It's an attractive theory -- military judo.
Unfortunately, I don't think Saddam was smart enough to actually do it. I heard a report that the Information Minister's bizarre descriptions of how the US troops were being destroyed were the same descriptions that were being given to Saddam. When you execute generals for losing battles, people tend to be reluctant to give you bad news.
Then, there's the NRO theory that Saddam's underlings quietly destroyed all of the WMDs without telling him. He really thought he did have all that poison gas ...
No matter how you slice it, we have only two possible conclusions:
1. There were no WMDs, and we knew it. Bush & Co. lied in order to drum up support for the war.
2. There were no WMDs, and we didn't know it. Our intellence sources are incompetent.
Neither conclusion is particularly pleasant.