Probably soon to be debunked as utter B.S. or denied by the government to have ever taken place, but still interesting to share, I suppose. And it's a good way of keeping our conspiracy theories up to date.
For the record, I'm skeptical myself about the trustworthiness of this article... The Australian media seem to be the only ones picking up the story. Seen also in
Sunday Morning Herald and
The Age, both referencing a report in the
Sunday Mirror (report online at present) which looks suspiciously like a tabloid.

But still good for a laugh and some hypothetical "but
IF it's really true, then..."-style debating.
Saddam negotiating with US: press
AFP - Ousted Iraqi president Saddam Hussein has reportedly been in secret negotiations with US forces for the past nine days.
According to the Sunday Mirror report, Saddam was demanding safe passage to the former Soviet republic of Belarus in exchange for information on weapons of mass destruction and his bank accounts.
US President George W Bush was being kept up to date on the talks by his national security adviser Condoleeza Rice who was coordinating negotiations led by US general Ricardo Sanchez, the Sunday Mirror said.
Sanchez is the commander of US forces in Iraq.
"A representative of Saddam in Western-style civilian clothes came to coalition people at Tikrit at sunset on September 12. He led them to a house where the security official was waiting," the Sunday Mirror quoted a senior Iraqi as saying.
"The discussions are now going on under the direct authority of General Sanchez," the source said, according to the newspaper.
The source maintained that Saddam had decided to seek a deal "because he is desperate, trapped and finding fewer and fewer people willing to give him shelter," the tabloid said.