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Q: Companies with War Contracts. ( Answered,   5 Comments )
Question  
Subject: Companies with War Contracts.
Category: Business and Money > Economics
Asked by: tbill-ga
List Price: $50.00
Posted: 12 Dec 2004 03:07 PST
Expires: 11 Jan 2005 03:07 PST
Question ID: 441545
Are there corporations that are considered American and have recieved
war contracts from the US but have incorporated in places like the
Bahamas to avoid paying US taxes? If they exist, can I get five to ten
names? Is Haliburton one of them?
Answer  
Subject: Re: Companies with War Contracts.
Answered By: thx1138-ga on 12 Dec 2004 11:18 PST
 
Hello again tbill, and thank you for your offer for me to post my
comments as the answer.

One site in particular which should help you is the USAID website
which awards contracts, this page for example is regarding Iraq.

"Contracts and Grants
USAID has awarded sixteen contracts and six grants for reconstruction
work in war-torn Iraq. Seven draft procurement actions have been
announced but not yet awarded.

Each of the awards may require subcontract work or the hiring of
additional employees. USAID prime contractors select their own
subcontractors or employees. For information concerning employment or
subcontracting opportunities, you should contact the prime contractor
directly. To see a forecast of upcoming solicitations, please see the
Iraq Business Forecast. For more information about doing business in
Iraq, please view our resource page on commercial opportunities in
Iraq. For information about positions available at the USAID Mission
in Iraq, please see the Employment Opportunities page."
http://www.usaid.gov/iraq/activities.html

Another interesting article regarding contracts in Iraq...
http://www.constructionweblinks.com/Resources/Industry_Reports__Newsletters/April_21_2003/iraq_reconstruction.htm

Additional info:

"USAID partner Bechtel?s building rehabilitation programs are a major
source of employment for Iraqi contractors and individuals. Bechtel
has hired 69 Iraqi subcontractors, employing over 27,000
people.Subcontracts to Iraqi firms total $47.4 million and comprise
44.4 percent of the value of total subcontracts (up from 37.8 percent
last week)"
http://www.usaid.gov/iraq/updates/sep03/iraq_fs64_091103.pdf

As the question has now been answered by me, it requires no further
action on your behalf (unless oyu wish to rate the answer.)

Thank you for your question, and if you need any clarification of my
answer, do not hesitate to ask before rating my answer.

Very best regards.

THX1138

Search strategy included:
contracts iraq foreign halliburton
://www.google.com/search?hl=en&lr=&as_qdr=all&q=contracts+iraq+foreign+halliburton
Comments  
Subject: Re: Companies with War Contracts.
From: thx1138-ga on 12 Dec 2004 06:18 PST
 
Hello tbill,

As far as I can see all the companies that have been awarded `War
contracts` are US companies (when I say US companies, I mean they are
registered/incorporated in the US) and Halliburton was incorporated in
Delaware in 1924.
"Halliburton Company was established in 1919 and incorporated under
the laws of the state of Delaware in 1924."
http://411stocks.stockselector.com/stocks.asp?symbol=HAL

For further information see..

"The bidding process has been criticized for including only a handful
of companies, some with substantial political clout and none of which
is based outside the United States. USAID officials said the recent
invitations to bid on reconstruction contracts went to U.S.
corporations for security reasons, and that foreign companies may
compete for subcontracting work, Bloomberg News reports."
http://www.opensecrets.org/news/rebuilding_iraq/index.asp

Also see

"Post-War Contractors Ranked by Total Contract Value in Iraq and Afghanistan
From 2002 through July 1, 2004"
http://www.publicintegrity.org/wow/resources.aspx?act=total

Very best regards

THX1138
Subject: Re: Companies with War Contracts.
From: tbill-ga on 12 Dec 2004 07:38 PST
 
OK - So, with your help, and from what I read, there are contractors
that are based offshore and have recieved contracts from the US
Government. But, as far as war contracts are concerned, they must be
US based in the US. Do you agree?
Subject: Re: Companies with War Contracts.
From: thx1138-ga on 12 Dec 2004 08:05 PST
 
Hello again tbill

I seem to recall whilst researching your question that companies can
subcontract jobs to non US companies if the value of the work is below
US$500,000 (half a million) (I`m not absolutely sure I recall this
figure correctly, and further research would be required)


Q. "But, as far as war contracts are concerned, they must be US based
in the US. Do you agree? "

A. Yes I agree (assuming we mean the large
rebuidling/infrastructure/security contracts)


Infact, I know that Bechtel (A US company) gave a contract to an Iaqi
company which had a value of nearly $700 million.
(I know this figure is contrary to what I said in my first paragraph,
but that`s how I remember the maximum value)

All of the companies that have bee awarded the major contracts are
certainly US registered/based.
(I`m sure they are too smart to try and avoid tax payments by claiming
to be based outside of the USA. After all, they would disqualify
themselves from tendering for some very lucrative contracts!)

If you would like to rephrase your question, I would be more than
happy to carry out research for you.

Very best regards

THX1138
Subject: Re: Companies with War Contracts.
From: thx1138-ga on 12 Dec 2004 08:20 PST
 
My apologies when I said...

"Infact, I know that Bechtel (A US company) gave a contract to an Iaqi
company which had a value of nearly $700 million."

The contract worth nearly $700 million was awarded to Bechtel and NOT
an Iraqi company.

Basically the answer to your original question...

"Are there corporations that are considered American and have recieved
war contracts from the US but have incorporated in places like the
Bahamas to avoid paying US taxes?"

Is no.

Very best regards

THX1138
Subject: Re: Companies with War Contracts.
From: tbill-ga on 12 Dec 2004 08:52 PST
 
I appreciate your help and accept your comments as the answer. You
gave me valuable information. How do I conclude this?

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