Sen. John McCain, the highest-ranking American official to visit Libya during its current uprising, says Libyan rebels desperately want formal recognition by the United States — and might be willing to reimburse America’s costs in the military operation against strongman Moammar Gadhafi.

“They want recognition badly,” says McCain, ranking Republican on the Senate Armed Services Committee, speaking by phone from Egypt after wrapping up a brief visit to the Benghazi area.  “One of the reasons they want recognition so badly is, if they were recognized, it would help them get access to that $30 billion in Gadhafi assets that have been frozen.  The other thing is, if they got their recognition, it would also free up other ways for them to get some short-term financial help.”