WASHINGTON - September 27 - HalliburtonWatch.org and the Center for Corporate Policy support the 19 members of Congress who joined together to call upon the Bush administration to suspend Halliburton/KBR from any new contracts or task orders in Iraq or for post-hurricane reconstruction in the U.S., based on the company’s record in Iraq and elsewhere.

“Halliburton/KBR has an unrivaled record of waste, fraud, bribery and other violations in Iraq and elsewhere, and should be barred from taxpayer-funded contracts,” said Charlie Cray, director of the Center for Corporate Policy. “As happened with Enron, the federal government should suspend KBR from any new contracts until all ongoing criminal investigations are finished.”

The Department of Justice, SEC and Treasury Department are conducting separate investigations into various acts of bribery, fraud, violations of trade restrictions and other acts committed by Halliburton and/or its employees.

Federal acquisition regulation (FAR) rules provide for the suspension of companies that fail to meet the definition of a “responsible contractor.” The specific basis for suspending Halliburton is spelled out in a letter to President Bush released by 19 members of the Progressive Caucus on Monday. The letter, and further details of Halliburton’s violations can be found at http://www.HalliburtonWatch.org.

“The feeding frenzy of contracts being handed out to well-connected cronies and crooks threatens to add taxpayers to the list of those victimized by the administration’s disastrous policies in Iraq and the U.S.,” said Cray. “The favoritism for corporate cronies that led to this administration’s failure to enforce contract accountability standards in Iraq could also result in a flood of fraud in the future.”

The Bush administration’s record of naming political cronies of questionable competence to high-level bureaucratic positions has undermined contract oversight and accountability, including the enforcement of tough FAR standards. Last week, David Safavian, the director of the Office of Procurement Policy at the GSA was indicted in association with an ongoing investigation into the activities of Republican lobbyist Jack Abramoff.

Meanwhile, the Washington Post reports that Congressman Mel Martinez (R-FL) hosted a “Katrina Reconstruction Summit” of contractors sponsored by Halliburton on Monday.

Questions and Answers about Halliburton and the Basis for Suspension

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