'Pakistan sheltered Osama in return for Saudi cash'

Hillhouse, who is known for her links to private military contractors that work extensively with the CIA, says Pakistan gave permission for a covert mission which would then be covered up by claiming bin Laden had been killed in a drone strike.

"Things went south when the helicopter crashed. The White House freaked and the cooperating Pakistanis were thrown under the bus. Splat," she added.

The theory, if true, would explain how American black hawk helicopters were able to fly deep into Pakistani territory in May without encountering any resistance.

However, a senior Pakistani security official denied that the ISI had sheltered bin Laden.

'Pakistan sheltered Osama in return for Saudi cash'

"We don't use toilet paper - we wash," he said. "But toilet paper is all this theory is good for."

A spokesman for the US Department of Defense said: "We have no additional operational details, or comments on operational details, to make at this time."