Halliburton, Profits and Spoils.

[link]
Halliburton, who's former CEO was vice President Dick Cheney has failed in terms of providing quality in Operation Iraqi Freedom and reconstruction for the aftermath of Hurricane Katrina, and yet the government is still offering no-bid contracts to them, as shown from the cartoon.

in 2003, Halliburton has made more than $1.7 billion in Iraq and it's probable they are making a third of the $3.9 billion cost to maintain and keep U.S. troops in Iraq. Though Halliburton KBR, the services they provide are building / managing military bases, logistical support of intelligence officers, delivering mail and making millions of hot meals. Halliburton employees have become an significant part of the army life in Iraq, because they are the sole source corporation under the no-bid contract. [link]

In the aftermath of Hurricane Katrina, no-bid contracts were preferred because of the urgency of the situation. "Normally contracts are supposed to be openly advertised for 30 days, but in an emergency government officials can cut this process to just two to three days through a limited bidding system to a few selected companies."

"In Iraq, limited accountability, corruption, massive cost overruns, and devastating failures fed the chaotic mess that has followed the 2003 fall of Baghdad. Nonetheless, the largest Katrina contracts have been won by many of the same politically connected companies that oversaw that failed reconstruction. And it is perhaps no coincidence, since many of the same people in the Army Corps of Engineers are awarding them–and in much the same manner: as open-ended, no- or hastily bid contracts with guaranteed profit margins." The connection here shows the sort-of crony capitalism, where any logic besides the logic of profit and cronyism fails. It is irrational to use the same corrupt corporations from previously failed excursions, again only for the same results of high priced no-bid contracts with sub-par effort and quality.

In relevance to Halliburton, there is a lack of employee safety, as shown in the case of September 20th, 2005. ". . . a Halliburton convoy of four trucks was ambushed north of Baghdad. All four trucks were struck by IEDs and were disabled." Three of the four truck drivers were killed by insurgents while Preston Wheeler, the remaining driver and sole survivor captured the event on video. A more detailed version of this event can be found here.