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Defiant Saddam Says
Iraq Ready For War
By Hassan Hafidh
1-6-3


BAGHDAD (Reuters) - A defiant Iraqi President Saddam Hussein on Monday declared his country ready for war and issued his first public criticism of U.N. weapons inspectors, accusing them of spying.
 
In a 25-minute televised Army Day message, Saddam dismissed U.S. threats to disarm Iraq as "clamor, commotion and hysteria" to divert attention from U.S. domestic and foreign policy failures, and the Israeli occupation of Palestinian territories.
 
"As we monitor the hiss of snakes and bark of dogs accompanied by continued aggression in the north and south of the country, we act with the confidence of the assured whose actions are not hurried or confused," he said.
 
"Here, we have prepared for everything."
 
Shortly after the Iraqi leader spoke, U.S. Army officials told Reuters the military had alerted more than 10,000 part-time troops to prepare for active duty and possible movement overseas as early as this week to support the U.S. build-up near Iraq.
 
The alert came as a U.S. Navy hospital ship headed to the region to handle casualties in the event of a war.
 
But Britain, Washington's staunchest ally on Iraq, said war with Baghdad was far from a foregone conclusion and less likely than many commentators implied.
 
"There has been so much talk in the newspapers about war, suggestions that the chance of war are 100 percent, that it's important to try and correct that impression," British Foreign Secretary Jack Straw told BBC Radio.
 
"What is important for people to understand is that war is not inevitable."
 
MARKETS ON EDGE
 
The prospect of conflict in the Gulf kept world markets on edge. Safe haven gold hit its highest level in almost six years, oil hovered near a two-year peak and the dollar dipped.
 
It has also unnerved U.S. allies in the region. Turkish Prime Minister Abdullah Gul wrapped up a three-country tour of the Middle East in Amman to discuss with Jordanian Prime Minister Ali Abu al-Ragheb the potential economic and political impact of a war.
 
Gul said: "The consequences of war will be disastrous."
 
As tens of thousands of troops massed in the Gulf and both sides dug in for possible confrontation, U.N. inspectors once again fanned out on Monday to verify Iraq's claim it has no nuclear, biological or chemical weapons.
 
One day after searching a record 16 locations, they visited four sites, including a pesticide factory thought to have been linked to VX gas and Iraq's main nuclear program facility.
 
Iraq has cooperated but some officials have rebuked inspectors for aggressive and intrusive methods.
 
During an address commemorating the founding of the Iraqi army in 1921, Saddam issued his first public criticism of the U.N. teams.
 
He said rather than searching for weapons of mass destruction, the inspectors were instead compiling lists of Iraqi scientists, asking workers misleading questions, and gathering information about "legitimate military production... These things, or most of them, are pure intelligence work."
 
INTERIM REPORT DUE
 
The entire U.N. inspection regime has been revamped to avoid such charges since U.N. teams left Iraq in 1998 ahead of a U.S.-British bombing campaign. Iraq had charged that the United States used previous U.N. arms teams to spy on the Baghdad government.
 
Chief U.N. weapons inspector Hans Blix and International Atomic Energy Agency Director Mohamed ElBaradei are to present an interim report on inspections to the Security Council on Thursday, with a comprehensive report due on January 27.
 
Any indication Iraq has concealed weapons could trigger a U.S.-led war to disarm the country and oust its president.
 
Hungary said a first group of U.S. military personnel had arrived at Taszar air base to prepare a training camp for up to 3,000 Iraqi exiles who would act as interpreters during a war and serve in a post-Saddam administration.
 
The New York Times reported on Monday that the White House's plans for a post-war Iraq included a U.S. military presence there for at least 18 months and a civilian administrator.
 
Citing administration officials, the paper said the plan also called for military trials of the most senior Iraqi leaders and a takeover of Iraq's oil fields to pay for reconstruction.
 
 
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