Audit Raises Conflict-of-Interest Red Flags

DEFENSE DEPARTMENT

Audit Raises Conflict-of-Interest Red Flags

7/1/2008
By Sandra I. Erwin

The government-industry revolving door is spinning at such fast pace that it’s becoming more difficult to prevent conflicts of interest, says Congress’ watchdog agency. An audit by the Government Accountability Office estimated that — counter to current regulations — at least 422 former Defense Department officials could have worked on defense contracts related to their former agencies and that at least nine could have worked on the same contracts for which they had oversight responsibilities in their government jobs.

According to IRS data in 2006 alone, 52 contractors employed 2,435 former Defense officials who had previously served in acquisition positions. But contractor-supplied data showed they employed just 1,263 former Defense officials in 2006.

Topics: Business Trends, Doing Business with the Government, Defense Contracting, Defense Contracting

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