Last May, I wrote an Annals of Outrage II chronicling the waste, fraud and abuse in the federal government in the first half of 2004. Plenty of time has passed since my last piece and much has happened. Here, then, is my latest attempt to guide you through the Bush Administration’s most egregious corruption scandals. The information comes to us courtesy of the federal government’s internal investigations into administration fraud, waste and abuse. The cronyism and corruption have hit a new low.
1) Bat Mitzvah Corruption: In terms of sheer outrage, millionaire defense contractor David H. Brooks is hard to top. The New York Daily News recently reported that Brooks spent an estimated $10 million on his daughter’s bat mitzvah reception. Aerosmith performed at the reception (reportedly earning a cool two million dollars), and Kenny G, 50 Cent, Tom Petty and The Eagles’ Don Henley and Joe Walsh also played. Here’s the kicker: Brooks has reportedly made more than $250 million in wartime profits as the CEO of DHB Industries– which has had thousands of defective bulletproof vests recalled by the government!
According to a government investigation into the faulty vests that was uncovered by the Marine Corps Times, DHB’s equipment saw “multiple complete penetrations” when 9mm pistol rounds were fired into the vests. One government ballistics expert quoted in the government’s findings said he had “little confidence” in DHB’s equipment. Meanwhile, the SEC is looking into Brooks’ 2004 sale of $186 million worth of company stock. Institute for Policy Studies’ Sarah Anderson, who co-authored a report called “Executive Excess 2005,” called Brooks a “world champion war profiteer,” concluding, he has “no shame.”
2) CPA’s Bribes: The war in Iraq continues to churn out profiteering scandals on a weekly basis. The New York Times reported in November that the special inspector general for Iraq reconstruction had uncovered a scheme involving a US comptroller in the Coalition Provisional Authority, Robert J. Stein, and other co-conspirators who accepted “kickbacks and bribes…to steer lucrative construction contracts” to an American-run company. According to the criminal complaint, Stein and his wife spent the bribes he received on cars, jewelry, and home improvements. In the meantime, the contracted work either wasn’t performed or was shabbily done. Most outrageous of all, Stein was given control over eighty-two million dollars in funds for Iraq rebuilding despite the fact that he had spent eight months in jail in the 1990s on a felony fraud conviction.