Keeping Track of Drugs and Fraud in the DoD


A federal registry of defense contractors who were debarred or suspended for transgressions ranging from fraud to drug trafficking is missing hundreds of cases, according to a Department of Justice audit.

The DOJ Office of the Inspector General examined thousands of cases registered in the department's Defense Procurement Fraud Debarment and Denial of Federal Benefits Clearinghouses, collectively known as “The Clearinghouse.”

The audit found that more than 10 percent of the Clearinghouse’s 5,817 drug trafficking and drug possession cases were not properly registered in the federal Excluded Parties Listing System, which notifies federal agencies of suspension and debarment actions. The Clearinghouse was established in 1993 to protect the government from “unethical, dishonest, or otherwise irresponsible entities,” according to the DOJ.

The audit recommends that the DOJ's Bureau of Justice Assistance establish better outreach mechanisms to communicate reporting responsibilities to federal agencies and implement a system for timelier reporting of debarment cases and suspensions.

Read the audit here.

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