find on: badassbureaucrat.com

1. THE BADASS BUREAUCRAT – A MEMOIR
By Arthur Murray
BADASSBUREAUCRAT is a firsthand account of how self-serving public
officials misused their official positions to indulge in dirty tricks,
dishonesty and deceit. Motivated by ambition, greed and power, they
cost taxpayers billions by abusing legal authority and violating their oath
of office. A snippet from my book.
In November 1969 I was selected for a key management assignment to
leada teamto conduct a worldwide review of Armycommissaries. At the
time I wasa youngSystemsAccountantassignedto the Office Comptroller
of the Army in Washington DC. I was tasked to fully plan and execute it
and told to search for fraud, waste and abuse, rendering a report on our
findingstothe ArmyChief of Staff. Otherthanthat,few detailswere given
so I had to use my imagination. It was a career defining moment since
although I was their leader, they all outranked me. A memorandum
establishing our mission was signed by The Army Vice-Chief of Staff
naming me as the Committee Chairman with complete carte blanche
authority togo anywhere in the Army. I had felt a surge of confidence as
we begana mission thatwouldtake us worldwide and test my every skill
and ability. ArrivinginSaigonwe were greetedby the MACV Commander
(General Abrams) who ranted, “Don’t you know there’s a war going on?
However, upon reading our Charter he left unspoken. Our mission had
the highestofficial urgency and stemmed from a meeting chaired by The
Secretary of Defense with the Service Secretaries. After approving our
Planof Action we were allowedonlythree months to conduct the review
and report back our findings and recommendations. We met that
deadline.
It was prompted by recent media reports of corruption at the highest
level involvingthe Army’s Sergeant Major who oversaw the Military Club
System. He conspired along with crooks and cronies in clubs throughout
the Army to line theirpockets by diverting millions unhindered by upper
management. Worldwide contracts exclusively awarded to Club
entertainerswereroutinely skimmedoff withthe excess dollars gleefully
doledoutto the conspirators. The Defense Secretarywantedtoknow the
extent of such criminal activity and whether or not it also included the
Military CommissarySystem.Aswediscovered,itwasmuch worse, raising
eyebrowseverywhere. Aftercompleting our mission we returned to brief
the results. As word leaked out, the demand for copies escalated from
the media and Hill. Our report dated March 15, 1970, “The Special
Worldwide Review of Army Commissaries” had hit the front pages of the
WashingtonPostwhere Jack Anderson, syndicated columnist, reveled in
attacking the Army’s inability to safeguard and protect taxpayers from
thievery and horrendous losses. It shocked the President and Congress.

2. It was a scandal that shattered public confidence in a system that had
gone astray.Interestingly, Congress in 1825 had authorized Army soldiers
to buy subsistence at cost from troop issue stocks because unsavory
merchants sold them shoddy merchandise at high prices. But, by 1887
under the Pendelton Act expansion began with patrons clamoring for
bigger and better stores, lower prices and better service. That in turn
drove tempestuous growth and higher store operating costs. Patrons
were made to paya surcharge of 5% at checkout to cover costs like paper
bags, string, furnishings, minor equipment etc., but overall major costs
like personnel,storage, transportation andfacilitieswere all subsidized by
Congressional fiat. Itcontinuedat a record pace as suppliers and military
managers connived to grow the business racing to add more claimants.
When baited with special offers of discounts and rebates, buyer
enthusiasm shot up like manna from heaven. Sales reps benefited from
largerorders, more shelf space and bigger commissions. Store managers
also benefited receiving gifts and awards from grateful bosses and
suppliers. Ultimately though, it’s the taxpayers who pay the bill. Sales
drive all costs including the subsidy.
Today, powerful lobbyists are paid by members to retain their
commissary entitlement, considered by most to be an inalienable right.
Theyguard the rice bowl against taxpayer groups opposed to subsidizing
the corpulentcrowds whose satiety defiesdescription. Nevertheless, the
advent of big box stores (e.g. Costco, Walmart) with their low prices,
quality goodsandconvenientlocations,signal the entitlement’s inevitable
dissolution. By law, commissaries cannot be located in close proximity
(within 15 miles) of nearby supermarkets big or small. Congressional
Oversight Committees are acutely aware of this restriction yet ignore it
whenvotingonthe issue.Thatis despicablebecause insteadof protecting
the public interest they are lapdogs for the lobbyists. Not one store has
been shuttered because of noncompliance.
Moreover, inventory shrinkage (losses from shoppers and employees)
has remained alarmingly high. But if you look at Walmart, you could still
getsome ideaof theirmagnitude ($3billionyearly). Shoppers have been
caught loading carts with merchandise and strolling out without paying.
Employees have also been caught concealing goods, altering paperwork,
diverting assets and conspiring to manipulate the system. Few were
severely punished and Walmart for example had a policy of not
prosecuting minor shoplifting.
With 300 stores generating $4 billion in annual sales it stands above
most supermarkets. Annual market basket savings for a commissary
family of 4 have averaged $9,240. Looking ahead, Congress may have to
eliminate the commissary subsidy altogether to balance the Budget. That
would finally level the playing field forall shoppers,not justa favored few.
Badassbureaucrat.com 10/27/2015