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Investigation of Iraq's Coalition Provisional Authority finds unwarranted overcharges of U.S. taxpayers
30 June 2004

WASHINGTON, June 30 (HalliburtonWatch.org) - An investigation into the U.S.-controlled Coalition Provisional Authority (CPA) of Iraq found that it failed to adequately control over $9 billion in international aid, including Halliburton's hotel costs in Kuwait. The CPA controlled the governing processes of Iraq from May 2003 to June 29, 2004. Stuart Bowen, the CPA's inspector general, released the report one day after the CPA was disbanded and authority for the Iraqi government was handed over to Iraqi citizens. Bowen's report said the CPA participated in Halliburton's overcharges by failing to stop unauthorized personnel from staying at a Hilton in Kuwait City that was supposed to be used only by senior government officials. Halliburton charged the government $2.85 million for hotel costs, even though cheaper housing arrangements were available. For example, one CPA official lived at the Kuwaiti Hilton for almost $700 a night. The company also charged $191,000 a year for laundry services.

More Information

Los Angeles Times: Coalition Faulted for Lax Controls

Inspector general report on KBR's hotel costs in Kuwait (pdf file)