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Military Sales to Israel and Egypt: DOD Needs Stronger Controls Over U.S.-Financed Procurements

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Report Type Reports and Testimonies
Report Date July 7, 1993
Report No. NSIAD-93-184
Subject
Summary:

The United States has given billions of dollars in security assistance to both Israel and Egypt. In 1991, Israel convicted one of its Air Force officers of skimming an estimated $40 million in U.S. funds by submitting false purchase orders on U.S.-financed contracts. This incident heightened congressional concerns about the incidence of waste, fraud, and abuse in the Foreign Military Financing Program. This report (1) discusses why Israel and Egypt often buy U.S.-funded goods directly from contractors rather than through the U.S. government and (2) identifies weaknesses in the program. GAO also examines the procurement procedures of each country.

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