Tuesday 20 April 2010

US contractor criticised for poor expenses records

Dyncorp International, the private US contractor that trains the Afghan police force, has failed to document millions of dollars in expenses and other costs, according to a US government audit report released last week by a US Senate subcommittee.
The November 2009 audit by the Defense Contract Audit Agency uncovered serious deficiencies in how DynCorp International tracks payroll, bills from subcontractors, cost vouchers and millions of dollars in labour costs. Many of DynCorp's billing and financial controls, the report found, were inadequate. In fact, all six systems audited were found to be inadequate or inadequate in part.
The heavily redacted audit report identifies ten significant deficiences, including inadequate employee training compliant with company ethics program requirements, inadequate delineation of authority, inadequate written procedures for adjusting costs, etc, etc. Presumably Dyncorp is not out of pocket. The company's contract was due to end in January but has been extended to the end of the year, pending an open competition for a new contractor.

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