In the past, I have done blog entries on how the Pentagon is losing money in Iraq and Afghanistan and how it can't account for billions of dollars that have gone missing.
Now we have a report from Bloomberg show how bad it is. According to the report, Dubai company Anham overbilled the U.S. $4.4 million. We learn that the payments included $900 for an electronic control switch valued at $7.05, $4,500 for a circuit breaker valued at $183.30, $3,000 for a $94.47 circuit breaker, $80 for a small segment of drain pipe valued at $1.41 and $900 for a water level control switch that a competitor had offered for $7.05.
And of course, the Pentagon just paid it, no questions asked. The contract with Anham is worth $300 million. You wonder whether the Pentagon has signed more dodgy contracts. This could be the tip of the iceberg of gross financial mismanagement.