Fraud, bribery, human trafficking, and US Government contracts: Bill Baisey CEO of Eastern Securities and K9 massacre in Kuwait

Bill Baisey is the CEO and owner of the Eastern Securities or E Sec, which is the company involved in the killing of at least 24 explosive detection dogs in Kuwait on June 17, 2016. The dogs were killed after the contract with Kuwait National Petroleum Company (KNPC) was cancelled. People close to Eastern Securities state that the dogs were killed inhumanely and were a direct retaliation to the cancellation of the contract despite E Sec’s claims of a necessary cull. This incident has raised concerns over his previous contracts and whether or not he has held contracts with the US government in the past.

Possible Evidence of Human Trafficking, Fraud, and Bribery

Upon further investigation of Bill Baisey, CEO of E Sec, there is potential evidence of his involvement in human trafficking in Iraq. Najlaa International Catering Services is under the umbrella corporation of Eastern Solutions,Inc. (E Sec is under this umbrella as well). Eastern Solutions is registered in Louisiana, under Nidal A. Balbeisi (reportedly Bill Baisey’s brother). Nidal owns multiple restaurants in Louisiana and Bill Baisey sits on the board of the Balbesi Investment Group LLC.

Najlaa International Catering Services was a subcontractor for KBR which was responsible for providing DoD DFACs (dining facilities) with workers (TCN- third country nationals) in Iraq. Approximately one thousand south Asian workers claimed that they were lured to Iraq by Najaf International Catering Services but upon arrival were housed in windowless warehouses, had long delays in their pay, no protective equipment, and lived in substandard conditions. As a result of their treatment, they were unable to return to their home country. Workers also stated that the company seized their passports which was against the contracting regulations set by the US government. The dog handlers in Kuwait also claimed that E Sec took their passports as well which stranded them in Kuwait.

When the workers complained to KBR and the US government, their concerns were initially unanswered. It wasn’t until the workers protested, did KBR and the US government pay attention to the their claims. KBR contacted Baisey on the findings of their inspection following the protests:

KBR manager William Young told Baisey that conditions at several Najlaa sites “are endangering performance of the Subcontracts and jeopardizing the lives of all personnel.” Young also stated that unless Najlaa could correct the deficiencies within 10 days, “KBR may terminate these subcontracts for default.”

Baisey ultimately lost the contract with KBR, however, it is unknown if he paid the workers the money they were owed as he failed to pay many that supported his operations in Iraq. He also failed to pay the company in Iraq that built the warehouses for the TCNs to live in. Baisey eventually sued KBR for $10 million after they lost the contract.

On October 27, 2009, Bill Baisey was issued two arrest warrants in Iraq, one for fraud and one for failing to pay for vehicles from Myland Co. Here is the document issuing authority to seize the vehicles he failed to pay for in Iraq:

Bill Baisey has also been linked with the high profile bribery case of Major Eddie Presley (US Army) during the Iraq War. In the case’s sentencing memorandum you will find Bill Baisey’s name mentioned:

Pressley’s role adjustment is fully supported by the record. As for the number of individuals involved, the evidence at trial showed that the criminal activity involved Eddie Pressley, Eurica Pressley, John Cockerham, James Momon, Christopher Murray, Terry Hall, Bill Baisey [emphasis added], Gopal Nair, Shaher Fawzi Audah, Finbar Charles, and Dorothy Ellis. (found on page 172)

Pressley’s conduct bears all the hallmarks of sophisticated laundering. The evidence at trial showed that Pressley arranged for Eurica Pressley to travel from the U.S. to Dubai and the Cayman Islands to set up bank accounts for the purpose of funneling over $2 million in bribes to himself; that he, working with Terry Hall and Bill Baisey, arranged for a shell company and a bank account to be created in Louisiana, through which over $800,000 in bribes was funneled to his wife and him (found on page 9)

Even with the links to the KBR dispute and the high profile bribery case, Eastern Solutions managed to obtain 23 contracts with the Department of Defense and Department of Homeland Security since 2008 and has profited at least $3.5 million from the contracts. The contracts ranged in services but some examples are: providing internet cafes, catering services, and housekeeping services in various locations. There appears to be no evidence that Eastern Solutions or E Sec has held any contracts to supply working dogs for either DoD or DHS in the past. These contracts were found using only the known names associated with Bill Baisey, not of any aliases that he might be currently using or individuals he might be using to acquire more contracts.

If the claims for fraud, bribery, and human trafficking are true in Iraq, and now in Kuwait, these other previous contracts should be looked at very carefully. DoD and DHS should avoid any contracts with Eastern Solutions in the future as Bill Baisey and his business partners appear to be involved in illegal and fraudulent business practices. The state of Louisiana should also look in the Eastern Solutions, Balbesi Investment Group LLC , and any other business that Bill Baisey or Nidal A. Balbeisi are connected with. His decision to kill at least 24 working dogs in Kuwait does not seem out of character for Baisey after digging into his background more. Bill Baisey seems to be only motivated by money instead of making responsible and ethical decisions for both the people and K9s he has employed.

SOFREP has requested an interview with Eastern Securities but we have not received a response from them at this time.

Featured image courtesy of pogo.