Chattanooga Times Free Press

Pentagon: British firm billed U.S. over $50M for iffy costs

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WASHINGTON — A British company hired to train Afghan intelligen­ce officers billed the U.S. government for high-end cars, including Porsches and an Aston Martin, and paid the “significan­t others” of the firm’s top executives six-figure salaries even though there’s no proof they did any work, according to details of a Pentagon audit made public Wednesday.

Sen. Claire McCaskill, D-Mo., said New Century Consulting also spent $42,000 on automatic weapons, using cash to get around a prohibitio­n in the contract on purchasing the firearms, and showered other personnel with hefty pay and bonuses they hadn’t earned. Overall, the military contractor “left taxpayers on the hook for over $50 million in questionab­le costs,” McCaskill said in a statement.

McCaskill, the top Democrat on the Homeland Security and Government­al Affairs Committee, summarized the audit’s major findings in a letter to Defense Secretary Jim Mattis. She demanded to know which Defense Department office was responsibl­e for overseeing the contractor, what steps are being taken to recover the disputed payments, and whether New Century Consulting will face disciplina­ry action.

Michael Grunberg, chief executive officer of New Century Consulting, said the company is being portrayed unfairly and that it strives to follow federal acquisitio­n rules. Grunberg said it “is most unfair and is significan­tly inaccurate” that the executive assistants received excessive salaries.

He said the audit “questioned solely the use and depreciati­on treatment of vehicles” and that New Century Consulting “accounted for no more than three vehicles across the entire business at any one time.”

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