US officials to investigate Islamic money exchanges

"If they could have killed not 6,000 innocent people, but 60,000 or even 600,000, they would."

British Prime Minister Tony Blair

The Bush administration is investigating Islamic money exchanges -- including some in the US -- suspected of funneling millions of dollars to Osama bin Laden's terror network.

German say some of the financial activities helping terrorists appear to have involved outlets in the US. Administration officials said one of the exchanges -- known as hawalas -- appears to be owned partly by bin Laden.

The investigation is part of US President George W. Bush's effort to dry up terrorist money supplies. He plans to make an announcement Wednesday on a major development in the effort, aides said on condition of anonymity.

Word the new investigation comes as Bush tries to shore up support at home and abroad for a broad anti-terrorism campaign, which includes investigations into the Sept. 11 attacks and the anthrax cases; diplomatic activity; and US-led military attacks on Afghanistan.

Polls deep support for the president, along with some concerns about the war in Afghanistan and the government's handling of anthrax scares. Bush planned a series of events this week to make his case to the public.

He was meeting yesterday with Prime Minister Tony Blair of Britain, the staunchest US ally in the military campaign.

Blair Tuesday the public tended to want fast results and needed constant reminders that the war was necessary. "We need to steady people," he told CNN.

The British prime minister said terrorists responsible for the attacks in New York and Washington would gladly use weapons of mass destruction. "If they could have killed not 6,000 innocent people, but 60,000 or even 600,000, they would" have, he said.

Also yesterday, the president met with the prime minister of Kuwait before visiting with the Treasury Department's Financial Crimes Enforcement. That is where he will outline progress on efforts to cut funding to terrorists.

Federal are investigating several informal money exchange offices based in the US, including one believed to be partly owned by bin Laden, two administration officials said Tuesday night.

The officials, speaking anonymously, said the informal, hard-to-trace financial exchanges had funneled millions of dollars between countries to help finance terrorism.

Investigators long suspected bin Laden of using hawalas, but the investigations' focus on US entities was a new development, officials said.

A task force headed by Treasury, the CIA and the FBI have investigated the hawalas with an eye toward evaporating them and their assets.