JIM LEHRER: A new look at reconstruction in Iraq has found millions of U.S. dollars wasted. Special Inspector General Stuart Bowen reported that today. His quarterly report found: The growing violence has forced U.S. contractors to divert large sums to security. Weapons and equipment totaling more than $36 million cannot be accounted for, and an Olympic-size pool was built, but never authorized by the U.S. government
At a Senate hearing today, Lee Hamilton, co-chair of the Iraq Study Group, lamented the findings.
LEE HAMILTON, Co-Chair, Iraq Study Group: There are very, very few things that hurt our effort more in trying to succeed in Iraq than that kind of performance, because it just turns all people off to know that there are people performing shoddy work, getting huge government contracts. There's very few things that undercut our efforts in Iraq any more than that.
JIM LEHRER: Later, spokesman Sean McCormack said the State Department has investigated the failures. He also said Iraqi officials are trying to address the waste and abuse of funds. We'll have more on this story in an interview with Special Inspector General Bowen right after this news summary.
In Iraq today, the U.S. military announced four more Americans killed since Tuesday. Car bombs targeted Shiite districts across Baghdad in the ongoing sectarian violence. At least eight people died; dozens more were wounded. The bombers targeted a major market and a bus loading zone.
In retaliation, a mortar attack killed four people in a Sunni neighborhood.
In Germany today, prosecutors issued warrants for 13 people in the alleged CIA kidnapping of a German citizen. Khaled El-Masri has claimed he was abducted in December of 2003 and taken to Afghanistan. He says he was mistreated, but then released after five months, and told it was all a mistake. The lead German prosecutor said the suspects are believed to be agents of the CIA.
Police in Britain made a series of arrests today in a terror kidnapping plot. Nine suspects were apprehended across Birmingham, England. News reports said the plotters meant to kidnap, torture and behead a British Muslim soldier and show the death on the Internet. Police would not confirm those details, but they did say this.
DAVID SHAW, Assistant Chief Constable, West Midlands Police: I cannot stress that we are literally right at the foothills of what is a very, very major investigation for us. And we're proceeding very slowly, understandably, but very carefully, to be sure we build the best possible case and to assure that, where prosecutions are appropriate, we get all the evidence that's necessary. But I have to stress this is a long process, one that will take days and possibly weeks.
JIM LEHRER: British reports also said the potential victim of the plot was under police protection.
Boston had a scare today, after at least nine suspicious devices were found. The objects were planted near bridges, street corners, and at a medical center. Authorities briefly sealed off part of the Charles River and two bridges.
Later, the governor said it was all a hoax. The Cartoon Network said the devices were magnetic lights used in a marketing campaign in 10 cities.
A former Time magazine reporter was the latest witness today against Lewis "Scooter" Libby in the CIA leak case. The vice president's former chief of staff is accused of perjury.
Today, Matthew Cooper testified Libby talked to him in July of 2003. Cooper said they discussed Iraq war critic Joseph Wilson and his wife, Valerie Plame, who worked at the CIA. Plame's identity later became public.
The House today approved a huge spending bill to fund the government for the rest of this fiscal year. The last Congress had failed to pass most of the spending for individual departments.
This new legislation includes increased funding for educational grants, medical care for veterans, and state and local police. It will also freeze funds for Amtrak and Community Development Block Grants.
On the House floor today, Republicans and Democrats jousted over the bill and the process.
REP. JERRY LEWIS (R), California: My friends on the other side of the aisle -- and I use the term "friends" sincerely -- have produced an eight-month omnibus spending bill that appropriates $463.5 billion. It is legislation that few have seen, which cannot be amended in any way, and that will pass this House after only one hour of debate.
REP. DAVID OBEY (D), Wisconsin: They were in the majority; they now are not. Now they're in the minority. So we are trying to clean up their spilt milk, and they can squawk all they want about how we did it. The fact is, there are no new issues here. Virtually every single issue that will be debated today was already debated.
JIM LEHRER: The bill now goes to the Senate.
Senator Joe Biden joined the crowded presidential field today. The Delaware Democrat spoke of his 34 years in the Senate and his foreign policy experience. He said, "The next president is going to have to figure out how to extricate us from Iraq without making the Middle East even more destabilized." Biden has offered a plan to divide Iraq along ethnic lines.
The Congress of Venezuela today granted President Hugo Chavez the power to rule by decree. Lawmakers voted at a downtown plaza in Caracas. Chavez has said the move will let him build a socialist state by enacting sweeping measures.
He plans to nationalize utilities and telecommunications firms and impose greater control over oil fields. Venezuela is a major oil supplier to the United States.
The Bush administration announced plans today to raise the cost of becoming a U.S. citizen. Application fees for citizenship would nearly double, to $595. The cost of becoming a legal permanent resident would rise just over $300 to more than $900. The Homeland Security Department said the fee hikes will help pay to improve operations.
The Federal Reserve left a benchmark lending rate unchanged again today. Policymakers voted to keep the federal funds rate at 5.25 percent. Banks use it to set prime lending rates, and that, in turn, determines interest for consumer and business loans.
The Fed also said today recent readings on inflation were encouraging.
On Wall Street today, the Fed announcement helped fuel a rally. The Dow Jones Industrial Average gained 98 points to close at 12,621. The Nasdaq rose 15 points to close just under 2,464.
