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Wednesday, March 13, 2013

Wasting Money


Over 12% of the Money spent in rebuilding Iraq has been wasted. That is the conclusion reached by the latest enquiry on the matter by the USA. And it could be worse.

Nothing is more painful for Americans than paying taxes. That is why the “taxpayer’s money” is scrutinised so closely. And the quantity wasted this time is considerable: more than $8b.

An estimation, by the way, that could be short. Stuart Bowen, head of the committee redacting the document, told Wired that the total could be much more because they only could audit superficially the account. An account that only includes money spent on reconstruction, not the overall military operation cost which ascends to $800b.

To the 12% of the $60b for rebuilding Iraq, we should add the unknown amount wasted in Afghanistan already. Last year an independent investigation by the BBC revealed that a “significant portion” of the $400m invested in 2011 alone was going to be lost.

Photo: US Army
One thing you can’t deny them is creativity when it comes to useless spending. Sometimes it was in the form of unfinished projects. Sometimes by paying contractors that then didn’t meet the requirements. There is even a case of a school that wanted $10,000 for refurbishment works and got $70,000 without knowing well why.

Probably the case of the “Sons of Iraq” program is especially relevant. It was seen as a expense to avoid expenses. Planned by the now villain Gen. Petraeus it focused on paying of Sunni groups in Iraq to work for the Americans instead of against them. Bribe them, one could say. Those bribes added up to $370m between 2007 and 2008. But worst of all, without being clear if it was a success, they exported the system to Afghanistan.

It is impossible not to think other uses that money could have had. $8b is a lot of money. Enough, for example, to pay for five more missions of the space shuttle. Or for almost a whole year of the Environmental Agency’s budget. Instead they are collecting dust in some warehouse in the middle of the desert.

Published first on Iniciativa Abierta in Spanish

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