In October I posted the Senate Armed Services Committee report that slammed a couple of companies in Afghanistan. The thing is like a hit list now, and the US government is doing a follow up by banning or investigating these companies further. I am sure there will be more to come. –Matt
Edit: 12/10/2010 Found some more stuff, and this is dealing with the raid on EODT. Check it out.
Monitor reveals reason for EOD Technology raid
By Josh FloryDecember 9, 2010
A federal watchdog indicated Thursday that this week’s raid on a local defense contractor is aimed at bringing accountability to those who have tried to take advantage of the situation in Iraq.
Stuart Bowen is the special inspector general for Iraq reconstruction, a position created by Congress in 2004 to provide accountability for the use of funds for Iraq relief and reconstruction. In an interview Thursday, Bowen said his office has more than 100 ongoing cases, including a case related to Wednesday’s raid on Lenoir City contractor EOD Technology.
The IG said most of the cases are executed through task forces, such as the one that participated in the Wednesday raid. He added that the U.S. Army’s criminal investigation division ‘played a major role’ in getting that case put together. Bowen, a graduate of the University of the South, said his agency also works closely with the Defense Criminal Investigative Service, which is an arm of the Defense Department’s Office of Inspector General.
‘This is not the first, and it won’t be the last, time that we work with those agencies … as well as (Immigration and Customs Enforcement) to hold accountable those who have taken advantage of the chaotic situation in Iraq for their criminal, personal benefit,’ said Bowen.
Asked if that’s what he believes happened in the case of EODT, Bowen replied, ‘Yes, that is why the search was carried out.’
In a statement issued Wednesday, EODT officials said they didn’t know of anything that could have triggered the raid. ‘We obviously would not have been selected for some of the sensitive and important projects we handle for our country around the world had we not been thoroughly investigated before and found to be trustworthy,’ the statement said……
Read the rest here.
U.S. bans contractor from further aid programs
US blacklists Afghan security firm tied to Karzai
Homeland Security, ICE agents raid EOD Technology in Lenoir City
U.S. bans contractor from further aid programs
By Ken Dilanian
December 8, 2010
The U.S. government Wednesday took the unusual step of banning an American firm from being awarded new federal contracts due to evidence of “serious corporate misconduct” uncovered in an investigation of the company’s work on aid programs in Pakistan and Afghanistan.The move by the U.S. Agency for International Development, or USAID, to suspend the Academy for Educational Development, or AED, a Washington-based nonprofit corporation that does extensive federal contracting, highlights longstanding concerns about the way the United States delivers foreign aid through a network of American contractors that some critics deride as “Beltway Bandits.”AED has 65 contracts and grant agreements with USAID worth $640 million, according to agency spokesman Lars Anderson.The suspension prevents AED from winning new contracts with any federal agency, Anderson said. USAID is now examining whether to seek debarment of the company, a step which would mean the loss of all its federal contracts.USAID’s inspector general declined to release details of the alleged wrongdoing by AED, citing an ongoing investigation. But in a recently published report to Congress, the office noted that USAID “terminated a 5-year, $150 million cooperative agreement after [investigators] found evidence of fraud” relating to the purchase of household kits obtained by AED in Pakistan’s tribal areas.The investigation revealed evidence of collusion between vendors and AED, resulting in overpayment for certain goods, the report said. The investigation also discovered that AED had inappropriately hired relatives of a person hired by USAID to oversee the program.