The GAO, the investigative arm of Congress, found it alarmingly easy to acquire sensitive surplus. Last year, its agents bought $1.1 million worth -- including rocket launchers, body armor and surveillance antennas -- by driving onto a base and posing as defense contractors.

"They helped us load our van," Kutz said. Investigators used a fake identity to access a surplus Web site operated by a Pentagon contractor and bought still more, including a dozen microcircuits used on F-14 fighters.

The undercover buyers received phone calls from the Defense Department asking why they had no Social Security number or credit history, but they deflected the questions by presenting a phony utility bill and claiming to be an identity theft victim.

The Pentagon's public surplus sales took in $57 million in fiscal 2005. The agency also moves extra supplies around within the government and gives surplus military gear such as weapons, armored personnel carriers and aircraft to state and local law enforcement.

Investigators have found the Pentagon's inventory and sales controls rife with errors. They say the sales are closely watched by friends and foes of the United States.

Among cases in which US military technology made its way from surplus auctions to brokers for Iran, China and others:

Rep. Christopher Shays, R-Conn. said the military should not sell or give away any sensitive military equipment. If we no longer need it, it needs to be destroyed -- totally destroyed," until this month the chairman of a House panel on national security. "The Department of Defense should not be supplying sensitive military equipment to our adversaries, our enemies, terrorists."

It's no secret to defense experts that valuable technology can be found amid surplus scrap.

On a visit to a Defense Department surplus site about five years ago, defense consultant Randall Sweeney literally stumbled upon some items that clearly shouldn't have been up for sale.

"I was walking through a pile of supposedly de-milled electrical items and found a heat-seeking missile warhead intact," Sweeney said, declining to identify the surplus location for security reasons. "I carried it over and showed them. I said, 'This shouldn't be in here.'"

Sweeney, president of Defense and Aerospace International in West Palm Beach, Fla., sees human error as a big problem. Surplus items are numbered, and an error of a single digit can make sensitive technology improperly available and knowledgeable buyers could easily spot a valuable item, he said. "I'm not the only sophisticated eye in the world," he said.

Baillie said the Pentagon is working to tighten security. Steps include setting up property centers to better identify surplus parts and employing people skilled at spotting sensitive items. If there is uncertainty about whether an item is safe, he said, it is destroyed.

Of the 76,000 parts for the F-14, 60 percent are "general hardware" such as nuts and bolts and can be sold to the public without restriction, Baillie said. About 10,000 are unique to Tomcats and will be destroyed, he said.

An additional 23,000 parts are valuable for military and commercial use and are being studied to see whether it's safe to sell them, Baillie said.

Asked why the Pentagon would sell any F-14 parts, given their value to Iran, Baillie said: "Our first priority truly is national security, and we take that very seriously. However, we have to balance that with our other requirement to be good stewards of the taxpayers' money."

Kutz, the government investigator, said surplus F-14 parts shouldn't be sold. He believes Iran already has Tomcat parts from Pentagon surplus sales: "The key now is, going forward, to shut that down and not let it happen again."

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