Italy probe unearths huge Iraq arms deal

[JODO 2]

Italy probe unearths huge Iraq arms deal

By CHARLES J. HANLEY and ARIEL DAVID, Associated Press Writers

49 minutes ago

In a hidden corner of Rome's busy Fiumicino Airport, police dug quietly through a traveler's checked baggage, looking for smuggled drugs. What they found instead was a catalog of weapons, a clue to something bigger.

Their discovery led anti-Mafia investigators down a monthslong trail of telephone and e-mail intercepts, into the midst of a huge black-market transaction, as Iraqi and Italian partners haggled over shipping more than 100,000 Russian-made automatic weapons into the bloodbath of Iraq.

As the secretive, $40 million deal neared completion, Italian authorities moved in, making arrests and breaking it up. But key questions remain unanswered.

For one thing, The Associated Press has learned that Iraqi government officials were involved in the deal, apparently without the knowledge of the U.S. Baghdad command — a departure from the usual pattern of U.S.-overseen arms purchases.

Why these officials resorted to "black" channels and where the weapons were headed is unclear.

The purchase would merely have been the most spectacular example of how Iraq has become a magnet for arms traffickers and a place of vanishing weapons stockpiles and uncontrolled gun markets since the 2003 U.S. invasion and the onset of civil war.

Some guns the U.S. bought for Iraq's police and army are unaccounted for, possibly fallen into the hands of insurgents or sectarian militias. Meanwhile, the planned replacement of the army's AK-47s with U.S.-made M-16s may throw more assault rifles onto the black market. And the weapons free-for-all apparently is spilling over borders: Turkey and Iran complain U.S.-supplied guns are flowing from Iraq to anti-government militants on their soil.

Iraqi middlemen in the Italian deal, in intercepted e-mails, claimed the arrangement had official American approval. A U.S. spokesman in Baghdad denied that.

"Iraqi officials did not make MNSTC-I aware that they were making purchases," Lt. Col. Daniel Williams of the Multi-National Security Transition Command-Iraq (MNSTC-I), which oversees arming and training of the Iraqi police and army, told the AP.

Operation Parabellum, the investigation led by Dario Razzi, anti-Mafia prosecutor in this central Italian city, began in 2005 as a routine investigation into drug trafficking by organized-crime figures, branched out into an inquiry into arms dealing with Libya, and then widened to Iraq.

Court documents obtained by the AP show that Razzi's break came early last year when police monitoring one of the drug suspects covertly opened his luggage as he left on a flight to Libya. Instead of the expected drugs, they found helmets, bulletproof vests and the weapons catalog.

Tapping telephones, monitoring e-mails, Razzi's investigators followed the trail to a group of Italian businessmen, otherwise unrelated to the drug probe, who were working to sell arms to Libya and, by late 2006, to Iraq as well, through offshore companies they set up in Malta and Cyprus.

A Pentagon report in June may have touched on another possible destination for weapons obtained via secretive channels, noting that "militia infiltration of local police remains a significant problem." Shiite Muslim militias in Iraq's civil war have long been known to find cover and weapons within the Interior Ministry.

In fact, in a further sign of poor controls on the flow of arms into Iraq, a July 31 audit report by the U.S. Government Accountability Office said the U.S. command's books don't contain records on 190,000 AK-47s and other weapons, more than half those issued in 2004-2005 to Iraqi forces. This makes it difficult to trace weapons that may be passed on to militias or insurgents.

The Pentagon, meanwhile, has described the Interior Ministry's accounting of police equipment as unreliable.

Here in Italy, Razzi expressed puzzlement at the Iraqi officials' circumvention of U.S. supply routes. "It seems strange that a pro-Western government, supported by the U.S. Army and other NATO countries on its own territory, would seek Russian or Chinese weapons through questionable channels," the anti-Mafia prosecutor wrote in seeking the arrest warrant that short-circuited the complex deal.

http://news.yahoo.com/s/ap/20070812/ap_on_...GPwjBxQ1sEUewgF

[Jasman0717 9]

Good police work