Real-Time Quote
US News
Page 1 of 4 | Next Page
Show Entire Article

House Panels Probing Contract Awarded to Perelman-Affiliated Company
CNBC.com | June 13, 2011 | 04:52 PM EDT

Two Congressional committees are investigating how a company affiliated with financier Ron Perelman won a massive federal contract for smallpox antiviral medicine, CNBC has learned.

At issue is whether or not Perelman’s Democratic political connections helped a company he holds a significant stake in secure a contract potentially worth billions of dollars.

Capitol Hill’s top investigator, Rep. Darrell Issa (R-Calif.), said he wants documents from the White House and the Department of Health and Human Services relating to the award of a no-bid contract worth up to $2.8 billion, and he is demanding to know what the White House’s role was, if any, in prodding the HHS to sign off on the enormous pharmaceutical deal.

In a letter dated June 9, Reps. Issa, chairman of the House Oversight and Government Reform Committee, and Sam Graves (R-Mo.), chairman of the Small Business Committee, wrote to HHS Secretary Kathleen Sebelius raising concerns about the contract, which was awarded in May to SIGA Technologies.

SIGA is 30 percent owned by Perelman’s MacAndrews & Forbes Holdings.

One person familiar with the situation said he’s worried the company’s Democratic political connections could have improperly affected the deal.

Page 1 of 4 | Next Page
Show Entire Article
Real-Time Quote
omniture pixel