LORELAI: I kept information from you … Information that would have come out eventually. Like the Iran-Contra scandal.
RORY: So you’re Oliver North.
LORELAI: No, I’m Fawn Hall.
LORELAI: Well, she was much prettier.
The Iran-Contra affair was a political scandal in the United States which took place during the second term of the Reagan Administration. Senior administration officials secretly facilitated the sale of arms to Iran, which was the subject of an arms embargo. They planned to fund the Contras in Nicaragua through the arms sale, while at the same time negotiating the release of several US hostages held in Lebanon.
Lieutenant Colonel Oliver North [pictured] devised the scheme to fund the Contras, and was convicted in the Iran-Contra scandal in the late 1980s; however all charges against him were dismissed in 1991. Fawn Hall was North’s secretary who testified against him in court and was given immunity from prosecution in exchange for her testimony.