Blackwater unlikely to face charges in Iraq shooting

Instead, the seven-month-old Justice Department investigation is focused on as few as three or four Blackwater guards who could be indicted in the Sept. 16 shootings, according to interviews with a half-dozen people close to the investigation.

The final decision on any charges will not be made until late summer at the earliest, a law enforcement official said. All spoke on condition of anonymity because they were not authorized to publicly discuss the investigation.

The State Department publicly raised the question of Blackwater's corporate liability last month when it extended the company's contract by one year. The contract could still be canceled if criminal charges are brought, but the department said it was unlikely to penalize the corporation if only its employees were charged.

"I think that's really what the FBI investigation needs to look at: Is the company culpable or are the individuals culpable?" Greg Starr, the department's top security officer, said last month.

Justice Department spokesman Dean Boyd declined to comment.

Blackwater spokeswoman Anne Tyrrell said, "If it is determined that there are any individuals who need to be held accountable, we support that."

The shootings began when a Blackwater convoy, which was responding to a Baghdad car bombing, entered the Nisoor Square traffic circle. Blackwater says the convoy was ambushed by insurgents, touching off a firefight. Iraqi witnesses, however, described an unprovoked attack in which security guards fired indiscriminately, killing motorists, bystanders and children in the square.

The shooting enraged the Iraqi government, which originally sought to expel the company from the country, and strained diplomatic relations between Washington and Baghdad. The shooting also raised questions at home and abroad about the U.S. reliance on heavily armed private contractors in war zones. With nearly 1,000 personnel working in Iraq, Blackwater is the largest State Department security contractor; critics have compared its guards to mercenaries.

Since the shooting, Blackwater has also come to symbolize the legal gray area in which such security contractors operate. Iraqi officials wanted to charge Blackwater guards in Baghdad, but U.S. contractors are immune from prosecution in Iraqi courts. U.S. prosecutors believe they have jurisdiction to bring a case in Washington, but that's an untested legal theory.