MP, Mahma Khalil, of the Kurdistani Alliance denied the reports over "Relations link the President of Kurdistan Region, Masoud Barzani, and the Kurdistani Alliance with the Iranian Mujahedeen-
e-Khalq Organization."
He stated to All Iraq News Agency (AIN) "Barzani has no relations with the MKO because it targeted the Iraqis and the KA is adherence to establish good relations with Iran."
"All these reports are political accusations aim at defaming Barzani to attack him politically by declining sides," he concluded.
MKO is classified as a terrorist group according to the USA standards, but the EU decided to relief the Organization from such classification in 2009.
All Iraqi News,
——————————————————–
Same news on ISNA
Kurdish MP rejects rumors of Barzani, MKO relations
A senior member of the Kurdistan Coalition in Iraq’s parliament denies the rumors about the relationship between the president of Iraq’s self-rule Kurdistan Region in northern Iraq, Masoud Barzani and the terrorist Mujahedin-e Khalq Organization (MKO, a.k.a. MEK and PMOI).
“Masoud Barzani, the president of the Kurdistan Region, has no relationship with the terrorist Mujahedin-e Khalq Organization since the group has targeted Iraqi people, and besides the Kurdistan Coalition insists on good relations with neighboring Iran,” Mahma Khalil told Habilian Foundation –families of Iranian terror victims–.
The remarks follow the claims raised by the political advisor to the Iraqi Prime Minister Nouri al-Maliki, Saad al-Matlabi who told Habilian in his recent interview that Barzani was likely to have relationship with the MKO terrorists.
Earlier this month, Dr. Habib al-Tarfi, a member of Iraq’s Supreme Islamic Council, said presence of the terrorist group in Iraq was political and Saddam’s security forces had utilized it to murder people.
He further explained that Mujahedin-e Khalq supporters are “as corrupt as the terrorist group itself”.
MKO is known to have received millions of dollars in return for its services to Saddam Hussein, particularly for the suppression of 1991 uprisings in southern Iraq and carrying out the massacre of Iraqi Kurds.
Camp Liberty is threatened with failure.
members of the Mojahedin-e Khalq had been removed from Iraq at their own request. 
Liberty near Baghdad International Airport where the process of transfer was started in February. 
languishing at Camp Ashraf in Diyala province refused to move to a military base in Baghdad. Alkhaddran called on the government to work to remove them because they were "involved in spilling Iraqi blood and supported other terrorist groups." 

mentioned in some of interviews I had [with former members of the Mujahedin Khalq Organization]. The former Iraqi Baath regime extensively supported the group both financially and militarily and funded it with hundreds millions of dollars and Iraqi Dinars. A dozen packages of 400 thousand dinars were paid to the MKO, according to a film recorded in 1986 by former Iraqi intelligence. We are well aware of the exchange rate of dinar versus dollar at that time. “Most of these funds were invested in large American and European firms and banks and the benefits resulted from those investment are spent for running the organization but the support from former Iraqi regime wasn’t limited to this,” says Mr. Hassan Azizi. "The families of MKO spies who worked for Iraq inside Iran and were arrested by Iranian
government were also paid monthly salaries (based on the documents obtained of former Iraqi intelligence service, issued on February 2nd, 2000). Besides Iraqi Baath regime, Arabic states of Persian Gulf including Saudi Arabia used to fund the organization. In one case when [Rajavi] returned from Iraq he said in a meeting,’ it was a prolific trip. "