Military Defends Halliburton

A United States army general defended Halliburton's controversial conduct over fuel imports into Iraq yesterday, telling Congress his agency brushed aside concerns from the company about the price of the fuel it was told to import from Kuwait and ordered it to move ahead with the task.

The testimony, from Major General Carl Strock of the US Army Corp of Engineers, offered new details on the origination of a contract that has since become the subject of a criminal investigation.

Pentagon officials are probing whether Halliburton, an oil field services company, passed on to the military $61 million in overcharges for the fuel that were submitted by a Kuwaiti subcontractor.

Halliburton had been asked to import the fuel last May at a time when chronic shortages were causing a risk of civil unrest in Iraq, according to army officials.

"Our contractor said, give us time. We can get a better price," Maj Gen Strock recalled, referring to Halliburton's efforts to find a supplier in Kuwait. "We said: no, there is no time. Do the best you can."