DOJ Says KBR Overbilled For Iraqi Security Costs

Law360, New York (April 5, 2010, 12:55 PM EDT) -- The federal government is alleging military contractor KBR Inc. violated its contract and knowingly included impermissible costs for private armed security in billing the U.S. Army for support services in Iraq.

KBR failed to obtain Army authorization for arming its employees and subcontractors and then allowed the use of private security contractors who were not registered with the Iraqi Ministry of the Interior, according to a complaint filed on Thursday in U.S. District Court for the District of Columbia.

“Defense contractors cannot ignore their contractual obligations...
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