Blackwater Got Millions Pretending To Be A Small Business
Jul 31, 20208.8K Shares982.9K Views
Uber-contractor Blackwater Worldwide is nothing if not business savvy. An audit todayreveals that a Blackwater affiliate, Presidential Airways, Inc. won 39 contracts between 2005 and 2007 by labeling itself a small business. The Inspector General of the Small Business Administration has concluded that 33 of these contracts involved misrepresentation of the numbers of employees working for Presidential Airways. The Blackwater affiliate dubiously claimed to have fewer than than 1,500 employees, which gave it small business status.
The gambit worked because the government decided that for Afghanistan and Iraq security contracts, workers trained by Presidential would be considered independent contractors, not company employees. Once providing security overseas, the independent contractors apparently lose their affiliation (if not their paychecks) with Blackwater/Presidential.
The report was requested by Henry Waxman’s House oversight committee. The committee has been looking for a whileat how the world’s largest private security contractor has manipulated contracting and tax laws. Last week Blackwater said it was planning to leave the private security business. But they still haven’t reneged from any contract– though perhaps now they’ll have no choice.
Camilo Wood
Reviewer
Camilo Wood has over two decades of experience as a writer and journalist, specializing in finance and economics. With a degree in Economics and a background in financial research and analysis, Camilo brings a wealth of knowledge and expertise to his writing.
Throughout his career, Camilo has contributed to numerous publications, covering a wide range of topics such as global economic trends, investment strategies, and market analysis. His articles are recognized for their insightful analysis and clear explanations, making complex financial concepts accessible to readers.
Camilo's experience includes working in roles related to financial reporting, analysis, and commentary, allowing him to provide readers with accurate and trustworthy information. His dedication to journalistic integrity and commitment to delivering high-quality content make him a trusted voice in the fields of finance and journalism.
Latest Articles
Popular Articles