In May 2007, the Bush administration responded to intense public criticism and “introduced plans to force companies to notify the government about evidence of contract abuse worth $5 million or more.” Previously, such reports were voluntary and not surprisingly, the number of company-reported fraud cases had “declined steadily over the past 15 years.”
Yet someone at the Justice Department quietly slipped in a provision exempting U.S. contractors who do work overseas from the reporting requirements. Bipartisan groups of public officials criticized the loophole, including the Office of the Special Inspector General for Iraq Reconstruction and Sen. Charles Grassley (R-IA). Rep. Peter Welch (D-VT) has also led calls for a House inquiry into the matter.
The loophole has now been removed, after months of resistance by the White House. ThinkProgress has obtained an updated version of the Justice Department’s proposal, drafted April 4, that requires reporting on all contracts, including ones abroad. From the new proposal:

It is still unclear exactly which official was responsible for slipping in the loophole. Assistant Attorney General Alice S. Fisher originally requested the new reporting requirement last May to apply to all contracts, including ones overseas. But in November, the rule was published by the White House’s Office of Management and Budget with the loophole. Somewhere along the way, the provision was changed. A Bush administration official claimed the loophole was the result of a “drafting error” and faulty cutting and pasting.
“I hate to sound cynical, but what lobbyist working for a contractor in Iraq wanted this get-out-of-jail card?” wondered Patrick Burns of Taxpayers Against Fraud. Several contractors interviewed by the AP said they agreed with the rule, although they all claimed they did not request it.
Ooops, got that hand out of the cookie jar, just in time! NOT.
April 15th, 2008 at 1:46 pmThis might actually end the “war”.
Since the only reason it was started was to give no-bid cost-plus contracts to Friends Of Bush companies, and now they can’t steal as much, they may not support being there as much.
Who am I kidding? They’ll always find a way to steal. It’s what they do.
April 15th, 2008 at 1:47 pmJust more Busch corruption; what’s new?
_AIO_
April 15th, 2008 at 1:47 pmTypical of this administration and just as sickening….any average citizen would be prosecuted for committing a $5 robbery, but it’s OK to rip off the taxpayers as long as the tab is less than 5 million? What about contract abuse of $4.9 million? In neo-bizarro world, that’s “normal”.
April 15th, 2008 at 1:50 pm.
Does this mean Cheney needs to adjust his stock portfolio?
.
April 15th, 2008 at 2:01 pmWow. This “democracy” thing might actually work!
April 15th, 2008 at 2:02 pmFacing ‘Months Of Criticism,’ Bush Administration Strips Loophole Concealing Abuse Of Overseas Contracts
It was time for them to find a new source anyway……….
April 15th, 2008 at 2:14 pmThe controversial loophole has irked Democrats and Republicans alike. But it has the support of a trade association that lobbies on behalf of giant global government contractors, including Blackwater USA, KBR Inc., Boeing Co., CACI International Inc. and Lockheed Martin.
The United States has spent more than $102 billion over the last five years to help rebuild Iraq and Afghanistan. In that time, the Justice Department has uncovered at least $14 million in contract bribes in those two nations alone.
I’m sure the trade associations have been jumping up and down for joy all the way to the bank for 5 years. $14 Million dollars in contract brides, I’m not surprised in the least.
Maximum Sentence for bribery is 15 years in prison and a fine of $250,000. With there get out of jail free card none of them will probably be prosecuted.
This truly is the administration that thinks they are above the law. All of us will be paying for this the rest of our lives. If there is a devine justice they will all be rotting in jail when we are old and grey.
April 15th, 2008 at 2:16 pmIf they can just get the McMaverick elected, everything will be a-ok, and they can keep right on ripping us all off for another 4 years.
April 15th, 2008 at 2:27 pmI’d have to say this entire administration is the result of faulty cut-n-pasting.
April 15th, 2008 at 2:27 pmJesus Hates Warmongers Daryll.
April 15th, 2008 at 2:28 pmDarryl’s also O/T.
By a mile.
April 15th, 2008 at 2:29 pmThey just have to notify the government of evidence of contract abuse. It doesn’t mean the government will do anything about it.
April 15th, 2008 at 2:33 pmYou can’t defeat the inevitable. We will destroy their nuclear capabilities.
Wanna bet we’re here next year, and Daryll’s Iran wargasm is still unfulfilled?
April 15th, 2008 at 2:43 pmDaryll – Obey the Prince of Peace, and you will be blessed.
April 15th, 2008 at 2:44 pmThe great conspiracy continues
April 15th, 2008 at 2:47 pmYou can’t defeat the inevitable. We will destroy their nuclear capabilities.
Coming from the guy who said that the republicans would maintain their majorities in the House and Senate, back in ‘06, I think it can safely be ignored.
April 15th, 2008 at 2:48 pmKeep believing that. They are in preparation to attack.
I will wager you that they don’t attack before the next American presidential election. Loser never shows his face here again.
Wanna Bet?
April 15th, 2008 at 2:50 pmTP please bring back the Recommend and the Report abuse buttons
‘Cause Daryll needs a flaggin’.
April 15th, 2008 at 2:55 pmHow strange. This is not the same Darryl as yesterday.
The language is all different.
Not a single, solitary, “Christian” idiocy…
This is DEFINITELY not the same person posting as “Darryl” yesterday.
April 15th, 2008 at 2:57 pmMan you right wingers are cowards! Is there ANYTHING you don’t fear? Is there ANY group that doesn’t make you shake and convulse in fright?
What IS it with these frightened little right wing trolls? Id Dubya’s cheerleading skirt not providing enough cover for them these days?
April 15th, 2008 at 2:57 pmDaryl also noted McCain’s reaction:
‘If Persia attacks the Syrians or Iranians, I believe the Baathists will try to reclaim their Kurdish territory’.
April 15th, 2008 at 3:54 pmThank you TP for allowing Duhrul and reeses pieces to derail threads with OT CRAP from…NEWSMAX!
April 15th, 2008 at 4:01 pmThere will be a false flag attack before the Nov. elections. The us warships off of Iran will send a few missiles with conventional warheads into Israel, probably striking areas that are not populated just to get Israel to retaliate against Iran. Israel will make Teheran a glass parking lot and any other targets like the nuclear manufacturing sites.
It will not be pretty and the Bush admin. just sits back and smiles. This will also be to throw fear into the American population. Fear and war is the basis of the Repubs.
April 15th, 2008 at 5:18 pm“Fear and war is the basis of the Repubs.”
April 15th, 2008 at 10:39 pmExactly.
Remember, “We have nothing to fear, but fear itself.” got this country through some tough times.
Now its, “Be afraid, be very afraid.”