Friday, September 28, 2007

Waxman: Blackwater Cost-Cutting to Blame for 2004 Fallujah Ambush


By Spencer Ackerman
TPM Muckraker

Thursday 27 September 2007

Right on the heels of a Brookings Institution report detailing the problems private military companies create for counterinsurgency efforts in Iraq, Rep. Henry Waxman (D-CA) has released a study finding that Blackwater improperly prepared its contractors for traveling through Fallujah in March 2004 - a trip that proved to be fatal.

Internal Blackwater reviews and eyewitness accounts obtained by Waxman's oversight committee conclude that the company sent its four employees to Fallujah in what one disgusted Blackwater colleague called "unarmored, underpowered vehicles." The day before the ambush, Blackwater's Baghdad operations manager complained to the company's North Carolina headquarters that he was in dire need of weapons, ammunition, communications equipment and "hard cars." Yet Waxman's report (pdf) cites another employee who says Blackwater opted to go with "soft skin" - that is, unarmored vehicles - "due to the cost."

But it wasn't just the cost. Blackwater's reliance on unarmored vehicles was part of a scheme to undercut a competitor, the Kuwaiti company Regency Hotel & Hospital, in order to gain control of a contract Regency held with ESS Support Services Worldwide, which in turn had valuable contracts with Kellogg, Brown & Root and Fluor.

Several reports by Blackwater personnel in Baghdad and Kuwait indicate that Blackwater never intended to armor its vehicles, which included Honda Pilot SUVs, but instead force Regency into purchasing new vehicles or risk losing its role on the ESS contract.... A second Blackwater employee reported that he was told to "string these guys along and run this Honda thing into the ground" because "if we stalled long enough they (Regency) would have no choice but to buy armored cars, or to default on the contract, and ESS might go directly to Blackwater for security."

A Blackwater lawyer told the committee in February the contractors were given an "appropriate" amount of protection for the threat environment in Fallujah.


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Blackwater Blamed for Guard Deaths
The Associated Press

Thursday 27 September 2007

Washington - Blackwater USA triggered a major battle in the Iraq war by sending an unprepared team of security guards into an insurgent stronghold, a move that led to their horrific deaths and a violent response by U.S. forces, according to a congressional investigation released Thursday.

The private security company, one of the largest working in Iraq and under scrutiny for how it operates, also is faulted for initially insisting its guards were properly prepared and equipped and for impeding the inquiry by the Democratic staff of the House Oversight and Government Reform Committee.

The results of the staff inquiry come less than a week before Erik Prince, a former Navy SEAL and Blackwater's founder, is scheduled to testify before the Oversight and Government Reform Committee, which is chaired by Rep. Henry Waxman, D-Calif., a longtime critic of Blackwater.

The March 2004 incident involving Blackwater was widely viewed as a turning point in the Iraq war after images of the mutilated bodies of the four guards were seen around the world. Four days after the Blackwater guards were killed, a major military offensive, known as the Battle of Fallujah, began.

The combat lasted almost a month in Fallujah, which is 40 miles west of Baghdad. At least 36 U.S. military personnel were killed along with 200 insurgents and an estimated 600 civilians, according to the congressional investigation.

In a statement, Blackwater spokeswoman Anne Tyrrell called the report a "one-sided version" of a tragic incident. She said the committee has documents that show the Blackwater team was "betrayed" and steered into "a well-planned ambush."

The report does not acknowledge "that the terrorists determined what happened that fateful day in 2004," Tyrrell said. "The terrorists were intent on killing Americans and desecrating their bodies."

Donna Zovko, whose son, Jerko "Jerry" Zovko, died in the Fallujah incident, said she hopes the staff report will lead to more oversight and more discussions about the use of contractors.

"Congress can't change anything for my son. He is gone and nothing can bring him back," Zovko said. "But let's see what they can do for the others out there because someone needs to care for these contractors. Blackwater cares about nothing but the mighty dollar."

The families of the four killed contractors filed suit against the company in January 2005, saying that Blackwater's cost-cutting measures led to the deaths. That lawsuit is still pending as a federal judge tries to determine whether it should be heard in arbitration or in open court.

Blackwater has argued in court that it is immune to such a lawsuit because the company operates as an extension of the military and cannot be responsible for deaths in a war zone.

The results of the probe cast Blackwater in more negative light. On Sept. 16, 11 Iraqis were killed in a shoot-out involving Blackwater guards protecting a U.S. diplomatic convoy in Baghdad.

The State Department, one of Blackwater's largest customers, has opened an investigation into the incident. Deputy Secretary of State John Negroponte told Congress Wednesday that the incident in Baghdad was tragic, but called private security companies such as Blackwater essential to operations in Iraq.

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