THEFT OR WASTE? June 15, 2011Posted by wmmbb in Iraq Policy.
While there are no allegation of criminal conduct, a US special government agency cannot account for money set aside for reconstruction in Iraq. The US defence department seems to have mislaid an amount in the order of nine billion dollars.
The BBC reports:
The funds are separate from the $53bn allocated by the US Congress for rebuilding Iraq.Much of the money came from the sale of Iraqi oil and gas, and some frozen Saddam Hussein-era assets were also sold off. The breakdown in controls left the funds vulnerable to inappropriate uses and undetected loss”.
The money was in a special fund administered by the US Department of Defense, the Development Fund for Iraq (DFI), and was earmarked for reconstruction projects. But the report says that a lack of proper accounting and poor oversight makes it impossible to say exactly what happened to most of it.
According to the report, the Pentagon is unable to fully account for $8.7bn of funds it withdrew between 2004 and 2007, and of that amount it “could not provide documentation to substantiate how it spent $2.6bn”.
The Iraq Invasion after its initial success seems to have been a complete shemozzle. I suppose the larger the amount of money the more difficult to account for if there are not accounting controls in place. Why have not war crimes investigations been undertaken for the invasion based on false grounds?
Paul Ritcher in The LA Times points to the conclusion that 6.6 Billion dollars has been stolen. since an accounting error does not seem likely.
Wars are good covers for financial heists its seems. The claim is made that 70-15 billion dollars of Libyan Sovereign Wealth has been lifted. Seems like a pretty good return for a set of bombing campaigns (to protect civilians).
(Manlio Dinucci is the source at Sovereign Independence – but that could be just Irish sour grapes.) Anyway, interesting speculation.