In theory, these vast sums were to be spent in an open, transparent manner solely for the benefit of the Iraqi people. But how can we be sure they have been? Along with the development fund, there was meant to be a supervisory group, the International Advisory and Monitoring Board -- made up of officials from the World Bank, International Monetary Fund, U.N. and Arab Fund for Development -- to oversee where the money goes. However, according to a trenchant report from the Soros Foundation-funded group Iraq Revenue Watch, which has been keeping an informed eye on the Iraq boondoggle, because of dogged resistance by the occupation authorities, combined with bureaucratic sloth by the IAMB, the board got its first look at the books only this March, 10 months late. Needless to say, there are no Iraqis on the board, though two have recently and reluctantly been designated as observers.
Free from independent scrutiny, the DFI piggy bank has disbursed $7.3 billion. For months Bremer's merry men refused to disclose even the most minimal information on where the money was going, and even now the CPA releases only the most generalized breakdown, for example: "Restore Oil Infrastructure -- $80,197,742.82."
Assuming that line item is accurate, that would be money paid to Halliburton -- which as it happens is a fine example of how the piggy bank has been used by the administration to get around irksome constitutional restrictions on government spending without congressional approval.
Late last year, when the stench of Halliburton contracts for Iraq became so strong that even Congress noticed, the $18.4 billion supplemental appropriations bill for Iraqi reconstruction specifically forbade the award of any contract worth more than $5 million that had not been competitively bid. This might have put a spoke in the Halliburton wheel, except that the CPA simply reached into the DFI to pay Dick Cheney's old company.
There has been no protest from Congress over this egregious flouting of its fundamental role as controller of the government's checkbook. No one should be surprised, however, given that there is specific legislation on the books -- passed over fruitless objections from Democrats -- exempting the CPA from any investigation by the Government Accounting Office or any requirement to appoint an inspector general, as mandated for all government agencies in a 1990 law.
For most of the past year, Iraqis have complained about ill treatment and torture meted out by the army of occupation. No one paid much attention until the Abu Ghraib photographs became public. Over the same period, in several visits to Iraq, I heard Iraqis complaining with equal vehemence about the generalized corruption of the occupiers -- corruption that extends from the top right down to ordinary soldiers robbing Iraqis of cash and valuables during house searches and vehicle checks, and military and CPA officials at every level demanding bribes and kickbacks.
These complaints get the same brushoff treatment as the torture and abuse victims at Abu Ghraib got until what was happening at the prison became widely known. A photo of CPA officials giving the thumbs up and pointing to their wallets might make a difference. In the meantime, don't expect the administration to give Iraqis their money back anytime soon.