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Monday, December 15, 2003

Lest we forget about the ruckus with Halliburton, today's Wall Street Journal reports that Halliburton subsidiary Kellogg, Brown and Root may have been coerced into paying higher than acceptable wholesale prices for the fuel which they provided under contract with the U.S. government. Halliburton has been lambasted recently for such overcharging, but the latest documents shed new light on the matter:

Corps of Engineers documents indicate KBR attempted to negotiate lower rates from their Kuwaiti subcontractor -- Altanmia Commercial Marketing Co. -- earlier this month, and also tried to line up alternate contractors inside Kuwait as early as October. In a letter to KBR, a senior contract negotiator for the Corps of Engineers cited possible "political pressures" from the Kuwaiti government and the U.S. embassy in Kuwait to negotiate future fuel-import business exclusively with Altanmia.

If this is true, the blame should rest on the government agencies in question, not Halliburton. But wait, that wouldn't score points with the anti-Bush crowd, now would it?

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.: posted by Dave 11:14 AM





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