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Ex-Employees Accuse Blackwater of Defrauding US, Billing for Prostitutes

HeadlineFeb 11, 2010

In other Blackwater news, two former employees are accusing the company of routinely defrauding the US government on a number of contracts in Iraq, Afghanistan, and in New Orleans following Hurricane Katrina. In a newly unsealed lawsuit, the husband-wife plaintiffs, Brad and Melan Davis, say Blackwater officials filed bogus receipts, double billed for the same services, and charged the government for hiring strippers and prostitutes. The suit also accuses Blackwater executives of ignoring “excessive and unjustified” force against Iraqi civilians by Blackwater forces. The accusations were unsealed after the Justice Department declined to join the Davis case.

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