NEW YORK (CNN/Money) - Halliburton plans to bill the U.S. military $141 million for meals served to U.S. forces in Iraq, even though the charges had previously been questioned by Pentagon auditors, according to a published report.

The Houston Chronicle reported Thursday that company executives are confident the charges will be upheld by auditors this time, after an internal investigation of the bills. A Pentagon spokesman told the paper its auditors will continue to evaluate costs incurred and billed by the company.

"Our internal procurement team has completed an analysis of all 64 dining facilities and administration centers in our Iraq and Kuwait areas of operation. We believe the analysis validates our position," Randy Karl, CEO of Halliburton unit KBR, said in a statement to CNNfn.

Halliburton (HAL: up $0.09 to $31.10, Research, Estimates), which Wednesday reported it earned profits of $32 million on revenue of $2.1 billion in contracts in Iraq during the first quarter, has been the subject of questions and controversy about its work in the country, some of which was awarded without competitive bidding. The company's ties to Vice President Dick Cheney, its former CEO, has increased the controversy.

The paper reported that Pentagon auditors previously asked questions about the company's method for predicting how many soldiers might show up for a meal. It said Pentagon auditors questioned bills generated by a Saudi subcontractor, which last July billed the military for 42,042 meals a day at a U.S. base outside Kuwait City, while only serving up 14,053 meals a day.

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As Pentagon auditors probed billing at other dining halls, Halliburton agreed to credit the military $36 million and then suspended billing on $141 million more until questions about the company's billing practices could be resolved, according to the paper's report.

"It is possible the Defense Contract Audit Agency may recommend that payments be withheld on one or more of the [facilities] until its own audits are complete," said Karl. "In the event this occurs, we believe we have a strong contractual position and will ultimately be reimbursed," he added.

"No final decision has been made on the amount to be paid to KBR," the Pentagon spokesman told the Chronicle.