$3 billion accounting error means the Pentagon could send more weapons to Ukraine

(LIBKOS/Associated Press)

$3 billion accounting error means the Pentagon could send more weapons to Ukraine

Ukraine

TARA COPP and LOLITA C. BALDOR

May 19, 2023

The Pentagon has overstated the value of the weapons it sent to Ukraine by at least $3 billion, an accounting error that could prove a boon to the war effort as the Defense Department can now send more weapons without asking Congress for more money to ask.

Thursday’s recognition comes as the Pentagon faces increased pressure from Congress to account for the billions of dollars in arms, ammunition and equipment it has sent to Ukraine and as some lawmakers question whether that level of support should continue.

It could also free up more money for critical weapons as Ukraine faces a long-awaited counter-offensive that will require as much military aid as Kiev can get. his country did not yet have everything they needed.

Washington’s miscalculation stemmed from officials’ incorrect valuation of some of the systems sent to Ukraine: They used the amount it would cost to completely replace an item rather than the current value of the weapon. In many of its military aid packages, the Pentagon has chosen to draw on its stockpiles of older, existing equipment because it can get those items to Ukraine more quickly.

During our regular review process of presidential recording packages, the ministry found inconsistencies in equipment valuation for Ukraine. In some cases, replacement value was used instead of net book value, overestimating the value of equipment taken from U.S. inventories, Pentagon spokeswoman Sabrina Singh said.

She added that the mistake has not limited US aid to Ukraine or hindered the ability to send aid to the battlefield.

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A defense official said the Pentagon is still trying to determine exactly how much the total surplus will be. The official, who spoke on condition of anonymity to discuss internal deliberations, said the comptroller has asked the military services to review all previous aid packages for Ukraine using the correct cost figures.

The result, the official said, will be that the department will have more available funding powers to use as Ukraine’s counter-offensive approaches.

The aid surplus was first reported by the Wall Street Journal.

To date, the US has provided Ukraine with nearly $37 billion in military aid since Russia invaded in February 2022. from Pentagon stocks and quickly sent to Ukraine.

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Members of Congress have repeatedly urged Defense Department leaders how closely the US monitors its aid to Ukraine to ensure it does not fall victim to fraud or fall into the wrong hands. The Pentagon has said it has a robust program to track the aid as it enters Ukraine and monitor it once it gets there, depending on the sensitivity of each weapon system.

There is also a small team of Americans in Ukraine who work with Ukrainians to conduct physical inspections when possible, as well as virtual inspections when necessary, as those teams do not go to the front lines.

In late February, the Pentagon’s inspector general said his office had yet to find evidence that billions of dollars in arms and aid to Ukraine were lost to corruption or ended up in the wrong hands. He warned that those investigations are still in the early stages.

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