The end of the the military industrial complex as we know it?

[Happy Face 29]

Rep. Alan Grayson (D-Fla.) yesterday pointed out that the bill passed by both the Senate and House to de-fund ACORN is written so broadly that it literally compels the de-funding not only of that group, but also the de-funding of, and denial of all government contracts to, any corporation that "has filed a fraudulent form with any Federal or State regulatory agency." By definition, that includes virtually every large defense contractor, which -- unlike ACORN -- has actually been found guilty of fraud. As The Huffington Post's Ryan Grim put it: "the bill could plausibly defund the entire military-industrial complex. Whoops."

 

I spoke with Rep. Grayson this morning regarding the consequences of all of this. He is currently compiling a list of all defense contractors encompassed by this language in order to send to administration officials (and has asked for help from the public in compiling that list, here). The President is required by the Constitution to "faithfully execute" the law, which should mean that no more contracts can be awarded to any companies on that list, which happens to include the ten largest defense contractors in America. Before being elected to Congress, Grayson worked extensively on uncovering and combating defense contractor fraud in Iraq, and I asked him to put into context ACORN's impact on the American taxpayer versus these corrupt defense contractors. His reply: "The amount of money that ACORN has received in the past 20 years altogether is roughly equal to what the taxpayer paid to Haillburton each day during the war in Iraq."

 

The irony of all of this is that the Congress is attempting to accomplish an unconstitutional act: singling out and punishing ACORN, which is clearly a "bill of attainder" that the Constitution explicitly prohibits -- i.e., an act aimed at punishing a single party without a trial. The only way to overcome that problem is by pretending that the de-funding of ACORN is really about a general policy judgment (that no corrupt organizations should receive federal funding). But the broader they make the law in order to avoid the Constitutional problem, the more it encompasses the large corrupt corporations that own the Congress (and whom they obviously don't want to de-fund). The narrower they make it in order to include only ACORN, the more blatantly unconstitutional it is. Now that they have embraced this general principle that no corrupt organizations should receive federal funding, how is anyone going to justify applying that only to ACORN while continuing to fund the corporations whose fraud and corruption is vastly greater (not to mention established by actual courts of law)?

 

My discussion with Rep. Grayson is roughly 10 minutes long and can be heard by clicking PLAY on the recorder below. A transcript will be posted later today.

 

http://www.salon.com/opinion/greenwald/rad...yson/index.html

 

 

Class

 

Just to be clear, the bill has already passed.

[Happy Face 29]

On a recent visit to Moscow, US Secretary of State Hillary Clinton said she was there to deliver a “shameless pitch” to the start-up Russian airline Rosavia to sign a major contract with Boeing to purchase a new fleet of aircraft from the US aerospace giant. “This has been a consistent commitment on the part of the United States Government here in Moscow to promote this, because it really does illustrate very powerfully what we can do together,” Clinton said during an October 13 visit to Boeing Design Center Moscow. She said the Export-Import Bank of the United States “would welcome an application for financing from Rosavia to support its purchase of Boeing Aircraft, and I hope that on a future visit I’ll see a lot of new Rosavia-Boeing planes when I land in Moscow.”

 

Boeing is the leading aerospace company in the world and a major US defense contractor. Overall, it is the third largest US government contractor with some $24 billion in annual federal contracts. The company does more than $60 billion in annual sales.

 

Boeing is also a major recidivist corporate crook.

 

Since 1995, Boeing has paid $1.5 billion in fines to settle more than 30 instances of misconduct, according to the non-partisan Project on Government Oversight. According to POGO, these include multiple violations of the Arms Export Control Act, including selling defense technology to Russia and China showing “blatant disregard” for State Department directives. According to POGO, Boeing settled cases with the US government for:

• In 1995-96, violating the Arms Export Control Act, involving the transfer of rocket data to China.
  
• In 1998, violating the Arms Export Control Act and the International Traffic in Arms Regulations by exporting technical data and defense services to Russia, the Ukraine, Norway and Germany “without the required approvals from the Department [of State] and, in other circumstances, violated the terms and conditions of approvals that were provided by the Department.”
  
• In 2001, violating the Arms Export Control Act and the International Traffic in Arms Regulations in connection with its involvement in the Australian military’s Wedgetail project “by violating the express terms and conditions of Department of State munitions license and other authorizations, by exporting defense articles and defense services without a munitions license or other authorization, and by omitting material facts from its applications for munitions licenses or other authorizations.”
  
• Between 2000 and 2003, violating the Arms Export Control Act. According to the State Department, Boeing sold to China and other countries 94 commercial jets with the gyrochip embedded in the flight boxes without obtaining an export license and in “blatant disregard” of State Department directives.
  

Other misconduct by Boeing, according to POGO, includes “unauthorized possession of defense information,” gender discrimination, violating the Americans with Disabilities Act, the False Claims Act and anti-trust laws, water pollution in California, contaminating thousands of homes in Colorado with radioactive waste from the Department of Energy’s Rocky Flats Nuclear Weapons Plant, radioactive and toxic contamination near Los Angeles, over-billing and illegal hiring of government officials.

 

In Moscow, Clinton said: “During his last visit to Moscow in July, President Obama said that when our economies grow more intertwined, all of us can make progress. And I can’t think of a better illustration than what we see here at the Boeing Design Center.” Perhaps Boeing’s victims and the prosecutors that pursued the company’s repeated violations of US laws may have a different perspective from Clinton on that comment. But when said she was engaged in a “shameless pitch,” Clinton was telling the truth: A shameless pitch for a shameless corporation.

 

http://rebelreports.com/post/217215838/hil...tch-for-crooked

[Happy Face 29]

On Tuesday night, US Undersecretary of Defense Shay Assad, the Pentagon’s top contracting official, sent a memo to the commanders and directors of all branches of the military instructing them to cease all business with the embattled community organization ACORN and to take “all necessary and appropriate” steps to prevent future contracts with the organization. Assad’s brief memo [PDF] contained the two-page guidelines issued October 7 by Peter Orszag, the director of the Office of Management and Budget. Orszag’s guidelines were issued following the passage of Congressional legislation aimed at “defunding ACORN.”

 

Orszag’s guidelines were sent on October 7 to “the heads of Executive Departments and Agencies” and instructed them to “immediately commence all necessary and appropriate steps” to comply with the terms of the Defund ACORN Act. These include: no future obligation of funds, suspension of grant and contract payments and no funding of ACORN and its affiliates through Federal grantees or contractors. “Your agency should take steps so that no Federal funds are awarded or obligated” to ACORN, wrote Orszag.

 

While the DoD memo sent by Assad is basically a formality initiated by Orszag’s guidelines to all federal agencies, it is nonetheless remarkable given that ACORN is not a Defense Department contractor. According to an ACORN spokesperson, the group has not received Pentagon funds, nor has the community group even considered applying for such funds. “Of course we were hoping to win the contract to build the B-1 bomber, but we didn’t get that one,” says Brian Kettering, ACORN’s Deputy Director of National Operations, sarcastically. “This is all just silly, but the travesty here is that once again the witch-hunt against ACORN continues while there is a total neglect of [the misconduct] of the likes of Blackwater and Halliburton.”

 

While the DoD sends out memos regarding an organization that it does not contract with, the Pentagon currently does business with a slew of corporate criminals whose billions of dollars in annual federal contracts make the $53 million in government funds received by ACORN over the past 15 years look like, well, acorns. The top three government contractors—all of them weapons manufacturers—committed 109 acts of misconduct since 1995, according to the Project on Oversight and Government Reform. In that period, Northrop Grumman, Lockheed Martin and Boeing paid fines or settlements totaling nearly $3 billion. In 2007 alone, the three companies won some $77 billion in federal contracts. There has been no letter sent around to federal agencies instructing them to cancel contracts with these companies that have ripped off taxpayers and engaged in a variety of fraudulent activities with federal dollars.

 

Also, it is not just the Defense Department that continues to hire corporations with real rap sheets. Contracting fraud and abuse is a corrupt cancer that permeates the federal bureaucracy. Overall, the top 100 government contractors make about $300 billion a year in federal contracts. Since 1995, they have paid a total of $26 billion in fines to settle 676 cases stemming from fraud, waste or abuse. According to the 2008 Corporate Fraud Task Force Report to the President, “United States Attorneys’ offices opened 878 new criminal health care fraud investigations involving 1,548 potential defendants. Federal prosecutors had 1,612 health care fraud criminal investigations pending, involving 2,603 potential defendants, and filed criminal charges in 434 cases involving 786 defendants. A total of 560 defendants were convicted for health care fraud-related crimes during the year.” Last month, the pharmaceutical giant Pfizer settled a series of cases, including Medicaid fraud and illegally marketing banned drugs, in what the Department of Justice said is “the largest civil fraud settlement in history against a pharmaceutical company.” The company has also been ordered to pay a criminal fine of $1.195 billion, “the largest criminal fine ever imposed in the United States for any matter,” according to the DoJ.

 

ACORN, which, like all recipients of federal dollars, certainly should be subjected to scrutiny, but these stats are a damning commentary on the upside down priorities when it comes to fighting contracting corruption.

 

Florida Representative Alan Grayson has argued that the Defund ACORN Act as written by the Republican geniuses on the Hill should actually apply to all government contractors. As he told Salon’s Glenn Greenwald after the bill passed: “The barn door has been opened, and the horses and the cows have both left. It’s done. It’s passed; there’s nothing they can do. There’s not take-backs in legislation; that’s not the way it works. And if they were sloppy in writing up this bill, then maybe they should have read the bill before they went ahead and tried to ram it through the House. Read their own bill, for a change.”

 

If the law is to be applied equally, then Peter Orszag should be firing off memos instructing all federal agencies to cease business and cancel contracts with massive financial institutions, weapons manufacturers, mercenary firms and pharmaceutical companies. Given the incredible government reliance on corporations, particularly in the defense industry and in the wars in Iraq and Afghanistan, don’t hold your breath waiting for such a memo on DoD stationary any time soon.

 

http://rebelreports.com/post/219169799/pen...-contracts-with

[Cid_MCDP 0]

Somewhere, Ike is smiling...

[Kid Dynamite 7318]

Not getting much interest this thread cant think why

[Happy Face 29]

Not getting much interest this thread cant think why

 

Clearly not as interesting as that new Nike ad.

[Happy Face 29]

 

Grayson is my hero.

[Park Life 71]

They'll probably go for one last almighty blowout - Iran?

[Cid_MCDP 0]

 

Grayson is my hero.

 

Love it. Absolutely love it.

[Happy Face 29]

US Secretary of Defense Robert Gates decries Europe for general anti-war sentiment, unwillingness to beggar itself with expenditures on war.

 

But as far as I can tell, Europe is the world's largest economy and got there without any recent substantial wars except those the US dragged it into. Moreover, the fastest-growing economy for the past nearly 30 years has been China, which spends a fraction on their military of what the US spends on its, and, aside from a skirmish with Vietnam in the early 1980s, has been at peace. Apparently massive war expenditures are unrelated to economic growth or prosperity.

 

In contrast, the US has been at war for 19 of the last 47 years (not counting US-backed insurgencies such as 1980s Afghanistan, on which we spent billions) but has not grown faster than the other two economically. Moreover, the increasingly unwieldy US national debt, deriving from the US government spending more than it took in in recent decades, would not exist if the US military budget had been the same as that of the European Union since 1980. The US overspent on its military because Washington mistakenly thought the Soviet economy was twice as big as it actually was, and vastly over-estimated Soviet military capabilities. The bloated military budgets continue now, apparently because of a couple thousand al-Qaeda operatives hiding out in caves in the Hadhramawt and Waziristan.

 

Some statistics to ponder:

 

US Military Budget 2009: $711 billion

European Union Military Budget 2009: $289 billion

China Military Budget 2009: $122 billion.

 

US GDP 2009: $14.4 trillion

European Union GDP 2009: $16.5 trillion (PPP)

China GDP 2009: $8.8 trillion (PPP)

 

US economic growth 2009: 0.2%

European Union economic growth 2009: -4%

China economic growth 2009: 8.7 %

 

The real military-related expenditures of the US are closer to $1 trillion. If the US cut those back to the level of the European Union and spent the money on promoting solar energy and making it inexpensive, America would have a chance of remaining a great power in the 21st century. If it goes on rampaging around the world bankrupting itself by invading and occupying other countries, the Chinese will laugh at us all the way to world dominance.

 

http://www.juancole.com/2010/02/gates-want...-itself-on.html

Edited February 24, 2010 by Happy Face