Top executives at Blackwater Worldwide [now known as Xe] authorized secret payments of about $1 million to Iraqi officials that were intended to silence their criticism and buy their support after a September 2007 episode in which Blackwater security guards fatally shot 17 Iraqi civilians in Baghdad, according to former company officials.

[...]

Four former executives said in interviews that Gary Jackson, who was then Blackwater’s president, had approved the bribes and that the money was sent from Amman, Jordan, where the company maintains an operations hub, to a top manager in Iraq. The executives, though, said they did not know whether the cash was delivered to Iraqi officials or the identities of the potential recipients.

[...]

Separately, a federal grand jury in North Carolina, where the company has its headquarters, has been conducting a lengthy investigation into it. One of the former executives said that he had told federal prosecutors there about the plan to pay Iraqi officials to drop their inquiries into the Nisour Square case. If Blackwater followed through, the company or its officials could face charges of obstruction of justice and violating the Foreign Corrupt Practices Act, which bans bribes to foreign officials.

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Federal prosecutors in North Carolina have interviewed a number of former Blackwater employees about a variety of issues, including allegations of weapons smuggling, according to several former employees who say they have testified before the grand jury or been interviewed by prosecutors, as well as lawyers familiar with the matter. Two former employees have pleaded guilty to weapons charges and are believed to be cooperating with prosecutors.

via Blackwater Said to Approve $1 Million in Iraqi Bribes After Shootings – NYTimes.com.

And on a related note…

While the company eventually lost its large State Department security contract to a competitor in May 2009, Blackwater remains in Iraq on a $200 million aviation contract, which authorizes its men to be armed. That contract was recently extended by the Obama administration.

At present, Blackwater works in Afghanistan for the State Department, the CIA and the Defense Department. It continues to protect US officials there and guards visiting Congressional delegations. Rep. Jan Schakowsky told The Nation she was guarded by Blackwater on a recent trip to Afghanistan and that the company is involved with the security details of Secretary of State Hillary Clinton and Ambassador Richard Holbrooke when they visit the country.

via Blackwater Attempted to Bribe Iraqi Officials