Justice Dept. opts out of whistle-blower suitsCases allege fraud in Iraq contractsBy Farah Stockman, Globe Staff | June 20, 2007
WASHINGTON -- The Justice Department has opted out of at least
10 whistle-blower lawsuits alleging fraud and corruption in
government reconstruction and security contracts in Iraq, and has
spent years investigating additional fraud cases but has yet to try
to recover any money.
A congressional subcommittee heard testimony on the matter
yesterday, as lawmakers sought to determine why the federal
government has not done more to recover tens of millions of dollars
that allegedly have been misused or misspent in Iraq.
"I would expect, given the talent that the Justice Department has
available to it, . . . that they could have done more," Representative
William D. Delahunt, Democrat of Quincy, said at the hearing. "I have
the uneasy feeling like we're missing something here, a potential
substantial recovery."
The government's reluctance to join in any of the civil suits has
sparked allegations of political interference.
One witness, Alan Grayson , a lawyer who represents several whistle-
blowers, told the House subcommittee on Crime, Terrorism, and
Homeland Security that the Justice Department has been stonewalling
and dragging its feet in investigating the whistle-blowers' claims
of fraud.
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