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ID-81-43 1 (1981-06-23)

handle is hein.gao/gaobabcbo0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. 20548 INTERNATIONAL DIVISION B-203673 JUNE 23, 1981 The Honorable Caspar Weinberger The Secretary of Defense 115611 The Honorable Alexander M. Haig, Jr. The Secretary of State Subject: IEmprovements Can Be Made In Military Assistance Equipment Disposals7 (ID-81-43) The General Accounting Office has recently completed a survey of the controls and procedures exercised over the management and disposal, including related proceeds, of Military Assistance Pro- gram (MAP) materiel. Our survey has disclosed that --there are no comprehensive records of the extent and value of MAP materiel in recipient countries that the United States still has exercisable residual rights to; --the cost of disposing of MAP materiel declared excess by recipient countries is increasing and sometimes exceeds the sales proceeds; and --there is only limited information available on the proceeds being realized from MAP disposals and sales, and where the funds are being deposited or used. We believe reversionary rights sales, and, as an alternative, host country disposal sales, would eliminate or alleviate many of these problems, provide increased revenue to the United States, and enhance U.S. relations with the recipient countries. Further details on our observations follow: LIMITED INFORMATION ON MAP MATERIEL STILL IN-COUNTRY During the last 30 years the United States provided about $60 billion in MAP materiel assistance to 71 countries. This assistance was provided under the condition that when the military (462670)

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