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AP: Blackwater settles series of civil lawsuits

RALEIGH, N.C. (AP) -- The security firm formerly known as Blackwater has reached a settlement in a series of federal lawsuits in which dozens of Iraqis accused the company of cultivating a reckless culture that allowed innocent civilians to be killed.

Plaintiffs' attorney Susan Burke filed a motion in federal court late Wednesday requesting the cases be dismissed. The seven lawsuits cited a pattern of illegal activity, including several killing such as the 2007 shooting in Iraq's capital that left 17 Iraqis dead and strained relationships between Washington and Baghdad.

Burke didn't immediately return a call seeking comment Thursday. Blackwater, now known as Xe, released a statement saying the company was "pleased" that the settlement, in the works for months, had been affirmed.

"This enables Xe's new management to move the company forward free of the costs and distraction of ongoing litigation, and provides some compensation to Iraqi families," the company said.

The lawsuits sought compensation for deaths and injuries. Unlike federal probes that have specifically targeted company contractors for their actions, the civil lawsuits accused the Moyock, N.C.-based company -- and founder Erik Prince -- of producing a climate in which it was acceptable for innocent Iraqis to die.

"Mr. Prince personally directed and permitted a heavily-armed private army ... to roam the streets of Baghdad killing innocent civilians," one of the lawsuits said.

The terms of the settlement were not released, and Blackwater declined to discuss them.

Relief from the lawsuits was a second major legal development for a company that has been beleaguered by federal, congressional and civil scrutiny. A judge last week dismissed charges against the Blackwater contractors that were involved in the 2007 shooting in Nisoor Square.

The lawsuits covered that shooting and more, including the 2006 killing of an Iraqi guard, the February 2007 killings of three people guarding the Iraqi Media Network and another shooting that occurred a week before the killings at Nisoor Square that attorneys said killed three people.

Blackwater changed its name to Xe last year, saying its brand had been tarnished by its work in Iraq, and executives have said the company is shifting its focus away from providing security. Iraqi leaders last year refused to provide Blackwater a license to operate there.

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