BACKGROUND ON THE PENTAGONS NEW PUBLIC RELATIONS CONSULTING FIRM FOR CHEMICAL STOCKPILE DISPOSAL PROGRAM (CSDP)
prepared by
Kentucky Environmental Foundation
October 21, 1996
"One consultant admitted that there are times when a firm realizes that
a client--either a government agency or a private company--knows what
it wants to hear from the consultant before any work is done." (Fortune
Magazine October 19, 1981)
On August 5, 1996 the Army awarded the Public Outreach contract on
the CSDP, worth up to $30 Million, to Booz-Allen and Hamilton. Here is
some background on that firm.
BOOZ-ALLEN & HAMILTON: New York based management consulting
firm, founded in 1914. Provides management and technology consulting
services in 75 countries. Its clients include 70 of the 100 largest
companies in the world and more than 400 of the 500 largest industrial
companies in the United States. 1981: REVENUE -$807 Million;
EMPLOYEES-5,000
(Fortune Magazine October 19, 1981).
Oct. '82: Booz-Allen gives up $700,000 contract following press reports
implying a conflict of interest in the work being preformed for San Diego
Gas & Electric.
March '83: Congress investigates Booz-Allen 's $6.8 million EPA contract
for conflict of interest problems concerning Booz-Allen's working for such
clients as Exxon, Texaco, Allied Chemical Corp and the Chemical
Manufacturing Association. According to Richard H. Mays, EPA
enforcement counsel, Booz-Allen memorandums appeared to be,
"woefully inadequate and in some cases contain inaccurate statements of
law." (New York Times:3/2/83)
April '93: Blue Cross and Blue Shield sues Booz-Allen for "deliberate
dishonesty, breach of fiduciary duty, conspiracy and deliberate
dishonesty." (Business Insurance: 4/12/93)
Sept. '93: Booz-Allen ordered to pay $1 Million in fines to the EPA and
$638,000 in restitution after pleading guilty to two counts of presenting
false, fictitious and fraudulent claims for Superfund work. (Mealey's
Litigation Report:Superfund-9/9/93)
Oct. '93: Booz-Allen & Hamilton sued for "civil racketeering, breach of
contract and fraud." Suit alleges Air Force whitewash of study that
identified them as the main cause of the problems surrounding Florida's
commercial space industry. The author of the study, Ralph DePalma, was
fired by Booz-Allen & Hamilton for refusing to alter the report, making
the Air Force look less responsible. A state labor official ruled with
DePalma stating that, "Booz-Allen's actions were unethical." (St.
Petersburg Times: 10/21/93).
Nov. '93: Blue Cross, in its suit for $669 million in a 22 count
complaint, amends its complaint to include "negligence and breach of
contract." According to the complaint, Booz-Allen engaged in "acts of
concealment and waste of corporate assets ." (Baltimore Business
Journal 11/5/93)
For more information on this and other aspects of the CSDP contact
KEF @ (606)986-7565 or your local Chemical Weapons Working Group
affiliate.
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Contact us: Chemical Weapons Working Group Kentucky Environmental Foundation P.O. Box 467 Berea, KY 40403 phone: 859-986-7565 fax: 859-986-2695 For comments about this WWW page contact Lois Kleffman. |