Blackwater accused of defrauding US government

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Ewen MacAskill
London Guardian
February 16, 2010

The troubled American private security company Blackwater faced fresh controversy today when two former employees accused it of defrauding the US government for years, including billing for a Filipina prostitute on its payroll in Afghanistan.

[efoods]According to Melan Davis, a former employee, Blackwater listed the woman for payment under the “morale welfare recreation” category.

The company, which allegedly employed her in Kabul, billed the ­government for her plane tickets and monthly salary, Davis said.

Blackwater, renamed Xe last year apparently because of the bad publicity attached to its original name, is among the biggest private security firms employed by the state department and Pentagon in Iraq and Afghanistan.

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