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Ex-KBR Workers to Testify on Contract Fraud

April 22, 2008 2:49 PM

Less than two weeks after the Army picked KBR as one of a handful of contractors to provide billions in services in Iraq over the next decade, Senate Democrats will hear testimony from whistleblowers alleging the company has overcharged for services it has already been providing there.

Two former KBR employees, Frank Cassaday and Linda Warren, are slated to testify before the Senate Democratic Policy Committee next Monday, according to the panel.

The two reportedly sued their former employer on behalf of the U.S. government, claiming KBR fraudulently boosted the number of soldiers using KBR-managed recreation facilities in an effort to inflate the fees it was paid.

Warren was reportedly fired for refusing to go along with the alleged scheme.

KBR spokeswoman Heather Browne said the company could not comment on the allegations, and noted that the Justice Department had declined to join the suit.

Under a massive new Army logistics contract, KBR will be one of three firms to compete for as much as $150 billion in contracts to provide housing, laundry and other basic services in Iraq, Afghanistan and around the world, the Army announced April 17.

This post has been updated.

April 22, 2008 | Permalink | User Comments (4)

User Comments

Will this congress ever stop witch-hunting and get to the business of legislation?

Posted by: Surelock Homes | Apr 22, 2008 3:14:34 PM

It's about time Congress started some oversight over our tax dollars at work. KBR and Cheney's other rich cronies have been lining their pockets at public expense for years.

People who complain about taxes should pay attention to how they're spent. Thank heavens the Democrats are now in a position to expose this massive ripoff of money we should be devoting to medical care for sick children.

Posted by: Panskeptic | Apr 23, 2008 10:44:24 PM

Witch-Hunting? We are talking about the famous taxpayer money you republicans are so concerned about (when it goes to somebody other than yourselves). Either you are complaining about this "witch-hunt" because you are one of those ripping off the government, or because you have fallen for the GOP propaganda, if that is the case you might want to wake up and start looking for better friends.

Posted by: Barfbag | Apr 30, 2008 7:21:13 AM

We should listen to our fellow Americans who have been there to understand the awful truth of waste, fraud, rape and poor training. We should always watch our tax dollars no matter who is in charge. They contract out the contracts over and over to a sub standard level for the big profit.

Posted by: msjibsail | May 1, 2008 9:51:46 PM

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