Kuwaiti company that supplies U.S. military accused of fraud

[RamboLiberal]

Source: CNN

A Kuwaiti company that has been paid more than $8.5 billion to supply food and other items to the U.S. military in the Middle East has been indicted on multiple federal fraud charges, authorities announced Monday.

Public Warehousing Company KSC is charged with conspiracy to defraud the United States, committing major fraud against the United States, making false statements, submitting false claims and wire fraud, a six-count indictment states.

The company obtained contracts in May 2003, February 2005 and July 2005 to feed U.S. troops in Iraq, Kuwait and Jordan, said the U.S. attorney's office for the Northern District of Georgia, where the charges were filed.

"This indictment is the result of a multiyear probe into abuses in vendor contracts in the Middle East involving the illegal inflation of prices in contracts to feed our troops," said F. Gentry Shelnutt, who is serving as acting U.S. attorney on the case. "The indictment alleges PWC submitted false information and manipulated prices to overcharge for food."

Public Warehousing Company, also known as Agility, did not return a telephone message Monday.


Read more: http://www.cnn.com/2009/CRIME/11/16/soldier.food.charges/index.html

[onethatcares]

1. and they'll get

a fine of $325,000.00 and a smack on the ass. The end.

[Mopar151]

2. We need to return militiary logistics to the military!

For the safety, health, and security of the troops to start with. Then there are the jobs, and the excellent training for them, to be regained. And then there is the whole quality issue... Our military logistics were top shelf, literally the stuff of legend. Now they are a farce.
Not only that, we desperately need to sever our contacts with the mercenaries, thugs, goons, and private armies. When I hear about Xe and Triple Canopy, the names Baldwin-Felts and Pinkerton come to mind, and that ain't good.

[No Elephants]

3. It totok a "multiyear probe" to figure this out?

It seems whatever expose I read about lately reqauired several years of investigation, but I never seem to read why in blazes it took that long to figure out something like massive overcharges.