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Saudis reportedly funding Iraqi Sunnis

By SALAH NASRAWI, Associated Press Writer 54 minutes ago

CAIRO, Egypt - Private Saudi citizens are giving millions of dollars
to Sunni insurgents in Iraq and much of the money is used to buy
weapons, including shoulder fired anti-aircraft missiles, according to
key Iraqi officials and others familiar with the flow of cash.


Saudi government officials deny that any money from their country is
being sent to Iraqis fighting the government and the U.S.-led coalition.

But the U.S. Iraq Study Group report said Saudis are a source of
funding for Sunni Arab insurgents. Several truck drivers interviewed
by The Associated Press described carrying boxes of cash from Saudi
Arabia into Iraq, money they said was headed for insurgents.

Two high-ranking Iraqi officials, speaking on condition of anonymity
because of the issue's sensitivity, told the AP most of the Saudi
money comes from private donations, called zaqat, collected for
Islamic causes and charities.

Some Saudis appear to know the money is headed to Iraq's insurgents,
but others merely give it to clerics who channel it to anti-coalition
forces, the officials said.

In one recent case, an Iraqi official said $25 million in Saudi money
went to a top Iraqi Sunni cleric and was used to buy weapons,
including Strela, a Russian shoulder-fired anti-aircraft missile. The
missiles were purchased from someone in Romania, apparently through
the black market, he said.

Overall, the Iraqi officials said, money has been pouring into Iraq
from oil-rich Saudi Arabia, a Sunni bastion, since the U.S.-led
invasion of Iraq toppled the Sunni-controlled regime of
Saddam Hussein in 2003.

Saudi officials vehemently deny their country is a major source of
financial support for the insurgents.

"There isn't any organized terror finance, and we will not permit any
such unorganized acts," said Brig. Gen. Mansour al-Turki, a spokesman
for the Saudi Interior Ministry. About a year ago the Saudi government
set up a unit to track any "suspicious financial operations," he said.

But the Iraq Study Group said "funding for the Sunni insurgency comes
from private individuals within Saudi Arabia and other Gulf states."

Saudi officials say they cracked down on zakat abuses, under pressure
from the United States, after the Sept. 11, 2001, attacks on New York
and Washington.

The Iraqi officials, however, said some funding goes to Iraq's Sunni
Arab political leadership, who then disburse it. Other money, they
said, is funneled directly to insurgents. The distribution network
includes Iraqi truck and bus drivers.

Several drivers interviewed by the AP in Middle East capitals said
Saudis have been using religious events, like the hajj pilgrimage to
Mecca and a smaller pilgrimage, as cover for illicit money transfers.
Some money, they said, is carried into Iraq on buses with returning
pilgrims.

"They sent boxes full of dollars and asked me to deliver them to
certain addresses in Iraq," said one driver, who gave his name only as
Hussein, out of fear of reprisal. "I know it is being sent to the
resistance, and if I don't take it with me, they will kill me."

He was told what was in the boxes, he said, to ensure he hid the money
from authorities at the border.

The two Iraqi officials would not name specific Iraqi Sunnis who have
received money from Saudi Arabia. But Iraq issued an arrest warrant
for Harith al-Dhari, a Sunni opponent of the Iraqi government, shortly
after he visited Saudi Arabia in October. He was accused of sectarian
incitement.

Saudi Arabia is a key U.S. ally in the Middle East. The Iraq Study
Group report noted that its government has assisted the U.S. military
with intelligence on Iraq.

But Saudi citizens have close tribal ties with Sunni Arabs in Iraq,
and sympathize with their brethren in what they see as a fight for
political control — and survival — with Iraq's Shiites.

The Saudi government is determined to curb the growing influence of
its chief rival in the region,
Iran. Tehran is closely linked to Shiite parties that dominate the
Iraqi government.

Saudi officials say the kingdom has worked with all sides to reconcile
Iraq's warring factions. They have, they point out, held talks in
Saudi Arabia with Shiite cleric Muqtada al-Sadr, whose militia is
accused of killing Sunnis.

These officials say zakat donations are now channeled through
supervised bank accounts. Cash donation boxes, once prevalent in
supermarkets and shopping malls, have been eliminated.

Still, Iraq's foreign minister expressed concern about the influence
of neighboring Sunni states at a recent Arab foreign ministers meeting
in Cairo.

"We hope that Saudi Arabia will keep the same distance from each and
all Iraqi parties," Foreign Minister Hoshyar Zebari later told the AP.

Last month, the New York Times reported that a classified U.S.
government report said Iraq's Sunni Arab insurgency had become
self-sufficient financially, raising millions from oil smuggling,
kidnapping and Islamic charities. The report did not say whether any
money came from Saudi Arabia.

Allegations the insurgents have purchased shoulder-fired Strela
missiles raise concerns that they are obtaining increasingly
sophisticated weapons.

On Nov. 27, a U.S. Air Force F-16 jet crashed while flying in support
of American soldiers fighting Anbar province, a Sunni insurgent
hotbed. The U.S. military said it had no information about the cause
of the crash. Gen. William Caldwell, a U.S. military spokesman, said
he would be surprised if the jet was shot down because F-16's have not
encountered weapons capable of taking them down in Iraq.

But last week, a spokesman for Saddam's ousted Baath party claimed
that fighters armed with a Strela missile had shot down the jet.

"We have stockpiles of Strelas and we are going to surprise them (the
Americans)," Khudair al-Murshidi, the spokesman told the AP in Damascus,
Syria. He would not say how the Strelas were obtained.

Saddam's army had Strelas; it is not known how many survived the 2003
war. The Strela is a shoulder-fired, low-altitude system with a
passive infrared guidance system.

The issue of Saudi funding for the insurgency could gain new
prominence as the Bush administration reviews its Iraq policy,
especially if it seeks to engage Iran and Syria in peace efforts.

Bush's national security adviser,
Stephen Hadley, wrote in a recent leaked memo that Washington should
"step up efforts to get Saudi Arabia to take a leadership role in
supporting Iraq, by using its influence to move Sunni populations out
of violence into politics."

Last week, a Saudi who headed a security consulting group close to the
Saudi government, Nawaf Obaid, wrote in the Washington Post that Saudi
Arabia would use money, oil and support for Sunnis to thwart Iranian
efforts to dominate Iraq if American troops pulled out. The Saudi
government denied the report and fired Obaid.

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