Accounting Accountability

The Pentagon's internal watchdogs can't keep up with the explosive growth in military spending, which means $152 billion's worth of contracts annually aren't being reviewed for fraud, abuse and criminal interference by the Defense Department's Inspector General. Which, knowing the current administration, means $152 billion in fraud, abuse and criminal interference.

The report given to Congress warns of "undetected or inadequately investigated criminal activity and significant financial loss," as well as "personnel, facilities and assets [that] are more vulnerable to terrorist activities". Since 2000, the military budget has essentially doubled to more than $600 billion. But while two wars have begun, the number of criminal investigators at the DOD IG has stayed more or less the same. So there are now "gaps in coverage in important areas, such as major weapon systems acquisition, health care fraud, product substitution, and Defense intelligence agencies," according to the report, obtained by the Project on Government Oversight.

Ten years ago, there was a financial auditor for every $642 million in Pentagon contracts. Today, that ratio stands at one auditor for every $2.03 billion. The overwhelmed staffers are only able to produce half the number of audits they did, a decade back. Crime -- and even threats to national security -- have also been allowed to flourish, thanks to the staffing shortages. Working with other agencies, the DOD IG's criminal investigators have brought in "770 criminal indictments, 644 convictions, and over $3.14 billion in criminal, civil, and administrative recoveries". Yet many other incidents are going unchecked. "Technology/Munitions theft and diversion crimes cannot be adequately investigated allowing these items to fall into the hands of those that would do the United States harm," according to the report.

"There have been massive holes in oversight for years, and in these shadows, criminals have been ripping off taxpayers and depriving our soldiers by wasting and stealing money and supplying defective equipment," said an investigator.

Still, with their shorthanded staff, the DOD IG's office has certainly stayed busy. In just the last few months, the DOD IG caught a Philippine corporation bilking $100 million from the military health care system; nabbed a trio trying to bribe their way into drinking water contracts for troops; busted an Air Force general who tried to steer a $50 million deal to his buddies; and launched investigations into the Pentagon's propaganda projects and the youthful arms-dealer who sold tens of millions of dollars' worth of dud ammunition to the government.

Sadly, the question is how much more could they have done with a bigger staff?