This post was posted pre-Fall of Iraq/Saddam: THOSE WERE THE DAYS.....WE THOUGHT THEY'D NEVER END......
From Washington Post:
Iraq has always supported Palestinian organizations that targeted Israelis and Westerners to advance the cause of replacing Israel with a Palestinian state, including Abu Nidal, mastermind of dozens of terrorist incidents in the 1970s. But when Hussein curbed such support in the 1980s, the U.S. removed Iraq from the State Department's list of terrorist nations.
Iraq provides payments to the families of Palestinian suicide bombers. Iraq was the only Arab-Muslim country not to condemn the Sept. 11, 2001 attacks on the United States. U.S. intelligence agencies have found scant evidence that secular Iraq had provided help to Osama bin Laden's fundamentalist al Qaeda network but some U.S. officials say there is a pattern of mutual support.
2 EVILS EMBRACE: SADDAM AND ARAFAT
Iraqi President Saddam Hussein receives Palestine Liberation Organization Chairman Yasser Arafat in Sept. 1980.