The Shocking Statistics Behind The Pentagon's Revolving Door 'Policy'

Tyler Durden's picture

Via Mike Krieger of Liberty Blitzkrieg blog,

High ranking generals and admirals earn their stars.  They earn their stripes.  Then, they earn their cash.  New research by Citizens for Responsibility and Ethics in Washington (CREW) found 70% of the 108 three-and-four star generals and admirals who retired between 2009 and 2011 took jobs with defense contractor or consultants.  In at least a few cases, the retirees have continued to advise the Department of Defense while on the payroll of defense contractors, suggesting the Pentagon may not always be receiving unbiased counsel.

 

A Boston Globe investigation revealed the number of retired three-and-four star generals and admirals moving into lucrative defense industry jobs rose from less than 50% between 1994 and 1998 to a stratospheric 80% between 2004 and 2008.

- From Strategic Maneuvers: The Revolving Door from the Pentagon to the Private Sector, a report by CREW

Citizens for Responsibility and Ethics in Washington (CREW) has just released a fantastic new report on the revolving door between the Pentagon and the private sector, which raises serious concerns not only about ethics and corruption within the defense sector, but also raises issues of national security if retired generals are merely acting as mercenaries once they retire.  Meanwhile, these are the folks we are supposed to allow to read all of our emails and communications without warrants??

When I first figured out the gigantic ponzi scheme, theft and fraud within the financial system, centered around the Federal Reserve system and the TBTF banks, as well as the revolving door between the SEC, Treasury Department, etc and Wall Street firms, I never imagined the same thing goes on in virtually every sector of our corrupt crony capitalist economy…including the military.

One of the prime examples of the dangers of this activity outlined in the report revolves around Lt. Gen. Robert Dail.  He retired from the Army in January 2009 and by March 2009 had become the president of Supreme Group USA.  Supreme Foodservice had been paid at least $6.8 billion to provide food to U.S. and coalition troops in Afghanistan, but then the Pentagon accused it of overcharging by hundreds of millions of dollars.  Despite this, the contact was renewed during Lt. Gen. Dail’s time there and in June 2012, the company was actually awarded an additional $1.5 billion contract to ease the transition to a new vendor.

Absolutely incredible.  Other key findings in the report are:

  • Retired generals can make more than their yearly military pay by serving on corporate boards
  • Contractors have increased spending on lobbying for 40 percent in the last five years
  • The U.S. government paid the top five defense contractors $113 billion in 2011
  • As of early 2012, 68 percent of lobbyists for the top five defense contractors had prior public sector experience
  • Pentagon rules prohibiting the revolving door are riddled with loopholes

A brief summary of the 'ponzi' here:

 

The entire report can be found here.

CREW Strategic Maneuvers Pentagon Generals Revolving Door 11-15-12

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doomandbloom's picture

Thats why most of these guys want status quo....and will get a suitable candidate to do so..

Democracied, bitchez

Manthong's picture

Oh heavens to Betsy!

Senator and Congressmen going to work for special interest donors and all the while their wives and family raking in billions form connections I can understand.

But this?  Say it ain’t so!

Jonas Parker's picture

All the flag rankers I knew were Coast Guard Admirals, and I can't think of one who got a hot deal from a defense contractor once he retired. Coastie Admirals must not be democrats...

AnonymousAnarchist's picture

Major General Smedley Butler was trying to tell everyone 80 years ago. It should have already been obvious to them as well.

The Alarmist's picture

Earn strikes me as a particularly strong term for a definition of careers that essentially involved punching the right squares on their tickets and regurgitating the appropriate PC buzzwords to show they were with the program.

Harlequin001's picture

Ok so where's the revolving door.

I never knew that as an executive ar Boeing I could get a job as a 3 star general. Sign me up...

This is about senior military personel selling their expertise to the highest bidder, real free market economy stuff. WTF 'revolving door'.

Cathartes Aura's picture

the "revolving door" meme came up a few years ago, here's a link to a list, by no means complete,

http://www.sourcewatch.org/index.php/Government-industry_revolving_door

good examples are Dick'd Chain-e and Michael Taylor. . . but this is a global list, interesting.

maybe you could be a "lobbyist"?

Harlequin001's picture

Maybe if I had the connections and the expertise I would consider it my god given right.

The problem lies with those being lobbied, not those doing the lobbying...

Cathartes Aura's picture

they're simply two halves of the same parasitical meme, without one, the other ceases to be of importance.

"god given right." . there's the rub.

CrashisOptimistic's picture

The senior officers I know/knew who went to work for a defense contractor (and note that pretty much all do and will, and must -- that's their expertise.  A 3 star Air Force general is not going to be an executive at Procter and Gamble selling toothpaste), when they were asked an opinion by DoD on some matter, would scrupulously not consult on subjects relevant to their new managed projects.

Meaning, if an Air Force general retires and goes to work for Lockheed as an executive managing a drone program, he will not consult with the Pentagon on drone subjects.  He may consult on airman base housing or even transport aircraft, but not drones.

It looks worse than it is, in this article.

cossack55's picture

I would strongly encourage you to remove your head from your anus. The "perfumed princes" (the late David Hackworth) run the puzzle palace and the US is doomed.

upWising's picture

CrashTestDummy:  Please provide the readership with a step-by-step procedure for sticking both feet in your mouth while your head is embedded deep in your colon.  Inquiring minds want to know.

formadesika3's picture

You seem to be saying that all they're being hired for is their influence/political connections since they're not consulting in their area of expertise.

TruthInSunshine's picture

Pretty soon, there's a real risk that a good chunk of the trillion USD+ spent annually on the U.S. Military (more than is spent on the next largest 18 militaries, COMBINED, annually) will be used to purchase completely unnecessary and/or  partially or wholly defective armaments, thus egregiously harming the interests of the (remaining) American Taxpayers!

 

/sarcnth

redpill's picture

The Coast Guard doesn't bomb people, that's where all the money is.

Lord Koos's picture

Get real with the two party shit... you really think the top brass are all democrats?

The Coast Guard is small potatoes.

mikla's picture

This is normal.  This is fascism.

I'm not talking about the "emotionally-loaded-term".  Rather, when the government/business partnership ensures that only a few very large "companies" make all the decisions on the creation and spending of money, disallowing participation by entrapreneurs and small businesses, then we have:

  • No more wealth creation (it doesn't make financial sense to build anything)
  • No more (small) business (it is illegal for them to operate)
  • Lots of printing (it forces economic transactions)
  • Lots of mal-investment (you need a destination for the "printing", especially since this permits you to seize all resources)

In short, the government and oligopolies own everything.  This should not be a surprise to anyone.

The curious question is, "Why do people put up with this?"  Quite simply, all these actions are already illegal, already outside the charter(s).  Assertions that, "loopholes exist" are technically true (loopholes do exist), but irrelevant (the behavior is already illegal for other reasons).  We merely do not follow our own laws.

You are merely seeing "local organized crime".  These are "local warlords" in Gotham City.  Everything they do is illegal, but they have bought and co-opted everyone in positions of power, that they are all pretending that they are allowed to do these things.

The very simple answer is:  They are the mob.  They will implode throught that process that is already well-tread when the people realize they have no legal, moral, nor technical authority.  They exist at the moment merely because the 99% allow it (e.g., the 99% subscribe to the system.)

upWising's picture

"Follow the money and you will find the answer."

––Deep Throat in the parking garage at 2 a.m. (All the President's Men)

(Perhaps this should be the new National Motto :: more truthful than "In Gawd We Trust")

mikla's picture

Agreed, but that is only part of the issue.

Everybody knows the system is corrupt.  Following the money merely gives specifics to people that feel general disgust about the systemic failure.

However, the issue is more structural:

It is easier and more efficient for the "real" decisions to be made in the oligopolies.  Those "Executive Board Rooms" are beyond the annoying influences of the meddling public, or the accidental/occasional elected official that has a conscience.  So, in fascism, the government is really the "sub-contractor".

We all see this through regulatory capture (e.g., SEC, Treasury) and through the "Big" decisions shifted into private board rooms (e.g., Fed).  We now also see this, sickly and sadly, through the Courts.

Elected officials are merely middle-level management, as is most of the appointed and/or professional bureaucrats.

Because it is a structural issue, we have two things to address:

  1. Corruption is so rampant, we need a "step-function" in societal expectations (e.g., it's hard to know where to start with corruption of the entire Mexican Police, or the entire government offices in India, because the scope is so large.)
  2. Humans like granting blind deference to central, hierarchical authority; as a result, they created this problem directly, and would again if this problem did not exist now.

The first can be fixed by realizing that Government cannot fulfill this role, and by disallowing all the money to move through it (then businesses would have no oligopolic "favored role" with government, because the money would not be there).

The second can be fixed through people becoming adults.  This is not possible under a welfare state, where individuals do not feel the consequences of their bad behavior; and where child-like belief in a parental institution permits these children to be abused by psychopaths in central authority positions.

upWising's picture

"Elected officials are merely middle-level management, as is most of the appointed and/or professional bureaucrats."

I think you give "selected officials" far more credit as "middle-level managers" than they deserve.  I equate them more to "Assistant Manager - French Fries & Onion Rings" at the local McBurgerWhopper.  They get a different coloured paper hat, longer hours, a chance to talk over the loud speaker ("number 420, your order is ready"  vs.  "filibustering") and the illusion of "power."  In reality, all they do is dish out empty calories, get zits and a droopy stomach.  "Officials" get driven around in black SUV's and McBurgerWhopper Ass't Managers get driven around in Transit buses.  In all cases, they are all nothing more than slaves to the Corporate Policies & Procedures Play Book.

"Washington is Hollywood for Ugly People."

Popo's picture

We need two things:

1)  A massive financial collapse to destroy the bullshit within the financial system.   How many banks only exist because the artificial economy trends upwards?

2)  A massive war, to destroy the uselessness in the military.   How many useless aircraft, weapons systems, ships, etc. only exist because they haven't seen combat?

 

Get the shit show started already.   We all know it's coming anyway.

prains's picture

Popo

I wish you were right but unless this goes planet of the apes the 1% have it in the bag.  going dirty harry on them with a plastic spoon unfortunately won't work. For your premise to work this has to go dark ages and we all know how the working man got absolutely fucked then.

 

the best structural fix is pull the money out of the system, starve them. and yes it can work, it just takes being organized, at least it did in "Bug's Life".

PlausibleDenial's picture

Simply well thought out and well written.  Unfortunately, they have the bigger guns right now.

spooncutter's picture

how are the extrememly small portion of individuals that run the oligarchies and the gov't the "mob?. aren't the rest of the people (the 99%, whatever) the mob? 

mikla's picture

In this case, "the mob" is an American name for "Organized Crime Family", or "Organized Crime".  In Southeast Asia, it is common to have a local "Warlord", and that would be the same thing (e.g., an individual that operates with total authority, without concession to any external power structure).

A different definition would be "large collection of people without central organization", which wasn't the intended use of the term.

Apologies for not clarifying.  In this case, substitute "organized crime" for "mob".

BigJim's picture

He didn't mean the mob. he meant da mob... capiche?

Rathmullan's picture

Everything is for sale in jonnie horzine's casino, "Step right up"

Get your own guns and ammo before it is too late. Protect yourself and your loved ones as you are the only one who ultimately can. Resist the U.S. war machine which is owned and contolled by the euro elite and banking cartel (think the prune christine lagarde). Sleep not so tight.

upWising's picture

Whore-zine's New "undertaking" : The Vaporize Fund  ("Steaming Hot Deals")

 

Virtually
Assured
Promise
Of
Returns on
Investments in
Zombie
Enterprises 

(Since this is Whorezine's "undertaking," does that make him an "Undertaker"?)

 

Chupacabra-322's picture

The stage is set for complete, total full spectrum World domination from The Global Elite. Understand the core reason these Criminals continue to rape, pillage and steal wealth is though Illusion/Cover. We are not THE UNITED STATES but we are The United States of America. It is not The Constitution of The United States, it is The Constitution For The United States of America. Notice the difference. Do you see the Cover/Illusion.

These Criminals have been hiding behind the Corportate version of The Constituiton. Get it? That's the Cover and the reason behind their Crimes Against Humanity and The American People. Ask yourselves, why CIA propaganda, misinfomation/disinfomation is so good? Because it works. And the Elite own the media and have it staffed with their CIA agents/Council of Foreign Relation stooges like Andersen Cooper and Dianne Sawyer. The PsyOp runs deep, very deep.

The American people can continue to stay divided and blame the puppets Obama/Bush. Like they have any say in the matter. Both parties are the same sides of the same coin, bought and paid for a long time ago by The Elite Orligarchs. These Criminals sold their souls long ago.

So, continue to follow their lies, cover stories and false narratives such as Osama Bin Laden. A convenient CIA funded and trained Operative, code name Tim Osman. Sorry, But I digress.

Divide and Conquer. That's the Elite's game.  Total Complete Full Spectrum World Domination.  Via The City of London. The financial location of The Banksters, which Wall Street is just an extension. They own the Military, Media and have put forth hundreds of years worth of planning to complete their goals of the aforementioned.

It began with The Fascist Patriot Act which morphed into The Military Commissions Act, John Warner Defense Act, NDAA, PD51, Torture, Illegal Wire Tapping etc..etc... You get the picture? We're dealing with pure Evil, which cannot be reasoned or negotiated with. Their goal was to break the sovereignty of The United States along with our good men and women of the Military while simultaneously ushering in their NWO protective force of Their Global Military/Police Force to protect their Corrupt system/Crimes Against Humanity. We're just their Debt Slaves. Divided and Conquered.

 

 


We have been compelled to create a permanent armaments industry of vast proportions…we must not fail to comprehend its grave implications. In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex. The potential for the disastrous rise of misplaced power exists and will persist. We must never let the weight of this combination endanger our liberties or democratic processes. We should take nothing for granted.”

-Dwight D. Eisenhower

 



LawsofPhysics's picture

I suggest you read the Federal Reserve Act.  If you are born an American "citizen", you are in fact a tenant in the Corporation of the United States of America.  The shareholders at the Federal Reserve (a private bank) own your ass.  Tell us, how much does the American tenant/taxpayer pay in interest alone to the Fed?  Why hasn't the U.S. treasury coined it's own money (debt free) like it use to?

In the absence of a real revolution, the only thing you should be worried about is what your real owners are going to decide to do with their property.

Disenchanted's picture

 

 

 

We are the chattel of the money changers...Where's Jesus and his whip when you really need him?

Henry Hub's picture

He's coming man, He's coming!

earleflorida's picture

@ -322

FWIW Dept.:

Quote:  " When Truman entered the Korean War, he created an Office of Defense Mobilization to run the domestic economy during the war. The first director was Charles E. ("Electric Charlie") Wilson, president of the Morgan-controlled General Electric Company, who also served as board member to the Morgans' Guaranty Trust Company. His two most influential assistants were Sidney J. Weinberg, ubiquitous senior partner in the Wall Street investment firm of ^Goldman Sachs & Co., and former General Lucius D. Clay, chairman of the board of Continental Can Co., and a director of the ^Lehman Corporation. **[^ Investment Banks^]

    Succeeding McCoy as President of the World Bank, and continuing in that post throughout the two terms of Dwight Eisenhower, was Eugene Black. Black had served fourteen years as vise-president of the Chase National Bank, and was persuaded to take the World Bank post by the bank's chairman of the board, Winthrop W. Aldrich, brother-in-law of John D. Rockefeller, Jr.

      The Eisenhower Administration proved to be a field day for the Rockefeller interests. While president of ***Columbia University***, Eisenhower was invited to high-level dinners where he met and was groomed for President by top leaders from the Rockefeller and Morgan ambits, including the chairman of of the board of Rockefeller's Standard Oil of New Jersey, the presidents of six other big oil companies, including Standard of California and Socony-Vacuum, and the executive vice-president of J.P. Morgan & Co."  __ End quote--- M.N. Rothbard [1984]

Please note:  Both Truman and Eisenhower were soft on communist China. Why? John D. Rockefeller Sr. was king of the world, regarding his families fortune and [$$$] worth! He wanted China's market-entry to be opened for U.S. commerce at any cost! Think Japan/ korea?  

dugorama's picture

I know it's fashionable to blame O for everything, but in the stats presented above ask yourself, "Which party was in charge of Congress and the White House in those two time periods?"

ItsDanger's picture

EVERY industy is the same with regards to government contracts.  People leave the public sector and are employed with various companies on a board or full time positions in order to leverage their influence and networks.

manich's picture

But every industry isn't the same when it comes to dollar amounts of those contracts. Military exceeds all others combined.

Northeaster's picture

Didn't Ron Paul just give an interview last week which stated ostensibly the same thing? The Military lobby is right up there with the banking finance lobby.

Seriously, once these guys reach "Full Bird" and are on a career track, they know the system and not who to piss off and are rewarded handsomely during/afterwards (apparently).

LawsofPhysics's picture

Correct.  The bankers need the protection, but the heart and soul of the military personnel is changing and has been for quite some time.  Based on what I have seen, many private security firms have better personal gear for their "employees" then the U.S. military.  No question the government agencies have the "big" toys, but even this is changing.  The sheep will always be lead to slaughter and the human world always remains at war of resources.  Same as it ever was.

AnAnonymous's picture

Yep, 'americanism' is no novelty in the course of humanity.

Surprising that out of 5,000 years of recorded human history, only the 236 years show 'american' genes...

But hey, 'americanism' is human nature, so say 'americans' and any specificity of 'americanism' has to be diluted, claiming that it has always been the same situation.

LawsofPhysics's picture

Yep, that must be why the Chinese have abandoned their culture for americanism.

Sad really.

AnAnonymous's picture

How so?

The Chinese as everyone else live in an 'american' world.

'Americanism' is all for uniformization of the world.

'Americanism' spreading in China is just the sign of it.

LawsofPhysics's picture

LMFAO!

Right, because the Chinese have never been about uniformity <  Sarc off >

Thanks for the laugh!

TheFourthStooge-ing's picture

The biggest welfare queens are the defense/military contractors. They will also be the last freeloaders kicked off of the welfare gravy train.

Cathartes Aura's picture

much easier for the hive mind to point fingers at "fat black woman" than "man in uniform" - well trained by their me-duh.

AnAnonymous's picture

It is the substance of 'american' societies.

Move anywhere and criminals are always very attracted to the 'american' civilization.
Criminals are always among the first people to join the ranks of the 'american' world gang.

Go figure.

TheFourthStooge-ing's picture

AnAnonymous knavery, propagangnam style.

Chinese citizenism cuckoo clockery.

The Gooch's picture

"Chinese citizenism cuckoo CROCKERY"