From the New York Times, this editorial about Blackwater's tax and employment practices:
As the nonpareil war profiteer in Iraq, Blackwater Worldwide keeps outdoing its own mercenary record. Ranking Blackwater executives have used inside influence as administration fund-raisers to multiply their no-bid war contracts a thousandfold to more than $1 billion. Armed Blackwater guards redefined Ugly American for the Iraqi people last September in fatally shooting 17 civilians with impunity in a burst of “spray and pray” panic on the streets of Baghdad.
And now Congressional investigators report dodgy bookkeeping by which Blackwater insists its 850 operatives in Iraq are separate contractors, not employees. That little device has allowed the company to avoid paying an estimated $50 million in American payroll taxes.
Tax and labor laws may have been violated by Blackwater’s being awarded $144 million in contracts that were supposed to go to small businesses. Henry Waxman, chairman of the House government oversight committee, is calling for a multiagency investigation.
It seems to me that any investigation of Blackwater should include inquiries by the North Carolina Department of Revenue. Is anyone in our state looking into whether the mercenary company has also evaded North Carolina tax policies?
How any company with a billion dollars in revenues can receive contracts as a "small business" is beyond me. Maybe the skids were greased by one of their new lobbying firms?