The Kuwaiti company building the U.S. embassy in Baghdad has been accused of agreeing to pay $200,000 in kickbacks in return for two unrelated Army contracts in Iraq.
The scheme, outlined in a now-sealed court document obtained by the Associated Press, allegedly involved First Kuwaiti General Trading & Contracting and a manager for Kellogg Brown & Root Inc. or KBR, a firm hired to handle logistics for the military in Iraq and Afghanistan.
The document summarizes grand jury testimony from the former KBR manager, Anthony J. Martin, who pleaded guilty in July to taking kickbacks in 2003.
Although the government has tried to keep First Kuwaiti’s name out of public records related to Martin’s case, details from his grand jury testimony were found by a defense lawyer, J. Scott Arthur of Orland Park, Ill., who included a summary in a six-page document filed last Friday in an unrelated federal court case in Rock Island, Ill. The AP downloaded a copy of the document from the court’s website shortly before a judge ordered the document sealed and removed from the public record.
According to the court document, Martin testified to a federal grand jury that he engaged in the kickback scheme with Lebanese businessman Wadih Al Absi, who controls First Kuwaiti General Trading & Contracting. The company is building the $592 million Baghdad embassy, the largest in the world with working space for about 1,000 people.
embasy
Asian Workers Trafficked to Build World’s Largest Embassy
John Owens didn’t realize how different his job would be from his last 27 years in construction until he signed on with First Kuwaiti Trading & Contracting in November 2005. Working as general foreman, he would be overseeing an army of workers building the largest, most expensive and heavily fortified US embassy in the world. Scheduled to open in 2007, the sprawling complex near the Tigris River will equal Vatican City in size.
Then seven months into the job, he quit.
Not one of the five different US embassy sites he had worked on around the world compared to the mess he describes. Armenia, Bulgaria, Angola, Cameroon and Cambodia all had their share of dictators, violence and economic disruption, but the companies building the embassies were always fair and professional, he says. The Kuwait-based company building the $592-million Baghdad project is the exception. Brutal and inhumane, he says “I’ve never seen a project more fucked up. Every US labor law was broken.”
In the resignation letter last June, Owens told First Kuwaiti and US State Department officials that his managers beat their construction workers, demonstrated little regard for worker safety, and routinely breached security.
kuwaite
Kuwait company’s secret contract and low-wage labor.
A controversial Kuwait-based construction firm accused of exploiting employees and coercing low-paid laborers to work in war-town Iraq is now building the new $592-million U.S. embassy in Baghdad. Once completed, the compound will likely be the biggest, most fortified diplomatic compound in the world.
Some 900 workers live and work for First Kuwaiti General Trading & Contracting (FKTC) on the construction site of the massive project. Undoubtedly, they have been largely pulled from ranks of low-paid laborers flooding into Iraq from Asia’s poorest countries to work under U.S. military and reconstruction projects.
Meanwhile, their boss, Wadih al-Absi jets back and forth to the United States, dreaming of magazine covers celebrating his rise to a global player in large-scale engineering and construction.
indentured labor
With all the tax payer money wasted, lost, stolen and given to other countries, using indentured labor, instead of US firms to die, destroy and rebuild in Iraq why should any Americans bother paying back their student loans or federal mortgages? Even if every US citizen defaulted on their loans it wouldn’t come close to half of what we’ve spent and lost in Iraq. And before anyone says “Freedom is Priceless,” then tell me why the Iraqis want us out of there and why the Kuwaitis are charging us to build this embassy? Freedom, right.