Pentagon Withholds Up to $300 Million Due Halliburton, Possible Overcharge

[TacticalPeek]

Mar 17, 2004

Pentagon to Withhold Up to $300 Million From Halliburton Because of
Possible Overcharging

By Matt Kelley
Associated Press Writer

WASHINGTON (AP) - The Pentagon plans to withhold about $300 million in payments to Halliburton Co. because of possible overcharging for meals served to troops in Iraq and Kuwait, defense officials said Wednesday.

Starting next month, the Defense Department will begin withholding 15 percent of the money paid to Vice President Dick Cheney's former company on a multibillion-dollar contract to provide services such as food, housing, laundry and mail to American forces in Iraq.

Halliburton spokeswoman Wendy Hall said the company disagreed with the decision and hoped to persuade the Pentagon to drop its plans. If the Defense Department does withhold the money, Halliburton will in turn withhold 15 percent of its payments to its subcontractors, Hall said.

The withholding won't affect Halliburton's bottom line, Hall said. Company executives told Wall Street analysts last week the company was taking in about $1 billion a month from its operations in Iraq. The company has set aside $141 million to settle the overcharging allegations and already has repaid about $36 million.


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http://ap.tbo.com/ap/breaking/MGA6KWUZXRD.html

[jpak]

1. This is what happens when you let no-bid contracts

to your political cronies.

The Chimp will hold no one accountable...

The taxpayers get screwed and the troops don't get what they need.

[Ravy]

2. One billion a month from it's Iraq operations....

... Cheney should be getting a raise soon.

[kingdom cum]

3. gotta give it to HBurton though

Somebody is making some serious cash!

[The Backlash Cometh]

4. Contractors have their own way of getting even.

But it also makes me wonder, if contractors are doing all the work in Iraq, is Halliburton another empty shell like Enron?