Jane Mayer has the whole story here: the cracked codes, Francis Brooke and the Rendon Group, Chalabi's willingness to be fish or foul, Shiite nationalist or moderate secularist, Iranian or neocon agent, to accumulate power and wealth.

Most interesting is how Chalabi and Francis Brooke set out deliberately to model the INC's American public relations efforts on the successful examples of the pro-Israel and pro-Africa National Congress movements.

The C.I.A. had been forced to abolish domestic operations after a series of scandals in the nineteen-seventies, and it had folded many of its overseas programs when the Cold War ended. So it outsourced the Iraq project to the Rendon Group. According to Brooke, the company signed a secret contract with the C.I.A. which guaranteed that it would receive a ten-per-cent “management fee” on top of whatever money it spent. The arrangement was an incentive to spend millions. “We tried to burn through forty million dollars a year,” Brooke said. “It was a very nice job.”...

In 1996, Chalabi and Brooke set up shop in Georgetown, and mapped out a strategy. They studied how the African National Congress had won mainstream support, by portraying apartheid as tantamount to slavery. They also examined how various American Jewish groups organized themselves to support Israel. “We knew we had to create a domestic constituency with some electoral clout, so we decided to use the aipac model,” Brooke said, referring to the American Israel Political Action Committee.

In June, 1997, Chalabi gave a speech at the Jewish Institute for National Security Affairs, in Washington. He told the audience that it would be easy to topple Saddam and replace him with a government that was friendly to Israel, if the U.S. would provide minimal support to an armed insurgency organized by the I.N.C. Although Chalabi later denied that oil had played a role in his campaign, he gave an interview to the Jerusalem Post in 1998 in which he spoke of restoring the oil pipeline from Kirkuk to Haifa, which had been inoperative since the creation of Israel, in 1948.

Chalabi’s pitch stirred enthusiasm and curiosity among a group of American neoconservatives who had played crucial roles in the first Bush Administration but were now scattered among Washington think tanks. After the fall of Communism, the neoconservatives were eager for a new cause, and Chalabi—an educated, secular Shiite who was accepting of Israel and talked about spreading democracy throughout the Middle East—capitalized on their enthusiasm. Judith Kipper, the Council on Foreign Relations director, said that, around this time, Chalabi made “a deliberate decision to turn to the right,” having realized that conservatives were more likely than liberals to back the use of force against Saddam.

As Brooke put it, “We thought very carefully about this, and realized there were only a couple of hundred people” in Washington who were influential in shaping policy toward Iraq. He and Chalabi set out to win these people over. Before long, Chalabi was on a first-name basis with thirty members of Congress, such as Trent Lott and Newt Gingrich, and was attending social functions with Richard Perle, a former Assistant Secretary of Defense, who was now a fellow at the American Enterprise Institute, and Dick Cheney, who was the C.E.O. of Halliburton. According to Brooke, “From the beginning, Cheney was in philosophical agreement with this plan. Cheney has said, ‘Very seldom in life do you get a chance to fix something that went wrong.’”

Wolfowitz was particularly taken with Chalabi, an American friend of Chalabi’s said. “Chalabi really charmed him. He told me they are both intellectuals. Paul is a bit of a dreamer.” To Wolfowitz, Chalabi must have seemed an ideal opposition figure. “He just thought, This is cool—he says all the right stuff about democracy and human rights. I wonder if we can’t roll Saddam, just the way we did the Soviets,” the friend said.

Chalabi was running out of money, however, and he needed new patrons. Brooke said that he and Chalabi hit upon a notion that, he admitted, was “naked politics”: the I.N.C.’s disastrous history of foiled C.I.A. operations under the Clinton Administration could be turned into a partisan weapon for the Republicans. “Clinton gave us a huge opportunity,” Brooke said. “We took a Republican Congress and pitted it against a Democratic White House. We really hurt and embarrassed the President.” The Republican leadership in Congress, he conceded, “didn’t care that much about the ammunition. They just wanted to beat up the President.” Nonetheless, he said, senior Republican senators, including Trent Lott and Jesse Helms, “were very receptive, right away.”

This about Chalabi's forgery shop is also quite intriguing, given the role forged documents seemed to play in the US's pre-war Iraq intel misestimates.

In retrospect, one detail of Chalabi’s operation seems particularly noteworthy. In 1994, Baer said, he went with Chalabi to visit “a forgery shop” that the I.N.C. had set up inside an abandoned schoolhouse in Salahuddin, a town in Kurdistan. “It was something like a spy novel,” Baer said. “It was a room where people were scanning Iraqi intelligence documents into computers, and doing disinformation. There was a whole wing of it that he did forgeries in.” Baer had no evidence that Chalabi forged any of the disputed intelligence documents that were used to foment alarm in the run-up to the war. But, he said, “he was forging back then, in order to bring down Saddam.” In the Los Angeles Times, Hugh Pope wrote of one harmless-seeming prank that emerged from Chalabi’s specialty shop: a precise mockup of an Iraqi newspaper that was filled with stories about Saddam’s human-rights abuses. Another faked document ended up directly affecting Baer. It was a copy of a forged letter to Chalabi, made to look as if it were written on the stationery of President Clinton’s National Security Council. The letter asked for Chalabi’s help in an American-led assassination plot against Saddam. “It was a complete fake,” Baer said, adding that he believed it was an effort to hoodwink the Iranians into joining a plot against Saddam; an indication of American involvement, Chalabi hoped, would convince them that the effort was serious. Brooke acknowledged that the I.N.C. had run a forgery shop, but denied that Chalabi had created the phony assassination letter. “That would be illegal,” he said. To Baer’s dismay, the letter eventually made its way to Langley, Virginia, and the C.I.A. accused him of being involved in the scheme. Baer said he had to pass a polygraph test in order to prove otherwise.

Mayer also has some pretty devastating details about the New York Times hiring Chalabi's niece to run their Baghdad office, while the niece was simultaneously working to promote Chalabi's fortunes, and help him flee the desert where he'd been stranded after being airlifted in by the US military. [They fired her when "word of her employment reached editors in New York."]

Still reading. More later.

Posted by Laura at May 29, 2004 11:10 AM