A US congressional inspection team set up to monitor reconstruction in Iraq today publishes a scathing report of failures by contractors, mainly from the US, to carry out projects worth hundreds of millions of dollars.
In one case, the inspection team found that three years after the invasion
only six of 150 health centres proposed for Iraq had been completed by a US contractor, in spite of 75% of the $186m (£100m) allocated having been spent.The report says: "Fourteen more will be completed by the contractor, and the remaining facilities, which are partially constructed, will have to be completed by other means." The inspectors blame the failure in this instance on management problems and security concerns.
Up to last month, Washington had invested more than $265m to improve the protection of energy infrastructure in Iraq.Task Force Shield sought to cover 340 key installations, 4,000 miles of oil pipeline, and 8,000 miles of electrical transmission lines. In a separate section, the report notes that a former contractor and former senior staffer in the now defunct US-led coalition government are facing jail sentences 30 to 40 years on corruption charges.The contractor will have to pay $3.6m in restitution and forfeit $3.6m in assets.
Apart from mismanagement and corruption, the report identifies continuing attacks by Iraqi insurgents as one of the main reasons for the delays and failures. It says: "Insurgent activity continues to impede ongoing reconstruction projects and interrupt their transition to Iraqi control. "But the attacks remain concentrated in a few areas, leaving daily life in much of the rest of Iraq - particularly the Kurdish north and some areas of the south - in a state of gradual recovery."
Congress has approved
$21bn for reconstruction since the invasion, of which 67% has been allocated. Precisely how much has been squandered is not known but the congressional team has been carrying out investigations and publishes quarterly reports. Last year the congressional team reported that
almost $9bn in Iraqi oil revenues disbursed to ministries had gone missing.