Tuesday, March 1, 2016

A Look At How One Young Afghan Contractor Became Spectacularly Rich

Matthieu Atkins, The New Yorker: The Bidding War

How a young Afghan military contractor became spectacularly rich

America’s war in Afghanistan, which is now in its fifteenth year, presents a mystery: how could so much money, power, and good will have achieved so little? Congress has appropriated almost eight hundred billion dollars for military operations in Afghanistan; a hundred and thirteen billion has gone to reconstruction, more than was spent on the Marshall Plan, in postwar Europe. General David Petraeus, a principal architect of U.S. counterinsurgency strategy, encouraged the practice of pumping money into the economy of Afghanistan, where the per-capita G.D.P. at the time of the invasion was around a hundred and twenty dollars. He believed that money had helped buy peace during his command of American forces in Iraq. “Employ money as a weapons system,” Petraeus wrote in 2008. “Money can be ‘ammunition.’ ”

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WNU Editor: My must read post for today.

1 comment:

Don Bacon said...

Corruption in Afghanistan pales in comparison with the U.S. Take Senator Dianne Feinstein, D-Calif. As chairperson and ranking member of the Military Construction Appropriations subcommittee (MILCON) from 2001 through the end of 2005, Feinstein supervised the appropriation of billions of dollars a year for specific military construction projects. Two defense contractors whose interests were largely controlled by her husband, financier Richard C. Blum, benefited from decisions made by Feinstein as leader of this powerful subcommittee. From 1997 through the end of 2005, with Feinstein's knowledge, Blum was a majority owner of both URS Corp. and Perini Corp.

While setting MILCON agendas for many years, Feinstein supervised her own staff of military construction experts as they carefully examined the details of each proposal. She lobbied Pentagon officials in public hearings to support defense projects that she favored, some of which already were or subsequently became URS or Perini contracts. From 2001 to 2005, URS earned $792 million from military construction and environmental cleanup projects approved by MILCON; Perini earned $759 million from such MILCON projects.