Department of the Army's Ministry of Interior Program: Audit of Costs Incurred by L-3 Services, Inc.

Abstract

On April 30, 2010, the Army Contracting Command awarded a 1-year, $32.2 million contract to L-3 Services, Inc. (L-3)rebranded in 2015 as Engility LLCto implement the Ministry of Interior Program. The purpose of the contract was to help develop the capabilities of the Afghan Ministry of Interior to independently plan, program, and manage the Afghan National Police. After subsequent modifications, program funding was decreased to $24.5 million and the program completion date was set to April 30, 2011. SIGARs financial audit, performed by CroweHorwath LLP (Crowe Horwath), reviewed $24,285,460 in expenses charged to the contract from May 10, 2010, through April 30, 2011. The audit objectives were to (1) identify and report on significant deficiencies or material weaknesses in L-3s internal controls related to the contract; (2) identify and report on instances of material noncompliance with the terms of the contract and applicable laws and regulations, including any potential fraud or abuse; (3) determine and report on whether L-3 has taken corrective action on prior findings and recommendations; and (4) express an opinion on the fair presentationof L-3s Special Purpose Financial Statement. See Crowe Horwaths report for the precise audit objectives. In contracting with an independent audit firm and drawing from the results of the audit, SIGAR is required by auditing standards toreview the audit work performed. Accordingly, we oversaw the audit and reviewed its results. Our review disclosed no instances where Crowe Horwath did not comply, in all material respects, with U.S. generally accepted government auditing standards.

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Document Details

Document Type
Technical Report
Publication Date
Jul 01, 2015
Accession Number
AD1140091

Entities

People

  • John Sopko

Organizations

  • Special Inspector General for Afghanistan Reconstruction

Tags

DTIC Thesaurus Topics

  • Accounting
  • Acquisition
  • Afghanistan
  • Auditing
  • Comptrollers
  • Contractors
  • Contracts
  • Corporations
  • Deficiencies
  • Department Of Defense
  • Governments
  • Law
  • Materials
  • Money
  • Regulations
  • Standards
  • United States

Fields of Study

  • Business

Readers

  • Defense Financial Management and Audit.