1990 oil price shock and prices began to fall. On August 2, 1990, The Republic of Iraq invaded the State of Kuwait, leading to a 7-month occupation of Kuwait and an eventual U.S.-led military intervention. While Iraq officially claimed Kuwait was stealing its oil via slant drilling, its true motives were more complicated and less clear. At the time of the invasion, Iraq owed Kuwait $14 billion of outstanding debt that Kuwait had loaned it during the 1980–1988 Iran–Iraq War. In addition, Iraq felt Kuwait was overproducing oil, lowering prices and hurting Iraqi oil profits in a time of financial stress. In the buildup
CIA activities in Iraq [against Hussein's regime]. At the center was Shahwani, a Sunni from Mosul and a charismatic commander who made his reputation in 1984 with a helicopter assault on Iranian troops atop a mountain in Iraqi Kurdistan. His popularity made him dangerous to Saddam Hussein, and he was arrested and interrogated in 1989. He fled the country in May 1990, just before Iraq invaded Kuwait." In 1991, Shahwani began efforts to organize a military coup utilizing former members of the special forces, which Hussein had disbanded. After the Gulf War, CIA took steps to correct the shortcomings identified during the Gulf War