June 2004
WASHINGTON (Reuters) - A contract in Iraq could be just what U.S. entrepreneur Roger Tovar needs to propel his start-up technology company into record profits -- but he is not prepared to risk his life for it. In the back of Tovar's mind is the gruesome killing of 26-year-old Pennsylvania businessman Nicholas Berg, who had traveled to Iraq on his own to find work fixing telecommunications towers.
Militants beheaded Berg in May and posted a video of the killing on an Islamic Web site. Berg had vanished in April during a chaotic period when dozens of foreigners were snatched by guerrillas west of Baghdad. "I don't want to make the same mistakes as Nick Berg. I have no intention of going to Iraq unless I have a joint venture with a company that knows what it's doing there," said Tovar, 30, from Falls Church, Virginia. Tovar joined about 350 other small business owners in Las Vegas last week for a U.S. Army conference on billions of dollars of potential U.S.-funded work in Iraq. Dozens of such conferences have been held in the United States, Europe, the Middle East and Asia to tout business opportunities in Iraq, but U.S. government officials were at pains this time to tell companies of the risks involved working there. "Know the dangers. They are real. This is not like working in Tulsa (Oklahoma)," said Judith Blake from the U.S. Army Corps of Engineers. WAKE-UP CALL
Tovar, who started his information technology company Gladiator Information Security Systems nine months ago, said he was paying heed. "My impression is, 'jeez this is a very dangerous place.' But I need to see where we can continue to grow our little company. It could be a great opportunity for us to get work in Iraq," said Tovar. Berg attended a similar conference last year in Virginia, where he talked with as many people as he could to find that elusive contract entrepreneurs dream of.
A contractor at the Las Vegas conference, who asked not to be identified, said Berg had been negotiating with him for a deal but when it failed to come through soon enough, he left for Iraq by himself. "I said Nick, don't go. Don't do this on your own. The timing's not right. It's too dangerous, man, wait until you have something definite from us," recalled the contractor. Berg's death was a wake-up call for many contractors over the need to either go into Iraq under the protective umbrella of a large organization with an army of guards or to partner with an Iraqi company that might be less likely to become a target. Tovar said he made contacts in Las Vegas with an Iraqi company and hoped something would come of it. "I'm definitely not going out on my own," he said.
Those already in Iraq with big corporations say working conditions are rough and caution it is not an assignment to take without experience working in a hostile environment. But they stress the personal and financial rewards are there with the right balance of security, company ties with Iraqis and respect for their culture and values.
James Cartner, vice president of Iraqi operations for big construction firm Fluor Corp. said despite the appearance by the media that violence halted most reconstruction, he believed their work had raised the standard of living for many Iraqis. Cartner, whose company has $1.6 billion of work in Iraq, said he was shocked by the poor living conditions of many Iraqis. "It's gut-wrenching when you see a 4-year-old child in a parking lot selling candies. That's tough, but you see things improving and that's what makes this commitment so worthwhile," he said.
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