Bush Helps Disaster Profiteers

"Katrina is a disaster for the people of the gulf region and for the nation's economy. About 400,000 Americans will lose their jobs, according to the Congressional Budget Office. But for some companies, especially those with political connections, Katrina -- like the war in Iraq -- is a bonanza.

"Congress has already appropriated $62 billion for post-Katrina relief and repair, and the figure is expected to exceed $100 billion. The reconstruction of New Orleans and the gulf coast, like the rebuilding of Iraq, has unleashed a feeding frenzy of government contracts to companies. FEMA and the Army Corps of Engineers quickly suspended rules in order to allow no-bid contracts and speed up reconstruction. Politically connected firms like Haliburton, Fluor Corporation, and Bechtel have already scooped up hundreds of millions of dollars for post-Katrina reconstruction.

"Haliburton, formerly run by Vice President Dick Cheney, is facing questions for allegedly overcharging on work done in Iraq. The Department of Defense has been criticized for awarding Iraq reconstruction contracts to Haliburton and Bechtel without competition. Since the storm hit, Haliburton's shares have risen by more than 10 percent to $65."
AlterNet

Tagged: progressive, hurricane, katrina, hurricanekatrina, bush, cheney, bechtel, halliburton