The Insider: Daily Terrorism Report

Feb. 9 -- — A letter seized in a raid on a known al Qaeda safe house in Baghdad reveals a proposal by an operative in Iraq urging followers to wage a "sectarian war" there in the next few months, the New York Times reported today. The Times, which obtained the document on Sunday, states that officials have confirmed the identity of the author, whom they believe to be Abu Musab al-Zarqawi, a long sought-after Jordanian wanted for his involvement with al Qaeda and its offshoot group, Ansar al Islam. A Coalition Provisional Authority intelligence source has confirmed this story and the accuracy of the quotes from the letter attributed to Zarqawi to ABCNEWS.

THE WAR IN IRAQ

U.S. Says Files Seek Qaeda Aid in Iraq Conflict

U.S. officials have obtained a proposal that they conclude was written by an operative in Iraq to senior leaders of al Qaeda, asking for help to wage a "sectarian war." (NY Times)

ABCNEWS' Analysis of the Seized LetterThe discovery of the documents provides a significant insight into the current role of al Qaeda in insurgency in Iraq. Zarqawi claims credit for "overseeing, planning, preparing" all the suicide operations in Iraq. It is clear that Zarqawi is frustrated that these attacks have not been more effective in evicting Coalition troops from Iraq or weakening U.S. resolve to stabilize the country. He is also obviously disturbed with the lack of enthusiasm among Iraqi Sunnis for the jihad. He cites difficulties in recruiting Iraqis for suicide operations and their reluctance to provide safe houses to the mujaheddin. The solution Zarqawi is proposing to the al Qaeda's inner circle is that they adopt a dramatic shift in strategy and attack Shiites with the goal of provoking a sectarian war and awakening the "sleepy Sunnis" and prolonging the conflict. In effect the writer is arguing that if the insurgents do not alter course soon and provoke all-out sectarian war, the extremists will be suffocated and democracy will become entrenched. (ABCNEWS Investigative Unit)

Bush Concedes Flaws in Iraq Weapons Data

The president stands by his decision to go to war, calling Hussein a 'madman' who posed 'a grave and gathering threat' to the U.S. (LA Times)

Bush Sets Narrow Limits On Inquiry

President Bush has established a narrow charge for his new independent commission on U.S. intelligence capabilities, directing the panel to focus on flawed prewar intelligence assessments of weapons of mass destruction in Iraq and other nations. (Chicago Tribune)

U.S. Disables Rockets Aimed at Iraq City

U.S. disables rockets aimed toward city North of Baghdad; four arrested with manuals on bombs. (AP)

Found $300M Could Be Saddam's Money

The United States believes it has found at least $300 million Saddam Hussein hid in banks, yet doesn't have enough evidence to get countries such as Syria and Switzerland to hand over the money, U.S. and European officials told The Associated Press. (AP)