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Salt Lake Tribune
ALEXANDRIA, Va. - Attorneys for a U.S.-based security company accused of setting up sham companies in a multimillion-dollar fraud scheme in Iraq are contending in court that the company cannot be sued under a key federal anti-corruption law because the allegedly stolen money belonged to Iraqis, not Americans.
The potentially precedent-setting case could undercut fraud claims involving billions of dollars in reconstruction contracts that were issued by the U.S.-led Coalition Provisional Authority (CPA) and paid for with money belonging to the Iraqi people.