[Congressional Record (Bound Edition), Volume 154 (2008), Part 3]
[House]
[Page 4357]
[From the U.S. Government Publishing Office, www.gpo.gov]




 CALLING FOR INVESTIGATION OF THE FOREIGN CONTRACT LOOPHOLE REGARDING 
                                 FRAUD

  (Mr. WELCH of Vermont asked and was given permission to address the 
House for 1 minute and to revise and extend his remarks.)
  Mr. WELCH of Vermont. Mr. Speaker, there's a new regulation that was 
in the process of being promulgated that did a practical and sensible 
thing for taxpayers: it required contractors who receive over $5 
million of taxpayer money to report fraud when they are aware it 
happened.
  At the last minute, there was an exemption that was put in so that 
foreign contracts were not subject to taxpayer protection. That makes 
no sense and flies in the face of reason.
  By exempting overseas contracts, and this is Iraq and Afghanistan 
particularly, the Bush administration is sending an unambiguous 
message: it's okay to rip off taxpayers when you spend money abroad; 
just don't do it at home.
  Not only must we stop this reckless rule, but we must have answers: 
What was the rationale for the loophole? How did the loophole get 
slipped into the proposed rule? And who advocated for it?
  Through a thorough investigation, we will stop this rule and get some 
answers.

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