Damn Foreigner has a good idea:

I think that the US has to take one large step to clean up this mess...Get out of the business of incarcerating Arabs and Muslims. Any perceived benefit from taking certain people off the streets is easily negated by the pictures that we saw which will inflame those on the outside.

This includes a few things..first Gitmo has to go. Either charge people or release them. We are supposed to be a shining example of freedom and democracy, this doesn't help. The possibility that something like the photos of Abu Ghraib getting out of Gitmo also exists. And quite frankly, lets do this before the Supreme Court makes a decision on this case.

Next, we have to release people in Iraq who haven't been charged with a crime. Holding people because we think they might do something bad is simply wrong and un-American. It violates constitutionally protected freedoms that we should be spreading, not suppressing at every chance. Then for all of the people who should be incarcerated, we should hand over control of the prisons to other people. This can include the Iraqi's themselves, or re-assigning troops in the Coalition of the Willing to those duties. They should have independent oversight by the Red Crescent Society or other such groups.