Outsourcing the Iraq war

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This stuff makes Iraq look like one of those African states with all those little private armies running around the country.
Definitely not a recipe for success.

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Outsourcing the war

By Neil Arun
BBC News Online


The brutal murder in the Iraqi town of Falluja of a team of American security men by a frenzied mob has focused attention on the private security contractors operating in the country.

Cycle of violence: US helicopters over Mogadishu in 1993
For the US press, this image bore grim echoes of an earlier mission gone wrong.

In 1993, an angry crowd paraded the battered remains of an American special-forces soldier through the streets of the Somali capital, Mogadishu.

But in the 11 years since that US raid in Mogadishu ended in disaster, a telling difference has emerged - the men who died in Falluja this week were civilians, not soldiers.

They were the employees of Blackwater, one of many privately-owned firms taking over the conflict-zone security work that was once the preserve of soldiers.

Partner in war

What were they doing in Iraq?

Blackwater declined to be interviewed by BBC News Online, but a press release issued by the firm said it is "a US government subcontractor providing convoy security for food deliveries in the Falluja area".

Defence experts have described Blackwater as a formidable player in the field of private firms that serves America's security needs in the "war on terror".

Bodyguards trained by Blackwater protect the top US administrator in Iraq, Paul Bremer.

In Afghanistan, the firm's employees have provided security to countless foreign civilians involved in the post-war reconstruction effort.

'Helicopter' tower

The firm's sprawling training facility has even been used by the US military and FBI, according to former soldier John Roos, who now edits the Armed Forces Journal.


Hired muscle: Paul Bremer (far left) flanked by a bodyguard
It is this "state-of-the-art" complex in North Dakota that most impressed Mr Roos, whose publication rents the site for an annual gathering.

He told BBC News Online the ranch is a soldier's dream, catering for almost every type of combat situation.

"They outfit their people with the best weapons, the best equipment," he said, describing how no expense is spared in testing new technology - often to destruction.

He offered an example of how a contract to train US coast guards in the fight against drug-smuggling led to the construction of a special tower alongside a small lake.

In training, operatives would take up positions on the tower before taking aim at a moving target on the water.

The object of the exercise, according to Mr Roos, was to simulate a helicopter raid on a boat carrying narcotics.

Flying high

Blackwater's priority, he says, is to improve its logistics - in particular, the ability to deploy its personnel at speed, anywhere in the world.


Home on the range: An entrance to Blackwater's training complex
It already has access to at least one helicopter and is "looking around for a fixed-wing airplane".

In an interview with the Guardian newspaper in March, Blackwater Security chief Gary Jackson spoke of how the firm "has grown 300% over each of the past three years".

He also confirmed that the firm had recently recruited scores of commandos from Chile for work in Iraq.

Short-term, high-risk

Typical recruits to firms like Blackwater are elite soldiers that have retired from military special-operations units.

The risks are high, but so are the salaries, drawing in men who have seen action in hotspots around the world.


History repeated? The remains of a US soldier in Somalia, 1993
The swelling ranks of private security staff in Iraq is said to total over 10,000 and includes Fijians, Nepalese Gurkhas, Englishmen, Americans, Serbs, Bosnians and of course, some Iraqis.

According to Mark Whyte, from UK-based company, Pilgrims Security, most of these men are not directly employed by the firms, but are rather hired as freelance "consultants".

The contracts are usually short-term and responsibility for any risks taken - and for paying taxes - rests with the individual.

Violence in the balance

According to Dr David Capitanchick, a UK-based expert, security firms are set to prosper in the current climate.

As far as governments are concerned, "mercenaries are low-risk" fighters, he said.

The public knows that, unlike regular soldiers, private guards are usually very highly paid. Faced with casualties such as the recent deaths in Falluja, said Dr Capitanchick, "people tend to say - well, that's the risk they take".

Thus as the perceived threat against foreigners working in conflict zones increases, the demand for private protection will remain healthy.

But, warns Mr Whyte, that logic too has its limits.

If the violence truly gets out of control, the foreign civilians involved in reconstruction will begin to pull out - and the client-base for the security firms could well dry up.


http://news.bbc.co.uk/1/hi/world/middle_east/3591701.stm
 

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Iraq's mercenaries: Riches for risks

By Clare Murphy
BBC News Online


The severe lack of security in Iraq has opened up a highly profitable market for private security contractors.


Security guards are hired from around the world
The brutal murders of four American security men in Falluja on Wednesday 31 March is unlikely to deter the many would-be mercenaries willing to accept the risks involved in providing security amid the instability of post-war Iraq, according to one security firm.

The US has so far spent $20bn on reconstruction in Iraq. The companies which have won these contracts currently expect to spend about 10% of their budgets on providing personal security planning and protection for their workers.

Iraq is something of a goldmine at present. The profit margin is incredibly high, way in excess of the risk factor

Duncan Bullivant
Henderson Risk
Hence a highly lucrative market has sprung up.

Industry insiders say the war has proven a godsend for British security firms - which have picked up much of the work. Their revenues are estimated to have risen fivefold, from around $350m before the invasion to nearly $2bn.

Tidy rewards


The firms themselves offer handsome sums to attract the personnel, with an average daily wage of $550.

"Doing this kind of work for a year means some people have enough to retire on," says Duncan Bullivant, head of the small British firm Henderson Risk, which has around 40 employees operating in the country.

"Iraq is something of a goldmine at present. The profit margin is incredibly high, way in excess of the risk factor. I wouldn't give it more than another year at this level, the bubble will burst, but there's an immense drive to cash in while it lasts."


Iraqis surround burnt-out car in Falluja which had been carrying four American security men
With the wages on offer, there is no shortage of potential recruits. Even a company as small as Henderson's says it receives five inquires a day. A company as large as Control Risks - which provides security to Britain's Department of International Development - is unable to put a figure to the number of applications it receives each week.

In the UK, controversy has erupted over the suggestion that companies are recruiting straight from the army - particularly the renowned Special Air Services, or SAS. This has fuelled newspaper headlines that the defence of the "homeland" is being jeopardised by soldiers' greed.

The allegations are strenuously denied by the firms, who in any case note that they recruit not just from Britain, but around the world - and particularly in Iraq itself.

But this raises problems of its own. Many Iraqis considering a career as a security officer are shunning the meagre wages of their country's own police force in favour of the greater salaries on offer from one of the private foreign armies.

"For the companies it makes sense at a number of levels to hire Iraqis," says David Claridge of Jansusian, which primarily employs local people.

"They have immense local knowledge, they often have advance warnings, they can gauge the local mood. It's also cost-effective - the wages of Westerners are higher, the costs of getting them there greater.

"But at the end of the day, Iraq belongs to the Iraqis. It's absolutely right that they should be involved in securing it - and ultimately all companies will be employing them."

'Cowboy operators'

The field of private security is unregulated, and alongside the more reputable companies, gun-slinging, cowboy contractors - whether foreign or Iraqi - are reported to be setting up shop Iraq.

Established companies dislike competition from smaller entrepreneurs, but also worry that their reputations may be damaged by the gung-ho approach of some of the newer firms.

The lack of regulation means mercenaries can often act with impunity.

Stories abound of heavy handed and trigger-happy behaviour. There are reports that some private security companies claim powers to detain people, erect checkpoints without authorisation and confiscate identity cards.


http://news.bbc.co.uk/1/hi/world/middle_east/3590887.stm
 

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