Contract fraud loophole eliminated  04/15/08 7:04AM  A
multibillion-dollar loophole has been removed from a proposal to
crack down on government contract abuse. The Bush administration
removed the loophole the day before a hearing was scheduled to
investigate how it was placed in a Department of Justice rule.
The loophole would have shielded abuse of overseas contracts.
Documents show the loophole was closed following complaints and
concerns that it would hinder efforts to curb contract fraud in
government projects outside the United States.  Congressman
Peter Welch called for the investigation into how the loophole
was placed in the rule. In a statement, Welch said the
investigation proves the need for congressional oversight. But
Welch said he questions why it required a congressional
investigation to prevent the Bush administration from giving
overseas contractors a free pass to defraud taxpayers.  Last
year the loophole was quietly slipped into a Justice Department
rule aimed at cracking down on all gove