Pentagon Redirected Pandemic Funds to Defense Contractors: Report
Fnord666 writes:
Pentagon redirected pandemic funds to defense contractors: report:
The Pentagon redirected most of its $1 billion in pandemic funding to defense contractors who exchanged the money for jet engine parts, body armor, dress uniforms and other military needs, The Washington Post reported on Tuesday.
[...] Congress instructed the $1 billion in the CARES Act to go to Defense Production Act (DPA) efforts, which permits President Trump to direct U.S. companies to manufacture necessary products, such as personal protective equipment (PPE).
Months after the funding was allocated, department lawyers concluded the money could be used for defense production, including projects that had little to do with responding to the pandemic, the Post reported. Smaller firms received more than a third of the funding for less than $5 million, but hundreds of millions of dollars went to several large companies.
At least 10 of the about 30 contractors awarded with DPA funding also received money from the Paycheck Protection Program, the Post found.
Jessica Maxwell, a spokesperson for the Department of Defense, told The Hill in a statement that the DPA funding and PPP program are not "in conflict or duplicative."
[...] Defense industry groups said the funding was needed to keep certain contractors in business during the economic downturn caused by the pandemic.
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