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Pentagon auditors chide Halliburton

NEW YORK, Dec. 19 (UPI) -- Halliburton has been accused by Pentagon auditors of refusing to turn over documents showing the company knew of accounting problems in an Iraq project.

The project in question is an Iraq fuel contract under which American taxpayers allegedly were overcharged nearly $100 million. The work is being done by Halliburton subsidiary Kellogg Brown & Root.

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Vice President Dick Cheney headed up Halliburton before he joined the 2000 presidential ticket.

The dispute is laid out in a Dec. 10 letter from the Defense Contract Audit Agency to a top official at KBR, which is handling more than $5 billion of work in Iraq, the Wall Street Journal said.

Denial of access, the DCAA letter says, "is of great concern ... and is not in the spirit of open communication, trust and cooperation that we agreed to."

Defense officials say a DCAA auditor stumbled upon the KBR audit last month while looking through unrelated files in Kuwait. The Pentagon last week announced it had opened a wide-ranging investigation of Halliburton's Iraq work.

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