downright criminal

Katrina: disaster profiteers pocket millions in deals

A year after Hurricane Katrina, the reconstruction of the devastated Gulf coast is being severely hampered by waste and inefficiency overseen by "disaster profiteers" who are making million of dollars, according to a watchdog group. The group claims the inefficiency - along with the companies' political connections - follows a pattern similar to what happened in Afghanistan and Iraq.

With much of New Orleans still in ruins and its population half of what it was before the hurricane, a new report claims millions of dollars has been squandered by wasteful processes that have seen 90 per cent of the first wave of reconstruction contracts awarded to firms outside Louisiana, Mississippi and Alabama. Local firms have been frozen out while immigrant workers have been exploited and often unpaid.