As the federal government moves ahead with its prosecution of Blackwater employees involved in civilian deaths in Iraq, U.S. Rep. David Price says the courts — not the Department of Defense — will decide whether the guards can be prosecuted under the law.

Blackwater guards killed 17 civilians on Sept. 16, 2007, in Baghdad during a convoy detailed to the U.S. Embassy in Baghdad, Barb Barrett reports.

The U.S. Department of Defense told Price in December 2007 that because Blackwater was working for the Department of State during the incident, the guards could not be subject to prosecution in the United States. The letter came from Deputy Secretary of Defense Gordon England.

The U.S. Department of Justice now disputes that. It filed a legal brief last week arguing that Defense and State were working together, and therefore the guards could be prosecuted.

A Memorandum of Understanding signed Dec. 5, 2007, — after the incident — says the State and Defense departments will "jointly develop, implement and follow core standards" of private security contractors such as Blackwater.

The memo says the standards would include a "clear legal basis for holding (U.S. Government) private security contractors accountable under U.S. law."

Price spokesman Paul Cox said this morning that, "regardless of the views expressed in the Deputy Secretary's letter, it's up to the courts alone to determine whether these security contractors fall under federal criminal jurisdiction."

U.S. Rep. David Price this afternoon said he welcomes input on his oversight bill on private security contractors, but he called the White House's concerns about the legislation "unfounded."

The Bush administration’s opposition, Price said, "should infuriate anyone who believes in the rule of law."

"The fact is the administration has an embarrassing track record for investigating and prosecuting misconduct by contractors working in our name," Price, a Chapel Hill Democrat, said in a statement.

He said that, contrary to White House concerns, the bill's intent is well-defined, putting all private security contractors in Iraq and Afghanistan under the same law that now applies to contractors working for the U.S. Department of Defense, Barb Barrett reports.

Many contractors, including the Blackwater employees involved in a Sept. 16 shooting in Baghdad, work for the U.S. Department of State or other agencies. There is some question about whether they are subject to U.S. federal law; Price's bill would clarify that they are.

His bill is expected to begin debate on the House floor late this afternoon; a full vote may be postponed until Thursday.

After the jump, the full text of his statement.

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