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US government files lawsuit accusing contractors of inflating troop trailer prices in Iraq

By Associated Press 11:20 a.m. CST, November 20, 2012

CHICAGO (AP) — The U.S. government has filed a civil lawsuit that accuses a Houston-based global construction company and its Kuwaiti subcontractor of allegedly submitting inflated claims to install trailers for Iraq War troops.

The complaint filed this week says KBR Inc. subcontracted First Kuwaiti Trading Co. in 2003 to install some 2,250 trailers for about $80 million.

It says First Kuwaiti later tacked on $49 million in charges. It claims KBR passed the extra charges on to the U.S. government knowing that at least some were inflated.

US government files lawsuit accusing contractors of inflating troop trailer prices in Iraq