothing.

    Comment by ounceoflogic — 5/11/2006 @ 9:03 am

    =======

    You’re right, that kind of one dimensional thinking is pretty useless, so let’s be honest. The day we get rid of gwBush, one source of some of America’s most serious problems will be diminished, and the world will be greatly improved.

  • Actually, to say this sort of thing (corruption, payouts to supporters) is “tolerated” is misleading.

    It was part of the plan from the start.

  • to letsbehonest:

    The day “we” get rid of GWBush, all evil will disappear and the world will be a perfect place. Such one dimensional thinking will solve nothing.

    Comment by ounceoflogic — 5/11/2006 @ 9:03 am

    =======

    You’re right, that kind of one dimensional thinking is pretty useless, so let’s be honest. The day we get rid of gwBush, one source of some of America’s most serious problems will be diminished, and the world will be greatly improved.

    Comment by Let’sBeHonest — 5/11/2006 @ 12:33 pm
    =======
    First question: by whom?

    Nancy Pelosi? Al Gore? Hillary? George Clooney? or are you, like one of my liberal friends, committed to “anyone but Bush”?

    I assume the same could be said about having gotten rid of Saddaam – on a much smaller scale of course – as everyone knows he was far less evil and dangerous.

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  • With regards to rebuilding the electrical power infrastructure, various contractors have built lasting relationships with Iraqi firms who had very little transmission line or substation experience before the 2003 conflict since prior to that the private sector hardly existed. These contractors have partnered with several Iraqi companies, established training schools and have sent their staff to manufacturers facilities for equipment specific training. In the areas where these contractors operate that must know that their success is entirely linked to close relationships with companies and leaders who are local.

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