The Central Intelligence Agency has hired Xe Services, the private security firm formerly known as Blackwater Worldwide, to guard its facilities in Afghanistan and elsewhere, according to an industry source.
The previously undisclosed CIA contract is worth about $100 million, said the industry source, who spoke on condition of anonymity to discuss the deal, which is classified.
“It’s for protective services … guard services, in multiple regions,” said the source.
Two other security contractors, Triple Canopy and DynCorp International, put in losing bids for the CIA’s business, the source said.
The revelation comes only a day after members of a federal commission investigating war-zone contractors blasted the State Department for granting Blackwater with a new $120 million contract to guard U.S. consulates under construction in Afghanistan.
CIA spokesman Paul Gimigliano stopped short of confirming the contract, saying only that Xe personnel would not be involved in operations.
“While this agency does not, as a rule, comment on contractual relationships we may or may not have, we follow all applicable federal laws and regulations,” Gimigliano said.
The spokesman added, “We have a very careful process when it comes to procurement, and we take it seriously. We’ve also made it clear that personnel from Xe do not serve with CIA in any operational roles.”
Mark Corallo, a spokesman for Erik Prince, chairman of the board at Xe and owner of Prince Group — which owns Xe — said the firm would have no comment.