



The government of Panama, which maintains one of the region's closest relationships with the U.S., was officially silent on the case. Security Minister Jose Raul Mulino told The Associated Press that he was unaware of Lady's detention and the press office of the National Police—which works with Interpol, the international police agency—said it had no information. The CIA also declined to comment.



All the U.S. suspects were eventually convicted but only Lady received a sentence—nine years in prison—that merited an extradition request under Italian legal guidelines. Two former Italian spy chiefs were also convicted this year for their role in the cleric's kidnapping.

The case caused tensions between Rome and Washington, two traditionally stalwart allies. In April, Italy's president, Giorgio Napolitano, pardoned a U.S. Air Force colonel convicted in the rendition case, a move Napolitano hoped would keep American-Italian relations strong, especially on security matters.



In issuing the pardon, Napolitano's office said the president had taken into consideration the fact that Obama, immediately after his election, had put an end to George W. Bush administration anti-terror practices that both Italy and the European Union considered to be ''not compatible with fundamental principles of rule of law."

Lady, who was born in Honduras, left Italy early into the Italian investigation of the abduction. He also retired from the CIA. Interpol had issued a request for Lady's arrest, reflecting Italy's determination to get him back.






D'Emilio reported from Rome. Adam Goldman in Washington and Michael Weissenstein in Mexico City contributed to this report.