America and the New American Century by Chris Wogan

By Chris Wogan

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Breaking the Stories 31 What is now known as the Arms for Hostages and Iran Contra Scandals broke on November 3, 1986, when the Lebanese newspaper, AlShiraa, reported that the US secretly sold arms to Iran. The contra connection came to light after Nicaraguan troops shot down a contra supply plane and an American passenger, Eugene Hasenfus, survived. On November 6, President Reagan denied the claim that arms were sold to Iran, but changed course seven days later and admitted that arms were indeed sold to Iran but not in exchange for hostages.

But that wasn’t enough for the US government, American corporations, and the Atlanta-BNL. The Atlanta-BNL was not only using the CCC guarantees to export goods to Iraq, the Export-Import Bank provided guarantees and insurance on certain exports financed by the BNL as well. While the CCC program guaranteed agricultural goods, the Export-Import Bank (Eximbank) guaranteed 22 America and the New American Century the shipment of other goods (take a guess at what those goods might have been). The Eximbank had insured hundreds of millions of dollars worth of shipments to Iraq from 1987 to 1990.

Immediately after the invasion, Bush publicly declared, “I’m not contemplating such action…” after being asked by reporters if he intended any intervention. Shortly afterwards, however, the Bush administration contacted Saudi Arabian leaders and warned that they would be Iraq’s next target even though the US knew that Hussein had no such intentions. Colin Powell, as he did in 2002, made a presentation before the UN that declared that the US satellites had identified a massive buildup of Iraqi troops along the border of Saudi Arabia.

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