Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon

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Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon

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[Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon]

[SEN. BYRON DORGAN (D-North Dakota):] Source: LYBIO.net
Mr. President, on one other subject, I want to say a word about something I discussed last week. And I want to show you the photograph of a 23-year-old – excuse me a 22-year-old young man. His name is Efraim Diveroli. He is the CEO – yes, he is The President of a firm that was awarded $300 million dollars in taxpayer contracts to provide weapons to the Afghan fighters in Afghanistan.

Our Department – our State Department – our military said, the American taxpayer shall pay for weapons to be given to the Afghanis, the fighters in Afghanistan.

Well that’s probably another debate, but one I think most people would say if they’re fighting for freedom in Afghanistan, let’s help them. So we’re going to help them by providing guns and bullets and other kinds of weapons. And a contract is given to a company in Miami, Florida that had been a shell company for some years; $300 million dollars was given to that company.

It turns out the company is run by a 22-year-old man named Efraim Diveroli. And, by the way, his Vice President was a massage therapist named David Packouz, a former masseur. And between the two of them, they got $300 million dollars in taxpayer contracts.

I will tell you who gave it to them. The Army Sustainment Command did it. And I want The General, in charge of the Army Sustainment Command; to come to the Congress and explain; how do you give $300 million in contracts to what had been a shell company, now run by a 22-year-old and a 25-year-old massage therapist, who apparently had since quit the company and in exchange for being granted immunity will talk to investigators.

What did they do with the money? Well, the Afghan fighters and I’ve got some photographs of it that in fact I’m going to – see if we can get the photographs of what the – what the product looks like that they provided the Afghan fighters.

As I’m waiting for those charts, this is the building in Florida where the office of this company was, it got $300 million dollars, $300 million dollars. There’s – the office is just an office inside this building, no markings on the door. This 22-year-old President says, he is the only employee at this point, but they got $300 million dollars.

Now, here is a sample of what showed up from that $300 million. They sent ammunition to the Afghan fighters, and it turns out in some cases to have been mid-1960s ammunition made in China, almost worthless, but we paid the $300 million dollars.

Now, I mention this again, as I have so often, because three times I have offered on the floor of the Senate an amendment, and I will again, that would establish a Truman committee to investigate waste, fraud, and abuse in this kind of contracting. We have shoveled more money out the door. We have sent pallets of one-hundred-dollar bills on C-130s, $18 billions dollars in cash to Iraq. We have such unbelievable waste and fraud and abuse, I think the greatest in American history, and yet there is nothing that represents the kind of oversight that the American people should expect of us.

Three times I have offered the establishment of a Truman committee. Let me describe what the Truman committee was.

Franklin Delano Roosevelt was in the White House at the time, Senator Truman from Missouri on the floor of the Senate, he proposed a bipartisan select committee to investigate waste, fraud, and abuse in the Pentagon, and it passed. They did 60 hearings a year for 7 years. They were started with $15,000 appropriations, and they saved $15 billion dollars for the American taxpayer. If ever we need that kind of a committee, it is now.

[SEN. BYRON DORGAN (D-North Dakota):] Source: LYBIO.net
Three times I have offered that on the floor of the Senate, three times. Every vote on the Democratic side of the aisle has been to say, yes, we need it. Every vote saves one on the Republican side of the aisle objected and opposed and we have not been able to get this done.

I used this example because it was on the front page of the New York Times just last week, about a company that gets $300 million that appears now to have been completely wasted, American taxpayers’ dollars, once again just poured down a rat hole. I use this example to say, we ought to be embarrassed to not have the kind of oversight that we should. And I am proud to say that everyone on this side of the aisle has voted three times to establish a select bipartisan committee called the Truman committee. We know this works. We have done it before.

I have held up on the floor so many examples. A little white towel that Halliburton was ordering for the troops because they have the LOGCAP contract to supply these things, a little white towel their buyer, Henry Bunting, was ordered to buy for the troops. And so he orders the white towel and the supervisor says: you can’t do that. You need to order a white towel with KBR, our subsidiary, Kellogg Brown & Root, embroidered on the towel. Henry says: Well, that will triple or quadruple the cost. The supervisor says: that doesn’t matter. This is a cost-plus contract. The taxpayer will pay for that.

I mean that is a small example, and there are so many large examples.

Whistleblowers have told us that $85,000 brand new trucks are left beside the road to be torched because they didn’t have a wrench to fix the flat tire. It doesn’t matter. The American taxpayer bought those trucks, and they will buy the replacement trucks on a cost-plus contract. It is unbelievable.

A woman named Bunnatine Greenhouse came to testify before the policy committee which I chair. And I held almost all of the hearings that have been held on these issues. The policy committee doesn’t have the subpoena power, but you would be surprised how many whistleblowers want to talk about what is happening.

Bunnatine Greenhouse became the highest ranking civilian official in the Corps of Engineers, judged to be outstanding by all accords. She said the awarding of these contracts in the Pentagon for reconstruction, the LOGCAP contract, the RIO contract, all of these contracts is the most blatant contracting abuse she has seen in her career. For that, this courageous woman was demoted. She paid for it with her job, but she would not be silenced. And now her career is behind a curtain over in the Pentagon. No one will comment. It’s under investigation. This woman had the guts to come forward and describe this unbelievable waste, fraud and abuse that’s going on.

American people should not stand for this. We should not stand for it. And I intend again to offer the amendment that would establish a bipartisan committee to aggressively investigate waste, fraud, and abuse in contracting in Iraq; waste, fraud, and abuse in all of the other adjunct areas because I believe the American taxpayer is getting fleeced, and I believe American soldiers are being disserved by what is happening.

I mean, I can speak for hours about this subject because I have had somewhere around 15 or 17 hearings on this subject. I have had whistleblowers come to tell me that they were at a camp that was serving 5,000 soldiers a day, food, under the contract, but they were billing for 10,000 soldiers. I have seen the reports that Halliburton was billing for 42,000 meals a day, and they were serving 14,000. They were overbilling by 28,000 meals. It is just unbelievable when you see the evidence of waste, fraud, and abuse and so little interest in pursuing it.

[SEN. BYRON DORGAN (D-North Dakota):] Source: LYBIO.net
Mr. President, there is much more to say about this, but I did want to say that the story in the New York Times yesterday ought to once again be a wake-up call.

There is a commission that has been established, which is outside of this body. And the Senator from Virginia, Senator Webb, and Senator McCaskill and others have worked hard to establish the commission. And I think that is a step forward, evaluating and looking at waste, fraud, and abuse. But that is not, in my judgment, a substitute for – it certainly is a complement to, but not a substitute for the Congress having a select committee with subpoena power. Without subpoena power and the select committee to investigate, things like a company getting $200 million to rehabilitate 140 clinics – health clinics in Iraq, the money is gone and there are only 20 places that they have rehabilitated health clinics; otherwise the money is all gone. So what happened to the money?

We had testimony from a very courageous Iraqi the other day, who said $18 billion, mostly American money, has disappeared, at least disappeared within his eyesight because he was in charge of corruption – anticorruption in the Iraqi Government. He was in charge of the anticorruption unit in the Iraqi Government. They tried to kill him three times. He finally left because he said the corruption was so unbelievable, and he was so unable to stop it. He said $18 billion of American taxpayers’ dollars, he believes most of it American taxpayers’ dollars, has been wasted.

So, Mr. President, I am going to later this week speak at greater length about the waste, fraud, and abuse issue because we have to stop ignoring it. We have to start confronting it. I would say my colleague, Senator Reid, has been very strong and very assertive in wanting to address this. All of my colleagues on the Democratic side have voted three times to establish a Truman committee.

This war in Iraq has lasted longer than the Second World War. This amount of waste, fraud, and abuse is the greatest in the history of this country, I am convinced, and we aren’t near doing what we should to provide the oversight. And it’s not the fault of this side of the aisle, not the fault of the majority leader. He has been aggressive and so have we. We have offered it time and time and time again, and Mr. President we are not going to stop. The American taxpayer deserves better.

Mr. President, I yield the floor. I make a point of order a quorum is not present.

Mr. Akaka…

Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon

Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon

Efraim Diveroli 22 Year Old 300 Million Arms Contract With Pentagon. We have such unbelievable waste and fraud and abuse, I think the greatest in American history. Complete Full Transcript, Dialogue, Remarks, Saying, Quotes, Words And Text.

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