Wednesday, July 22, 2026

Halliburton's involvement in the Iraq War

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Halliburton and its former subsidiary, Kellogg Brown & Root (KBR), played a massive, highly controversial role in the Iraq War, securing tens of billions of dollars in logistics, reconstruction, and oil-infrastructure contracts.
Key Contracts and Operations
  • Logistics Civil Augmentation Program (LOGCAP): Provided massive field support, including base construction, troop housing, laundry services, and food delivery.
  • Oil Infrastructure and Firefighting: Handled critical tasks to restore Iraq's oil production, including putting out oil well fires set during the 2003 invasion.
  • No-Bid Deals: Secured high-profile, non-competitive "no-bid" agreements through the Pentagon, allowing fast-tracked deployment in active war zones.
Controversies and Investigations
  • Political Ties: Faced intense public scrutiny due to former CEO Dick Cheney serving as the U.S. Vice President at the time, leading to widespread accusations of political favoritism and conflict of interest.
  • Cost-Plus Structure: Utilized cost-plus-fee contracts, which critics argued created financial incentives to run up total project expenses because the government reimbursed all costs plus a guaranteed profit percentage.
  • Overcharging and Fraud Probes: Investigated by federal auditors and defense agencies over allegations of overbilling for fuel deliveries, inflated meal and laundry costs, and questionable subcontractor kickbacks.
  • Examining Halliburton's 'Sweetheart' Deal in Iraq - NPR
    Dec 22, 2003 — With a profit margin that razor thin, the company has to be efficient, says Jim Wicklund, an energy industry analyst for Bank of A...
    NPR
  • Contractors reap $138B from Iraq war - CNN
    Mar 19, 2013 — The controversial former subsidiary of Halliburton, which was once run by Dick Cheney, vice-president to George W. Bush, was award...
    CNN
  • Iraq war boosts Halliburton profits | News | Al Jazeera
    Apr 28, 2004 — According to AFP, Halliburton's contracts in Iraq helped boost its turnover by about 80% in the first three months of 2004. The co...
    Al Jazeera
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