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  • Annan summons UN council on probe into Iraq scandal

    The Jordan Times
    Friday-Saturday, March 26-27, 2004

    Annan summons UN council on probe into Iraq scandal

    UNITED NATIONS (Reuters) - UN Secretary General Kofi Annan summoned Security
    Council members on Thursday to get firm backing for an independent inquiry
    into charges of corruption in the UN-run Iraq oil-for-food programme.
    In a letter to council members obtained by Reuters, Annan defined terms of
    the probe, saying it would look into allegations of corruption among UN
    officials and outside firms dealing with Iraq under the now-defunct $65
    billion humanitarian plan.

    Evidence in the media from documents found in Iraq - but not given to the
    United Nations - alleges payoffs, smuggling and bribes under the programme.
    The worst allegation for the world body is a bribe said to have been paid to
    the plan's head, Benon Sevan, who has vigorously denied it.

    UN spokesman Fred Eckhard said Annan was looking for a `nod' from the
    council, perhaps in a statement or a letter, after his meeting late on
    Thursday.

    `Without the full cooperation of governments and companies, the
    investigation is not likely to succeed,' Eckhard said.

    Diplomats said a resolution mandating that all UN members cooperate with an
    investigation would probably fail. Many of the firms and individuals charged
    with wrongdoing were from the 15 Security Council member states.

    Annan has not asked for council approval for the probe, which he said would
    go ahead one way or another.

    The oil-for-food plan, which began in late 1996, was intended to ease the
    impact of 1991 Gulf War sanctions on ordinary Iraqis by allowing Baghdad to
    sell oil to pay for humanitarian goods. Iraq selected the buyers of its oil
    and vendors of goods.

    Annan's letter said the inquiry would be authorised to approach and seek
    cooperation of member states and `their relevant authorities.'

    He did not say how much the probe would cost or who would head it. Eckhard
    said names were expected to be announced within a week.

    Terms of inquiry

    Annan in the letter said the probe also would determine:

    - whether procedures established by the Security Council and UN secretariat
    for monitoring and approving contracts were violated.

    - whether any UN officials, personnel and agents or outside contractors
    engaged in `any illicit or corrupt activities,' including bribery, imposing
    surcharges and other illicit payments.

    - whether UN accounts were in order.

    Annan said the independent commission could engage professional
    investigators, auditors, accountants, forensic experts and others and issue
    a report within three months after the start of the probe.

    The burgeoning scandal is one of the worst to hit the world body, giving
    fodder to its long-time critics. It also comes as the Bush administration
    wants the United Nations to help Iraqis form an interim government

    The US General Accounting Office, an interagency body headed by the treasury
    department, says Iraqi elites raised $4.4 billion by imposing illegal
    surcharges. Ousted Iraq President Saddam Hussein is estimated to have
    smuggled another $5.7 billion in oil outside the UN programme through Syria,
    Jordan and Turkey.

    Many of the programme's contracts, as well as previous allegations of
    wrongdoing, were reviewed by the Security Council's sanctions committee,
    composed of all 15 council nations.

    Some were brought to the panel's attention by Sevan, others by the United
    States and Britain over the years. But members, sharply divided over Iraq,
    often took no action.

    The Iraqi Governing Council has also launched an investigation and several
    have been announced in Washington, by Congress, the Pentagon and others.
    Britain is probing its own firms.

    Friday-Saturday, March 26-27, 2004
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