WASHINGTON - The Halliburton subsidiary that provides food, shelter and other logistics to U.S. troops in Iraq and Afghanistan exploited federal regulations to hide details on its contract performance, according to a report released Friday.
The special inspector general for Iraq reconstruction found that Halliburton's Kellogg, Brown & Root Services routinely marked all information it gave to the government as proprietary, whether it was or not. The government promises not to disclose proprietary data so a company's most valuable information is not divulged to its competitors.
By marking all information proprietary — including such normally releasable data as labor rates — the company abused federal regulations, the report says.
In effect, Kellogg, Brown & Root turned the regulations "into a mechanism to prevent the government from releasing normally transparent information, thus potentially hindering competition and oversight."