The New York Times is reporting that the government has decided to stop its monthly payments of $335,000 to the Iraqi National Congress. The Iraqi exile group, headed by Ahmed Chalabi has come under increasing criticism for supplying the US government and media with fabricated or misleading intelligence in the lead up to the invasion. Since the summer of 2002, the Defense Intelligence Agency paid the group $4 million a year to gather intelligence about Iraq even though the INC was widely distrusted by the State Department and CIA.

Powell: I Was “Deliberately Mislead” On Iraq Weapons
On Sunday Secretary of State Colin Powell alluded to the bad intelligence when he appeared on Meet the Press with Tim Russert. Russert asked Powell if he was concerned that some of the intelligence he cited before the United Nations about Iraq having biological and chemical weapons turned out to be inaccurate. Powell didn’t mention the INC by name but admitted the sourcing of the intelligence was “inaccurate and wrong and in some cases, deliberately misleading.” Powell added “And for that, I am disappointed and I regret it.” This marked the first time Powell charged that anyone had deliberately mislead him or the government about Iraq’s weapon capacity