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Ex-Halliburton workers allege waste


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WASHINGTON (AP) -- Stepping up their election-year criticism of Dick Cheney's former company, congressional Democrats said Thursday that two former Halliburton employees have evidence that the company routinely wasted taxpayers' money.

One of the former employees, Henry Bunting, was scheduled to testify Friday before the Senate Democratic Policy Committee -- an organization of Democratic senators.

The second former worker asked Democratic lawmakers to withhold his name.

In advance of the testimony, Reps. Henry Waxman, D-California, and John Dingell, D-Michigan, wrote the Pentagon's audit agency a letter specifying the allegations, which mainly involved work in Iraq.

Halliburton, run by Cheney prior to his 2000 vice presidential campaign, has consistently denied overcharges.

Most of the allegations cited involved Halliburton's global contract for the U.S. military, which provides a wide range of nonmilitary support services in Iraq and elsewhere.

Bunting was a field buyer who filled requisitions from Halliburton employees by locating vendors. The second ex-employee was a procurement supervisor who did similar work.

According to Waxman and Dingell, Bunting and the unidentified whistleblower contend:

• High level Halliburton officials frequently told employees that high prices charged by vendors were not a problem because the U.S. government would reimburse the costs and then pay the company an additional fee.

• Higher than necessary prices were paid for ordinary vehicles, leased for $7,500 a month; for furniture, and cellular telephone service.

• Halliburton tried to keep as many purchase orders as possible below $2,500 so its buyers could avoid the requirement to solicit quotes from more than one vendor.

• Supervisers provided buyers with a list of preferred Kuwaiti vendors, including firms that charged excessive prices. Buyers were not encouraged to identify alternative vendors.

Congressional Democrats and the party's presidential candidates have made a major election issue out of Halliburton's extensive government contracts, contending the business showed favoritism toward Cheney's former company.

The vice president has repeatedly said he had no involvement with the company once he left the firm prior to his campaign.

The letter was sent to the Defense Contract Audit Agency, which found in a preliminary audit that Halliburton may have overcharged taxpayers $61 million in delivery of oil to Iraq.



Copyright 2004 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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