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Title: Chairman Waxman Requests Information on White House Contract with MZM
Source: House Committee on Oversight & Gov't Reform
URL Source: http://oversight.house.gov/story.asp?ID=1227
Published: Mar 26, 2007
Author: House Committee on Oversight & Gov't Ref
Post Date: 2007-03-26 17:28:51 by aristeides
Keywords: None
Views: 148
Comments: 8

Chairman Waxman Requests Information on White House Contract with MZM

As part of the Committee’s ongoing investigation into waste, fraud, and abuse in federal contracting, the Committee has requested information on a $140,000 contract awarded by the Executive Office of the President to MZM, Inc. in July 2002.

The contract with the White House appears to have been MZM’s first prime contract with the federal government. Subsequent investigations of other MZM contracts had uncovered serious irregularities. To date, there has been no examination of the circumstances surrounding the company’s initial contract and the role that White House officials played in the award and execution.

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Begin Trace Mode for Comment # 3.

#2. To: aristeides (#0)

http://www.publicintegrity.org/wow/bio.aspx?act=pro&ddlC=40

MZM Inc. 1523 New Hampshire Ave., NW Washington, DC 20036 Phone: (202) 518-5240 Fax: (202) 518-5241 http://www.mzminc.com

Company Principals:

Mitchell J. Wade President and chief executive officer

Joseph Romano Executive vice president for Analysis

Susan Hogan Executive vice president, National Security Liaison

Wayne M. Hall Vice president for Homeland Security and Future Conflict

James C. King Senior vice president

MZM Inc. is a high-tech national security firm based in Washington, D.C. The private firm provides intelligence gathering, technology and homeland security analysis and consulting for both international and domestic governments and private-sector clients. The firm also provides consulting on political and public message strategies. Its government clients include Congress, the White House, the Defense Department, the U.S. intelligence community, the Foreign Terrorist Tracking Task Force and state and local governments, according to the company's Web site. MZM refused to provide any information, however, about its corporate structure, including names of other principals.

In addition to its D.C. headquarters, MZM has field offices in Miami, Tampa, San Antonio, San Diego and Suffolk, Va. The company employs about 70 people.

Following the Sept. 11, 2001 attacks on the World Trade Center and the Pentagon, MZM expanded its counterintelligence and national security efforts. It soon experienced an influx of government contracts. The company now predicts a growth rate of more than 35 percent in the 2003 fiscal year. Mitchell Wade, president and CEO, reportedly expects to increase sales from $25 million to $120 million and to hire 230 more employees over the next five years. Wade told the Richmond Times-Dispatch that recently the company has "come out of a flat period" with defense industry contracts.

In September 2003, MZM collaborated with 16 other organizations, called the General Dynamics team, as part of a five-year, $252 million contract to provide engineering and information warfare services to the Air Force Information Warfare Center at Lackland Airforce Base in Texas.

In November 2002, MZM opened a computer center in Charlottesville, Va., to house classified engineering intelligence in a digital mapping and architecture analysis system. Twelve employees in that office are developing the program for the Pentagon. It is designed to provide digital maps of thousands of buildings worldwide. The Richmond Times-Dispatch reported that the mapping system will help soldiers and planners know details of buildings—even which way doors open and close.

Also in 2002, MZM subcontracted with Information Manufacturing Corporation, a W. Va.-based company that won a $12 million Defense Department contract to open a 70-person intelligence operation in West Virginia. MZM will fill 30 intelligence analysis jobs for the project. (Sen. Robert Byrd, D-W. Va., reportedly helped IMC get the contract.) Joseph Romano, executive vice president for analysis, and James King, senior vice president, are directing this project. For an October press release put out by Sen. Byrd, Wade said, "We appreciate the support of Senator Byrd and the opportunity to work with IMC."

MZM is a member of the Association of the United States Army and a corporate member of the Military Intelligence Corps Association.

Iraq contracts On March 21, 2003, MZM received a $1.2 million contract from the Defense Department to send 21 interpreters to Iraq. MZM would not disclose any specific information about the contract. But, according to a copy of the eight-page contract, which the Center for Public Integrity received under the Freedom of Information Act, MZM will provide linguists to serve as interpreters for U.S. government representatives, ministries and other government offices, and during interrogations and investigations. The company will "provide collections of foreign language voice signals" and transcribe recorded voice communications. The contract also calls for MZM to "produce written and/or taped materials to support civil affairs and/or psychological operations (PSYOPS)." There are two amendments to the contract, but the Defense Department redacted descriptions of the modifications, and also blacked out the final, post-modification estimated price and the ceiling price for MZM's services.

Government ties Joseph Romano, executive vice president, is the former head of the Defense Intelligence Agency's Technology Assessment Group.

James C. King, senior vice president, is a retired lieutenant general in the U.S. Army, where he spent 33 years. King established and led the National Imagery and Mapping Agency, which is an agency in the Defense Department that collects and analyzes satellite images. NIMA is currently leading the U.S. government-funded effort to develop a spy satellite that can focus in on something as small as a person. Also, after failing to end public distribution of some topical maps of the U.S., NIMA announced a "review" of all publicly available maps of the U.S. King is also a member of the Council on Foreign Relations, a private organization that unofficially advises the U.S. government on matters of foreign policy.

Susan Hogan, executive vice president, National Security Liaison, worked for eight years on the Senate Appropriations Committee, where she handled classified defense spending.

Wayne M. Hall, vice president for homeland security and future conflict, is a retired military general. He commanded a military intelligence battalion during the 1991 Gulf War.

Updates The value of MZM's contract to provide interpreters for work in Iraq was increased to $3,640,896, reflecting updated figures released by the CPA.

—Brooke Williams

angle  posted on  2007-03-26   17:50:52 ET  Reply   Untrace   Trace   Private Reply  

Thanks, I couldn't place MZM at all. With so many growing and new scandals, I'm getting worried about the "flailing forward" into Iran.

robin  posted on  2007-03-26   17:55:39 ET  Reply   Untrace   Trace   Private Reply  

#6. To: robin (#3)

Yeah, IRAQ and 911 are getting buried.

angle  posted on  2007-03-26 18:04:02 ET  Reply   Untrace   Trace   Private Reply  

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