Military Review

Pentagon caught in embezzlement of budget funds

42
For more than ten years, Pentagon officials have systematically forged financial statements, trying to hide the loss of multi-billion dollars from the US military budget. This is stated in a sensational investigation by Reuters, published on the agency's website. According to experts polled by Reuters, the existing order not only caused serious damage to the budget, but also challenged the US readiness because the Pentagon is unable to soberly assess existing reserves because of false accounts. weapons, ammunition and other materials. And no one excludes that at the most important moment it may turn out that many parts have special equipment and weapons only on paper.


Dozens of witnesses, among whom there are both former and current Pentagon employees, point to the facts of numerous violations. In particular, the agency cites the words of the former employee of the Ministry of Finance and Accounting Ministry Linda Woodford. According to her, army accountants regularly had to deliberately enter counterfeit accounts in the financial statements sent to the treasury. In this case, the woman has no doubt that these "inconsistencies" in military reports did not appear for no reason - huge sums of money now and then disappeared in an unknown direction. Trying to understand the situation, the accounting department every time frantically rang round the military units about dubious accounts. Nevertheless, a significant part of the costs remained unconfirmed. At the same time, accountants now and then turned a blind eye to it and, trying to reduce the balance, they entered in the statements the so-called “gags” - fake accounts for certain services and goods.

The existence of such methods to the agency was confirmed by other witnesses working in different departments and parts of the Pentagon. Journalists cite the words of a certain Jeff Yokel, who worked in the financial and accounting service of the Pentagon for 17 years. He admitted that every month thousands of non-existent accounts had to be written into the accounting papers, thereby covering the loss of incredible amounts of money and pieces of equipment and ammunition.

According to experts, the corruption losses from these criminal schemes are estimated at billions of dollars. In particular, Reuters cites data from the Pentagon’s inspector general. According to his information during the audit, it was not possible to establish the location of various assets, which from 2003 to 2011 distributed over the existing and reserve parts, amounting to almost $ 6 billion.

Recall that the US military is by far the largest recipient of funds, which accounts for almost half of all US budget expenditures. This year alone, Americans spent 633 billion dollars for military needs, which is about 40% of world spending in this area.

However, as Reuters notes, despite the immense scale of financial “injections”, the Pentagon remains the only government agency that does not undergo an annual state audit of its spending. About his need now and then say one or other members of the US Congress. In May, then Secretary of Defense Robert Gates even spoke about the problem 2011. “I was surprised to learn that it’s almost impossible to get accurate information and answers to questions such as“ How much money do you spend? ”And“ How many people do you have? ”. It would seem that the existence of the problem is recognized at the very top, but nevertheless there is no progress in this topic.

“Corruption in the Pentagon is a fact,” commented military expert, retired colonel Viktor Baranets. “I don’t remember a year when the control bodies or the Congress would not expose fraudsters in Pentagon structures.”

Officially, the Pentagon blames everything on the technical impossibility of cost accounting. According to military officials, the cumbersome financial system of the department is simply not ready for audits. They say that different units of the armed forces and ministries compile financial reports on outdated and incompatible computer systems, many of which use the programming languages ​​of the 1970-s. It is reported that at the moment there are thousands of ways of accounting. However, as Reuters sources note, no one has yet named their exact number. It is known that the department has repeatedly tried to systematize the methods of evaluation and accounting. According to Reuters, tens of billions of dollars were spent on this. “But at the same time, many of these systems are not able to perform all the tasks,” the article notes.

Some lawmakers are starting to lose patience. Senators Tom Coburn (Republican of Oklahoma) and Joe Manchin (Democrat of West Virginia) presented a bill restricting funding for new programs and imposing a ban on the purchase of new information technologies in the event that the Pentagon is not ready for an audit by 2017 year. It will also prevent the Pentagon from acquiring new information technologies that require more than three years to be implemented.

Formally, the question seems to be solved. According to the current plans, the Ministry of Defense should bring its management and financial structures in line with the requirements set during the audit, no later than 2017. Although a number of experts say that, if desired, this can be done faster.

The Pentagon has repeatedly been criticized for incomprehensible and unreasonable squandering. For example, two years ago, Pentagon deputy head Clifford Stanley resigned due to 400 embezzlement. According to the investigation, he spent these funds on the equipment of the meeting room in his office, about which eyewitnesses called it “excessively expensive”. In addition, there are regular reports in the American press that during a given operation - be it Iraq or Afghanistan - millions of budget dollars are deposited in the pockets of high-ranking officers and stakeholders.

A lot of controversy arises around the feasibility of such hostilities. Already, most experts agree that the operation in Afghanistan has completely failed, which means that the money allocated for it has actually been wasted.

“The cost of this war has exceeded 800 billion dollars,” says military expert Viktor Baranets. - What do we have at the exit? We have the same ruined country and the shameful exit of Americans from Afghanistan. This adventure is a great strategic miscalculation by the US government and the Pentagon. Taxpayers' money, in fact, turned out to be buried in the sand. ”
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  1. Oskar
    Oskar 6 December 2013 11: 02 New
    +2
    Everyone has their own "Serdyukovs" ... Only these, I think, will sit down.
    1. klimpopov
      klimpopov 6 December 2013 11: 26 New
      13
      Again, probably a couple of tens of billions of toilet paper was bought for the army. laughing
      Only these, I think, will sit down.

      Yes, it’s not at all a fact, everything is sold there and everything is bought, and the cabbage is fantastic, so ...

      They say that various units of the armed forces and ministries prepare financial reports on outdated and incompatible computer systems, many of which use programming languages ​​from the 1970's.

      Ahaha haha ​​went under the table))) Computer programs aaaaa

      Here!
      Advise!
      1. Canep
        Canep 6 December 2013 13: 04 New
        +5
        Quote: klimpopov
        Yes, it’s not at all a fact, everything is sold there and everything is bought, and the cabbage is fantastic, so ...

        They say that various units of the armed forces and ministries prepare financial reports on outdated and incompatible computer systems, many of which use programming languages ​​from the 1970's.

        Ahaha haha ​​went under the table))) Computer programs aaaaa
        Greetings Klim hi
        Honestly, I did not understand what is the relationship between programming languages ​​and financial statements. I don’t even know how to laugh or what?
        And the Serdyukovs are everywhere and even in uncorrupted democratic America.
        1. klimpopov
          klimpopov 6 December 2013 13: 12 New
          +3
          Honestly, I did not understand what is the relationship between programming languages ​​and financial statements. I don’t even know how to laugh or what?

          Greetings!
          Well, apparently, the algorithms in the programs do not suit and do not meet the requirements of modern ones.
          Tolley is our business 1s laughing
    2. Ezhaak
      Ezhaak 6 December 2013 11: 54 New
      +4
      Quote: Oskar
      Everyone has their own "Serdyukovs" ... Only these, I think, will sit down.

      Well, let's think about it. With Serdyukov, so beloved by many talkers, not everything is over yet. Let's start talking in this style when everything is completely settled. While the puddle of "people's anger" spills out beyond the puddle itself, we will wait, having gained patience. And here's the fun part !!! How long will the amer's thieves sit down? I suppose, too, for ridiculous terms, like many before.
      1. Canep
        Canep 6 December 2013 13: 10 New
        +4
        Yes, no one will sit down with them, they themselves said at the Pentagon: - "We have something here that the debit and credit do not converge to 200 billion, maybe the Ministry of Finance will see how and what?" This suggests that there is no one there, they will write off everything in one act and the case is over, well, they will fire someone for violations in reporting.
      2. Fish_Ob_Ice
        Fish_Ob_Ice 6 December 2013 23: 04 New
        +3
        About the wonderful transparent and objective judicial system in the most democratic country in the world it is well told here:
        http://kilativ.livejournal.com/1521560.html

        The peasant was accused of killing his wife and imprisoned forever. There was no evidence as such, there was no motive, but the prosecutor convinced the jury that the man was guilty and put him in jail. The prosecutor hid data on some evidence, such as the testimony of the deceased's little son, who saw that day a stranger’s house, as well as a bandanna found in the forest with traces of the victim’s blood, which was later tested and found another blood on it. person. The real killer remained at large and two years later he killed another woman (his DNA coincided with the blood DNA on the bandana). The innocent father of the family was released after 25 years of imprisonment (his own son had already abandoned him at that time) after the intervention of a non-governmental organization that, after long battles, obtained a genetic examination of the bandana. During this time, ok the prosecutor became a judge in 2001. Can you imagine how many people he sent to jail, or maybe to the gallows (lethal injection) in 12 years? Do you know how this case ended for the prosecutor / judge? For 25 years of an unrighteous prison he received ... 10 days of imprisonment, of which he served half! He was also fined 500 bucks, received 500 hours of community service, and resigned as judge. The most severe punishment - the lawyer license was taken from him. Given that the judge is of retirement age, and the judge’s pension was not taken away from him, he can only laugh. Does this seem unfair to you? So, this is generally the FIRST case when the prosecutor was punished at least somehow for sending an innocent person behind bars. And, by the way, they created a precedent in terms of the future responsibility of prosecutors - 5 days in prison. (with)

        There is also a link to the original article in English. And you are talking about the Pentagon! The raven will not peck out the crow.
    3. Airman
      Airman 6 December 2013 13: 46 New
      +1
      Quote: Oskar
      Everyone has their own "Serdyukovs" ... Only these, I think, will sit down.

      Some will sit, others will sit in their chairs. That is why America constantly needs an armed conflict in order to write off something. The scheme is as old as the world. If there are no enemies to fight, create them.
    4. smile
      smile 6 December 2013 15: 47 New
      +1
      Oskar
      You should think so in vain - given that up to 40 percent of the military budget is creeping out in the Pentagon (estimate the size and scale), and sit down no more often than ours, then nothing threatens their Serdyukovs - even public censure - their names are not exaggerated, the Pentagon observes uniform honor ..... and the Americans do not yell. that they are the most corrupt and thieving on the planet.
      And Serdyukov was covered with envy, probably. realizing that there would be nothing to him at all ... and the amounts are not comparable .... :)))
      1. Kolovrat77
        Kolovrat77 6 December 2013 16: 29 New
        +1
        Volodya, I think everything is just like a steamed turnip: Serdyukov knows a lot to the west, no, he himself understands it. The people want blood, but the stool hints about whoever needs to be seated, I’ll talk to the press, he cannot die (suddenly), because even if he has a hard chair (drift), then the liberals will yell like Putin personally laxated him. So what to do then?
        1. smile
          smile 6 December 2013 18: 03 New
          0
          Kolovrat77
          The devil knows how it really is .... in my opinion, it’s not easy at all ...
          The fact that Taburetkin knows a lot, in every sense, is understandable. The fact that it can be quickly finished off - I think, is also understandable, albeit illegal - and the liberals don’t give a damn why they stop yelling and stealing ... but if Putin starts killing, many of his own will recoil from him - everyone will think about it . what might happen to be the place of the stool - not necessarily due to theft ....
          But why did the government itself raise a high about Serdyukov? At first we were all enraged, kindly provided information, and then? Dark business ....
          I have reasonably well-founded versions, but I will not present them to her — there is no evidence, and I myself am not sure, all the more so as I don’t know what the investigation was about according to Serdyukov ....
          And it really needs to be kept under a tight cap - after all, a secret bearer of such a level ... and even offended .... he is simply dangerous.
          1. Kolovrat77
            Kolovrat77 6 December 2013 18: 44 New
            +1
            Quote: smile
            but if Putin starts to kill


            I agree.


            Quote: smile
            At first we were all enraged

            They began to piss off almost immediately - I open some kind of magazine, and there is a mistral, everything immediately fell for me, and then Iveki, stupid wheeled tanks (I actually, the Italians who did not win more than one war almost died teach us what should be tanks), and the people and the army are united - and quietly infuriated everyone. The military has its own claims, the military-industrial complex has its own-should have a reaction-removed-a little, you need "blood" - an ambush. To be honest, I would agree in this situation ... which I think and are trying to do, but Serdyukov seems to be wobbling.
            1. smile
              smile 6 December 2013 23: 37 New
              +2
              Kolovrat77
              Well, here I agree with you I ... completely .... I saw his face like ... I recognized his track record .... everything fell down .... most of all I can not forgive the destruction of the higher military system education, the destruction of personnel (on a scale that was not even dreamed of by those who ascribe to Stalin the destruction of our officers before the war), and the destruction of legendary formations like the Berd brigade ..... but how can you get all the air force to just a few air bases ... and then rebuild the killed airfields and redistribute the aircraft again? .... compared to this, Mistral, the Shura of moore with Ivek and the fact that he and his women were stuffed little things in life ....
              1. Kolovrat77
                Kolovrat77 7 December 2013 01: 34 New
                +1
                I agree with everything, but for me personally "love" began with the mistral. I had no time then to follow this, so infa on TV, but the negative slowly accumulated - you can't hide the sewing in the bag, people say. Srach with vseperalshchiki goes in real life and this mistral to me ... uh.
    5. saxa2103
      saxa2103 6 December 2013 20: 50 New
      +1
      Serdyukov Loshchar compared with them, ugh who they have there
    6. AVV
      AVV 6 December 2013 22: 10 New
      0
      It turns out that the fight against corruption is conducted not only in our country, but also in our partners !!! In this, the Americans, and we and other countries, will be given a head start, because their military budget is many times higher than ours !!!
    7. Deniska999
      Deniska999 7 December 2013 08: 11 New
      0
      They also know how to give bribes.
    8. Deniska999
      Deniska999 7 December 2013 08: 11 New
      0
      They also know how to give bribes.
  2. Very old
    Very old 6 December 2013 11: 08 New
    +4
    Powers - on Abel
    Offer: exchange their embezzlers with ours.
    Accordingly, to judge (they say, we have a presidential amnesty on the nose)
    1. Oskar
      Oskar 6 December 2013 11: 11 New
      +1
      We’ll release them, and ours will receive a fatal injection! Option!))))
  3. alex-kon
    alex-kon 6 December 2013 11: 49 New
    +3
    So the United States is slowly adopting the experience of Russian officials. Give the Pentagon "Serdyukovs" more and more experienced. good laughing
    1. Lord of the Sith
      Lord of the Sith 6 December 2013 12: 31 New
      +5
      Well, you compared. Such a huge scale, Serdyukov still went under the table when tens of billions disappeared in the United States. So, Russian officials just take the experience from them, only the problem, the budgets are different.
      1. Very old
        Very old 6 December 2013 14: 21 New
        +2
        Mark Twain (Clemens) spoke about this 100 years ago
        1. saxa2103
          saxa2103 6 December 2013 21: 05 New
          +2
          they don’t know who Mark Twain is in the USA, if Mickey Mouse or Batman
  4. Sochi
    Sochi 6 December 2013 11: 57 New
    0
    They steal everything, but not everyone comes across - like all over the world, everyone lies to us and not everyone comes across, but nobody sits.
    1. saxa2103
      saxa2103 6 December 2013 21: 07 New
      0
      damn bad luck
  5. Stinger
    Stinger 6 December 2013 12: 49 New
    +2
    The war will write everything off. No wonder this motto appeared. For embezzlers - you can’t imagine a better idea.
    1. saxa2103
      saxa2103 6 December 2013 21: 09 New
      0
      big war - write-offs more, where are the glorious times of vietnam ???
  6. ReifA
    ReifA 6 December 2013 12: 56 New
    +3
    Everyone is stealing everything. Where are honest people then? I would bring a few hundred, at least to the government.
    1. Very old
      Very old 6 December 2013 14: 22 New
      0
      And all these hundreds will be strangled on the first day
    2. saxa2103
      saxa2103 6 December 2013 21: 20 New
      0
      Yeah, just put the antivirus program, and the government needs to change the vector - steal, yes health - here is the EU, the pyramid? Here is the United States, and then look for your own, not by concepts bully
  7. yan
    yan 6 December 2013 13: 06 New
    0
    It was not in vain that the official’s rule was proposed not to be kept in one place for more than five years; Although they have let the defenses undermine, the Alliance
  8. forester
    forester 6 December 2013 14: 09 New
    +1
    [] [/]: laughing :
    Quote: Old very
    Powers - on Abel
    Offer: exchange their embezzlers with ours.
    Accordingly, to judge (they say, we have a presidential amnesty on the nose)

    so they can be our henchmen behind enemy lines - then in exchange it makes sense - to reward [right] [/] [] [/]
  9. Betahon
    Betahon 6 December 2013 14: 18 New
    -1
    “The cost of this war has exceeded $ 800 billion,” says military expert Viktor Baranets. - And what do we have at the exit? We have the same ruined country and the shameful exit of the Americans from Afghanistan. This gamble is a great strategic miscalculation by the US government and the Pentagon. Taxpayers 'money, in fact, turned out to be buried in the sand "... I agree with Baranets that they and our soldiers" bury taxpayers' money in the sand "... So Smerdyukov buried millions of people's money on the road to his dacha! !!
    1. The comment was deleted.
  10. VADEL
    VADEL 6 December 2013 15: 54 New
    0
    Quote: Very old
    Offer: exchange their embezzlers with ours.

    Is it like: "I change the big recumbent for the small standing one, my wife and the dacha in addition"?
  11. Farik
    Farik 6 December 2013 15: 54 New
    +1
    The more dough they saw in AI, the stronger our defense and the faster the collapse of the economy and default in the United States.
    1. saxa2103
      saxa2103 6 December 2013 21: 23 New
      0
      so sure ostap bender in congress !!!
  12. Lumumba
    Lumumba 6 December 2013 16: 20 New
    0
    Quote: Farik
    The more dough they saw in AI, the stronger our defense and the faster the collapse of the economy and default in the United States.


    They don’t care. More bucks will print. And democracy will always be where to export.
  13. Guun
    Guun 6 December 2013 18: 21 New
    0
    Serdyukov with them just share the boy, the thief crayons if you look at the scale.
  14. tomich
    tomich 6 December 2013 20: 11 New
    0
    the Pentagon to the Ministry of Defense of the Russian Federation far))
  15. EdwardTich68
    EdwardTich68 6 December 2013 20: 16 New
    0
    Reuters is just a newspaper which, in the absence of pipyfax, can be wiped off.
    1. saxa2103
      saxa2103 6 December 2013 21: 25 New
      0
      dual-use goods
  16. avg
    avg 6 December 2013 23: 21 New
    0
    The Ministry of Defense should bring its management and financial structures in line with the requirements for the audit no later than 2017.

    Well, the timing of the next democratization is looming, it remains to appoint an object. what
  17. Mjolnir
    Mjolnir 6 December 2013 23: 37 New
    0
    How nice it was to read the article ...
    Of course it’s not good to rejoice when others feel bad, but I can’t help myself (I don’t want to).
    Likely opponent after all.
  18. timhelmet
    timhelmet 6 December 2013 23: 56 New
    0
    As partners from the USA would put it: Oh ess, baby!
    It is rightly noted in the comments that capitalism begets the Serdyukovs.
  19. Ivanovich47
    Ivanovich47 7 December 2013 14: 55 New
    0
    It turns out that Serdyukov's brothers "in reason" are sitting in the offices of the Pentagon. The sirs are robbing their own ministry worth millions and billions ... dollars. This is what is called high-flying birds. Maybe send Serdyukovites to the Pentagon? Let them "work". Maybe the potential of the US army will be reduced?
  20. Ivan Denikin
    Ivan Denikin 7 December 2013 17: 06 New
    0
    There is nothing surprising. The most ambitious Pentagon scam with budget money was and is under the so-called Nunn-Lugar program. Beginning in 1993, the United States, hoping for the final weakening of the former Soviet republics, which had a huge potential for nuclear deterrence, began to allocate colossal funds to reduce the military threat, thereby ruining strategic troops (submarine fleet, Strategic Missile Forces, Air Force, etc.). It is known how it ended for the Russian Federation and Ukraine. In the Russian Federation, the world's most powerful submarines of the Akula class (Project 941) were disposed of, Tu-160 and 95 bombers were cut, missile units were disbanded, etc. I am generally silent for Ukraine, I want to cry. As of 2003, everything has been cut and disposed of. Even that did not concern nuclear weapons. Moreover, the Nunn-Lugar program reached the border service, customs, ministry of health, veterinary service, ministry of internal affairs and ministry of defense. These scams involved American private corporations closely affiliated with the Pentagon (RUMO), the CIA: Washington Group, Hughes, Backtel, Rating, JURS Federal Services, Black and Witch and others. The Pentagon even created a special agency to "master" budget money, which still bears the formidable name of the Agency for the Reduction of Military Threats. In fact, this is a screen for the collapse of the military power of a potential adversary through the mechanisms of material and technical assistance within the framework of the Nunn-Lugar program. The managers from the agency are unaware that American money entering the countries of the former USSR for the implementation of WMD nonproliferation projects tends not only to disappear, but to be used for personal purposes by representatives of the aforementioned companies. Simply, we have created a favorable environment for them for theft, in which the Americans themselves are involved.
  21. Ivan Denikin
    Ivan Denikin 7 December 2013 17: 06 New
    0
    Take, for example, the project for the disposal of solid rocket fuel for RS-22 rockets, which is "implemented" by the Pentagon through the JURS Federal Services in Pavlograd (Ukraine). The Americans threw in so much dough there that they still cannot believe that in the 20 years of the collapse of the Ukrainian missile forces, they will have to work out (i.e. finance) the project for at least 7 more years. And all because of the fact that such a skilled manager as Mark Heslop is at the head of the project. For 6 years this eccentric has managed to cheat his owners in Washington so much that at every inspection of the project, the Americans cannot understand where their money went, although the work has not been completed, but there are no violations. It's simple, this businessman understood the meaning of life from the head of the PCP, Mr. Shiman. This director taught M. Heslop how to spend money correctly, i.e. in the mind. Fortunately, there are many of them in the United States, while in Ukraine there is inflation and very muddy schemes for avoiding taxation. They managed to get to the point that Shiman received a whole Hero of Ukraine (ie a gold star) for this, apparently he knew to whom to transfer the unaccounted "remnants" of American money.
    Or take, for example, the ill-fated project to reduce bio-threats in Russia, Ukraine, Georgia, Kazakhstan, Azerbaijan and Armenia. This scam began to be implemented exactly after the color revolutions in famous countries. Its essence is to put under the full control of the Pentagon the national systems of epidemiological and veterinary control through the network of biological laboratories already built by the Pentagon in the indicated republics. For the implementation of the project, and, accordingly, the "assimilation" of the US budget money, the Black and Vitch corporation (USA) was hired, and the money was considerable - more than $ 2 billion. Thomas Wahl was appointed to manage the company's representative office in Russia, and Matthew Webber in Ukraine. These gentlemen were so stealing that they managed to brazenly overestimate the cost of all laboratories built in Ukraine, Georgia, Azerbaijan tenfold. That is, the modernization of one laboratory is declared by the Americans at 2-3 million dollars. In fact, according to independent examinations - about 500 thousand. These deals did not even bother to provide supporting documents on the cost of materials, design and estimate documentation, etc. Accept the pier with a certificate issued by the middle clerk of Black & Veitch. Thus, over 8 years of its stay in Ukraine, Georgia, Kazakhstan, this company and its patrons in the US embassies (and these are the threat reduction departments) stole about $ 100 million in total. This is not speaking for other non-bio-related projects.
    Part of the money goes to support "democracy", "freedom of speech and human rights", funding the right people and fighting those who look wrong, ie. not American - "east."
    Here is such a small essay.
  22. theadenter
    theadenter 7 December 2013 20: 53 New
    0
    I think there are a lot of such episodes, but they are carefully hidden.