World | Iraq Corruption Shadows Iraq Rebuilding US investigates dozens of fraud cases as pricey projects disintegrate By Heather McPherson Posted Jul 30, 2007 2:48 PM CDT Copied ncies said Monday. Those Iraqis are in urgent need of water, sanitation, food and shelter, said the report by Oxfam and the NGO Coordination Committee network in Iraq.(AP Photo/Wisam Sami) (Associated Press) US auditors monitoring the rebuilding process in Iraq are battling forces they compare to "a second insurgency"—corruption and economic mismanagement. The Iraqi government is refusing to handle reconstruction projects worth billions of dollars, and US officials are now investigating more than 50 fraud cases, the BBC reports. Stuart Bowen, the inspector general overseeing Iraq reconstruction, describes the corruption as endemic and an "enemy to democracy." Last year, Iraq PM Nouri al-Maliki's government nearly exhausted its budget allocation for salaries but spent less than a quarter of the money set aside for rebuilding projects. Read These Next Elise Stefanik drops governor's race, will leave Congress. An early Christmas gift to federal workers, from the president. Details are coming out about the suspect in Brown, MIT shootings. The noise at an LA Home Depot 'penetrates your bones.' Report an error