No Comment — February 15, 2009, 12:49 pm

Halliburton Settlement Leaves Unsettling Questions

The Justice Department’s long-standing probe of corruption in connection with Halliburton’s Nigerian contracts—a matter of obvious and acute concern to Vice President Dick Cheney—was rushed to a final settlement just before the arrival of the new Obama team at Justice. Under the settlement Halliburton and its former subsidiary KBR are paying $579 million in fines. The New York Times opines today:

…there are a lot of unanswered questions about Halliburton’s practices in Iraq, with numerous complaints of overpricing and ineptitude. Its corporate conduct in the Nigerian scheme is hardly encouraging and should compel tighter scrutiny of its Iraq failures. Across a decade, KBR and Halliburton paid $180 million in bribes to Nigerian officials to secure $6 billion in contracts for building natural gas processing equipment. Under the settlement with federal authorities, Halliburton will pay most of the penalties, with KBR, its subsidiary during the bribery scheme, pleading guilty to hiring international bagmen to regularly grease Nigerian officials with million-dollar satchels of cash. A former KBR executive who deemed bribery a worthwhile cost of doing business now faces prison time.

That’s true. But put aside Iraq for a moment—there are no shortage of “unanswered questions” about the circumstances of this settlement. Consider the timing and circumstances. We start with a Justice Department which is now itself under strong suspicion of having been politically directed from the White House, with a special prosecutor already appointed and indictments now anticipated. In violation of normal procedures, Alberto Gonzales authorized Vice President Cheney and his staff to deal directly with Justice Department officials on matters of interest to them. We have every reason to ask whether this included the very Halliburton deal that the Bush team pushed through Justice before the new tenants arrived.

Why would Cheney care? For one thing, the corrupt dealings that are the focus of the deal occurred almost entirely between 1995–2000, while Dick Cheney was the CEO of Halliburton. For another, Halliburton tapped Cheney, who had no corporate managerial expertise, principally because of his expertise in government relations and because of his established track record in dealing not only with the U.S. government, but with governments around the world. The thought was that Cheney’s black book would help the company develop its rapidly expanding government contracts business. In other words, the multi-billion dollar Nigerian LNG deals were exactly the sort of thing that Cheney was expected to harvest for Halliburton. For a third, as my colleague Ken Silverstein notes, the man at the heart of the $160 million in corrupt payments, Jack Stanley, was hand-picked by Dick Cheney and had a direct report to him. Moreover, can you imagine a CEO under any circumstances simply not knowing about $160 million in grease payments made in connection with sensitive contract negotiations in Nigeria, a country long ranked at the bottom of Transparency International’s corruption lists?

Dick Cheney has long had very good reason to fear a prosecutor’s knock at the door. It might be his clear role in the outing of CIA agent Valerie Plame. It might be his authorship of the Bush Administration’s torture policy and his advocacy of warrantless surveillance of tens of millions of Americans. Or it might just be something quite mundane, namely, his role in securing a $2.2 billion contract to build a liquefied natural gas plant in Nigeria by making $160 million in corrupt payments to or for the benefit of government officials.

In any event, the Obama Administration are chumps if they sit back and accept the deal the Bush Justice Department concluded for the benefit of Dick Cheney. The whole matter needs to be reopened and examined independently. Let’s hope they consider Patrick Fitzgerald for the job.

Share
Single Page

More from Scott Horton:

Conversation August 5, 2016, 12:08 pm

Lincoln’s Party

Sidney Blumenthal on the origins of the Republican Party, the fallout from Clinton’s emails, and his new biography of Abraham Lincoln

Conversation March 30, 2016, 3:44 pm

Burn Pits

Joseph Hickman discusses his new book, The Burn Pits, which tells the story of thousands of U.S. soldiers who, after returning from Iraq and Afghanistan, have developed rare cancers and respiratory diseases.

Context, No Comment August 28, 2015, 12:16 pm

Beltway Secrecy

In five easy lessons

Get access to 167 years of
Harper’s for only $45.99

United States Canada

CATEGORIES

THE CURRENT ISSUE

December 2017

Document of Barbarism

= Subscribers only.
Sign in here.
Subscribe here.

Destroyer of Worlds

= Subscribers only.
Sign in here.
Subscribe here.

Crossing Guards

= Subscribers only.
Sign in here.
Subscribe here.

“I am Here Only for Working”

= Subscribers only.
Sign in here.
Subscribe here.

Dear Rose

= Subscribers only.
Sign in here.
Subscribe here.

The Year of The Frog

= Subscribers only.
Sign in here.
Subscribe here.

view Table Content

FEATURED ON HARPERS.ORG

Article
Destroyer of Worlds·

= Subscribers only.
Sign in here.
Subscribe here.

In February 1947, Harper’s Magazine published Henry L. Stimson’s “The Decision to Use the Atomic Bomb.” As secretary of war, Stimson had served as the chief military adviser to President Truman, and recommended the attacks on Hiroshima and Nagasaki. The terms of his unrepentant apologia, an excerpt of which appears on page 35, are now familiar to us: the risk of a dud made a demonstration too risky; the human cost of a land invasion would be too high; nothing short of the bomb’s awesome lethality would compel Japan to surrender. The bomb was the only option. Seventy years later, we find his reasoning unconvincing. Entirely aside from the destruction of the blasts themselves, the decision thrust the world irrevocably into a high-stakes arms race — in which, as Stimson took care to warn, the technology would proliferate, evolve, and quite possibly lead to the end of modern civilization. The first half of that forecast has long since come to pass, and the second feels as plausible as ever. Increasingly, the atmosphere seems to reflect the anxious days of the Cold War, albeit with more juvenile insults and more colorful threats. Terms once consigned to the history books — “madman theory,” “brinkmanship” — have returned to the news cycle with frightening regularity. In the pages that follow, seven writers and experts survey the current nuclear landscape. Our hope is to call attention to the bomb’s ever-present menace and point our way toward a world in which it finally ceases to exist.

Illustration by Darrel Rees. Source photographs: Kim Jong-un © ITAR-TASS Photo Agency/Alamy Stock Photo; Donald Trump © Yuri Gripas/Reuters/Newscom
Article
Crossing Guards·

= Subscribers only.
Sign in here.
Subscribe here.

The Ambassador Bridge arcs over the Detroit River, connecting Detroit to Windsor, Ontario, the southernmost city in Canada. Driving in from the Canadian side, where I grew up, is like viewing a panorama of the Motor City’s rise and fall, visible on either side of the bridge’s turquoise steel stanchions. On the right are the tubular glass towers of the Renaissance Center, headquarters of General Motors, and Michigan Central Station, the rail terminal that closed in 1988. On the left is a rusted industrial corridor — fuel tanks, docks, abandoned warehouses. I have taken this route all my life, but one morning this spring, I crossed for the first time in a truck.

Illustration by Richard Mia
Article
“I am Here Only for Working”·

= Subscribers only.
Sign in here.
Subscribe here.

But the exercise of labor is the worker’s own life-activity, the manifestation of his own life. . . . He works in order to live. He does not even reckon labor as part of his life, it is rather a sacrifice of his life.

— Karl Marx

Photograph from the United Arab Emirates by the author. This page: Ruwais Mall
Article
The Year of The Frog·

= Subscribers only.
Sign in here.
Subscribe here.

To look at him, Sweet Macho was a beautiful horse, lean and strong with muscles that twitched beneath his shining black coat. A former racehorse, he carried himself with ceremony, prancing the field behind our house as though it were the winner’s circle. When he approached us that day at the edge of the yard, his eyes shone with what might’ve looked like intelligence but was actually a form of insanity. Not that there was any telling our mother’s boyfriend this — he fancied himself a cowboy.

“Horse 1,” by Nine Francois. Courtesy the artist and AgavePrint, Austin, Texas
Article
Dead Ball Situation·

= Subscribers only.
Sign in here.
Subscribe here.

What We Think About When We Think About Soccer, by Simon Critchley. Penguin Books. 224 pages. $20.

Begin, as Wallace Stevens didn’t quite say, with the idea of it. I so like the idea of Simon Critchley, whose books offer philosophical takes on a variety of subjects: Stevens, David Bowie, suicide, humor, and now football — or soccer, as the US edition has it. (As a matter of principle I shall refer to this sport throughout as football.) “All of us are mysteriously affected by our names,” decides one of Milan Kundera’s characters in Immortality, and I like Critchley because his name would seem to have put him at a vocational disadvantage compared with Martin Heidegger, Søren Kierkegaard, or even, in the Anglophone world, A. J. Ayer or Richard Rorty. (How different philosophy might look today if someone called Nobby Stiles had been appointed as the Wykeham Professor of Logic.)

Tostão, No. 9, and Pelé, No. 10, celebrate Carlos Alberto’s final goal for Brazil in the World Cup final against Italy on June 21, 1970, Mexico City © Heidtmann/picture-alliance/dpa/AP Images

Factor by which single Americans who use emoji are more likely than other single Americans to be sexually active:

1.85

Brontosaurus was restored as a genus, and cannibalism was reported in tyrannosaurine dinosaurs.

Moore said he did not “generally” date teenage girls, and it was reported that in the 1970s Moore had been banned from his local mall and YMCA for bothering teenage girls.

Subscribe to the Weekly Review newsletter. Don’t worry, we won’t sell your email address!

HARPER’S FINEST

Report — From the June 2013 issue

How to Make Your Own AR-15

= Subscribers only.
Sign in here.
Subscribe here.

By

"Gun owners have long been the hypochondriacs of American politics. Over the past twenty years, the gun-rights movement has won just about every battle it has fought; states have passed at least a hundred laws loosening gun restrictions since President Obama took office. Yet the National Rifle Association has continued to insist that government confiscation of privately owned firearms is nigh. The NRA’s alarmism helped maintain an active membership, but the strategy was risky: sooner or later, gun guys might have realized that they’d been had. Then came the shootings at a movie theater in Aurora, Colorado, and at Sandy Hook Elementary School in Newtown, Connecticut, followed swiftly by the nightmare the NRA had been promising for decades: a dedicated push at every level of government for new gun laws. The gun-rights movement was now that most insufferable of species: a hypochondriac taken suddenly, seriously ill."

Subscribe Today