U.S. Army Awards Iraq Security Work To British Firm

WP

The U.S. military confirmed yesterday that it awarded the largest security contract in Iraq to a private British firm, Aegis Defence Services, in a deal worth up to $475 million over two years.

Aegis won the high-stakes derby over six other contenders, said sources who spoke on condition of anonymity because of the confidential nature of the bidding process. The deal, however, is being challenged by another British company that bid on the contract. Erinys Iraq is seeking an injunction from the U.S. Court of Appeals for the Federal Circuit to stop the Army from carrying out the contract. Erinys, which is also planning a separate appeal of the award to Aegis, had unsuccessfully sought to challenge the Army's decision in protests with the Government Accountability Office and the U.S. Court of Federal Claims.

Members of Congress, meanwhile, continue to raise questions about the use of foreign private security forces, such as Aegis, to protect U.S. commanders and soldiers. Federal lawmakers have requested that the GAO look into the use of private security contractors in Iraq. The Special Inspector General for Iraq Reconstruction also is conducting its second audit of Aegis, based on a request from a member of Congress who has expressed concerns about the firm's chief executive, Tim Spicer. He is a retired British military officer whose previous private military company, Sandline International, had been hired to quell insurgencies in countries such as Papua New Guinea and Sierra Leone.......