Paul Bremer - Sending Billions of Cash to Iraq

Paul Bremner, former head of the US led civilian administration in Iraq was quizzed by a Congressional committee which is investigating allegations of fraud. Mr Bremner defended his decision to send billions of dollars in cash to Baghdad during the years 2003 to 2004. These funds originally came from Iraqi oil revenue and frozen assets.

Much of the money sent by Bremner went missing and can still not be tracked to this day. When questioned by Henry Waxman, the democratic Chairman of the House Oversight and Reform Committee, Mr Bremner answered; "that he had done his best to kick-start Iraq's economy."

Henry Waxman asked," who in their right mind would send 360 tons of cash into a war zone?." He added, "But that is exactly what our Government did. There is no way of knowing whether the cash which totals $9 billion and flown over on pallets from the US would end up in enemy hands."

Mr Bremner agreed that "ideally a modern financial system for control of the Iraq funds should have been set up and he was trying to make the best of a bad situation". He continued to tell the enquiry that "is was difficult to give a full picture of the desperate situation in Iraq in May 2003. The country was in chaos, socially, politically and environmentally." He went on to defend his actions by saying, "As often as Iraq the ideal collided with the harsh realities on the ground."

Mr Bremner headed the Coalition Provisional Authority (CPA) before sovereignty was handed over to Iraq in June 2004. The Democrats, who took control of both houses of the US congress last month, are very critical of the Bush administration's decision to go to war. Congress is now considering moves to block the President's new plan to send an extra 21,50o troops to Iraq.