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Money for Iraq’s rebuilding has vanished into thin air

Published: Sat, August 4, 2012 @ 12:00 a.m.

Where’s the outrage from the self-styled paragons of budgetary virtue, led by tea party adherents and right-wing Republicans, over the final U.S. audit of the reconstruction effort in Iraq that says billions of dollars have been wasted?

Is it possible that the Republican majority in House of Representatives, which has been harshly critical of the way Democratic President Barack Obama has managed the public treasury, won’t delve into the waste of taxpayer dollars in Iraq because Republican President George W. Bush was the architect of the military invasion of that country?

We hope not.

Spending on domestic programs that the tea party and the GOP find so unpalatable pales in comparison to the $1 trillion-plus cost of the wars in Afghanistan and Iraq that were launched in response to the Sept. 11, 2001, terrorist attack on America’s mainland. Tales of pallets of plastic wrapped $100 bills being shipped to Iraq and then simply disappearing are legendary.

But now, with the final audit report from the Office of the Special Inspector General for Iraq Reconstruction Funds, the public has been given an upclose look at how well its money was managed. It isn’t a pretty picture.

Indeed, the one line in the audit report that should trigger bipartisan congressional hearings is this:

“The precise amount lost to fraud and waste can never be known.”

The auditors did say, however, that a range of accounting weaknesses put “billions of American taxpayer dollars at risk of waste and misappropriation.” A total of $51 billion was appropriated for the rebuilding of a broken Iraq.

The report provides some examples of how money was wasted. For instance, a contractor got away with charging $80 for a pipe fitting that its competitor was selling for $1.41. Turns out that the company’s billing documents were reviewed sloppily by U.S. contracting officers or were not reviewed at all.

Of the $51 billion Congress approved for Iraq reconstruction, about $20 billion was for rebuilding Iraqi security forces and about $20 billion was for rebuilding the country’s basic infrastructure. The programs were run mainly by the Defense Department, the State Department and the U.S. Agency for International Development.

To be sure, the reconstruction project was the largest of its kind in U.S. history, but that does not excuse the cavalier attitude of the managers of the public funds. The lack of properly trained, trustworthy monitors is glaring.

‘Hard Lessons’

In a 2009 inspector general’s report titled “Hard Lessons,” it was acknowledged that the auditors, much like the reconstruction managers themselves, faced personnel shortages and other hazards.

In the report, the inspector general, Stuart Bowen, recalled what then-Defense Secretary Donald H. Rumsfeld asked when they met shortly after Bowen started in January 2004: “Why did you take this job? It’s an impossible task.”

If the Bush administration knew how difficult it was going to be to track the spending of public dollars, why wasn’t a system developed that took into consideration the challenges of operating in a war zone?

The final audit of the Iraq redevelopment program is disturbing on many levels. Congressional hearings are demanded.


1Attis(1134 comments)posted 3 years, 11 months ago

Billions of public dollars are stolen from the US taxpayer by the blood suckers feasting on this racket known as war and all you can call for is congressional hearings?! Heads should roll if the money is not returned. But they won't because the thieves are among the 1% who run this racket (and congress).

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2Peregrine(47 comments)posted 3 years, 11 months ago

The outrage is right here! Since when have Tea Party adherents been Bush apologists? Conservatives have been deploring his spending policies since he was elected. The wasted money on rebuilding Iraq is typical of BIG GOVERNMENT programs. The left hand never knows what the right hand is doing and every bureaucrat knows the spigot keeps flowing as long as you spend every dollar you've been allocated whether it's needed or not. The chief mission of government programs is to be self-sustaining. A commission/agency's job can never be completed or the bureaucrats will be out of a guaranteed wage and retirement. Haven't we been in Iraq during Obama's administration? Where are the Democrats leading the charge to cut funding to and reform the GSA or to cut foreign aid being poured down a rat hole in Afghanistan?

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3DontBanThisDrone(1046 comments)posted 3 years, 11 months ago

"...billions of dollars have been wasted..."

If you have allowed yourself to be convinced to use the term "wasted", you deserve everything you get.


Attis wrote: "Billions of public dollars are stolen from the US taxpayer by the blood suckers feasting on this racket known as war and all you can call for is congressional hearings?! Heads should roll if the money is not returned. But they won't because the thieves are among the 1% who run this racket (and congress)."

Exactly. And if you resist, they obliterate you with nuclear-powered aircraft carriers, submarines, battleships, destroyers, billion-dollar Stealth fighters, and trillions-of-dollars worth of other military equipment. Why? Well, because you're a "terrorist" of course, lol.

But hey, let's rush to the voting polls. I mean, you gotta vote for someone else next time.


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4TylerDurden(367 comments)posted 3 years, 11 months ago

Congress, per The Constitution, must OK every government appropriation. This is not a duty/right of the executive branch.

Both parties make up congress.

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5southsidedave(5198 comments)posted 3 years, 10 months ago

That sounds about right...missing money, yep, just vanished into thin air.

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