Blair Tries to Cover Up $1.3 Billion Iraqi Theft
The government wants to postpone the investigation to help its favored candidate Iyad Allawi, the former prime minister, in the election on December 15. The money disappeared during his administration.
The UK's enthusiasm for Mr Allawi may have led it into promoting a cover-up of how the money was siphoned off and sent abroad. One Iraqi minister believes the investigation will be dropped when the next government is formed.
The scandal is expected to explode with renewed force in the next few weeks. The Independent has learnt of secret tape recordings of a wide-ranging conversation between a Ministry of Defense official and a businessman, naming politicians and officials involved.
"It is possibly one of the largest thefts in history," Ali Allawi, Iraq's Finance Minister, said. "Huge amounts of money have disappeared. In return we got nothing but scraps of metal." Most of the military purchases were made in Poland and Pakistan. They included obsolete helicopters, armoured vehicles unable to stop a bullet and grossly over-priced machine guns and bullets. Payments were made in advance. Often the Ministry of Defense did not even have a copy of contracts under which it was paying hundreds of millions of dollars.
Ahmed Chalabi, the Deputy Prime Minister, says William Patey, the British ambassador in Baghdad, asked him not to give prominence to the scandal before the election because this might "politicise the investigation". Mr Patey denies he had asked for the investigation to be delayed.
A former senior British adviser was quoted as saying that Tony Blair was convinced Mr Allawi "is the best hope" for Iraq. He added that Mr Blair had sent a small team of operatives to give political help to Mr Allawi. In background briefings, British officials have heavily supported the former prime minister despite evidence that government corruption was rife under his administration. Read more
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