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Halliburton unit settles fraud case
KBR pays $8m to settle fraud claims over Kosovo construction contract.
Last Modified: 29 Nov 2006 19:07
Halliburton almost sold its controversial Kellogg, Brown and Root (KBR) subsidiary in 2004

A Halliburton subsidiary, KBR, has agreed to pay the US government $8m to settle fraud claims relating to an army supply contract.

 

The agreement follows a legal probe into allegatio

A legal statement said: "The settlement resolves allegations under the False Claims Act that concerned various purchase orders awarded to 10 different foreign KBR subcontractors or vendors."

Peter Keisler, an assistant attorney general for the department’s civil division, said: "The Department of Justice remains committed to vigorously pursuing allegations of procurement abuses affecting the military."

 

Some of the allegations against KBR concerned double-charging and the delivery of "non-conforming products" by suppliers for use in the construction of Camp Bondsteel in Kosovo.

 

KBR is an engineering, construction and services subsidiary of the Houston-based energy firm Halliburton, which was formerly led by Dick Cheney, the US vice president.

 

Halliburton and KBR have weathered numerous contracting controversies since Halliburton was awarded a no-bid $2.4 billion contract to supply the US military on the eve of the US-led invasion of Iraq in 2003.
Source:
Agencies
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