McClatchy: Blackwater likely to be fined millions in Iraq weapons case [View All]

[babylonsister]

Blackwater likely to be fined millions in Iraq weapons case

By Warren Strobel | McClatcly Newspapers



WASHINGTON — The State Department is preparing to slap a multi-million dollar fine on private military contractor Blackwater USA for shipping hundreds of automatic weapons to Iraq without the necessary permits.

Some of the weapons are believed to have ended up on the country's black market, department officials told McClatchy, but no criminal charges have been filed in the case.

The expected fine is the result of a long-running federal investigation into whether employees of the firm shipped weapons hidden in shrink-wrapped pallets from its Moyock, N.C. headquarters to Iraq, where Blackwater is the State Department's largest personal security contractor.

Since the arms shipment allegations first became public 14 months ago, Blackwater, which has received $1.2 billion in federal contracts, according to the Web site fedspending.org, has consistently denied involvement in illicit arms trafficking.

However, the State Department found that Blackwater shipped 900 weapons to Iraq without the paperwork required by arms export control regulations, one department official said. Of that number, 119 were "particularly ... erroneous," he said. He and the other officials spoke on the condition of anonymity because the decision hasn't been announced.

Federal laws require obtaining a license before exporting military hardware, including automatic weapons, overseas.

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