Prosecutions of Military Procurement Officers, Contractors for Money Laundering Point to Risks for Banks

By Brian Monroe

Massive spending to support the wars in Iraq and Afghanistan has been accompanied by a surge in fraud, corruption and money laundering involving military personnel and contractors, according to U.S. data. Since the Sept. 11, 2001 terrorist attacks, the United States has spent more than $950 billion to supply troops and rebuild war-torn regions, according to the Northampton MA.-based National Priorities Project, a government watchdog group. The money has gone for a wide array of military gear, from weapons to water bottles, the group said. While spending has grown, prosecutions for procurement fraud, bribery and money laundering tied to America's...