Audit: $8 Billion Mismanaged In Iraq
Audit Finds Contractor Spending Lacks Basic Recordkeeping
POSTED: 1:28 am CDT May 23, 2008
UPDATED: 2:28 am CDT May 23, 2008
WASHINGTON -- An internal audit of $8.2 billion paid to U.S. and Iraqi contractors found that nearly every transaction failed to comply with federal laws or regulations aimed at preventing fraud.In some cases, there weren't even basic invoices explaining how the money was spent.That's according to results released of an investigation by the Defense Department inspector general.The probe said that during a five-year period -- from 2001 through 2006 -- $7.8 billion in payments skirted billing rules with some violations egregious enough to invite potential fraud.
The findings provided fresh fodder for anti-war Democrats, who say the Bush administration has turned a blind eye to the problem of corruption and fraud by relying too heavily on contractors to manage the war.
