Blackwater USA, the private security company involved in a Baghdad shootout last weekend, operated under State Department authority that exempted the company from U.S. military regulations governing other security firms, according to U.S. and Iraqi officials and industry representatives.
In recent months, the State Department's oversight of Blackwater became a central issue as Iraqi authorities repeatedly clashed with the company over its aggressive street tactics. Many U.S. and Iraqi officials and industry representatives said they came to see Blackwater as untouchable, protected by State Department officials who defended the company at every turn. Blackwater employees protect the U.S. ambassador and other diplomats in Iraq.
The State Department allowed Blackwater's heavily armed teams to operate without an Interior Ministry license, even after the requirement became standard language in Defense Department security contracts. The company was not subject to the military's restrictions on the use of offensive weapons, its procedures for reporting shooting incidents or a central tracking system that allows commanders to monitor the movements of security companies on the battlefield.
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