In the news...

January 27, 2014

U.S. sues KBR in connection with Army work in Iraq

The federal government is suing Kellogg, Brown & Root Services Inc., charging that the defense contractor submitted false claims and took kickbacks in connection to a U.S. Army contract in Iraq.

The government alleges that KBR employees took kickbacks from two Kuwaiti companies that it hired as subcontractors in 2003 and 2004, then filed claims for reimbursement for inflated costs.

The Justice Department said Jan. 23 that it filed the lawsuit in federal court in Illinois.

Houston-based KBR said it could not comment on the lawsuit Jan. 23 because it had just been filed.
KBR had a contract to provide transportation, maintenance, food, shelter and other services to support the Army in Iraq, and it used local subcontractors to perform some of the work.

In the civil lawsuit, the government charged that KBR employees took kickbacks from La Nouvelle General Trading & Contracting Co. and First Kuwaiti Trading Co. for the award and oversight of subcontracts, then filed false reimbursement claims.

In one case, the government said, KBR inflated the value of fuel tankers provided by La Nouvelle, which later gave the KBR employee who awarded the subcontract $1 million. In another, officials said, KBR continued to make monthly lease payments to First Kuwaiti for trucks that KBR had already returned to the subcontractor.

KBR also used refrigerated trailers to transport ice for consumption by troops that had been used as temporary morgues but hadn’t been first sanitized, the lawsuit alleges.

The government is asking for civil penalties against KBR and the two Kuwaiti companies up to twice the amount of the alleged kickbacks and several times the amount of the false claims.

The Justice Department said that federal prosecutors in Illinois have won convictions against 10 companies and individuals in connection with contracts in Iraq, including three KBR subcontract managers who admitted taking kickbacks or making false statements.

Some allegations in the government’s lawsuit were first raised in a lawsuit filed in Houston by a whistleblower. That case was transferred to U.S. District Court in Rock Island, Illinois, where the Pentagon office handling the Iraq contract is based. AP




All of this week's top headlines to your email every Friday.


 
 

 

Headlines September 17, 2014

News: Pentagon open to U.S. ground troops in fight against Islamic State - The Pentagon’s top general opened the door Sept. 16 to the possibility that U.S. combat troops would be needed in Iraq, as he publicly laid out President Obama’s still-developing plans to combat Islamic State insurgents through U.S. air power and relying on an...
 
 

News Briefs September 17, 2014

U.S. to assign 3,000 troops to fight Ebola The Obama administration is preparing to assign 3,000 U.S. military personnel to West Africa to combat the Ebola outbreak that has overwhelmed local health care systems and drawn appeals for help from the region and aid organizations. The troops will supply medical and logistical support and boost...
 
 
Navy photograph

Future USNS Fall River delivered

Navy photograph The joint high speed vessel USNS Fall River (JHSV 4) completes acceptance trials testing and evaluations in the Gulf of Mexico. The ship’s trials included dockside testing to clear the ship for sea and at-...
 

 
University of Alaska-Fairbanks photograph by Chris Larsen

NASA airborne campaigns focus on climate impacts in Arctic

University of Alaska-Fairbanks photograph by Chris Larsen Changes in more than 130 Alaskan glaciers are being surveyed by scientists at the University of Alaska-Fairbanks in a DHC-3 Otter as part of NASA’s multi-year Oper...
 
 
Air Force photograph by Michael J. Pausic

Future of NATO: Adapting to a new security environment

Air Force photograph by Michael J. Pausic Gen. Phillip Breedlove informs the assembled crowd about the results of the recent NATO Summit and the areas of instability that affect Europe that have regional implications. Seated in...
 
 
Image courtesy of NASA/CXC/M. Weiss

NASA’s Chandra X-ray Observatory finds planet that makes star act deceptively old

Image courtesy of NASA/CXC/M. Weiss A new study from NASA’s Chandra X-ray Observatory shows that a giant exoplanet, WASP-18b, is making the star that it orbits very closely act much older than it actually is. This artist&...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>