It's always difficult to distinguish between mistranslations and typical Iraqi weasel-wording, but it appears to me that, while he denied any relation between the press office and Hussein, he didn't specifically deny that Hussein was a police officer.
As I say, maybe just the usual Iraqi style, but it could also be that it's an inexact statement for a reason. Since AP was there, their story on the press conference should be interesting. I still think it's interesting that the original AP story on the incident said the police stood by and did nothing, and this guy immediately appeared to blame it on the soldiers instead of the police.
????