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Pentagon Racks Up $35 Trillion in Accounting Changes in One Year
Key Excerpts from Article on Website of Bloomberg
Posted: March 29th, 2021
https://www.bloomberg.com/news/articles/2020-01-22/pentagon-...
The Pentagon made $35 trillion in accounting adjustments last year alone - a total that’s larger than the entire U.S. economy and underscores the Defense Department’s continuing difficulty in balancing its books. The latest estimate is up from $30.7 trillion in 2018 and $29 trillion in 2017, the first year adjustments were tracked in a concerted way. The figure dwarfs the $738 billion of defense-related funding in the latest U.S. budget. The Defense Department acknowledged that it failed its first-ever audit in 2018 and then again last year, when it reviewed $2.7 trillion in assets and $2.6 trillion in liabilities. While auditors found no evidence of fraud in the review of finances that Congress required, they flagged a laundry list of problems, including accounting adjustments. There were 546,433 adjustments in fiscal 2017 and 562,568 in 2018, according to figures provided by Representative Jackie Speier, who asked the Government Accountability Office to investigate. The GAO estimated based on a sample that at least 96% of 181,947 automatic adjustments made in the fourth quarter of fiscal 2018 “didn’t have adequate supporting documentation.” “In layman’s terms, this means that the DoD made adjustments to accounting records without having documentation to support the need or amount for the adjustment,” said Dwrena Allen, spokeswoman for the Pentagon’s inspector general.
Note: $35 trillion is much more than the entire GDP of the US for 2020 ($21 trillion). A search shows that Bloomberg and Yahoo! News were the only ones to cover this shocking news. Why would that be? All businesses large and small are required to account for every dollar, while the Pentagon gets away with trillions of dollars of financial mismanagement. Explore what a top US general had to say about this on this webpage. You can also find this article on this webpage. For more, see concise summaries of revealing news articles on military corruption from reliable major media sources.
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