The U.S. Army Contracting Command's Integration of Anti-Missile Protection Systems on MI-17 Helicopters in Afghanistan: Audit of Costs Incurred by Redstone Defense Systems

Abstract

On September 29, 2017, Army Contracting CommandRedstone awarded a $6,317,726cost-plus-fixed-fee delivery order to Redstone Defense Systems (RDS). RDS is a joint venture comprised of Yulista Aviation Inc. and Science and Engineering Services Inc. The objective of the delivery order was to provide program management and integration support for the installation of Anti-Missile Protection Systems onMI-17 helicopters used by the Afghan National Defense and Security Forces. The initial period of performance extended from September 29, 2017, through May 30, 2019. After five modifications, the end date was extended to November 29, 2019, while the total cost of the delivery order remained the same. SIGARs financial audit, performed by Crowe LLP (Crowe), reviewed a total of $4,880,670 in costs charged to the delivery order from September 29, 2017, through November 29, 2019. The objectives of the audit were to (1) identify and report on significant deficiencies or material weaknesses in RDSs internal controls related to the delivery order; (2) identify and report on instances of material noncompliance with the terms of the delivery order and applicable laws and regulations, including any potential fraud or abuse; (3) determine and report on whether RDS has taken corrective action on prior findings and recommendations; and (4) express an opinion on the fair presentation of RDSs Special Purpose Financial Statement (SPFS). See Crowes report for the precise audit objectives. In contracting with an independent audit firm and drawing from the results of the audit, auditing standards require SIGAR to review the work performed. Accordingly, SIGAR oversaw the audit and reviewed its results. Our review disclosed no instances wherein Crowe did not comply, in all material respects, with U.S. generally accepted government auditing standards.

Open PDF

Document Details

Document Type
Technical Report
Publication Date
Aug 01, 2020
Accession Number
AD1137551

Entities

People

  • John Sopko

Organizations

  • Special Inspector General for Afghanistan Reconstruction

Tags

Communities of Interest

  • Engineered Resilient Systems
  • Human Systems
  • Weapons Technologies

DTIC Thesaurus Topics

  • Accounting
  • Auditing
  • Business Administration
  • Commerce
  • Contractors
  • Contracts
  • Costs
  • Defense Systems
  • Governments
  • Helicopters
  • Indirect Costs
  • Inventory
  • Law
  • Materials
  • National Security
  • Procurement
  • United States

Readers

  • Defense Financial Management and Audit.