Hakim Says He Won’t Give $8-Million Profits to U.S. : Says Secord Offered Aid Against Iraq

Albert Hakim, who managed the shadowy bank accounts in the Iran- contra affair, said today that he is not prepared to turn over $8 million in remaining profits to the U.S. Treasury, even though it might be the “heroic thing” to do.

“It’s not a question of doing the heroic thing and passing an acid test,” Hakim said during his third day of testimony before the joint House and Senate panels investigating the scandal. “It’s a business situation and it should be treated as such,” he said.

“Are you prepared to deed over this money to the United States government?” committee counsel Arthur Liman asked.

“Mr. Liman, I have so many questions about this money and the enterprise in mind that you can’t imagine,” Hakim replied. “Not being able to clarify those questions in my mind, I don’t think I’m in a position to do so.”

During a day of testimony dominated by questions about profits, Hakim also disclosed that in their efforts to win freedom for American hostages in Lebanon, he and his partner, retired Air Force Maj. Gen. Richard V. Secord, told an Iranian delegation last October that the United States was prepared to help topple the president of Iraq.

Would Fight Soviets

Secord also told the Iranians that the United States would fight Soviets in Iran in case of an invasion, Hakim said.

He said remaining profits from the Secord-Hakim enterprise’s dealings are in two accounts. One, with Merrill Lynch in London, contains $6.7 million. The other, holding $1.4 million, is with a Swiss bank.

Hakim described the business that made huge profits on selling U.S. arms to the Nicaraguan contras as “a monster sitting there with a few heads.”

As he was questioned about some of the Byzantine transactions, Hakim admitted that among the payments was $31,817 to buy a Porsche car for Secord, his business partner.

“That was a car to be used for personal use, not for the contras?” Liman asked, and even Hakim laughed at that.

Money for Small Plane

“That’s the right conclusion,” he said.

Also, $52,500 was paid by “the enterprise” to buy a small airplane, a Piper Seneca, for Secord for his personal use, Hakim said.

The testimony brought renewed demands from Sen. Warren B. Rudman (R-N.H.), vice chairman of the Senate panel, to recall Secord for further questioning.

In his sworn testimony, Secord had told the panels that his motive in the venture was patriotism and that he had forsworn any profits from his role.

“I always resent people who wrap themselves in the flag while spitting on the Constitution,” Rudman said of Secord and other witnesses during a break in the morning hearing. “I think that’s what’s been going on here.”

‘We Will Not Be Denied’

At the opening of today’s hearing, Rudman charged that people, whom he didn’t name, were orchestrating efforts to block crucial information. “We will not be denied the truth,” Rudman declared.

Hakim refused earlier to testify about a meeting he had with Secord and White House aide Oliver L. North last Nov. 24. The meeting occurred the day before Atty. Gen. Edwin Meese III publicly disclosed the diversion of Iran arms sale proceeds to the contras.

At the time of the meeting, Justice Department lawyers had been searching North’s files since Nov. 22, and Meese had interviewed North personally at the Justice Department the day before.

During a break, Sen. Paul S. Trible (R-Va.) said there were sharp conflicts with Secord’s testimony about renouncing profits because evidence showed that “nearly $350,000 was transferred to Secord’s benefit.”