MARCH MADNESS Part 3: War Is Expensive

As third anniversary of war nears, Iraq reconstruction stalls
By LISA ZAGAROLI , McClatchy Newspapers WASHINGTON — As the third anniversary of the war approaches, the $21 billion the United States has allocated for reconstruction of Iraq has yet to lift the war-torn nation from ruin...

...While poor security conditions have slowed reconstruction and increased costs, "a variety of management challenges" also impeded progress, according to a recent report by the Government Accountability Office, the investigative arm of Congress. "Difficulties include lack of agreement among U.S. agencies, contractors, and Iraqi authorities, high staff turnover, and an inflationary environment that makes it difficult to submit accurate pricing," the GAO said. While corruption isn't pervasive, Bowen said, there have been cases of contract fraud, particularly early in the war. On Thursday, a jury found a defense contractor liable for fraudulently billing U.S. funds in the first Iraq contracting case brought under the False Claims Act...

http://www.southcoasttoday.com/daily/03-06/03-14-06/07world-nation.htm