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Thursday, March 16, 2006

Facing South: Contracts going to tax cheats

Government contracting -- a growing form of privatization, which turns over public work to private interests -- is one of the biggest cesspools of corruption and scandal in our country today.
Regular Facing South readers are familiar with the endless stories of cost-overruns, fraud, profiteering and other misdeeds of the contracting class, from Iraq to the Gulf Coast. Usually, these violations of the public trust don't lead to a crack-down on contracting abuse; indeed, the corporations found guilty of looting public assets are rewarded with yet more contracts.
The General Accounting Office just released a report which adds another layer of scandal to contracting: the fact that many of the companies receiving tax-payer money are themselves tax cheats. The Associated Press reports:


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