The Spy Who Billed Me - report on outsourcing of gov contracts

Mother Jones
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Like the defense industry, the intelligence business is driven by a network of lobbyists and a web of close connections between government and the private sector. But unlike the arms industry, intelligence contractors operate in a world where budgets are classified and many activities -- from covert operations to foreign eavesdropping -- are conducted in secret. Even the bidding for intelligence contracts is often classified.
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The outsourcing revolution began with the end of the Cold War, when hundreds of intelligence jobs were eliminated, and quickened in the mid-1990s under Vice President Al Gore’s Reinventing Government initiative. Sensing a niche, information technology companies like CACI and Titan began hiring retired intelligence employees and contracting them back to the agencies they had once worked for; their business boomed after 9/11, when the intelligence community found itself awash in money and desperate to catch up.
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It gets worse. Seemingly the FBI contract debackle
http://www.washingtonpost.com/wp-dyn/articles/A9063-2005Jan14.html
SAIC, worth at least 170M of wasted money

is a HUGE outsourcer, including connections with India.

So, we have our taxpayer dollars going to private contractors with
no accountability who also outsource the tech work any chance they
get to a foreign nation.

There are security clearance requirements, but clearly they work around it due to their huge holdings and contracts with cheap
foreign labor high tech shops. (see links for some references).

http://www.saic.com/cover-archive/saicachieve/gov-executive.html
http://in.dir.yahoo.com/Business_and_Economy/Business_to_Business/Communications_and_Networking/Telecommunications/Telcordia_Technologies/



http://www.motherjones.com/news/outfront/2005/01/12_400.html