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Archive for the ‘Xe’ Category

PTSD Casualty-Hidden war zone scars claim another soldier/civilian contractor’s life

Posted by defensebaseactcomp on June 5, 2012

Another Defense Base Act PTSD failure.

McIntosh took his own life in February in Harlingen, Texas. He was 35

Doug Robinson at Deseret News  June 5, 2012

Dale McIntosh stands with children in Central America. McIntosh did private security work in Iraq and Afghanistan.

Dale McIntosh was no stranger to death. When it wasn’t everywhere around him, it was a constant threat, something that kept him literally looking over his shoulder for months at a time.

A former Marine, he hired himself out as a privately contracted bodyguard in the Middle East, where he lived on the edge and saw and did things so terrible that it haunted him. He survived firefights, ambushes, exploding cars, road mines, snipers and rocket-propelled grenades. In the end, he escaped without any wounds, or at least none we could see.

When he returned, he seemed to be the Dale that his friends remembered — charming, gregarious, warm, outgoing — but inside, he was hurting and disturbed. McIntosh brought demons home with him.

In 2006, I wrote a lengthy profile about McIntosh, then a student at Westminster who took time off from his studies to pursue quick money and an adrenaline fix in Iraq and Afghanistan. This is the postscript: McIntosh took his own life in February in Harlingen, Texas. He was 35

After graduating from Utah State, Dale served five years in the Marines — part of it in special ops — but felt unfulfilled because he never saw action. He compared it to being an athlete who never got in the game. Eager to use his military skills and see action, he signed on to do private security work. At the time, there was a big demand for security firms, the most famous and controversial of which was Blackwater. With a shortage of manpower, the U.S. government hired the firms to protect American interests and personnel in the Middle East. They were largely ungoverned by law, which did not make them popular at home or abroad. McIntosh spent six months in Afghanistan, five months in Iraq, two months in Bosnia and then another two months in Iraq before returning to Utah in the fall of 2005.

Doug Robinson has written at length about his friend Dale.  Please read the entire story here

 

Posted in Afghanistan, AIG and CNA, Blackwater, Civilian Contractors, Contractor Casualties and Missing, Defense Base Act, Department of Labor, Iraq, LHWCA Longshore Harbor Workers Compesnation Act, PTSD and TBI, Veterans, Xe | Tagged: , , , , , , , , , , | 1 Comment »

Judge Denies Blackwater’s Motion for Arbitration

Posted by defensebaseactcomp on May 23, 2012

Law Offices of Scott J Bloch  May 23, 2012

WASHINGTON, DC (May 23, 2012) – Blackwater Industries, which changed its name to Xe Services, and now has changed it yet again to Academi LLC, lost its initial bid to have the $240 million suit for employee misclassification sent to arbitration and dismissed from federal court in Washington, D.C.

Scott Bloch filed an amended complaint (see link above) in the class action lawsuit on behalf of four former security specialists, who were injured while working for Blackwater, in order to recover their payment of social security, unemployment insurance, and unpaid benefits and state and local withholding and unemployment insurance, and other unspecified damages. The action seeks $240,000,000 in damages for lost benefits, overtime, treble damages and punitive damages, as well as additional amounts as proved for the class of specialists.

The court has rejected that motion filed by Blackwater and required it to file another motion to determine if the same Plaintiffs agreed to have an arbitrator determine if the agreements were unconscionable, procured by duress, fraud and undue influence.

“Blackwater acted illegally and unconscionably toward these brave individuals,” said Bloch. ”Through their fraud as pointed out in the Amended Complaint, they avoided overtime for security workers who worked sometimes 12-16 hours a day 6 days a week. They were forced to sign agreements they never read and were not given time to read and not given copies, which took away valuable rights and were unlawful in their terms. Now the court has rejected their initial motion and required Blackwater to seek the same relief if they can prove that the Plaintiffs who never were allowed to read the original agreements agreed to have an arbitrator determine whether they properly agreed to anything. We continue to assert the illegality of the agreements and the actions of Blackwater.”

Read Xe’s Arbitration Bid Denied in Misclassification Suit here.

Posted in Blackwater, Civilian Contractors, Defense Base Act, Defense Base Act Insurance, Follow the Money, Taxes, Xe | Tagged: , , , , , , , , , , , | 3 Comments »

Defense Base Act Class Action Lawsuit

Posted by defensebaseactcomp on September 26, 2011

Today  Injured War Zone Contractors and Scott Bloch filed a

Class Action Lawsuit

against the

Defense Base Act Insurance Companies

and some Employers.

Scott Bloch files complaint for $2 billion against major government contractors like

KBR, Blackwater/Xe, DynCorp, G4S/Wackenhut/Ronco Consulting

and the global insurance carriers

AIG, CNA, ACE, Zurich,

on behalf of thousands of former employees,

for

unlawful, fraudulent and bad-faith mistreatment of

injured employees and their families  

Brink Vs. CNA et al

The Defense Base Act Compensation blog and it’s contributors invite you to

Join our Class Action here

The truth will be exposed

WASHINGTON, DC (September 26, 2011)

Since 2003, top government contractors like Blackwater, KBR, DynCorp, CSA/AECOM and ITT have been perpetrating a fraud on their employees and on the American public.  The silent warriors who work for these companies, many of them decorated former military service members, have been injured, mistreated and abandoned by the contracting companies and their insurance carriers who have been paid hundreds of millions of dollars in premiums.

“It is a grave injustice,” Bloch said, “to those who rode alongside American soldiers, including Iraqi and Afghani Nationals, to be case aside without the benefits of the law.  We are supposedly trying to bring them the rule of law.  We are supposedly trying to encourage them in democractic institutions.  We are the ones asking them to believe in justice and individual rights.  This is a travesty to all Americans and those around the world who look to America for an example of humanitarian aid and proper treatment of workers.”

This is a lawsuit for damages in the amount of $2 billion to remedy the injuries and destruction caused to the lives, finances and mental and physical well being of thousands of American families and others whose loved ones were injured while serving America under contracts with the United States.  It seeks an additional unspecified amount to punish the companies who made massive profits while causing this harm to people unlawfully and maliciously and working a fraud on the American public who paid them.
“This abusive and illegal scheme by the defendants has been allowed to go on for too long.  We are talking about loss of life, suicide, loss of homes, marriages, families split up, “ Bloch said, “and the culprits are the large government contractors who should have treated their employees better, and the mega-insurance companies who were paid a hefty sum to make sure the employees were taken care of with uninterrupted benefits in the event of injuries in these war zones.”
This complaint is filed due to actions and omissions of defendants, in conspiracy with others, and individually, to defeat the right of American citizens and foreign nationals to receive their lawful benefits and compensation under the Defense Base Act (“DBA”),  as it adopts the Longshore and Harbor Workers’ Compensation Act (“LHWCA”).
The lawsuit explains that those sued engaged under the RICO statute in an enterprise of fraudulent and or criminal acts to further their scheme to defeat the rights of individuals who have been injured or suffered occupational diseases, and death, while on foreign soil in support of defense activities under the DBA.   These acts were perpetrated repeatedly through bank fraud, mail fraud, wire fraud, using telephones, faxes, and United States mail .
“These are heroes, decorated by America’s Armed Services,” said Bloch.  “Some of the foreign contractors were decorated special forces soldiers from their countries who assisted the United States in combating threats.  The sheer disregard for human dignity and law is reprehensible and deserves punishment.  These families and many others who have been harmed need treatment, need compensation, need redress of the wrongs that have been perpetrated by these huge companies and insurance carriers for the last 10 years.  They have earned $100 billion per year on the backs of these people, with the blood of these plaintiffs and those whom they represent.”
The was filed in the United States District Court for the District of Columbia and covers individuals from all over the United States, South Africa, Iraq, Afghanistan and other counties.

Contact Scott J. Bloch, PA:
Scott Bloch, 202-496-1290

Posted in Afghanistan, AIG and CNA, AWOL Medical Records, Blackwater, Civilian Contractors, Contractor Casualties and Missing, Defense Base Act, Department of Labor, Dropping the DBA Ball, Dyncorp, Follow the Money, Injured Contractors, Iraq, KBR, LHWCA Longshore Harbor Workers Compesnation Act, Misjudgements, Political Watch, PTSD and TBI, Racketeering, Ronco Consultilng, State Department, Suicide, Toxic Exposures, USAID, Veterans, Wackenut, War Hazards Act, Whistleblower, Xe, Zurich | Tagged: , , , , , , , , , , , , , , , , | 15 Comments »

Blackwater/Xe Services Hires Former Counsel for AIG

Posted by defensebaseactcomp on September 6, 2011

This speaks for itself:

Wherever Suzanne Folsom goes, it seems that trouble swirls around her. But it is the breadth of her experiences that led Xe Services—the private security company and military contractor formerly called Blackwater Worldwide—to hire her as its first chief regulatory/compliance officer and deputy general counsel.

Folsom embraces the idea of rebuilding shaky companies. Before this job, she battled compliance demons at the troubled American International Group, Inc., and weathered a scandal that cost her boss his job at the World Bank Group.

It didn’t hurt that Folsom has strong political ties. She has served as chief of staff to the co-chairman of the Republican National Committee; private secretary to Queen Noor in Amman, Jordan; special assistant to former First Lady Barbara Bush during the 1988 presidential campaign; Bush family liaison to the 1988 U.S. Presidential Inaugural Committee; and a behind-the-scenes leader for the 1984 and 1988 Republican national conventions.

Read more here

Posted in AIG and CNA, Blackwater, Civilian Contractors, Follow the Money, Political Watch, Xe | Tagged: , , , , | 2 Comments »

2nd ex-Blackwater worker Justin Cannon gets 30 months for manslaughter

Posted by defensebaseactcomp on June 27, 2011

by Bill Sizemore at The Virginian Pilot  June 27, 2011

A second former Blackwater contractor was sentenced to prison for involuntary manslaughter today in the 2009 shooting death of a civilian in Afghanistan.

Justin Cannon of Corpus Christi, Texas, was sentenced to 30 months by U.S. District Judge Robert Doumar.

A Virginia Beach man, Christopher Drotleff, received a 37-month sentence earlier this month for his actions in the same incident.

The two were charged with murder and convicted of the lesser charge in March after an earlier trial ended in a hung jury. They are the first contractors for the Moyock, N.C.-based security company now known as Xe Services to get prison time for killing a civilian in a war zone.

Cannon and Drotleff were working for a Blackwater subsidiary providing weapons training to the Afghan army under a Defense Department subcontract.

Please see the details and background at The Virginian Pilot

Posted in Afghanistan, Blackwater, Civilian Contractors, Xe | Tagged: , , , , , , , , | 2 Comments »

Ex Blackwater worker gets 37 months in Afghan’s death

Posted by defensebaseactcomp on June 14, 2011

Bill Sizemore The Virginian Pilot  June 14, 2011

NORFOLK  A former Blackwater contractor from Virginia Beach was sentenced to 37 months in prison today for involuntary manslaughter in the 2009 shooting death of a civilian in Afghanistan.

Christopher Drotleff is the first contractor for the Moyock, N.C.-based security company now known as Xe Services to get prison time for killing a civilian in a war zone. A second man, Justin Cannon of Corpus Christi, Texas, has been convicted in the same case and faces sentencing later this month.

The two were charged with murder and tried twice. Their first trial, in September, ended in a hung jury. The manslaughter convictions in their March retrial appeared to be a compromise verdict.

Drotleff and Cannon were working for Paravant, a Blackwater subsidiary, providing weapons training for the Afghan army under a Defense Department subcontract when their two-vehicle convoy became involved in a traffic accident in Kabul, the Afghan capital, in May 2009.

They were off duty at the time and had been drinking, according to testimony.

Fareed Haji Ahmad, driving home from dinner with a co-worker, approached the scene in his Toyota Corolla and offered to help, he testified. He became confused, he said, when three men waved him on but a fourth told him to stop.

When he drove off, Drotleff and Cannon opened fire on the retreating vehicle, according to testimony. Ahmad’s passenger, Romal Mohammad Naiem, was killed.

A pedestrian, Rahib Mirza Mohammad, out walking with a friend and a dog, was also shot in the back of the head and died a month later. The contractors were acquitted of charges in his death.

Neither Drotleff nor Cannon testified in the case. Their attorneys argued that the two men believed themselves to be under attack.

Please read the entire story here

Posted in Afghanistan, Blackwater, Civilian Contractors, Xe | Tagged: , , , , , , | 1 Comment »

Blackwater Gets ‘Too Big To Fail,’ Hires AIG Castoff

Posted by defensebaseactcomp on June 13, 2011

Nothing says, “We’re through with scandal!” quite like hiring a former executive from one of the country’s leading economic bloodsuckers.

by Spencer Ackerman at Wired’s Danger Room

Blackwater — sorry, Xe Services — really wants to turn the PR page from the bad old days of Nisour Square, when the infamous private security firm’s guards killed 17 Iraqi civilians. It’s no longer owned by Erik Prince, who may be involved in yet another shady mercenary firm. It’s on a hiring spree for new executives. And that’s kind of the problem.

Xe’s new owners, USTC Holdings, aren’t exactly bringing in scandal-free talent to run Xe v.2.0. On Monday, they announced Xe’s new “Chief Regulatory & Compliance Officer,” a new position for the company, will be Suzanne Folsom, most recently of insurance giant AIG.

Yes, the woman in charge of making sure the world’s most infamous private security firm is in compliance with U.S. laws and regulations is a veteran of the insurance giant that helped plunge the country into financial chaos. The public bailed out AIG to the tune of $182 billion. Folsom — then as now, regulatory compliance chief for a scandal-plagued firm — got a golden parachute reportedly worth $1 million.

 

Nor is Folsom the only such example. Xe’s new CEO is Ted Wright, hired June 1 to run the company after helming North American operations for military services giant KBR. Among KBR’s recent hits: kidnapping Filipinos to work for the company in Iraq; confining its Iraq workers to “windowless warehouses“; and locking a woman employee in isolation after she was gang-raped — by other KBR employees.

Then there’s the fact that Xe brought on former Attorney General John Ashcroft, the face of the Patriot Act, as its ethics chief. (Though it has to be noted that Ashcroft, gravely ill, bravely resisted an effort by the Bush White House to improperly extend a warrantless surveillance program. Respect.)

Representatives for USTC Holdings have yet to respond to requests for comment. We’ll update if and when they do.

There’s been a lot of talk for years about Blackwater’s effort to rebrand itself as a squeaky clean company. Hiring from AIG and KBR doesn’t exactly scream Good Corporate Citizen. It does, however, suggest that the company knows how to get what it wants from the government — with impunity.  Please see the original here

See Also

Posted in AIG and CNA, Blackwater, Civilian Contractors, Contractor Casualties and Missing, Defense Base Act, LHWCA Longshore Harbor Workers Compesnation Act, Xe | Tagged: , , , , , , , | 3 Comments »

US Injured Contractors lawsuit alleges Blackwater failed to pay benefits

Posted by defensebaseactcomp on June 8, 2011

The lawsuit says Xe and its workers compensation insurers refused to provide benefits until forced to do so “after drawn out disputes in administrative courts.”

AFP June 8, 2011

WASHINGTON — Four former employees of Blackwater, the scandal-plagued security firm now called Xe, have filed a $60 million class action lawsuit claiming the firm failed to pay health and pension benefits to its employees.

Their lawyer, Scott Bloch, said Wednesday that Xe improperly classified thousands of its employees as independent contractors, allowing the company to avoid “millions of dollars in taxes, withholding and payments of benefits.”

“Blackwater made hundreds of millions of dollars from taxpayers and hired thousands of former veterans of military service and police officers,” said Bloch in a statement

It is a grave injustice to them who were mistreated and left without any health insurance or other benefits for their families, and left to fend for themselves in paying into Social Security and Medicare,” he said.

The lawsuit was filed Monday in federal court in Washington, and hopes to recover Social Security, unemployment insurance, health and other benefits for the four plaintiffs, all of whom were injured while working for Blackwater.

“Plaintiffs and many of those similarly situated came home wounded physically and psychologically from Iraq, Afghanistan and other countries, and needed health insurance to take care of difficulties for themselves and their families,” according to the complaint.

The lawsuit says Xe and its workers compensation insurers refused to provide benefits until forced to do so “after drawn out disputes in administrative courts.”

Read the entire article here

Posted in AIG and CNA, AWOL Medical Records, Blackwater, Civilian Contractors, Defense Base Act, Department of Labor, Dropping the DBA Ball, Injured Contractors, LHWCA Longshore Harbor Workers Compesnation Act, Political Watch, Racketeering, Xe | Tagged: , , , , , , , | 2 Comments »

Class Action Tax Misclassification filed against Xe, Formerly Blackwater

Posted by defensebaseactcomp on June 7, 2011

Scott Bloch blasts Blackwater on behalf of thousands of former employees who were mistreated and denied employee benefits, unemployment and other withholding based on a fraudulent misclassification as independent contractors.

Mercadante et al vs Xe Services, LLC et al

    Statement Concerning Filing of Class Action Tax  Misclassification Against Xe Services (formerly Blackwater) on
 Behalf of Personal Security Specialists for Loss of Benefits and Withholding

WASHINGTON, DC (June 7, 2011) –

Since 2007, Blackwater Industries, which has changed its name to Xe Services, has employed over 10,000 personal security specialists to perform operations in Iraq and Afghanistan under lucrative contracts with departments of the United States Government including the State Department and CIA.

While employing these individuals, many of whom are decorated veterans of the armed services including Special Forces, Army Rangers, Navy Seals, Blackwater sought to avoid millions of dollars in taxes, withholding, and payments of benefits to these employees by classifying them improperly as independent contractors.

Yesterday, Scott Bloch filed a class action lawsuit on behalf of four former security specialists, who were injured while working for Blackwater, in order to recover their payment of social security, unemployment insurance, and unpaid benefits and state and local withholding and unemployment insurance, and other unspecified damages.  The action is brought on their own behalf and thousands of others who have worked for Blackwater and its newly named Xe Services.

The action seeks $60,000,000 in damages and punitive damages, as well as additional amounts as proved for the class of specialists.

“These brave individuals who worked in support of Operation Iraqi Freedom and Afghani Enduring Freedom, deserve better than to be turned away without health insurance, pension benefits, unemployment benefits, and other withholding afforded to Blackwater’s other
employees,” said Scott Bloch.

According to the lawsuit, the United States treasury loses billions of dollars annually to misclassified employees.     Under the commonlaw and the IRS 20 questions put out in 1987 pursuant to a regulation, Blackwater was obliged to classify these individuals as employees if Blackwater had the right to control the employees’ actions, manner of performing duties,  hours, training, equipment, whether the duties of the employees go to a core function of the employer or are duties that are consider ancillary to the main purpose of the company, and other factors.

The lawsuit states that Blackwater provided their equipment, including weapons issued by the government, training, and control over employees’ duties, manner of performing their security  duties, operations they went on, protection details and other duties.

“These veterans were actually given diplomatic passports and classified as employees of Blackwater to the United States government in the contracts as they procured insurance required for employees, and also represented to the State Department that they were
employees,” said Bloch in a statement upon filing, “yet when it came to paying taxes, paying  their employer portion of social security and Medicare taxes that all Americans expect their employers to pay, they simply claimed they were independent contractors.”

The suit also states that one of the representative plaintiffs already had a determination from the IRS that Blackwater misclassified him as an independent contractor.  “The IRS already  determined in the case of one of my clients that he should have been classified as an
employee,“ said Bloch.  “Now thousands of people will have to file amended returns.   Thousands of people will likely be entitled to benefits they were denied due to the misclassification, including payment of their employer share of pension, health and disability
insurance premiums, and other plans that Blackwater filed with the government for its employees, promising it would not discriminate against those employees as they did here.”

In addition, claims the suit, the United States Congress previously held hearings under the Oversight and Government Reform committee, Rep. Henry Waxman, Chair, which determined that Blackwater and its related companies misclassified employees in order to avoid millions of dollars in taxes. In addition, the IRS prior to making the determination on the plaintiff in this suit, had ruled on behalf of other Blackwater security specialists, and related job titles, that Blackwater had misclassified these employees who performed services under contracts in Iraq and Afghanistan.

“Blackwater made hundreds of millions of dollars from taxpayers and hired thousands of former veterans of military service and police officers.  They also had in their ranks Federal Agents, such as current employees of the FBI on leave of absence. They were hired as security specialists in Iraq and Afghanistan,” said Bloch. “It is a grave injustice to them who were  mistreated and left without any health insurance or other benefits for their families, and left to fend for themselves in paying into Social Security and Medicare.  They laid down their lives to protect dignitaries and carry out duties in support of wars for America, and they deserve better than this. Many of these same men risked their lives to protect everyone from the President of the United States to U.S. Senators, Congressman, U.S. Diplomats, to Foreign Presidential & Diplomatic Figures in one of the most dangerous places on the planet.”

The case was filed in the United States District Court for the District of Columbia and covers individuals from all over the United States and some Americans living abroad, including all former and current Blackwater and Xe employees and so-called independent contractors.

Contact Scott J. Bloch, PA:
Scott Bloch, 202-496-1290

Law Offices of Scott J Bloch Website

Posted in Blackwater, Civilian Contractors, Defense Base Act, Political Watch, State Department, Taxes, Xe | Tagged: , , , , , , , , , | 13 Comments »

 
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