Halliburton’s Army – LONG BONUS POST

The Bonus Book of the Week is “Halliburton’s Army, How a Well-Connected Texas Oil Company Revolutionized the Way America Makes War” by Pratap Chatterjee, published in 2009.

This slightly sloppily proofread volume was also slightly redundant and very disorganized. Nevertheless, it was extremely well-documented and detailed. The author personally visited various sites and personally interviewed various people– in addition to sourcing information from documents– about which and whom he wrote.

In the late 1930’s, president Franklin Roosevelt, Congressman Lyndon Johnson and the company Brown & Root (BR) formed a public-private partnership to build the Marshall Ford Dam in Texas. In the early 1940’s, the company built the naval air station Corpus Christi. Taxpayers way overpaid for those projects. The reason was partly because the sweetheart terms of its contract guaranteed it a profit.

BR also built warships for World War II. It allegedly financed Lyndon Johnson’s run for the U.S. Senate in 1948. It built military bases during the Vietnam War. In August 1966, U.S. Congressman Donald Rumsfeld contended that, due to conflicts of interest, the federal government had signed contracts with BR that were “illegal by statute.” Of course, Rumsfeld hated President Johnson.

In October 1966, Rumsfeld and Bob Dole reported that BR had refused to let any government officials see documents associated with a BR construction site. The company and its subcontractors had lost track of $120 million and had thefts of millions of dollars of equipment by the end of its ($1.9-billion-in-costs) ten-year contract.

After the First Gulf War, a company named Halliburton pioneered the user-friendly assembly of cheap, prefab structures on military bases that were comfortable for soldiers in global hotspots. In early 1998, Dick Cheney assisted with the creation of Kellogg, Brown & Root when M.W. Kellogg was added to BR. Then Halliburton took over the whole kit and caboodle.

Through the 1990’s, Halliburton finagled $167.7 million worth of contracts from the U.S. government in Rwanda, Haiti, Saudi Arabia, Kuwait and Italy. “But it’s hard to convince people that the company had no influence when your entire upper management once worked for the very agencies that awarded the contracts.”

Halliburton’s tentacles also reached into Somalian and Nigerian territory through bribery. It had fun in the Balkans with “… double-billing, inflating prices and providing of unsuitable products.” By the late 1990’s, thanks to Halliburton and Chevron, the previously unspoiled, tourist-filled beaches in Angola’s Cabinda province had turned black.

Donald Rumsfeld was named Secretary of Defense in the United States beginning in 2001. Just prior to 9/11, “Rumsfeld said that the Pentagon was wasting at least $3 billion a year.” In the next eight years, he proceeded to eliminate most of the military’s in-house operations, including payroll, warehousing and sanitation.

Rumsfeld was adding one more area of American life– the military– to the privatization trend of recent decades. It has already gained traction in education, prisons, government entitlements, student loans, spying and courier services. Curiously, healthcare is going in the opposite direction. Why is that?

Well, medicine has undergone a major cultural change in the last fifty years. The family doctor who made house calls used to be a trusted family friend who charged a reasonable rate for his services. Now depersonalized medicine whose costs are sky-high due to technology and specialization is the norm. Healthcare is a mature industry.

Some aspects of healthcare have become capitalism gone hog-wild, especially those that are a matter of life and death. They have become as out of control as Halliburton.

That is why Americans are welcoming the intervention of government regulation to stem the incompetence, fraud, abuse and waste that have inevitably resulted from too much capitalism. Yes, capitalism is good– up to a point.

Anyway, the George H.W. Bush administration initially signed a military-services contract of a few million dollars with Halliburton. Dick Cheney served as CEO of Halliburton from late summer 1995 through 2000.

In those years and beyond, Cheney successfully spurred specific American foreign policy initiatives to win more lucrative contracts for Halliburton. By January 2002, in one of several nefarious policy changes, he got President George W. Bush to lift economic sanctions against the Muslim country of Azerbaijan, human rights and environmentalism be damned. On Halliburton’s behalf, Cheney engaged in friendly dealings with such oil producers as Iran, Libya, Russia, Saudi Arabia, and prior to the war, Iraq.

Azerbaijan’s president, Azeri Aliyev came to the United States for prostate cancer surgery in February 2002. A year later, he ran for reelection and won. As a quid pro quo, in November 2003, President George W. Bush got him a World Bank loan for an oil pipeline.

Of course, in February 2003, the fix was in and Halliburton was automatically awarded the contract that spelled out the terms of the fait accompli restoration of Iraq’s oil fields after the fait accompli war, ethics be damned. To top it off, the contract guaranteed a hefty profit for Halliburton. The company argued that there was no time for a fair, sealed-bid process before the war.

The “… contract would effectively make Halliburton the biggest recipient of Iraq’s oil money, with no input from the Iraqi people.” More than half of the billings for Halliburton’s oil-related services that the U.S. government would presumably pay for, were actually paid with Iraq cash. In other words, the proceeds of Iraq oil sales were used to pay Halliburton.

An organization that studied the quality of Halliburton’s work in Iraq calculated that “… the potential revenue lost from reduced oil production and exports” was $14.8 billion. Gross incompetence, fraud, abuse and waste were not isolated incidents. The holding company’s entities had a few contracts whose epic failures were hushed up until their projects’ entire budgets were spent, at which time those contracts were cancelled.

For example, there were many inexcusable episodes of oil smuggling by corrupt Iraqi officials, right under the noses of U.S. contractors. Halliburton was supposed to be the party responsible for preventing those episodes until it was fired in mid-2005.

In early 2004, due to public outcry over the no-bid, rigged Halliburton contract, there was new bidding, which was still rigged. The military, politicians and top employees of Halliburton were all co-conspirators in the illegality.

Workers of Halliburton’s subsidiaries and its subcontractors have hailed from a range of nations, including but not limited to: Fiji, Uganda, Egypt, Sri Lanka, Saudi Arabia, the Philippines, Pakistan, Afghanistan, Kyrgyzstan, Bosnia, India and America. Both non-American and American hirees are lured by the promise of high pay.

But often that promise comes with a price; the workers are subjected to mean living quarters, do hard manual labor for long hours, such as twelve hours a day, seven days a week in dangerous conditions, get no health insurance and no paid time off, and might go for months with no pay.

If they’re non-American, workers can’t complain because they’ll likely be threatened with dismissal. They likely borrowed money to travel to their expatriate work in the first place. If they quit their jobs, they would be greatly indebted, and their families back home would be made even more impoverished.

Just a few of the kinds of functions the worldwide network of cheap labor fulfills include: food delivery, preparation and catering, lodging, golf course maintenance, civil engineering, motor vehicle transport of the United States Air Force, United States customs inspection and security.

Read the book to learn the details of numerous Halliburton-related outrages in addition to the aforementioned, and how in 2003 and later, the voices of the handful of people who might have had the power to stop the corruption were eventually drowned out by political actions imposed by the powers that were.

For Jersualem

The Book of the Week is “For Jerusalem, A Life” by Teddy Kollek, with his son, Amos Kollek, published in 1978. Kollek was best known for his mayorship of Jerusalem from 1965 to 1993.

Born in a small village near Budapest in May 1911, Kollek was an athletic bibliophile as a child. When he was eleven, he began joining Zionist youth movements and for the next decade, traveled to Czechoslovakia, Romania and Germany. His grades in high school were poor; he graduated only at the behest of his parents. His father had been an Austrian army officer during WWI, then became an operations manager for the Rothschilds. Most of the Jewish bourgeoisie voted for the Social Democratic party in Austria.

As a true Zionist, Kollek wanted to move to Palestine. He put his name on the waiting list of the Zionist Organization, and was finally granted permission to go the promised land in spring 1935. Once he got there in 1936, he almost had “buyer’s remorse” after suffering a series of illnesses– typhus, malaria, sandfly fever and typhoid, almost dying in a British hospital.

Nonetheless, Kollek was granted Palestine citizenship. Shortly thereafter, he bestowed the same on his Austrian girlfriend by marrying her. He served as village headman in the kibbutz of Ein Gev in the Jordan Valley for a little more than a year. Playing well with the British, he would ride a horse around the mountains all day. Nearby tribes included the Bedouins and Cherkessians. The new Zionist settlers lived in shacks and had a communal shower.

In autumn 1938, Kollek supervised a different youth group in England. He also acted as an intermediary between the German and British authorities to let a few thousand Zionist teenagers become farm workers in England, as there was a shortage of them. He did the same for Austria and the British, negotiating with Adolf Eichmann.

Due to the Anschluss in March 1938, Kollek’s parents and brother moved to Palestine. At the start of WWII, Kollek assured the safe transport of contraband arms and people from Syria to Palestine. For the rest of the war, Kollek worked in British intelligence, and then coordinated smuggling operations for the Jewish Agency.

In 1941, David Ben-Gurion thought that Jews in the United States, rather than those in Great Britain, would provide the major impetus ideologically and financially to spur the creation of a Jewish state. He turned out to be correct.

The date May 14, 1948 saw legalization of transport of arms and people to Israel, as it officially achieved sovereignty. Prior to that, there was honor among thieves, according to the author. “In those days, everybody lived frugally and was so utterly devoted, without thinking of himself that we had complete confidence in one another.”

Even so, in the early 1950’s, the new nation had to rob Peter to pay Paul to fund itself, selling bonds and obtaining loans from American banks. And the FBI tailed all of the Jewish freedom fighters, even after independence.

Thanks to a business loan secured with Kollek’s assistance, the Israeli government was able to own and operate a retail chain store, Maskit, which sold handicrafts made by Israelis, co-founded by Moshe Dayan’s wife.

In summer 1952, Kollek was appointed to a position with a lofty title, to serve as a coordinator among government ministries in Prime Minister Ben-Gurion’s administration. In the mid-1950’s, the country obtained financing from gentiles for agricultural research and social and educational projects.

A decade later, Kollek was elected mayor of Jerusalem. His Labor party displaced the Mapai party, which had been the dominant one for years. The mindset of the older generation of (federal) Cabinet members could not shaken– even by Kollek– that they were the caretakers of agricultural collectives, rather than a nation that had become more than three quarters urbanized.

About once a month, Mayor Kollek wanted to resign. Nevertheless, he claimed to have made Jerusalem a better place in numerous ways. The previous mayor had failed to stop Orthodox Jews from throwing rocks at the Mandelbaum Gate because Jordanian Christians in buses en route to religious journeys were disrupting their Sabbath. Kollek’s solution was to bar traffic around Jewish houses of worship on Saturdays.

Perhaps Kollek accomplished so much and was reelected so many times because he lacked the politician’s mentality of expecting the kind of reciprocity that leads to patronage. He truly cared about improving the lives of his fellow Jerusalemites, rather than horse-trading only insofar as to acquire more power or funding.

In sum, Kollek wrote, “Being mayor is the most varied, absorbing, sometimes aggravating (sic), but still the most satisfying job in the world, and while I’m at it, I’ll work as hard as I can, eat as much as I want, and shout at whomever I please.”

Read the book to learn the role radio played in the 1950’s in the lives of Egyptians and Israelis; what Kollek did: for Israel’s tenth anniversary celebration, in the founding of the Israel Museum, during the Six Day and Yom Kippur Wars, with regard to the Western Wall, and much more.

Hold On, Mr. President – BONUS POST

The Bonus Book of the Week is “Hold On, Mr. President” by Sam Donaldson, published in 1987. This is the career memoir of an aggressive TV journalist who covered politics.

Donaldson was born in 1934. By his mid-thirties, he had an all-consuming career, working seven days a week for about a year at ABC-TV in Washington D.C. He covered the Democratic National Convention in Chicago in 1968, Vietnam on-location for three months in 1971, the Watergate scandal, and, glutton for punishment that he was– president Jimmy Carter in 1976. He asked hard questions of presidents, especially president Ronald Reagan, on whom he spent a lot of time reporting.

Donaldson felt that Reagan’s unwavering stance on all issues was a liability because it resulted in “thoughtless and false certainty… Deciphering Reagan-speak is a constant in the White House press room… But give Reagan a TelePromTer (sic)… and he can communicate without ambiguity and, in the process, sell you a defense budget that will reduce you to rags or a Nicaragua policy that will curl more than your hair.” Countless erroneous facts and figures emanated from Reagan’s mouth, of which Donaldson provided numerous examples.

In the late 1980’s, Reagan held political rallies whose attendees “… had to apply for tickets from local Republican organizations, and people who were not already true believers, didn’t get them.” Some things never change.

Read the book to learn a wealth of additional details on Donaldson and his generation of TV journalism in Washington, D.C.

Putin

The Book of the Week is “Putin, His Downfall and Russia’s Coming Crash” by Richard Lourie, published in 2017. This slightly sloppily edited volume had strange capitalizations in spots. It was actually more about Russia’s history and recent fossil fuels situation in connection with its allies and enemies, than with its dictatorial leader who started his third term in May 2012.

Born in 1952, Putin grew up in a family that was friendly with Stalin. His father was a spy. He was told that the easiest way to get recruited by the KGB was to go to law school, so he did. He did stints in Leningrad and Dresden. At the tail end of the 1980’s, when the German Democratic Republic was in its last throes, almost all of KGB’s Dresden office’s records were burned. In January 1990, Putin returned to Moscow. Unemployed. Then worked on his doctoral thesis, a portion of which he acquired through plagiarism.

By August 1991, Putin saw which way the wind was blowing, and resigned from the KGB. Poland had been damn near bankrupted by a radical economic program called shock capitalism, imposed upon it by Western Ivy Leaguers. Between 1990 and 1994, in Boris Yeltsin’s Russia, economist Anatoly Chubais forced the same harmful transition on Russians.

Due to rampant inflation, Russians had to sell everything they owned in order to be able to afford food. The United States sent food aid to Russia. In early 1992, a food voucher system was started.

However, Putin signed contracts with food suppliers who raked in big bucks but failed to deliver the food. It is unclear whether Putin knew or cared that those suppliers were crooks, or that Russians were starving. For, rather than personally profiting, he was more interested in attracting foreign financial aid that would modernize Russia, and in collecting long-term valuable political contacts.

In October 1993, Yeltsin ordered Russian troops to fire on protestors (whom the media claimed wanted to bring back Communism) in front of Moscow’s Parliament building. There were tens of deaths.

It was actually a small number of politically astute crooks who conspired with Putin to loot the country. His career took a turn for the better in 1999, when he convinced Yeltsin via blackmail (apparently still a “thing” these days) to step down and let him become Russia’s supreme leader starting in 2000. Once in power, Putin actually kick-started the Russian economy by nationalizing oil companies, and taking control of the gas industry and television.

Read the book to learn of Russia’s aggressive stances on: the Ukraine, the Crimea, former Soviet satellites and former Republics, China, and the Arctic [hint– the extremely likely probability of a catastrophic oil spill, and decades of actual irradiation from nuclear dumping make the Arctic a less than ideal place for a land grab]; the effects of economic sanctions imposed on Russia; and the alleged role of cybercrime in the 2016 presidential election in the United States.