FRANCE, Italy and Germany sanctioned the payment of $45 million in deals to free nine hostages abducted in Iraq, according to documents seen by The Times.

All three governments have publicly denied paying ransom money. But according to the documents, held by security officials in Baghdad who have played a crucial role in hostage negotiations, sums from $2.5 million to $10 million per person have been paid over the past 21 months. Among those said to have received cash ransoms was the gang responsible for seizing British hostages including Kenneth Bigley, the murdered Liverpool engineer.

The list of payments has also been seen by Western diplomats, who are angered at the behaviour of the three governments, arguing that it encourages organised crime gangs to grab more foreign captives.

“In theory we stand together in not rewarding kidnappers, but in practice it seems some administrations have parted with cash and so it puts other foreign nationals at risk from gangs who are confident that some governments do pay,” one senior envoy in the Iraqi capital said...