ACCESSION
ACCESSION NUMBER:213209 FILE ID:EC-107 DATE:02/03/92 TITLE:ECONOMIC HIGHLIGHTS, MONDAY, FEBRUARY 3 (02/03/92) TEXT:*92020307.ECO ECONOMIC HIGHLIGHTS, MONDAY, FEBRUARY 3 (Exports to Iraq) (260) U.S. BUSINESS ACCUSED ON SUPPLYING MISSILES TO IRAQ Washington -- Contradicting a Bush administration report, the chairman of the House of Representatives Banking Committee says dozens of U.S. companies provided missiles and other support for weapons to Iraq before the Gulf war. The chairman, Representative Henry Gonzalez, made the accusation in a letter sent to President Bush about evidence turned up by a committee investigation. The letter was made available to the press February 3. A September Bush administration report to Congress said U.S. companies did not contribute directly to Iraq's weapons capabilities, but Gonzalez called that report "clearly inaccurate." From an ongoing investigation into an alleged $2,000 million in loans by the Italian-owned Banca Nazionale del Lavoro to the Iraqi procurement network, Gonzalez said, the committee collected evidence that U.S. companies were directly involved in Iraqi development of a ballistic missile called Condor II and of two other programs concerned with production of modified Scud missiles. The letter criticized Commerce Department approval for export licenses to companies supplying the Iraqi Technical Corps for Special Projects. Gonzalez said Commerce had full knowledge the end user was involved in missile production. Gonzalez said the president should submit another report to Congress showing "the true role played by U.S. companies and federal agencies in permitting 1he transfer of technology and know-how to Saddam Hussein's war machine." The Commerce Department said February 3 it was preparing a response to Gonzalez' charges. NNNN .
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