Wednesday, October 13, 2010

Mystery Merc Group Is Blackwater’s 34th Front Company [Updated]


UPDATE: If International Development Solutions, a mysterious firm partially owned by Blackwater, has its own independent office, it’s hard to find. A business recordssearch co-locates one of the jackpot winners of a State Department contract worth up to $10 million with Kaseman LLC, the well-connected private security security firm that partnered with Blackwater arm U.S. Training Center to win the contract.

That would suggest International Development Solutions — a company few industry experts have heard of, sporting a generic, Google-resistant name — is yet another front group the company set up to win government contracts while concealing its tainted brand. More of a mystery is why the State Department let the company get away with it. Again.

An earlier version of this story reported on the results of a different business records search that turned up a listing for the company in a residential neighborhood of Washington DC. But since it’s more likely that the firm be headquarted in Virginia with Kaseman — who didn’t return phone calls for this story, like Blackwater — I’m removing information on that house, along with an image of it, and hereby issue a full and frank apology to its owner; IDS; Kaseman; Blackwater/U.S. Training Center; and you, the reader; and a shout-out goes to Scrarcher in comments for calling me out on this.

A months-long investigation by the Senate Armed Services Committee earlier this year found that the Army and Raytheon awarded a multi-million dollar subcontract to a firm called Paravant for the training of Afghan troops. Paravant claimed to have “years” of experience performing such work. As it turned out, Paravant didn’t really exist. “Paravant had never performed any services and was simply a shell company established to avoid what one former Blackwater executive called the ‘baggage’ associated with the Blackwater name as the company pursued government business,” committee chairman Carl Levin said in March.

If you like Paravant, you’ll love International Development Solutions. Very few people seem to be familiar with it. Hill sources didn’t know what it was. Both critics of and advocates for the private-security industry were just as baffled. “I’ve never heard of IDS,” confesses Nick Schwellenbach, director of investigations for the Project on Government Oversight, in a typical comment.

All of a sudden, though, International Development Solutions is a major player in the private-security field. Last week, Danger Room broke the story of the State Department including it in an eight-company consortium of merc firms, including industry giants like DynCorp, that will hold its elite contract for protecting diplomats and embassies: the Worldwide Protective Services contract. The official announcement of the award gives absolutely no indication that International Development Solutions is tied to Blackwater; State only disclosed that fact after Danger Room pressed it.

Diligent work by the Senate Armed Services Committee determined a web of names under which Blackwater — renamed Xe last year — did business to avoid such baggage. Among them (deep breath): Total Intelligence Solutions; Technical Defense Inc.; Apex Management Solutions LLC; Aviation Worldwide Services LLC; Air Quest Inc.; Presidential Airways Inc.; EP Aviation LLC; Backup Training LLC; Terrorism Research Center, Inc. All in all, the committee found 33 aliases. International Development Solutions appears to be number 34.

Those other spinoffs are generally up front about the services they offer. Aviation Worldwide Services, for instance, is now part of AAR Corp, which provides cargo services and “specialized aircraft modifications” to the military. Total Intelligence Solutions does threat analysis for corporate clients doing business in dicey parts of the world. Its subsidiary, Terrorism Research Center Inc., offers clients classes in DIY counterterrorism and threat prevention. (A forthcoming module: “How to Identify a Terrorist Cell in Your Jurisdiction.”) By contrast, International Development Solutions doesn’t have much of an online profile.

The Washington Post’s Jeff Stein provided a clue as to how the newcomer might have gotten a foot into the door for the Worldwide Protective Services contract. The board of Kaseman, Blackwater’s partner on the venture, is filled with former State Department, CIA and military notables: State’s one-time anti-terrorism chief Henry Crumpton; former CIA Director Michael Hayden; and retired General Anthony Zinni, to name a few. (The CIA and Blackwater have a looooong history.)

Blackwater has a lot it might reasonably wish to obscure. To wit: High-profile shootings of civilians in Iraq and Afghanistan; murder trials; allegations of steroid and cocaine abuse; improper removal of weapons from U.S. weapons depots using the name of a South Park character.

The big question is why the State Department is continuing to do business with this oh-so-classy-group. In the past, government contracting officials have explained that they can’t stop any company that hasn’t been de-certified from federal bidding from seeking contracts. Blackwater, despite everything, somehow has retained its certification.

But that doesn’t explain why State awarded the contract to the Blackwater-tied company. State has always taken notice of the fact that Blackwater has never lost a single diplomat it’s protected. But that sends the implicit message that State considers foreign lives less valuable than American ones — a problematic one for a diplomatic entity to send. The new Worldwide Protective Services contract was, among other things, an opportunity for State to break from the company that caused an international debacle when its guards killed 17 Iraqi civilians in Baghdad in 2007. State stood by Blackwater — or at least a company that didn’t want the public to know it was Blackwater.

For years, numerous internal reviews and external watchdogs have criticized State for weak oversight over its security contractors — or worse. In March, the New York Times reported that the department’s oversight officials “sought to block any serious investigation” of Nisour Square. After discovering that State failed to correct years’ worth of security violations from the company hired to protect the U.S. Embassy in Kabul, the Project on Government Oversight’s executive director, Danielle Brian, testified last year that the department is “incapable of properly handling a contract.” A former State security official told Mother Jones that a “bigtime revolving door” between the department and the contractors accounts for State’s blase attitude.

“The State Department has supported the Department of Justice investigation and prosecution of this case every step of the way,” reads an official answer the State Department provided when Danger Room asked why it did. “We fully respect the independence and integrity of the U.S. judicial system, and we support holding legally accountable any contractor personnel who have committed crimes.”

But that’s not a substantive answer. What experience does International Development Solutions have with providing security for diplomats in war zones? What makes this unknown company more qualified than at least four other established firms that didn’t win part of Worldwide Protective Services? What sort of due diligence did State perform to ensure that International Development Solutions isn’t another Paravant? [UPDATE] State has yet to address any of those questions.

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