A recent review by the Special Inspector General for Afghanistan Reconstruction, known as SIGAR, has found that Xe Services has operated under different names. It often acts as a subcontractor, fulfilling training contracts originally won by other companies such as Raytheon, according to a person who has reviewed the SIGAR materials. According to several sources apprised of the contract, in Afghanistan Raytheon worked with the Blackwater entity called Paravant, LLC.
"Raytheon is supposed to train Afghan soldiers, but Raytheon subcontracted to Blackwater," said a source who has reviewed the contracts between the two companies.
Paravant came under scrutiny after a 2009 shooting incident in Afghanistan. Three Americans and an Afghan contractor were working for Paravant last May when they became involved in the shooting of Afghan civilians in Kabul. Americans Justin Cannon and Chris Drotleff were arrested in the U.S. earlier this month and face federal charges of second-degree murder. In a statement, Xe Services said it had "immediately and fully cooperated with the government's investigation." Both Cannon and Drotleff maintain their innocence.
According to people familiar with the Raytheon-Paravant relationship, Raytheon terminated the contract in August of last year as a result of the shooting. The May shooting also led to an investigation by the Senate Armed Services Committee. ABC News has confirmed that the Paravant employees connected to the shooting were subcontracted to Raytheon.
Jon Kasle, a Raytheon company spokesman, would not comment on the contract with Paravant, except to say that the company "currently has no contracts with any Blackwater company or subsidiary."
A second Xe offshoot, XPG, does classified work for the military's Joint Special Operations Command, JSOC, which handles special forces and special operations in Afghanistan, according to a government source who has seen the contract. XPG was once known as Select PTC.
In an exclusive report, ABC News revealed that contractors working for Select PTC had carried out a covert raid into Pakistan in 2006. A dozen Select PTC "tactical action operatives" were recruited by JSOC for a raid on a suspected al Qaeda training camp, according to a military intelligence planner. The planner said he did not know the outcome of the mission, which was codenamed "Vibrant Fury."
Select PTC was Blackwater's equivalent of the CIA's paramilitary or the military's Special Forces, and was used for classified operations with the CIA and JSOC. Select PTC was involved in classified clandestine activities in countries around the world, including Pakistan, Afghanistan, Iraq, Syria and the Philippines, according to a former military intelligence officer briefed on Select PTC's operations for the U.S. government. The same unit was awarded a contract to assassinate al Qaeda leaders around the world.
In August 2009, the New York Times reported that personnel from a Blackwater offshoot that it called "Blackwater Select" were allegedly responsible for loading missiles and bombs on CIA-operated Predator drones, which are used on suspected al Qaeda operatives and Pakistani militants in Pakistan's Tribal Areas.