Private security guards working for Blackwater USA participated in clandestine CIA raids against suspected insurgents in Iraq and Afghanistan, Ilie New YorkTimes reported yesterday.

Blackwater's role points to a much deeper connection between the company and the spy agency than has been previously disclosed and raises concerns over the legalities of involving contractors in die most sensitive operations conducted by die US government.

The "snatch and grab" raids took place regularly between 2004 and 2006, the Times reported, when die insurgency in Iraq was escalating and security diroughout the country was deteriorating.

A US official confirmed to The Associated Press that Blackwater provided security and moved around with CIA teams on missions in war zones, but he denied they performed CIA missions. CIA Director Leon Panetta ordered a review several months ago of the company’s contracts to be sure its guards only perform security-related work, the official said. He spoke on condition of anonymity because he was not authorized to comment publicly.

CIA spokesman George Litde said, "This agency, like many others, uses contractors in roles that complement and enhance the skills of our own work force, just as American law permits. "

"Agency staff officers have the decision-making authority and bear responsibility for results, "Litde said.