'Iraq insurgency now financially self-sustaining'

New York, Nov 26: The Iraq insurgency has become financially self-sustaining, raising tens of millions of dollars a year from oil smuggling, kidnapping, counterfeiting, corrupt charities and other crimes, The New York Times reported in Sunday editions.

According to a classified United States government report, a copy of which was obtained by the newspaper, groups responsible for many of the insurgent and terrorist attacks are raising an estimated 70 million dollars to 200 million dollars a year from illegal activities.

Some 25 million dollars to 100 million dollars of the total comes from oil smuggling and other criminal activity involving the state-owned oil industry aided by ''corrupt and complicit'' Iraqi officials, the Times said, citing the report.

As much as 36 million dollars a year comes from ransoms paid over hundreds of kidnappings. Unnamed foreign governments -- identified in the past by senior US officials as including France and Italy -- paid kidnappers 30 million dollars in ransom last year alone, the report said.

The Times also quoted the report as saying: ''If recent revenue and expense estimates are correct terrorist and insurgent groups in Iraq may have surplus funds with which to support other terrorist organizations outside of Iraq.'' The report, completed in June, was provided to the newspaper by US officials in Iraq who told the Times they had done so in hopes that the findings could improve US understanding of the challenges faced in Iraq.

Reuters