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Billions Wasted in Iraq

Posted on Nov 9, 2006
Stuart Bowen

Stuart Bowen of the Office of the Special Inspector General for Iraq Reconstruction says billions of dollars of Iraq’s national income are lost annually to corruption, with public funds often ending up in the hands of insurgents.  Bowen’s oversight office is set to close due to legislation passed by the Republican Congress.


Stuart Bowen told the BBC that Iraq was facing a second insurgency of corruption and mismanagement.

He said Iraqi government corruption could amount to $4 billion a year, over 10% of the national income, with some money going to the insurgency.

Many government workers also lack the skills to manage funds, Mr. Bowen said.

“This money that’s stolen doesn’t merely enrich criminals,” Mr. Bowen said.

“(It) frequently goes out to fund criminal militias or insurgents. That means lost lives for U.S. troops.”


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By Iraqi Commander, October 1, 2008 at 3:51 pm Link to this comment
(Unregistered commenter)

I am an Iraqi whom has worked with PCO/GRD for over 4 years now. I find this outlandish claims against Worley Parsons, John Desimone and Charles Walden a joke inititaed by Ken Dominique and Marke Wuele. These persons have written these comments not for there truth but due to them being terminated by those they comment on. All should be aware that these two individuals worked for WII and United services for numerous years in Iraq and performed no value for the monies paid to them, they both would continually be taking drugs and alcohol on the sites and incorrectly advise the Ministry of repairs of equipment that they had no knowledge of, the waste of money that was spent on these two is the real cause for anger for the US taxpayers.
All whom now read this email and have worked with Kenny Dominique or Mark Wuele will know the truth

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By Employee In Iraq, June 27, 2007 at 1:17 pm Link to this comment
(Unregistered commenter)

The US Government has let its ability to think, slid back into the sewers one more time, which is not unusual for POLITICIANS. The US Government has allowed another Parsons fiasco, get by it’s intelligence level by allowing Worley/Parsons to give to Parsons Brinkenoff the lucrative O&M Contract in Iraq and will be transferring the Worley/Parsons Team which has been the cause of most of the problems in Electricity Sector in Iraq to the Parson Brinkenoff Team, which is to say to the US Government we are going to continue screwing the American Taxpayers as long as we can. The Worley/Parsons Team was the major cause of some of the largest fiascos, corruption, fraud, waste of taxpayers’ money, power plants staying off the grid for weeks at a time, most of these team members have either been run off projects, or an attempt was made. These two companies Worley/Parsons and Parson Brinkenoff are not 100% American OWNED COMPANIES, but they are wasting AMERICAN TAXPAYERS MONEY. Instead of giving these lucrative contracts to partially foreign companies that are supposedly Government Friendly, let’s award these contracts to WHOLLY OWNED AMERICAN COMPANIES that would be friendlier to the AMERICAN TAXPAYER, instead of POLITICIANS that want to LINE their POCKETS at the EXPENSE of the AMERICAN TAXPAYER. AMERICA WAKE UP before these corrupt companies bankrupt AMERICA. If we were to look back on the Contracts that Parsons has defrauded the AMERICAN TAXPAYER in Iraq and the unprofessional workmanship that was performed throughout IRAQ by this Government Friendly Company, projects that were never completed, projects that Parsons subbed to Iraqi Companies with NO Overseeing the work being done, the Projects that had huge cost overrun, due to corruption, fraud, poor book keeping, unprofessional workmanship, shoddy workmanship, unprofessional supervision, and over billing the US TAXPAYERS thru the US Government.
Worley/Parsons has transferred such incompetent personnel such as John Desimione and Chuck Waldren to the Parsons Brinkenoff O&M Contract; these were some of the MAJOR PROBLEMS with the GRD and its employees. The problem has just been transferred from the one Parsons Organization to another. I am still in Awe that the UNITED STATES GOVERNMENT is still so INCOMPENTANT in allowing a CONTRACTOR that has committed so much FRAUD, SUBSTANDARD WORK, COST OVER RUN, INCOMPLETE WORK, and got paid have another LUCRETIVE CONTRACT (GOVERNMENT FRIENDLY COMPANY). WAKE UP AMERICA!!!

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By Former Contractors in IRAQ, June 15, 2007 at 8:07 am Link to this comment
(Unregistered commenter)

Holy crap!!! I know John Desimone, he was the Controls Eng. at the Mulla Abdulla Power Plant in Kurkuk (2004). This explains a whole bunch of things.

Glad the GRD is getting hammered. Bunch of Assholes…

Send me any more articles if you run across them.

I wish I had time to tell you the whole story about this guy. Our Project Manager had him escorted off our site with our security.

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By iraq.spy, June 9, 2007 at 2:50 pm Link to this comment
(Unregistered commenter)

At KAZ Combustion Turbine #5 had a fuel explosion in the exhaust plenum on approximately 28-March-2006, due to Operator errors and not completing a purge as required by GE Standards on a GE Frame 9E Combustion Turbine. Worley/Parsons (PCO/GRD) issued Contract for repairs on the exhaust plenum, work done by Contractor was not to GE Specifications and Standards, and also not completed, but was paid by Worley/Parsons (PCO/GRD) with AMERICAN TAXPAYERS MONEY. MILLIONS of DOLLARS of SPARE and NONUSABLE PARTS are in CONNEXS throughout Iraq, being stolen and sold, and NO ACCOUNTING for these MILLIONS of DOLLARS of parts and materials.

At Shaiba Power Plant a Gas Skid was installed with a Gas Scrubber to remove liquids from the Natural Gas, thus allowing liquid condensate to bypass Knockout Drums and Coalescers and being fired into the GE Frame 5001 Combustion Turbine, that has only been setup to fire on Dry Natural Gas, thus diminishing the longevity of the Combustion Turbine life. There are also 2 Alstom Cyclones Combustion Turbines at site that has hardly been ran due to Operator have no training on operations and maintenance for these particular Turbines another waste of SEVERAL MILLION DOLLARS of AMERICAN TAXPAYERS DOLLARS.

At Mosal Power Plant Worley/Parsons (GRD) Controls Engineer Manager (John Desimione) refused to approve the purchase of Combustion Turbine Protection I/O Cards, thus when Plant has a Card failure, the Power Plant Shutdown that Turbine thus keeping approximately 260 MW off Grid for extended period of time, until new card is ordered and purchased, thus denying the Iraqi People the electricity that is badly needed, but allows Worley/Parsons (GRD) to look good on paper as they appear to help resolve the problem by ordering the proper Protection I/O Cards that should have been in stock. All major Turbine Manufactures issue a 2 YEAR SPARE PARTS LIST that should be purchased and keep in stock for immediate use, but Worley/Parsons (GRD) refuse to purchase, excuse is funding not sufficient.

Another Worley/Parsons (GRD) Fiasco is the Electrical Continuous Monitoring System, for all of Iraq. Instead of getting Power Plants Operating at a steady rate and stabilizing the Infrastructure Grid, so that an Electrical Continuous Monitoring System would function properly, Worley/Parsons (GRD) through their infinite wisdom and lack of competency is working backwards and prolonging the return of steady power to the Iraqi Electrical Grid, thus the Iraqi People are suffering longer and longer and the American People are being made to look like bad people and the hostility is growing each day due to these in competency and many others, that re not being made responsible for their actions, waste, fraud, and guarantee of their job security in Iraq for years to come.

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By iraq.spy, June 9, 2007 at 2:47 pm Link to this comment
(Unregistered commenter)

At PTCH Worley/Parsons (PCO/GRD) through Fluor-AMEC signed Contract with BTEC to refurbish 3 GE Frame 5001 Combustion Turbines, that GE had already provided Mark VI Control System and Generator Protection System in original Contract that PCO/GRD removed from GE and issued to BTEC. BTEC provided a completely new Control System and Generator Protection System, thus wasting the American Taxpayers several MILLION DOLLARS, by allowing 3 Completely New and Unused Mark VI Control System and Generator Protection System in Plant Warehouse. This was a 90 day turnaround project, but due once again to unintelligent decisions by Worley/Parsons (PCO/GRD); this Project was continued for approximately 6 months, thus wasting the American Taxpayers, several MILLION DOLLARS EXTRA. Several MILLION DOLLARS of extra parts were purchased and never used at this Plant Site, again another deliberate excessive abuse of wasting the American Taxpayers Dollars. After MILLIONS of DOLLARS spent on the refurbishment of these 3 Combustion Turbines, they could only produce approximately 1 EXTRA MW per Turbine. Newly Refurbished GE Frame 6 Combustion Turbines complete with Generator Package could have been purchased from MJB in Dubai for approximately 50% of the cost of refurbishment and with guaranteed MW production. But Worley/Parsons (PCO/GRD) saw fit to again waste American Taxpayers money.

At Nasayirra Power Plant, BTEC had a Several MILLION DOLLAR cost overrun due to in competency on refurbishing GE Frame 6 Combustion Turbines, that money that was allocated to refurbish the second GE Frame 5001 Combustion Turbine at Shaiba was put on hold due to NO FUNDING, because funds that had been allocated for Shaiba refurbishment was wasted at Nassayirra Power Plant. Worley/Parsons (PCO/GRD) chose to ignore facts and continued to pay BTEC these extra funds and allowed BTEC to start on the refurbishment of the 3 GE Frame 5001 Combustion Turbines at PTCH, and cause another cost over run, that the American TAXPAYERS had to FOOT THE BILL, due to in competency from Worley/Parsons (PCO/GRD) Management and field personnel who were overseeing these Projects. Reports were written and distributed, but were totally ignored by Worley/Parsons (PCO/GRD) Baghdad Office.

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By Whisler_Blower_in_Iraq, June 6, 2007 at 4:15 pm Link to this comment
(Unregistered commenter)

At Al-Quds there was a major electrical fire and no Automatic Fire Suppression System in service, due to fact it was not commissioned during the original startup on part of the Phoenix Project and Controls Engineer made decision that the Operators could and should be able to run outside Control Room and activate system, this fire caused undue downtime on production of electricity due to another intelligent Worley/Parsons (GRD) decision. Now that Worley/Parsons (GRD) has forced another contractor to relinquish contract, Worley/Parsons (GRD) is going to contract themselves to do the O&M Contract, this is just as intelligent as putting the (FOX in CHARGE of the HENHOUSE).
But yet the Worley/Parsons (GRD) has made a decision to commission 10 GE LM6000 at Al-Mussaib Power Station, instead of investing the money in the rebuild of at least 1 Steam Turbine, Boiler, and BOP at the Thermal Power Plant, these Turbines are capable of producing 300 MW and can use any type of fuel, the Boilers are not particular about type of fuels as the Combustion Turbines are.
Worley/Parsons (GRD) speak as if they can never be touched by the DODIG and SIGIR, due to paperwork and paper trail they are preparing so they will be covered in case of investigation, employees that have been involved in shady contracts are requested to resign and they have gotten jobs with the contractors that they were deal in favoritism.
Pictures and emails are available, if the DODIG and SIGIR would travel to each of these Power Plants and speak with Plant Personnel, the stories of the lies, deceit, corruption, and fraud would start being exposed.
I can give examples for KAZ, Shabiba Power Plant, PTCH, Nassayriah and pictures if required.

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By Whisler_Blower_in_Iraq, June 6, 2007 at 4:10 pm Link to this comment
(Unregistered commenter)

This is what happens when you put Government Friendly Companies of untold Billions of Dollars and give them a free hand in doing what they want with the money.
The US Government has placed huge amounts of money in the hands of Contractors that have built shoddy construction, shoddy engineering, shoddy workmanship; this has lead to other Contractors committing fraud, misappropriating funds, mismanagement of purchasing parts and material for Power Plants. Worley/Parsons (GRD) awards contracts not on Contractor Merits, but on Favoritism and payoffs. I have sent this information to Worley/Parsons (Alfred Hoffert) but as usual all this information is ignored. When this information was posted on Truthdig Worley/Parsons (GRD) was furious that someone would attempt to breech their stronghold on these funding. When SIGIR visited sites Worley/Parsons/GRD was forewarned, these visit must be surprised and with someone who has been to some of these plants and is familiar with the Worley/Parsons (GRD) procedures, this person must also know the Plant Managers and Plant Personnel.
At Al-Quds Power Plant when the Worley/Parsons (PCO/GRD) making intelligent decisions such as taking 2 GE Frame 9E Turbines down at same time for Major Inspection and Overhaul due to usage of Heavy Fuel Oil after approximately 1 year of running time which if these Turbines were running on Natural Gas the time frame would be approximately 3 years. But to take down 2 Turbines down at same time is not an Intelligent Engineering or Management decision, this procedure took approximately 85 MW of critically needed electricity off the grid, causing more hardships on the Iraqi people and prolonging the Worley/Parsons (GRD) existence in Iraq. The correct procedure was to take 1 Turbine down complete the Major Inspection/Overhaul startup that Turbine and in the mean time schedule the next turbine Major Inspection/Overhaul, thus keeping at least 85 MW extra on the grid. If these Turbines were operating on Natural Gas the MW output would be approximately 123 MW depending on weather temperature. The GE LM6000 at Al Quds have Water Chillers to cool the Inlet Air to the Turbines, but were never commissioned, thus the LM6000 are running hotter than normal and at lower MW due to Turbine Temperature. The GRD refused to approve to have the Chillers commissioned, thus degrading the life expectancy of the GE LM6000 and lowering MW output; in the climatic condition of Iraq these Turbines are not feasible for dependency for electricity. At Al-Quds the Natural Gas Pipeline and Metering is completed into the Plant Facility, just needs to be completed to Refinery or Natural Gas Pipeline Station, but again Worley/Parsons (GRD) makes decision that is costing the taxpayer more money and still leaves the Iraqi people suffering without enough electricity. At Al-Quds Controls Engineer Manager John Desimione makes another intelligent decision to stop work on Unit 4, for unjust cause to prolong the downtime on Turbine and extend the work scope, which could be done with proper planning and scheduling while working is continuing on Turbine. This is the same Controls Engineer that believes that any and all computers use Universal Serial Bus (USB) Interface, he has absolutely no comprehension that the Universal Serial Bus (USB) Interface was not put into use until 1998, that only Windows 95 Rev. B, Windows 98, Windows 2000, Windows Me, and Mac OS 8 and higher support Universal Serial Bus (USB) Interface. He has absolutely no comprehension that DOS and earlier versions of Windows does not support the use of Universal Serial Bus (USB) Interface. He is totally clueless and he is the Controls Engineer Manager for Worley/Parsons (GRD), just trying to justify his existence and was hired as a personal favor, not for his expertise in Controls.

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By Whistle_Blower_in_Iraq, February 14, 2007 at 5:02 am Link to this comment
(Unregistered commenter)

With this corruption,nepitism,favortism and massive thief of US Taxpayers money, we are still budgeting for the Reconstruction of Iraq, I have been here over 2.5 years and seen a lot. Iraq is producing less Electrical Power than before the Invasion in 2003. The CPA, the COE, the PCO now called the GRD has funding, but is passing these funds to other locations, not purchasing the necessary items to keep the Power Plants operating safely, correctly, proficiently, refusing to purchase vital consumable items such as oil filters, water treatment membranes, air inlet filters, are these items are vital and necessary but by the GRD refusing to purchase the MOE (Iraqi Nationals) are forced to run multi-million dollar power plants with these resources and damaging massive number of power plant turbines. Through their incompentency and hiring of incompentent personel, due to friendship, relationship, decisions are based on personal favorites at the power plants. Through incompentency on their Controls System Project Manager (John Desimone), 1 power plant had steam drain valves logic forced because valves were damaged and Controls System Project Manager (John Desimone) refused to purchase drain valves ($10,000.00)and due to this incompentent decision, the LP on a 320 MW Steam Turbine was damaged and put out of service for 3 months costing approximately $600,000.00 to repair, there are hundreds of these examples, another example at Taza Power Plant, Controls System Project Manager (John Desimone) Refused to buy spare replacement turbine replacement logic card ($2,000.00)and 260 MW Turbine not producing electricity for approximately 3 weeks.

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By BlueRose, February 10, 2007 at 10:55 am Link to this comment
(Unregistered commenter)

Hey Mr. Bush remember the Two Half-Brothers in the Bible .  Its a Holy War that been going since Christ was here.  and you can’t stop it.

  The Budget was balance when you went in office.  Bill left all of that extra when you took over, the first thing you (R) did was start fighting over the money. what you should have done was fixed social and medicade-medicare but you didn.t and now it.s biting you in the but.   

    What fool told you, that you can force (D) on a (M) nations

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By Jeseppi Trade Wildfeather, November 10, 2006 at 8:38 pm Link to this comment
(Unregistered commenter)

Billions Wasted in Iraq? “It’s How-dy Doody time!” These articles serve as another cute diversion for the naive public sponsored by the white collar corporate strategists and the billions they have legitimately bilked the Treasury over the Iraq issue —the same old scheme. The same obsessed treasure hunters that calmly created Lenin, Hitler and Hussein on Wall Street later fomented horrible calamities through them which always necessitated an advanced and costly “military industrial complex” to address them, albeit, patriotically.  These peacelovers mastefully invented these terrible crises with full intent and forethought as criminals do for the lucrative rewards that war and destruction inevitably bring.  The Harrimans, Walkers and the Bushes, true Americans, were among such sponsors of the thirties and forties whose priorities,first, last and always —were to make money. Adept at propaganda and smoke screens, they beguiled the public with diversions while over a hundred million people died believing they were dying for God, Country and Mom’s cherry pie. Yes, everyone benefited from rebuilding whatever was pififully ruined and destroyed.  Many nations were forced to be beholden to this nation’s newer technologies and economic policies .  The more Howdy Doody made children glad the more Colgate’s string pulling investors died laughing. Howdy is in the White House today, and we the unwitting public still laugh at his silly puppet comedy, while the massive evergreening wealth of a happy cunning few remains eternally secure. Unfortunately, the enemies and soldiers their policies muster, the empoverished families, and whatever is left of their posterity die sadly weeping with Starbucks and Coke to comfort them. This is the face of consumate greed shreiking wickedly all the way to the Treasury, boys and girls, and of the billions truly wasted.  — Wildfeather

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By Montie Shields USAF RET., November 9, 2006 at 7:34 pm Link to this comment
(Unregistered commenter)

How in the name of common sense can a person
match the Identical code word when my computer
has a different print style.

I thought I had submitted two comments however
hours later neither shows.
I got indications that both had been accepted.

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By CB, November 9, 2006 at 4:30 pm Link to this comment
(Unregistered commenter)

Crack open Cheney’s Energy Task Force papers now!!

Iraq is the bloodiest, costliest, most illegal hostile corporate takeover of all time.  Follow the money.  Even if it goes the Saudi Arabia.  Or Israel.  Or Houston.

It wasn’t War Profiteering.  It was Profitable Warmaking.

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By Eric Prentis, November 9, 2006 at 1:30 pm Link to this comment
(Unregistered commenter)

The Democratically controled congress should keep this office open.

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By Kevin Hayden, November 9, 2006 at 1:03 pm Link to this comment
(Unregistered commenter)

Is Bowen the guy that just got aced out of the process by a GOP last minute bill modifier, effective next year?

If so, he’s been too effective in rooting out contractor corruption. He deserves a constant audience if he’s the one.

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By chuck, November 9, 2006 at 12:00 pm Link to this comment
(Unregistered commenter)

Sure would be nice to have EVEN SOME of the BILLIONS wasted in Iraq & their corruption, for HEALTH CARE FOR ALL AMERICANS!!! “We the people….“is NOT working and must change with the shift in power in Congress. What a novel idea, eh?

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By B, November 9, 2006 at 10:58 am Link to this comment
(Unregistered commenter)

How can we expect them to keep track of their money when billions of our $$ end up missing?


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By Quy Tran, November 9, 2006 at 6:34 am Link to this comment
(Unregistered commenter)

Just ask Dick Cheney that where’s the money go ?
Billions and billions are not a big deal; the big ones is that our troops are still there. These young boys cannot predict their future when the death is alwayd come to them from everywhere in Iraq.

We have to wake up those ALIENS in the White House and if they cannot do anything to save our troop lifes so they just step down.

We do not have anything to regret for keeping them !

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