Left News and Views

We have finally succeeded in exporting President Bush’s ideal democracy to Iraq. Yes indeed, the surge is working and now Iraqis are wholeheartedly embracing the American dream.

According to the New York Times, “the extent of the theft [by Iraqis] is staggering. Some American officials estimate that as much as a third of what they spend on Iraqi contracts and grants ends up unaccounted for or stolen, with a portion going to Shiite or Sunni militias.” Figuring about a third more is stolen by the private contractors Bush so loves, that leaves another third to be used for bribes.

“Everyone is stealing from the state,” said Adel Adel al-Subihawi, a prominent Shiite tribal leader in Sadr City, throwing up his hands in disgust. “It’s a very large meal, and everyone wants to eat.”

By God, I think they’ve got it.

Abdel could just have well been commenting on the countless FOB multi-nationals that have received no-bid contracts from our commander in chief. We all know of the Haliburtons and Blackwaters. But Bush is an equal opportunity gifter – he has made sure that members of his extended family have been invited to the feast as well as his friends.

According to Democracy Rising, “The extent of Iraq contracts going to corporations which involve members of President George W. Bush’s family is widespread and extensive involving hundreds of millions of dollars.” Many of these firms have no experience in the areas for which the contracts were awarded.

Following are brief descriptions of how Bush family members are profiting from the war, according to Democracy Rising:

Neil Mallon Bush the younger brother of the President, infamous for his involvement in the Silverado S and L scandal, has been hired by Crest Investment Company as a consultant for $60,000 per year to assist with their efforts to serve as a middleman to advise other companies that seek taxpayer-financed business in Iraq. Working with Crest puts Neil Bush at the center of multiple organizations profiting from the war and occupation in close alliance with long-term Bush Family allies.

William H.T. (”Bucky”) Bush, an uncle of George W. Bush, joined the board of directors of the St. Louis based company Engineered Support Systems in March 2000. Engineered Support Systems has three areas: light military support equipment, heavy military support equipment, and electronics/automation systems. Since 2000, following the presidential election and the 9-11 attacks, the company’s federal contracts, revenues and its stock value have all gone up. Engineered Support Systems has been in the top 100 contractors with the DoD since 2001. It’s contracts with the U.S. military have totaled over $1 billion.

Bucky is also a trustee for the investment firm Lord Abbott, one of Halliburton’s top 10 shareholders and also a top-ten mutual fund holder in Halliburton, which has obtained prime contracts in Iraq. Vice President Cheney, the former CEO of Halliburton, still has between $18 million and $87 million invested through Vanguard, another top-ten holder in Halliburton stock.

Marvin P. Bush, the youngest brother of George W. Bush, who probably did the best of all, shares an interest in federal contracts held by companies in his firm’s portfolio. Marvin Bush is also an adviser at HCC Insurance, formerly called the Houston Casualty Company, one of the biggest insurance carriers for the World Trade Center. Bush was a director at HCC, which has benefited financially from the 9-11 insurance bailout legislation passed by Congress at the instigation of the White House. The departure of Marvin from the HCC board was announced the same day, November 22, 2002, as the passage of the bill.

Marvin Bush is co-founder and partner in Winston Partners, a private investment firm which is part of a larger firm called the Chatterjee Group. According to SEC filings, the Chatterjee Group consists of Winston Partners, LP; Chatterjee Fund Management, LP; Winston Partners II LDC, a Cayman Islands-based company; Winston Partners II LLC; Chatterjee Advisors LLC; Chatterjee Management Company; Mr. Chatterjee himself; and Furxedown Trading Limited, a company organized under the laws of the Isle of Man. The address for Winston Partners II LDC is in the Netherlands Antilles. The other subsidiaries were organized in Delaware. Jeb Bush is also an investor in the Winston Capital Fund, which happens to be managed by Marvin’s firm.

According to the Sept 30, 2003, issue of Mother Jones, an $80 million Iraq contract was awarded to Nour, a company which began in 2003 with ties to Winston Partners. Nour is an “international investment and development company” with more than 100 employees based in Iraq, and claims expertise in telecommunications, agribusiness, internet development, recruitment, construction materials, oil and power services, pharmaceuticals and fashion apparel.”

In January, 2004, Nour was awarded a $327 million contract to equip the Iraqi armed forces and Civil Defense Corps. However, not long after it was awarded, Nour came under heavy scrutiny because of questions involving the company’s president and Ahmed Chalabi, of the US appointed Iraqi Governing Council. Newsday reported, Chalabi received a $2 million “fee” for helping to arrange a $80 million contract, that was actually awarded to a firm called Erinys International “within days” of being granted the contract, Erinys became a joint venture operation with Nour.

In addition, after the $327 million contract was awarded it was revealed that Nour had no prior experience in providing military equipment. Nour’s response was it planned to subcontract its weapons procurement to the Polish firm, Ostrowski Arms – unfortunately, Ostrowski didn’t even have a license to export weapons. After these concerns the Army decided to terminate the contract with Nour. This added to the delays in body armor and other equipment that have increased the risks for U.S. soldiers. In May 2004, ANHAM, a joint venture with Nour, based in Vienna, Va., was the winner of a $259-million contract to equip the new Iraqi army and security forces with guns, trucks and other equipment. Nour lists current Iraq projects with the Ministry of Oil, the New Iraqi Army, and Criminal Intelligence in Iraq, Security in Iraq.

Winston Partners’ also are heavily invested in another military contractor, the Amsec Corp. In 2001, Amsec was awarded $37,722,000 in contracts from the Navy. Marvin Bush’s long-time business partner, Scott Andrews, sits on the Amsec board of directors, and the firm’s CEO at the time was Michael Braham, who used to work for none other than Paul Bremer, the Administrator of the Coalition Provisional Authority.
In addition, the Chatterjee Group also owns 5.5 million shares in a security company known as Sybase. SEC filings show the shares as being divided up between, Winston Partners LP with 1,036,075 shares; Winston Partners LDC holding 1,317,825 shares; and Winston Partners LLC owning 1,221,837 shares. Sybase prepared to make major profits from the Patriot Act long before it was passed. Sybase created a product called the “Sybase PATRIOT Compliance Solution” to track money laundering by terrorists.
Sybase also is a significant government contractor, with contracts from the Navy ($2.9 million in 2001), the Army ($1.8 million in 2001), the Department of Defense ($5.3 million in 2001), Commerce, the Treasury, Agriculture and the General Services Administration, among others. The federal procurement database lists Sybase’s total awards for 2001 as $14,754,000.

In 1993, shortly after the first gulf war, Marvin Bush joined his father, George H.W. Bush (three months out of office), on a trip to Kuwait. Where, according to the March 16, 2001 Austin Chronicle, “Marvin was representing U.S. defense firms selling electronic fences to the Kuwaiti Defense Ministry.”

So you see, we really are training the Iraqis well.