Missing Iraq money may be as much as $18 billion

Photo Credit - Raw Story

David Ferguson
Raw Story

In 2004, the Bush administration flew twenty billion dollars of shrink-wrapped cash into Iraq on pallets. Now the bulk of that money has disappeared. The funds flown into the war zone were made up of surplus from the UN's oil-for-food program, as well as money from sales of Iraqi oil and seized Iraqi assets. Recent estimates had the amount of missing money at about $6.6 billion, but according to Al Jazeera, Iraqi Parliament Speaker Osama al-Nujaifi says the figure is closer to three times that amount.

Officials were supposed to distribute the money to Iraqi government ministries and U.S. contractors tasked with the reconstruction of Iraq, but it now appears that the bulk of the cash was stolen in what may be one of the largest heists in history.

The Iraqi government argues that U.S. forces were supposed to safeguard the cash under a 2004 agreement, making Washington responsible for the money's disappearance. Pentagon officials claim that given time to track down the records they can account for all of the money, but the U.S. has already audited the money three times and no trace of what happened to it can be found.

Al Jazeera says that it has been unable to find any documents whatsoever accounting for the money's disappearance. Some believe that U.S. officials absconded with the money, but it's more likely, sources say, that corrupt Iraqi officials used the funds to line their own pockets.

To date, it's estimated that the Iraq War has cost the United States more than a trillion dollars.

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Missing Iraq money may have been stolen, auditors say

U.S. Defense officials still cannot say what happened to $6.6 billion, sent by the planeload in cash and intended for Iraq's reconstruction after the start of the war.

The Great Plane Robbery from C-130 Hercules / Wiki commons

Paul Richter
The Los Angeles Times

Reporting from Washington—After the U.S.-led invasion of Iraq in March 2003, the George W. Bush administration flooded the conquered country with so much cash to pay for reconstruction and other projects in the first year that a new unit of measurement was born.

Pentagon officials determined that one giant C-130 Hercules cargo plane could carry $2.4 billion in shrink-wrapped bricks of $100 bills. They sent an initial full planeload of cash, followed by 20 other flights to Iraq by May 2004 in a $12-billion haul that U.S. officials believe to be the biggest international cash airlift of all time.

This month, the Pentagon and the Iraqi government are finally closing the books on the program that handled all those Benjamins. But despite years of audits and investigations, U.S. Defense officials still cannot say what happened to $6.6 billion in cash — enough to run the Los Angeles Unified School District or the Chicago Public Schools for a year, among many other things.