Discover the facts behind the viral claim that the US accidentally sent Ukraine an extra $6.2 billion.
Defense Department Clarifies Ukraine Transaction
A Facebook post on June 20 sparked controversy by alleging that the US had mistakenly sent $6.2 billion to Ukraine. The post claimed an accounting error and called it money laundering, demanding accountability and punishment for those responsible. However, a closer look at the situation reveals a different story.
The Facts Dispel The Claim
Contrary to the viral claim, the US did not accidentally send additional funds to Ukraine. The Defense Department clarified the situation, stating that the overvaluation was related to the military equipment shipped from existing stockpiles. The error resulted in an increased supply of equipment, rather than an overspending of funds.
Military Equipment Valuation Error Explained
During a press briefing on June 20, Deputy Pentagon Press Secretary Sabrina Singh addressed the mistake. She explained that the equipment’s value was inaccurately calculated based on the cost of replacement, rather than its book value, which considers depreciation. For the fiscal year ending September 30, 2022, the value was off by $2.6 billion, and an additional $3.6 billion error occurred in the current fiscal year. Consequently, the Defense Department can provide more equipment to Ukraine without immediately requiring additional funding from Congress.
Context And Funding Challenges
The State Department reported that the US had allocated approximately $42 billion for security assistance in Ukraine since January 2021. Out of this amount, around $22 billion comprised equipment already present in US stockpiles. The discovery of the accounting error comes at a critical time when obtaining funding from Congress could become more challenging. Some lawmakers have proposed prioritizing debt reduction in the upcoming budget, raising concerns about continued support for Ukraine’s defense against the Russian invasion.
Correct Accounting Practice Explained
Retired Marine Colonel Mark Cancian, a senior adviser for the Center for Strategic and International Studies, emphasized that using book value is the appropriate method for valuing the equipment. Cancian explained that the US has been gradually depleting its existing stock of vehicles and munitions, which depreciate over time. Similar to donating an item, the current depreciated value should be considered, rather than the cost of replacement.
Fact Check and Rebuttal
Attempts to contact the social media user who initiated the claim for comment have been unsuccessful. Furthermore, reputable fact-checking sources such as PolitiFact and FactCheck.org have also debunked the false claim, confirming the Defense Department’s explanation.
Thank you for reading our comprehensive analysis of the claim regarding the accidental transfer of $6.2 billion to Ukraine. Understanding the truth behind such viral allegations is crucial to maintaining accuracy and preventing the spread of misinformation.
