
Whatever it takes. Blackwater, now know as Xe, the controversial private military firm that killed civilians in Iraq and violated US federal laws, has been using dummy companies to get contracts from the US government.
The New York Times reports that the firm set up more than 30 shell or dummy companies to get millions of dollars of government contracts, including some from the US military and the CIA. Blackwater received more than $600 million worth of contracts from the CIA.
James Risen and Mark Mazzetti from the New York Times report: "The network of companies – which includes several businesses located in offshore tax havens – allowed Blackwater to obscure its involvement in government work from contracting officials or the public, and to assure a low profile for any of its classified activities, said former Blackwater officials, who, like the government officials, spoke only on condition of anonymity."
That in turn raises an important question. What does it say about the standard of the due diligence of the US government? Or were government officials in on the scam all along?
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