Tony Rezko's $50 Million Iraq Deal

With Tony Rezko in the news this morning because of his arrest,let's remember his big time Iraq money deal.Here's a August 7,2007 story from the Chicago Sun-Times(sorry the Sun-Times took down the link).We'll quote you from the Newsalert post from August quoting the Sun-Times article:

Two years ago, Iraq's Ministry of Electricity gave a $50 million contract to a start-up security company owned by now-indicted businessman Tony Rezko and a onetime Chicago cop with a checkered financial past.

Within a month, an Iraqi leadership change left the deal in limbo.

Now the company, Companion Security, is working to revive its contract to train Iraqi power-plant guards in the United States.


Companion found support last summer from Gov. Blagojevich, whose staff offered to let the company lease a military facility in western Illinois. Since then, Companion has been lobbying officials from Washington to Baghdad about its Iraqi deal, according to documents obtained by the Chicago Sun-Times.

Blagojevich's offer to assist Companion came as a federal investigation into Rezko's state-government dealings was heating up. A former top fund-raiser for the governor and other politicians, Rezko was indicted on corruption charges in October -- four months after Blagojevich's homeland security chief wrote a letter inviting Companion to train the guards at the Savanna Army Depot.

The governor's spokeswoman said state officials didn't know Rezko had ties to Companion until the Sun-Times began asking questions. Blagojevich and his staff also didn't know that Companion's chief executive, former cop Daniel T. Frawley, had a history of financial problems, she said.

It's unclear if Frawley and Rezko remain partners. They declined to comment.

After the state found a proposed training site, Frawley went to Sen. Barack Obama (D-Ill.) last August.

Obama's staff declined to help.

"The Senate staff had two meetings, one conference call, and sporadically e-mailed with representatives of Companion Security about their request for Sen. Obama to write a letter introducing the company to senior officials in the Iraqi government," Obama spokesman Ben LaBolt said. "That is not the kind of action Sen. Obama usually takes for individual companies, and our staff concluded on that basis to decline the requested assistance."

Tony Rezko isn't you normal influence peddler.