By Dan Kenney
Co-coordinator of
No Private Armies
March 5, 2011
The Bipartisan Congressional commission on Wartime Contracting in Iraq and Afghanistan came out with their second Interim Report to Congress on February 24th. This report dispels any doubts about whether privatization is costing taxpayers too much. The Federal reliance on contractors is not only costing too much but billions are being lost to fraud and waste. The report proves that the unprecedented outsourcing that has occurred in these wars needs to be stopped. The “Commission believes the United States has come to over-rely on contractors.â€
The Commission’s conservative estimate is that since October 2001 at least $177 billion has been spent on private contracts and grants to support U.S. operations in Iraq and Afghanistan. This is equivalent to $407,000,000 per Congressional district or $1,505 per U.S. household. Of that misspent amounts run in the tens of billions.
The Special Inspector General for Afghanistan Reconstruction (SIGAR) warned the Commission in January of this year that the entire $11.4 billion for contracts to build nearly 900 facilities for the Afghan National Security Forces is at risk due to inadequate planning. This estimate does not include the waste that has resulted from Afghanistan‘s inability to sustain projects.
In addition to waste there is also the issue of fraud. According to the Association of Fraud Examiners an estimated 7% of revenue is lost to fraud, or $12 billion. Many observers also believe that waste accounts for substantially greater sums than the fraud and abuse.
The Commission conducted more than 900 meetings and briefings, along with a series of trips to Afghanistan and Iraq, and over 19 Commission hearings. After their research they have developed over 30 recommendations for congress and the Obama Administration.
The Obama Administration has been just as silent as the previous administration on this issue privatization. In March of 2009 Obama issued a memo on government contracting in which he stated:
“The Federal Government must have sufficient capacity
to manage and oversee the contracting process from start
to finish, so as to ensure that taxpayer funds are spent wisely
and are not subject to excessive risk.â€
The Obama administration failure to act on this memo however is made evident in a statement made by the Special Inspector General of Afghanistan Reconstruction. Major General Arnold Fields told the Commission in a hearing entitled “Recurring Problems in Afghan Construction†January 24th 2011, “We don’t have enough trained folks within the federal establishment to provide the oversight of the very contractors we are brining on board.†When government agencies lack experienced and qualified workers to provide oversight, the potential for waste, fraud, and abuse in contract performances increases exponentially. In some cases contractors are hired to perform the oversight of other contractors for the federal agencies. To this fact the Commission stated, “The Commission firmly believes that contractors need to be managed by military and government civilian personnel. Anything less is unacceptable.â€
During the same January 2011 hearing Secretary of Defense Gates expressed his own concern for the government’s “level of dependency†on contractors.
“Although there is historical precedent for contracted support to our military forces, I am concerned about the risks introduced by our current level of dependency, our future total force mix, and the need to better plan for { operational contract support} in the future. . . The time is now-while the lessons learned from recent operations are fresh- to institutionalize the changes necessary to influence a cultural shift.â€
The issue of accountability is also covered in the report. The report states, “A serious concern with relying on armed security contractors is a potential gap in legal accountability.†This “legal gray zone†in which these private military contractors operate can lead to diplomatic conflicts with the host nations. Iraq, Afghanistan, and Pakistan governments have all demanded private military companies to leave their countries. But this demand has not been met for the very dependency we have touched on earlier. As a nation the U.S. can not operate in Central Asia or any where else without the support of private companies. These present wars have become the most privatized wars in America’s history. We have moved into new territory and the Commission’s report makes it clear that this has been done haphazardly with great consequence to human life and taxpayer money.
Whether Congress listens to the Commission’s findings is yet to be seen. The report was ignored, coming out during the budget battle, although the connection between the Nation’s deficit and a war that is costing $700 million per week and nearly 50% of that amount going into contracts with over 600 companies operating in these war zones. And now we have the evidence to show that tens of billions of that money is being wasted or stolen. Also at this time of growing attacks on unions, workers, and the middle class in this country under the guise of budget deficits, it seems to be the most responsible choice to draw parallels between this wasting and thievery of public funds by private war profiteers and mercenaries.
In its conclusion the Commission said, “If, on the other hand, the federal government cannot muster the resources and the will to strategically employ, manage, and oversee mission-critical contractors effectively, then it should reconsider using contractors, or reconsider the scope of its mission with a view to trimming them.â€
Now that we have a majority in Congress that is dedicated to the Market solving all problems, and seemingly bent on breaking government down to a postage stamp size capabilities of real oversight, than it seems time for the citizens to call for the passing of the S.O.S. Act. The S.O.S. Act is the Stop Outsourcing Security Act, H.R. 4650, introduced by Rep. Jan Schakowsky D-IL and into the Senate by Mr. Sanders, I-VT.
The S.O.S. Act calls for the U.S. to phase out use of private military contractors. It seems that given the lack of will in Congress and in this administration to take oversight of these contractors seriously, we should end our use of them. This will be a difficult task given the present climate; it will require a great outpouring of citizen support to make such a cultural change within the Department of Defense, the State Department, and within the intelligence community. (75% of the intelligence agencies activities are performed by private contractors.)
If the resolve and will of the government is missing than this policy change must come from the people. It is after all, our money, the lives of our loved ones, and the future of our nation at risk.
Sunday, March 6, 2011
Wednesday, March 2, 2011
Pakistan arrests US security contractor as rift with CIA deepens
ISI tells American agency to unmask all its covert operatives after arrest of Aaron DeHaven in Peshawar, over visa expiry
Pakistani authorities have arrested a US government security contractor amid a worsening spy agency row between the countries, with Pakistani intelligence calling on the Americans to "come clean" about its network of covert operatives in the country.
The arrest came at the start of the murder trial of another American held in Pakistan, the CIA agent Raymond Davis.
Peshawar police arrested Aaron DeHaven, a contractor who recently worked for the US embassy in Islamabad, saying that his visa had expired.
Little was known about DeHaven except that his firm, which also has offices in Afghanistan and Dubai, is staffed by retired US military and defence personnel who boast of direct experience in the "global war on terror".
It was unclear whether his arrest was linked to escalating tensions between the Inter-Services Intelligence and the CIA, triggered by the trial of Davis, who appeared in handcuffs at a brief court hearing in a Lahore jail.
The 36-year-old former special forces soldier, whose status as a spy was revealed by the Guardian, refused to sign a chargesheet presented to him by the prosecution, which says he murdered two men at a traffic junction on January 27.
Davis instead repeated his claim of diplomatic immunity – a claim supported by President Barack Obama, who called him "our diplomat".
The press and public were excluded from the hearing in Kot Lakhpat jail, where Pakistani officials have taken unusual measures to ensure Davis's security amid a public clamour for his execution.
The furore has also triggered the most serious crisis between the ISI and the CIA since the 9/11 attacks. A senior ISI official told the Guardian that the CIA must "ensure there are no more Raymond Davises or his ilk" if it is to repair the tattered relationship of trust.
"They need to come clean, tell us who they are and what they are doing. They need to stop doing things behind our back," he said. There are "two or three score" covert US operatives roaming Pakistan, "if not more", he said.
CIA spokesman George Little said that agency ties to the ISI "have been strong over the years, and when there are issues to sort out, we work through them. That's the sign of a healthy partnership".
Pakistani civilian officials warned that the ISI was amplifying fallout from the Davis crisis through selective media leaks to win concessions from the US.
"They're playing the media; in private they're much more deferential to the Americans," said a senior government official, who added that the two agencies had weathered previous disagreements in private.
The crisis has sucked in the military top brass from both countries. On Tuesday, a Pakistani delegation led by General Ashfaq Kayani met US generals, led by Admiral Mike Mullen, at a luxury resort in Oman to hammer out the issues.
The US stressed that it "did not want the US-Pakistan relationship to go into a freefall under media and domestic pressures", according to an account of the meeting obtained by Foreign Policy magazine.
The ISI official agreed that future co-operation was vital. "They need us; we need them," he said. "But we need to move forward in the right direction, based on equality and respect."
The media furore over Davis has fuelled scrutiny of other American security officials in Pakistan and their visa arrangements, and may have led police to Aaron DeHaven in Peshawar on Friday.
DeHaven runs a company named Catalyst Services which, according to its website, is staffed by retired military and defence department personnel who have "played some role in major world events" including the collapse of the Soviet Union, the military mission to Somalia and the "global war on terror". Services offered include "full-service secure residences", protective surveillance and armed security.
One prospective customer who met DeHaven last year described him as a small, slightly-built man, who wore glasses and had broad knowledge of Pakistani politics. DeHaven said he had lived in Kandahar, Afghanistan, for one year, had married a Pakistani woman along the border with Afghanistan, and spoke Pashto fluently.
He said he moved his base from Peshawar to Islamabad last year over suspicions that he worked for Blackwater, the controversial US military contracting firm.
His business partner is listed on company documents as Hunter Obrikat with an address in Charlotte, North Carolina. The Guardian was unable to contact either men at listed numbers in Pakistan, Afghanistan, the US and Dubai.
US embassy spokeswoman Courtney Beale said DeHaven was "not a direct employee of the US government" but added that details could not be confirmed until a consular officer had met him. The arrest is another sign of brittle relations between the two countries.
US officials in Washington argue that Davis is a registered diplomat who should be immediately released under the provisions of the Vienna convention. But that plea has fallen on deaf ears in Pakistan, where the papers have been filled with lurid accounts of the spy's alleged activities, including unlikely accounts of him working with the Taliban and al-Qaida.
The US has also struck some blows in the covert public relations war. After a lull of three weeks, the CIA restarted its drone campaign in the tribal belt last Monday, with near-daily attacks on militant targets since then. "It's their way of showing who's in charge," said a senior Pakistani official.
And at the Oman meeting, Mullen warned Kayani he would apply "other levers" to the Pakistanis if a solution to the case was not found, the official added.
Since Davis's CIA status was revealed, US officials have told Pakistani officials that their best hope is in offering compensation to the families of the two men Davis shot in Lahore. Religious parties, however, have pressured relatives not to accept money.
Meanwhile, the Zardari government says it will settle the issue of Davis's diplomatic status at a court hearing scheduled for 14 March.
Pakistani authorities have arrested a US government security contractor amid a worsening spy agency row between the countries, with Pakistani intelligence calling on the Americans to "come clean" about its network of covert operatives in the country.
The arrest came at the start of the murder trial of another American held in Pakistan, the CIA agent Raymond Davis.
Peshawar police arrested Aaron DeHaven, a contractor who recently worked for the US embassy in Islamabad, saying that his visa had expired.
Little was known about DeHaven except that his firm, which also has offices in Afghanistan and Dubai, is staffed by retired US military and defence personnel who boast of direct experience in the "global war on terror".
It was unclear whether his arrest was linked to escalating tensions between the Inter-Services Intelligence and the CIA, triggered by the trial of Davis, who appeared in handcuffs at a brief court hearing in a Lahore jail.
The 36-year-old former special forces soldier, whose status as a spy was revealed by the Guardian, refused to sign a chargesheet presented to him by the prosecution, which says he murdered two men at a traffic junction on January 27.
Davis instead repeated his claim of diplomatic immunity – a claim supported by President Barack Obama, who called him "our diplomat".
The press and public were excluded from the hearing in Kot Lakhpat jail, where Pakistani officials have taken unusual measures to ensure Davis's security amid a public clamour for his execution.
The furore has also triggered the most serious crisis between the ISI and the CIA since the 9/11 attacks. A senior ISI official told the Guardian that the CIA must "ensure there are no more Raymond Davises or his ilk" if it is to repair the tattered relationship of trust.
"They need to come clean, tell us who they are and what they are doing. They need to stop doing things behind our back," he said. There are "two or three score" covert US operatives roaming Pakistan, "if not more", he said.
CIA spokesman George Little said that agency ties to the ISI "have been strong over the years, and when there are issues to sort out, we work through them. That's the sign of a healthy partnership".
Pakistani civilian officials warned that the ISI was amplifying fallout from the Davis crisis through selective media leaks to win concessions from the US.
"They're playing the media; in private they're much more deferential to the Americans," said a senior government official, who added that the two agencies had weathered previous disagreements in private.
The crisis has sucked in the military top brass from both countries. On Tuesday, a Pakistani delegation led by General Ashfaq Kayani met US generals, led by Admiral Mike Mullen, at a luxury resort in Oman to hammer out the issues.
The US stressed that it "did not want the US-Pakistan relationship to go into a freefall under media and domestic pressures", according to an account of the meeting obtained by Foreign Policy magazine.
The ISI official agreed that future co-operation was vital. "They need us; we need them," he said. "But we need to move forward in the right direction, based on equality and respect."
The media furore over Davis has fuelled scrutiny of other American security officials in Pakistan and their visa arrangements, and may have led police to Aaron DeHaven in Peshawar on Friday.
DeHaven runs a company named Catalyst Services which, according to its website, is staffed by retired military and defence department personnel who have "played some role in major world events" including the collapse of the Soviet Union, the military mission to Somalia and the "global war on terror". Services offered include "full-service secure residences", protective surveillance and armed security.
One prospective customer who met DeHaven last year described him as a small, slightly-built man, who wore glasses and had broad knowledge of Pakistani politics. DeHaven said he had lived in Kandahar, Afghanistan, for one year, had married a Pakistani woman along the border with Afghanistan, and spoke Pashto fluently.
He said he moved his base from Peshawar to Islamabad last year over suspicions that he worked for Blackwater, the controversial US military contracting firm.
His business partner is listed on company documents as Hunter Obrikat with an address in Charlotte, North Carolina. The Guardian was unable to contact either men at listed numbers in Pakistan, Afghanistan, the US and Dubai.
US embassy spokeswoman Courtney Beale said DeHaven was "not a direct employee of the US government" but added that details could not be confirmed until a consular officer had met him. The arrest is another sign of brittle relations between the two countries.
US officials in Washington argue that Davis is a registered diplomat who should be immediately released under the provisions of the Vienna convention. But that plea has fallen on deaf ears in Pakistan, where the papers have been filled with lurid accounts of the spy's alleged activities, including unlikely accounts of him working with the Taliban and al-Qaida.
The US has also struck some blows in the covert public relations war. After a lull of three weeks, the CIA restarted its drone campaign in the tribal belt last Monday, with near-daily attacks on militant targets since then. "It's their way of showing who's in charge," said a senior Pakistani official.
And at the Oman meeting, Mullen warned Kayani he would apply "other levers" to the Pakistanis if a solution to the case was not found, the official added.
Since Davis's CIA status was revealed, US officials have told Pakistani officials that their best hope is in offering compensation to the families of the two men Davis shot in Lahore. Religious parties, however, have pressured relatives not to accept money.
Meanwhile, the Zardari government says it will settle the issue of Davis's diplomatic status at a court hearing scheduled for 14 March.
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