Volume 1 - Iraq Watch

jammers, night-vision devices, and small missilecomponents. Some flights were not inspected, eventhough they were reported to the UN. Cash and equipmentwere reportedly also smuggled into or out ofIraq in bimonthly diplomatic courier runs to Moscow.In early 2003, the Russian company, Rosoboronexport,offered to sell and deliver several weaponssystems to Iraq. Rosoboronexport had Igla-S shoulder-firedSAMs and Kornet anti-tank missiles availablefor immediate sale to Iraq, and was prepared tosell larger medium-to-long range advanced (SA-11and SA-15) air defense systems and T-90 tanks,according to the trip report and a high-level source inthe former Iraqi Government.• ISG has recovered documents detailing two tripsrelated to these sales. The first round of negotiationswith Rosoboronexport and other Russian companiesoccurred from 27 January 2003 to 6 February2003, while the second trip took place from 12February 2003 until 21 February 2003.• The Iraqi delegation requested air defense equipment,antitank weapons, and night vision devices.Iraq also desired to upgrade existing air defenseequipment (SA-6 and SA-8) and radars.• According to the trip report, four contracts weresigned between Rosoboronexport and four Iraqicompanies: Hittin, Al-Karamah, Al-Milad, and Al‘Ubur.According to Iraqi documents, Rosoboronexportexecutives demanded that they be permitted to shipthe weapons through a third country with falseend-user certificates. The Russian side emphasizedthat Rosoboronexport is a government agency and itcannot be involved with directly supplying Iraq withweapons. Other Russian officials offered to sendequipment and technical experts to Iraq under thecover of OFF contracts. Before returning to Baghdad,the Iraqi delegation stopped in Damascus toobtain false end-user certificates from the SyrianMinistry of Defense for the first items to be shipped,the MANPADS and antitank missiles.• Although some of the equipment was shipped, wedo not know how much of the equipment was actuallyreceived in Iraq before Operation Iraqi Freedom.• ISG has recovered documents detailing two tripsrelated to these sales. The first round of negotiationswith Rosoboronexport and other Russian companiesoccurred from 27 January 2003 to 6 February2003, while the second trip took place from 12February 2003 until 21 February 2003.• The Iraqi delegation requested air defense equipment,anti-tank weapons, and night-vision devices.Iraq also desired to upgrade existing air defenseequipment (SA-6 and SA-8) and radars.• According to the trip report, four contracts weresigned between Rosoboronexport and four Iraqicompanies: Hutteen, Al-Karamah, Al-Milad, andAl-‘Abur.Many of the contracts signed with Russian companies,were for technical assistance, according to anIraqi official with direct access to the information.These offers included contracts with TECHNO-MASH employees for technical assistance in developingguidance and control systems, aerodynamicstructures, and a test bench for missile engines. Iraqalso signed a contract for the transfer of technologyfor the manufacture of laser rods to be used in laserrange finders. The Mansur Factory in Iraq was to bethe main recipient of this technology. Other contractswith Russian companies are detailed in the following:• The Russian Company, Systemtech was run bya Russian missile scientist named AlexanderDegtyarev. Most of the dealings with this companywere connected with missile guidance and control,and contracts were valued at around $20 million.• According to captured documents, in November2002, the Umm Al-Ma’arik General Companynegotiated two draft contracts with the Russiancompany Uliss, in support of the “Saddam TheLion” Tank Project. They notified the CommercialDirectorate of the MIC that contract number 2002/AM/8 had been concluded. On 10 February 2003,MIC Deputy Director Daghir Muhammad Mahmudapproved the contract.Regime Financeand Procurement117