About POGO's Federal Contractor Misconduct Database (FCMD)
The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »
Anham is a contracting company that provides services throughout the Middle East and North Africa, Central Asia, and Europe. Anham's areas of expertise include vehicle services, food supply and distribution, information technology, construction and facilities management, security, aviation services, and power generation and transmission. Anham was created by the principals of the Arab Supply and Trading Company (ASTRA) of Saudi Arabia; GMS Holdings (a principal founder of Munir Sukhtian International) of Amman, Jordan; and HII-Finance Corporation of Vienna, Virginia, USA.
Federal Contract $: $ 638.3m
Total Number of Instances: 1
Total Misconduct dollar amount: $ 0.0m
Instances of Misconduct
The Special Inspector General for Iraq Reconstruction (SIGIR) examined subcontracts associated with a contract awarded to Anham in September 2007 to provide for the receipt, storage, and onward movement of supplies and equipment needed to reconstitute the Iraqi Security Forces and reconstruct the country’s infrastructure. SIGIR found significant weaknesses in the government’s oversight of Anham’s business systems and other contract administration functions, which left the government at significant risk of paying unreasonable costs. SIGIR also conducted a limited incurred-cost review of Anham and questioned almost 39 percent of the costs ($4.4 million) reviewed. SIGIR questioned whether these costs were fair or reasonable because of questionable competition practices, inappropriate bundling of subcontractor items, and close working relationships or possible ownership affiliations (i.e. “less-than-arm’s-length” distance) between Anham and certain of its subcontractors. In some instances, Anham billed the government for plumbing and electrical items at prices that SIGIR determined were marked up by several thousand percent. As a result of its findings, SIGIR questioned all of the costs on this contract ($113.4 million) and recommended the military initiate a systematic review of billing practices on all Anham contracts in Iraq and Afghanistan. Anham sharply disputed SIGIR's findings, calling them "false, without legal or factual justification," and "completely unfounded."... more»