In 1992, Zakhem and two other men were indicted and “charged with secretly accepting $7.7 million from the Government of Kuwait to act as undisclosed foreign agents in a "propaganda campaign" to generate support for the war against Iraq.” According to the indictment, the men failed to report the money, a violation of Federal tax laws, and while lobbying the US Congress and Administration, did not disclose their status as Kuwaiti agents, a violation of the Foreign Agents Registration Act.