You are correct that the German special forces (Brandenburgers) incited a revolt against the British. However, there were no German combat aircraft anywhere near Iraq. It was Britain's total air superiority that made their victory possible ( see F. Kurowski's "The Brandenburgers" for more on the operation).
They flew Iraqi insurgent marked Bf-110's(probably Nazi pilots), I do have pictures in some of my history books showing them. You may be correct here as it very well may be Nazi pilots flying those Iraqi insurgent marked Bf-110's during that period in history.
My number 63 post on this thread is for your reference. Some information it contains may be of your historical interest.
FReegards, D2