Corporate Corruption News Articles

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Capitalism is evil. That is the conclusion U.S. documentary maker Michael Moore comes to in his latest movie "Capitalism: A Love Story", which [premiered] at the Venice film festival on Sunday. Blending his trademark humour with tragic individual stories, archive footage and publicity stunts, the 55-year-old launches an all out attack on the capitalist system, arguing that it benefits the rich and condemns millions to poverty. "Capitalism is an evil, and you cannot regulate evil," the two-hour movie concludes. "You have to eliminate it and replace it with something that is good for all people and that something is democracy." The bad guys in Moore's mind are big banks and hedge funds which "gambled" investors' money in complex derivatives that few, if any, really understood and which belonged in the casino. The filmmaker also sees an uncomfortably close relationship between banks, politicians and U.S. Treasury officials, meaning that regulation has been changed to favour the few on Wall Street rather than the many on Main Street. He says that by encouraging Americans to borrow against the value of their homes, businesses created the conditions that led to the crisis, and with it homelessness and unemployment. Moore even features priests who say capitalism is anti-Christian by failing to protect the poor.

Note: For a treasure trove of reports from reliable sources on the realities of the Wall Street bailout, click here.

Pharmaceutical firms need incentives, including lucrative patents, to keep creating drugs and vaccines against emergent threats such as the H1N1 influenza pandemic, the World Health Organization's head said on Tuesday. "Progress in public health depends on innovation. Some of the greatest strides forward for health have followed the development and introduction of new medicines and vaccines," said WHO Director-General Margaret Chan said. Chan, who last month declared a full pandemic underway from the H1N1 virus, said that patents can help ensure that companies develop medicines to "stay ahead of the development of drug resistance" in diseases like malaria and tuberculosis. The discovery of isolated H1N1 infections that resist the anti-viral Tamiflu, made by Roche and Gilead, and the global scramble to secure flu vaccines have shown the importance of robust research and development, Chan said. "Innovation is needed to keep pace with the emergence of new diseases, including pandemic influenza caused by the new H1N1 virus," she told a meeting on intellectual property and health, a contentious issue that has divided rich and poor nations.

Note: How much more blatant can it get? The WHO is telling us to pump money into the corrupt pharmaceutical corporations, who make huge profits from fear mongering and health disasters. When profit drives the health industry, which do you think comes first, money or public health? For lots more revealing, reliable information on the fear-mongering around swine flu, click here and here.

A silent $1 trillion "Run on Britain" by foreign investors was revealed yesterday in the latest statistical releases from the Bank of England. The external liabilities of banks operating in the UK – that is monies held in the UK on behalf of foreign investors – fell by $1 trillion (Ł700bn) between the spring and the end of 2008, representing a huge loss of funds and of confidence in the City of London. Some $597.5bn was lost to the banks in the last quarter of last year alone, after a ... massive $682.5bn haemorrhaged in the second quarter of 2008 – a record. About 15 per cent of the monies held by foreigners in the UK were withdrawn over the period. This is by far the largest withdrawal of foreign funds from the UK in recent decades – about 10 times what might flow out during a "normal" quarter. The revelation will fuel fears that the UK's reputation as a safe place to hold funds is being fatally compromised by the acute crisis in the banking system and a general trend to financial protectionism internationally. The slide in sterling – it has shed a quarter of its value since mid-2007 – has been both cause and effect of the run on London, seemingly becoming a self-fulfilling phenomenon. The danger is that the heavy depreciation of the pound could become a rout if confidence completely evaporates. Paranoia that the UK could follow Iceland into effective national insolvency and jibes about "Reykjavik on Thames" will find an unwelcome substantiation in these statistics.

Note: For many deep revelations of the realities of the world financial crisis from reliable sources, click here.

Federal Deposit Insurance Corp. Chairman Sheila Bair said the fund it uses to protect customer deposits at U.S. banks could dry up amid a surge in bank failures, as she responded to an industry outcry against new fees approved by the agency. “Without these assessments, the deposit insurance fund could become insolvent this year,” Bair wrote in a March 2 letter to the industry. “A large number” of bank failures may occur through 2010 because of “rapidly deteriorating economic conditions.” The fund, which lost $33.5 billion in 2008, was drained by 25 bank failures last year. Sixteen banks have failed so far this year, further straining the fund. Smaller banks are outraged over the one-time fee ... Camden Fine, president of the Independent Community Bankers of America, said yesterday. The agency, which has released the change for 30 days of public comment, could modify the assessment to shift the burden to the large banks “that caused this train wreck,” Fine said. “Community bankers are feeling like they are paying for the incompetence and greed of Wall Street,” he said. Consumers should watch this issue closely, said Edmund Mierzwinski, consumer program director at U.S. PIRG, a Boston- based consumer-watchdog group. “I wouldn’t take their money out of the bank yet,” Mierzwinski said. “If the FDIC is saying that there is this serious problem, then we should all be concerned. I think there is a chance the FDIC is going to have to ask taxpayers for money in the future.”

Note: For lots more on the financial crisis from reliable sources, click here.

Executives at Goldman Sachs Group Inc., JPMorgan Chase & Co. and hundreds of financial institutions receiving federal aid aren’t likely to be affected by pay restrictions announced yesterday by President Barack Obama. The rules, created in response to growing public anger about the record bonuses the financial industry doled out last year, will apply only to top executives at companies that need “exceptional” assistance in the future. The limits aren’t retroactive, meaning firms that have already taken government money won’t be subject to the restrictions unless they have to come back for more. Pay caps may provide the political cover the administration needs to deliver additional infusions of capital into the financial sector. Obama ... “is not proposing to go back and get that $18.4 billion in bonuses back,” Laura Thatcher, head of law firm Alston & Bird’s executive compensation practice in Atlanta, said of the cash bonuses New York banks paid last year, the sixth-biggest haul in history. “Right now, we have not clamped down” on pay at banks. In addition, some executives may be compensated for the potential reduced salaries with restricted stock grants, which may result in huge paydays after the bank repays the government assistance with interest. “They’re just allowing companies to defer compensation,” said Graef Crystal, a former compensation consultant. The restrictions are “a joke,” he said, because “if the government is paid pack, you can be sure that the stock will have risen hugely.”

Note: For many revealing reports from reliable sources on the realities behind the Wall Street bailout, click here.

In a sweeping critique ... an expert panel of the National Research Council said the federal government was not doing enough to identify potential health and environmental risks from engineered nanomaterials. Nanomaterials are engineered on the scale of a billionth of a meter, perhaps 1/10,000 the width of a human hair. They are turning up in a range of items including consumer products like toothpaste and tennis rackets and industrial products like degreasers or adhesives. But some experts say they may pose health or environmental risks. For example, researchers in Scotland reported this year that carbon nanotubes may pose the same health risks as asbestos. “Industry wants to run with it,” said Andrew D. Maynard, chief science adviser to the Project on Emerging Nanotechnologies at the Woodrow Wilson Institute, who was the chairman of the panel. But he added, “one of the big barriers at the moment is understanding how to use it safely.” The panel analyzed the risk research strategy of the National Nanotechnology Initiative, the program to coordinate federal efforts in nanotechnology research and development. Its report concluded that the initiative’s strategy “does not present a vision, contain a clear set of goals, have a plan of action for how the goals are to be achieved, or describe mechanisms to review and evaluate funded research and assess whether progress has been achieved.” An informal coalition of environmental and business organizations praised the report, saying that for three years they had been urging the federal government to do more to assess potential health and environmental effects of nanomaterials.

Note: For many important articles on health issues from reliable sources, click here.

Once upon a time, a politician took campaign contributions and favors from a friendly constituent who happened to run a savings and loan association. The contributions were generous: They came to about $200,000 in today's dollars, and on top of that there were several free vacations for the politician and his family, along with private jet trips and other perks. The politician voted repeatedly against congressional efforts to tighten regulation of S&Ls, and in 1987, when he learned that his constituent's S&L was the target of a federal investigation, he met with regulators in an effort to get them to back off. That politician was John McCain, and his generous friend was Charles Keating, head of Lincoln Savings & Loan. While he was courting McCain and other senators and urging them to oppose tougher regulation of S&Ls, Keating was also investing his depositors' federally insured savings in risky ventures. In 1989, [Lincoln] went belly up -- and more than 20,000 Lincoln customers saw their savings vanish. Keating went to prison, and McCain's Senate career almost ended. Together with the rest of the so-called Keating Five ... McCain was investigated by the Senate Ethics Committee and ultimately reprimanded for "poor judgment." But the savings and loan crisis mushroomed. Eventually, the government spent about $125 billion in taxpayer dollars to bail out hundreds of failed S&Ls. The $125 billion seems like small change compared to the $700-billion price tag for the Bush administration's proposed Wall Street bailout. But the root causes of both crises are the same: a lethal mix of deregulation and greed.

The United States this year will have spent [at least] $100 billion on contractors in Iraq since the invasion in 2003, a milestone that reflects the Bush administration’s unprecedented level of dependence on private firms for help in the war, according to a government report to be released [on August 12]. The report, by the Congressional Budget Office ... will say that one out of every five dollars spent on the war in Iraq has gone to contractors for the United States military and other government agencies. The Pentagon’s reliance on outside contractors in Iraq is proportionately far larger than in any previous conflict, and it has fueled charges that this outsourcing has led to overbilling, fraud and shoddy and unsafe work that has endangered and even killed American troops. The role of armed security contractors has also raised new legal and political questions about whether the United States has become too dependent on private armed forces on the 21st-century battlefield. The budget office’s report found that from 2003 to 2007, the government awarded contracts in Iraq worth about $85 billion, and that the administration was now awarding contracts at a rate of $15 billion to $20 billion a year. At that pace, contracting costs will surge past the $100 billion mark before the end of the year. Through 2007, spending on outside contractors accounted for 20 percent of the total costs of the war, the budget office found. The dependence on private companies to support the war effort has led to questions about whether political favoritism has played a role in the awarding of multibillion-dollar contracts.

Note: For many disturbing reports on the realities of the Afghan and Iraq wars from major media sources, click here.

Four Western oil companies are in the final stages of negotiations this month on contracts that will return them to Iraq, 36 years after losing their oil concessions to nationalization as Saddam Hussein rose to power. Exxon Mobil, Shell, Total and BP — the original partners in the Iraq Petroleum Company — along with Chevron and a number of smaller oil companies, are in talks with Iraq’s Oil Ministry for no-bid contracts to service Iraq’s largest fields. The deals, expected to be announced on June 30, will lay the foundation for the first commercial work for the major companies in Iraq since the American invasion, and open a new and potentially lucrative country for their operations. The no-bid contracts are unusual for the industry, and the offers prevailed over others by more than 40 companies, including companies in Russia, China and India. The contracts [would] give the companies an advantage in bidding on future contracts. There was suspicion among many in the Arab world and among parts of the American public that the United States had gone to war in Iraq precisely to secure the oil wealth these contracts seek to extract. The Bush administration has said that the war was necessary to combat terrorism. Sensitive to the appearance that they were profiting from the war and already under pressure because of record high oil prices, senior officials of two of the companies, speaking only on the condition that they not be identified, said they were helping Iraq rebuild its decrepit oil industry.

Note: For many revealing reports from reliable sources on the real reasons behind the war in Iraq, click here.

Amid increasing public outcry over record-shattering oil and gas prices, senators ... hauled industry executives in to testify about the recent runup. The Senate Judiciary Committee ... grilled executives from Exxon Mobil, ConocoPhillips Co., Shell Oil Co., Chevron and BP as to how their companies can in good conscience make so much money, while American drivers pay so much at the pump. Sen. Richard Durbin, D-Ill. [asked] "Does it trouble any one of you - the costs you're imposing on families, on small businesses, on truckers?" The hearing marked the second time in as many months that top oil industry officials have been called before Congress. The hearing was ostensibly called to ask the executives why they needed some $18 billion in federal subsidies in light of their record profits, but quickly became a Q&A on bigger questions in the energy business. Lawmakers criticized the firms for not investing enough in finding new oil and developing renewable resources and told them, in thinly disguised terms, that they'd be forced to enact extra profit taxes if Big Oil continued to post such large earnings. Although lawmakers don't vote on energy issues strictly along party lines, Democrats generally want to increase taxes on Big Oil and use the money to fund renewable energy research. Republicans generally favor opening up the Alaska Wildlife Refuge, large parts of the Rocky Mountains, and areas off the east and west coast that have been closed to drilling since the 1970s following a public backlash after several big oil spills.

An audit of US-funded reconstruction projects for Iraq has found millions of dollars have been wasted because many schemes have never been completed. The Special Inspector General for Iraq Reconstruction blamed delays, costs, poor performance and violence for failure to finish some 855 projects. Many other projects had been falsely described as complete, found the audit of 47,321 reconstruction projects. Iraq reconstruction has cost US taxpayers more than $100bn so far. USAID, the body responsible for overseeing Iraqi reconstruction, has responded that the database used for the review was incomplete. The audit by Senator Stuart Bowen found US officials had terminated at least 855 projects before completion. Of this number, 112 were ended because of the contractors' poor performance. Danielle Brian, executive director of the watchdog group Project on Government Oversight, said: "The report paints a depressing picture of money being poured into failed Iraq reconstruction projects. Contractors are killed, projects are blown up just before being completed, or the contractor just stops doing the work." Last year, congressional investigators said as much as $10bn (Ł5bn) charged by US contractors for Iraq reconstruction had been questionable.

Note: Why is the U.S. spending over $100 billion to "reconstruct" Iraq? That's over $500 for each taxpayer in the U.S., with little to show for it. For more, see what a highly decorated U.S. general has to say on all this by clicking here.

Two and a half years after Hurricane Katrina, tens of thousands of homeowners are still waiting for their government rebuilding checks, and many complain they can't even get their calls returned. But the company that holds the contract to distribute the aid is doing quite well. ICF International of Fairfax, Va., has posted strong profits, gone public, landed additional multimillion-dollar government contracts -- and recently secured a potentially big raise from the state of Louisiana. In the waning days of Democratic Gov. Kathleen Babineaux Blanco's administration, state officials increased the management contract ceiling from $756 million to $912 million -- this, after the Legislature wanted to fire ICF over its handling of the homeowner recovery program, called Road Home. "It is outrageous that ICF couldn't do the job for more than $750 million and that they were given a pay raise after their history of disappointing service," Blanco's successor, Republican Gov. Bobby Jindal, said in an e-mail Thursday. Displaced residents expressed anger. Road Home was created in June 2006 as a state-run, federally funded plan to compensate homeowners for the breach of New Orleans' government-run levees. Homeowners can apply for grants to repair their homes or to obtain buyouts if they don't want to fix things up. As of last month, 56,000 applicants -- nearly 40% of the qualified total -- had yet to receive a cent. Plagued by cost overruns and delays, Road Home is expected to cost federal taxpayers $10 billion and has become a glaring symbol of frustration in post-Katrina New Orleans.

Note: For many more revealing reports on the aftermath of Hurricane Katrina, click here.

How big do you have to be to earn the wrath of the United Nations and Internet giant Google? If you're journalist Matthew Lee, all it takes are some critical articles and a scrappy little Web site. Lee is the editor-in-chief, Webmaster and pretty much the only reporter for Inner City Press, a pint-sized Internet news operation that's taken on Goliath-sized entities like Citigroup since 1987. Since 2005, he's been focusing almost entirely on stories that deal with internal corruption inside the U.N., posting several stories online almost daily. Many of Lee's stories were featured prominently whenever Web users looked for news about the U.N. using the powerful Google News search engine, a vital way for media outlets both large and small to get their articles read. But beginning Feb. 13, Google News users could no longer find new stories from the Inner City Press. "I think they said, 'If we can't get this guy out of the U.N., let's disappear him from the Internet,'" Lee said. It began with an innocuous-sounding yet chilling form letter from Google to Lee, e-mailed on Feb. 8: "We periodically review news sources, particularly following user complaints, to ensure Google News offers a high quality experience for our users," it said. "When we reviewed your site we've found that we can no longer include it in Google News." As soon as he read it, Lee immediately suspected one thing: That someone at the [UN] had pressured Google into "de-listing" him from Google News — essentially preventing Inner City Press from being classified on Google News as a legitimate news source and from having its stories pop up when someone conducts a Google News search.

Three Florida fruit-pickers, held captive and brutalised by their employer for more than a year, finally broke free of their bonds by punching their way through the ventilator hatch of the van in which they were imprisoned. Once outside, they dashed for freedom. When they found sanctuary one recent Sunday morning, all bore the marks of heavy beatings to the head and body. One of the pickers had a nasty, untreated knife wound on his arm. Police would learn later that another man had his hands chained behind his back every night to prevent him escaping, leaving his wrists swollen. The migrants were not only forced to work in sub-human conditions but mistreated and forced into debt. They were locked up at night and had to pay for sub-standard food. If they took a shower with a garden hose or bucket, it cost them $5. Their story of slavery and abuse in the fruit fields of sub-tropical Florida threatens to lift the lid on some appalling human rights abuses in America today. Between December and May, Florida produces virtually the entire US crop of field-grown fresh tomatoes. Fruit picked here in the winter months ends up on the shelves of supermarkets and is also served in the country's top restaurants and in tens of thousands of fast-food outlets. But conditions in the state's fruit-picking industry range from straightforward exploitation to forced labour. Tens of thousands of men, women and children – excluded from the protection of America's employment laws and banned from unionising – work their fingers to the bone for rates of pay which have hardly budged in 30 years. Until now, even appeals from the former president Jimmy Carter to help raise the wages of fruit-pickers have gone unheeded. Fruit-pickers, who typically earn about $200 (Ł100) a week, are part of an unregulated system designed to keep food prices low and the plates of America's overweight families piled high.

When previous Republican administrations were accused of illegality in the FBI and CIA spying abuses of the 1970s or the Iran-Contra affair of the 1980s, Democrats in Congress launched investigations or pushed for legislative reforms. But last week, faced with admissions by several telecommunication companies that they assisted the Bush administration in warrantless spying on Americans, leaders of the Senate intelligence committee took a much different tack -- proposing legislation that would grant those companies retroactive immunity from prosecution or lawsuits. The proposal marks the second time in recent years that Congress has moved toward providing legal immunity for past actions that may have been illegal. The Military Commissions Act, passed by a GOP-led Congress in September 2006, provided retroactive immunity for CIA interrogators who could have been accused of war crimes for mistreating detainees. Legal experts say the granting of such retroactive immunity by Congress is unusual, particularly in a case involving private companies. "It's particularly unusual in the case of the telecoms because you don't really know what you're immunizing," said Louis Fisher, a specialist in constitutional law with the Law Library of the Library of Congress. Civil liberties groups and many academics argue that Congress is allowing the government to cover up possible wrongdoing and is inappropriately interfering in disputes that the courts should decide. The American Civil Liberties Union [said] in a news release Friday that "the administration is trying to cover its tracks."

For years, the [Bush] administration has been quietly auctioning off U.S. foreign policy to the highest corporate bidder -- and it may be too late for us to buy it back. Look at Blackwater. Blackwater increasingly promises to do everything the U.S. government can do, but better. Blackwater's facility in North Carolina is the world's largest private military facility -- it's so good that the U.S. military uses it for training. Since its founding, it has trained 50,000 "consultants" who can be deployed anywhere in the world. With no geographical limits, the company is eager to prove its value. Blackwater has trained police in Afghanistan and naval commandos in Azerbaijan, and it sent heavily armed employees to New Orleans after Hurricane Katrina. They started off offering their services as volunteers -- or vigilantes, some critics said. FEMA, playing catch-up, followed with contracts, as did a number of other agencies. Increasingly, Blackwater looks like a miniature government. It has people, infrastructure and hardware. For instance, it is buying Brazilian-made fighter bombers -- great in combat but not really necessary if you're merely providing civilian bodyguards. Blackwater is unusual, but it's not entirely unique. Other corporations ... are also eagerly filling the vacuum as the U.S. government retreats worldwide from the business of governing. The White House's motives are obvious. Why fight another war, with all the bother of convincing Congress, if you can quietly hire a private military company to fight it for you? Why interrogate suspected insurgents if you can outsource the whole messy business? As for the corporations so eagerly lapping up the contracting dollars, there's no conspiracy -- it's just the good old profit motive.

In an attempt to raise the nation's historically low rate of breast-feeding, federal health officials commissioned an attention-grabbing advertising campaign a few years ago to convince mothers that their babies faced real health risks if they did not breast-feed. It featured striking photos of insulin syringes and asthma inhalers topped with rubber nipples. Plans to run these blunt ads infuriated the politically powerful infant formula industry, which hired a former chairman of the Republican National Committee and a former top regulatory official to lobby the Health and Human Services Department. Not long afterward, department political appointees toned down the campaign. The ads ran instead with more friendly images of dandelions and cherry-topped ice cream scoops, to dramatize how breast-feeding could help avert respiratory problems and obesity. In a February 2004 letter (pdf), the lobbyists told then-HHS Secretary Tommy G. Thompson they were "grateful" for his staff's intervention to stop health officials from "scaring expectant mothers into breast-feeding," and asked for help in scaling back more of the ads. The formula industry's intervention -- which did not block the ads but helped change their content -- is being scrutinized by Congress in the wake of last month's testimony by former surgeon general Richard H. Carmona that the Bush administration repeatedly allowed political considerations to interfere with his efforts to promote public health. "This is a credible allegation of political interference that [may] have had serious public health consequences," said [Rep. Henry] Waxman, a California Democrat. The milder campaign HHS eventually used had no discernible impact on the nation's breast-feeding rate, which lags behind the rate in many European countries.

For half a century, the Defense Advanced Research Projects Agency - a low-profile but vital division of the Defense Department - has ... been the force behind dozens of weapons, from the M-16 rifle and night-vision goggles to smart bombs and stealth aircraft. Now, DARPA is planning for a long war in which U.S. troops will be expected to face guerrilla adversaries. And just as during the Cold War, DARPA is counting on high-tech Silicon Valley to give U.S. forces the edge. More than 3,000 scientists, entrepreneurs and military leaders ... gathered in Anaheim ... for the agency's 50th anniversary conference. The agency is operating on a $3.1 billion budget, up 8 percent from fiscal 2006. Virtually every Silicon Valley company, from the obvious candidates like Lockheed Martin Missiles and Space to ... Google, has been touched in some way by DARPA. "Almost every great digital oak has a DARPA acorn at the bottom," said futurist Paul Saffo. During three days in Anaheim, DARPA and Pentagon officials made 60 presentations, painting a picture of a future in which the United States will have to spend $1 million on countermeasures for every dollar shelled out by bomb-building guerrillas like those U.S. forces are encountering in Iraq. But DARPA's high-tech dreams have their critics, who view its "visions" as boondoggles the nation can't afford. "I think it (DARPA) is basically a jobs program," said Chalmers Johnson, a retired University of California political scientist. Thomas Barnett, author of The Pentagon's New Map, one of the treatises that lay out the scenario for these asymmetrical wars that planners expect, [said] "The million-to-one (ratio) is unsustainable."

A three-year veil of secrecy in the name of national security was used to keep the public in the dark about the handling of highly enriched uranium at a nuclear fuel processing plant -- including a leak that could have caused a deadly, uncontrolled nuclear reaction. The leak turned out to be one of nine violations or test failures since 2005 at privately owned Nuclear Fuel Services Inc., a longtime supplier of fuel to the U.S. Navy's nuclear fleet. The public was never told about the problems when they happened. The Nuclear Regulatory Commission revealed them for the first time last month when it released an order demanding improvements at the company, but no fine. In 2004, the government became so concerned about releasing nuclear secrets that the commission removed more than 1,740 documents from its public archive -- even some that apparently involved basic safety violations at the company. Environmental activists are still suspicious of the belated revelations and may challenge the commission's decision not to fine Nuclear Fuel Services for the safety violations. "That party is not over -- the full story of what is going on up there," said Ann Harris, a member of the Sierra Club's national nuclear task force. While reviewing the commission's public Web page in 2004, the Department of Energy's Office of Naval Reactors found what it considered protected information about Nuclear Fuel Service's work for the Navy. The commission responded by sealing every document related to Nuclear Fuel Services. Under the policy, all the documents were stamped "Official Use Only," including papers about the policy itself and more than 1,740 documents from the commission's public archive.

The Defense Intelligence Agency is preparing to pay private contractors up to $1 billion to conduct core intelligence tasks of analysis and collection over the next five years, an amount that would set a record in the outsourcing of such functions by the Pentagon's top spying agency. The proposed contracts ... reflect a continuing expansion of the Defense Department's intelligence-related work and fit a well-established pattern of Bush administration transfers of government work to private contractors. Since 2000, the value of federal contracts signed by all agencies each year has more than doubled to reach $412 billion, with the largest growth at the Defense Department. Outsourcing particularly accelerated among intelligence agencies after the [Sept. 11] 2001 terrorist attacks. The DIA's action comes a few months after CIA Director Michael V. Hayden, acting under pressure from Congress, announced a program to cut the agency's hiring of outside contractors by at least 10 percent. The DIA is the country's major manager and producer of foreign military intelligence, with more than 11,000 military and civilian employees worldwide and a budget of nearly $1 billion. It has its own analysts from the various services as well as collectors of human intelligence in the Defense HUMINT Service. DIA also manages the Defense attaches stationed in embassies all over the world. Unlike the CIA, the DIA outsources the major analytical products known as all-source intelligence reports, a senior intelligence official said.

Important Note: Explore our full index to revealing excerpts of key major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.