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03.28.03
Politics and Economy:
Conflict of Interest?
More on This Story:
No one has been more vigorous or vocal in advocating a war against Iraq than Richard Perle. Once an Assistant Secretary of Defense for Ronald Reagan, he left the administration in 1987. In 1996, Perle helped write a study for an Israeli think tank calling for the removal of Saddam Hussein and has since been a major architect of the war now taking place against Iraq.

Richard Perle has been a lobbyist for a foreign arms merchant and other governments. His venture capital firm invests in businesses related to national security. Recently the investigative journalist Seymour Hersh reported in the NEW YORKER that Perle has used his proximity to Donald Rumsfeld to solicit investments for his firm. Perle responded with a libel suit against Hersh.

Then a few days ago, it was learned that the bankrupt telecommunications company Global Crossing has offered Richard Perle over half a million dollars to get defense department approval for its takeover by a foreign corporation. The person who would make that decision is none other than Richard Perle's close friend, the man he regularly advises, Secretary of Defense Donald Rumsfeld.

Yesterday, Richard Perle resigned the chairmanship of the Defense Policy Board.

Perle's questioned relationship with Global Crossing is only one of the allegedly suspicious relationships administration officials have had with corporate America. Also in the news right now, the Bush administration asked five large U.S. companies to bid on a contract for the reconstruction of Iraq. One of these companies was the Houston-based energy and construction firm Halliburton, once managed by Vice President Dick Cheney.

The Center for Public Integrity has released a new report about further potential conflicts of interest within the Defense Policy Board. Of the 30 members of the board, at least nine have ties to companies that have won more than $76 billion in defense contracts in 2001 and 2002. Read the report: Advisors of Influence: Nine Members of the Defense Policy Board Have Ties to Defense Contractors

Learn more about the U.S. government's rebuilding contract:
"Rebuilding Iraq may rival Marshall Plan in scope"
Mark Fineman of the Los Angeles Times explains the Bush administration's plans for Iraq's reconstruction.

"The agenda for rebuilding Iraq"
The US Agency for International Development (USAID) is coordinating plans for rebuilding Iraqi infrastructure and public facilities after the war. The value of contracts awarded is potentially worth more than $1 billion. The BBC published this edited version of the agenda of work.

"Companies bid on rebuilding Iraq"
Article by Thomas A. Fogarty in USA TODAY, March 25, 2003. U.S. businesses are already locking in lucrative contracts for peacetime rebuilding. In a down payment on extensive work to come in a post-Saddam Iraq, the U.S. Agency for International Development (USAID) as early as Wednesday may award $600 million in contracts for emergency rebuilding of utilities, roads, bridges and public buildings.

"Which Companies Will Put Iraq Back Together?"
This NEW YORK TIMES article by Diana B. Henriques describes the U.S. plans for reconstruction and outlines which agencies will oversee various parts of the rebuilding.

"U.S. Rejects Criticism on Awarding of Iraq Contracts"
This article from the NEW YORK TIMES repots that Under Secretary of State Alan Larson rejected European complaints about postwar rebuilding contracts being unfairly awarded to American companies.

The Marshall Plan
The government's plans for postwar Iraq would be largest such rebuilding since the Marshall Plan in Europe after World War II. Visit this exhibition from the Library of Congress to learn more about the Marshall Plan, America's most successful foreign-aid program.


Read some of Richard Perle's recent commentaries on the war:
"Take Out Saddam — It's the Only Way"
"Thank God for the death of the UN"

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