Full: INTRIGUE SURROUNDS $400 MILLION GOVERNMENT AWARD TO GLOBAL CROSSING

INTRIGUE SURROUNDS $400 MILLION GOVERNMENT AWARD TO GLOBAL CROSSING

**Exclusive**

Last summer the Bush Administration canceled a Defense Department contract valued up to $400 million with the soon-to-be bankrupt GLOBAL CROSSING after question were raised about the bidding process -- a process top-level GOP insiders now suggest was sweetened by players from the previous administration!

GLOBAL CROSSING filed the 4th largest bankruptcy in history this week. Chairman Gary Winnick saw his stock fortune plunge to zero from a high of more than $5 billion.

During his run Winnick showered political players with cash and options, helping DNC head Terry McAuliffe turn a $100,000 stock investment into $18,000,000 in the late 1990s. Winnick gave a million dollars to help build Clinton's presidential library; hosted fundraising dinners for Senator Tom Daschle; gifted thousands of dollars to Rep. Henry Waxman and other key lawmakers on both sides of the aisle.

Six months before Winnick's stunning bankruptcy call -- the United States awarded GLOBAL CROSSING a massive contract, which called for an extensive phone and data network linking more than 6,000 scientists and engineers at far-flung defense test centers, laboratories, universities and industry locations.

The three-year fiber-optic contract, valued at $137 million for the initial phase and more than $400 million if the Defense Department exercised all options, was canceled just a month after it was awarded when serious question were raised about the bidding process.

"We think there's something smelly here," said Ray Bjorklund, vice president of Federal Sources Inc., a market research and consulting firm. "Something was wrong in the award."

Protests were lodged by AT&T CORP., QWEST COMMUNICATIONS INTERNATIONAL INC., SPRINT CORP. and WORLDCOM INC. after a lengthy bidding window, which began during the Clinton administration.

"Flags have been raised all over the place about GLOBAL CROSSING winning this deal," a top congressional source told the DRUDGE REPORT late Tuesday. "It sure looks like someone in high office wanted GLOBAL CROSSING from the git-go."

"The U.S. taxpayers sure are fortunate the Defense Department made a quick reversal," said the congressional source. "[However,] I sure would like to know how a company that was on the verge of bankruptcy got the contract! Spread a little money around? Give some cash to a presidential library, take some folks out to fancy dinners? That's all it took? We've got to take a look at this."

A finance executive at Winnick's CROSSING warned last August -- just weeks after the lucrative Defense Department contract was awarded -- how the company's financial condition was being enhanced with misleading accounting techniques.

The five-page letter, written by the former vice president of finance, contains a detailed analysis of deceptive accounting practices: including inflating revenue and cash-flow figures, numbers that may have helped convince investors and analysts that GLOBAL CROSSING was healthier than it was, the LOS ANGELES TIMES reported in Wednesday editions.

Eat your chart out, ENRON!

I know the thread police will come but I hope they won't take this post down - the other thread about this did not have the actual Drudge article AND when I tried to access Drudge - it was down!

Thank GOD the Bush team looked at this more closely - and reversed this government contract with Global Crossing!

Guess who would be running this American Defense Dept network now??????? THE COMMUNIST CHINESE FRONT COMPANY OF HUTCHISON WHAMPOA!

Now we know who was directing the fraudulent election and why!!! The Chicoms have had their eyes on our infrastructure and have made a play for it here already - with their financing and takeover of Global Crossing - which was their company from the getgo - but now is theirs outright - IF THE CONGRESS ALLOWS THIS BUYOUT TO PROCEED!!!!! STOP IT NOW, CONGRESS CRITTERS!

"We've got to take a look at this." You certainly do...now, as the President says, DO YOUR JOBS!

Thanks for posting this thread.

"A finance executive at Winnick's CROSSING warned last August -- just weeks after the lucrative Defense Department contract was awarded -- how the company's financial condition was being enhanced with misleading accounting techniques."

"The five-page letter, written by the former vice president of finance, contains a detailed analysis of deceptive accounting practices: including inflating revenue and cash-flow figures, numbers that may have helped convince investors and analysts that GLOBAL CROSSING was healthier than it was, the LOS ANGELES TIMES reported in Wednesday editions."

Gee who was president and vice president when this contract was signed. Who was SECDEF?

The real villian in all of this is Arthur Andersen, the accounting firm which cooked the books for Global Crossing as referenced by this article.

Arthur Andersen was enabled to be a villian, a crook and and destroyer of businesses by Senator Dodd, demonicRat!

Here is the real story on the real villian behind Enron, Global Crossing, Loraly, Tyco? and ?:

It was on account of Dodd's tireless efforts that Arthur Andersen was able to act as both "independent auditor" and management consultant to Enron for $100 million a year.

That role - so fraught with conflict of interest that it makes a joke of the concept of outside auditors protecting shareholders - has been identified as one of the major causes of the debacle.

In 1995, it was Dodd who rammed through legislation, overriding President Clinton's veto, to protect firms like Andersen from lawsuits in cases just like Enron.

The Dodd bill limited liability for lawyers and accountants for "aiding and abetting" corporate fraud by their clients, making them liable only for their "proportionate" share of the blame, rather than for the entire fraud.

So, if an accounting firm kept secret the true picture of a corporation's finances, it would only be liable for part of the total fraud on the investors. For shareholders, this law is awful - the fraudulent company has usually lost nearly all its value before the shareholder learns about it, so there's nothing left.

For the accounting firm, though, it's great - the shareholders can't pin the total losses on you. And from Andersen's point of view, it was really wonderful, because they were already facing thousands of lawsuits for their role in securities fraud.

A grateful accounting industry showed its appreciation to Sen. Dodd by contributing $345,903 to his campaign between 1993 and 1997. Every major accounting firm pitched in - Deloitte & Touche, Ernst & Young, Coopers & Lybrand, Peat Marwick, Price Waterhouse. (Dodd has received more money from Arthur Andersen than any other Democrat - $54,843.)

From '93 to '97, Dodd also received $523,551 from the securities industry, which was thrilled with other provisions of the '95 law that limited liability from securities lawsuits, notably for firms that failed to live up to their predictions about future earnings. Consumer groups had opposed the legislation -

For the full sickening story, go to (Dodd, the enabler of Arthur Andersen and corporate crooks)

Dodd, DemonicRat, who helps the big crooks and $crews the rest of America!

Finally the DemonicRat Wh$re in charge of the GAO was a partner of Arthur Andersen before he was appointed by the bent X42 to be director of the GAO.

Why is he not investigating this contract instead of his phoney smear attempt against VP Cheney. Not only is his attempted smear attempt a violation of the three separate Branches of government as per our constitution. It is a smoke screen to cover the real stuff to be investigated like this sweet heart defense contract.

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