The U.S. Department of Defense reportedly hired an Afghan company with terrorist ties to do work on a NATO facility last year, according to the top official overseeing reconstruction efforts in the war-torn nation.

The Army Times reports Special Inspector General for Afghanistan Reconstruction John Sopko cited the contract with Zurmat Material Testing Laboratory in a Nov. 8 letter to Defense Secretary Chuck Hagel as part of a larger pattern resulting in $150 million of Pentagon payments to various concerns with insurgent ties.

“The idea that U.S. taxpayer dollars are flowing into the hands of terrorist groups bent on killing Americans is unthinkable and unacceptable,” Sen. Jeanne Shaheen, D-N.H., a member of the Senate’s Armed Services and Foreign Relations committees, reportedly said in a statement on the matter.