Pentagon Audit Takes Aim at Halliburton

Halliburton (HAL Quote) has taken another hit over its work in war-torn Iraq.

The company's KBR unit now stands accused of improperly accounting for some 43% of the $4.18 billion it has so far billed the government for projects in the Middle East, The Wall Street Journal reported on Wednesday. The company has until Sunday -- a deadline already twice extended -- to justify its billings or risk losing 15% of its payments, the Journal added.

Government officials outlined their complaints in a new 60-page audit described by the Journal as "the most serious critique to date" of KBR's billing for services provided to U.S. troops in Iraq. ...