Skip to comments.Total Recall
Posted on 03/29/2007 4:54:16 AM PDT by CutePuppy
A French oil giant's deals with a rogue regime--this time in Iran.
Don't stop us if you've heard this one: French oil giant Total SA is being investigated for illicit dealings with a rogue regime in the Middle East. This time it's Iran, but maybe you recall its experience with another dictator and something called Oil for Food. A French judge is investigating bribes that Total executives allegedly paid Iranian officials to secure business in the Islamic Republic. Last week, the judge issued preliminary charges of abuse of company funds and corruption of foreign agents against Chief Executive Christophe de Margerie. The company and Mr. de Margerie deny any wrongdoing, but the Total experience is all too typical of the way European firms cut deals with dictators while their own governments provide political cover.
Meanwhile, the same French prosecutor continues to investigate Total for alleged kickbacks paid to Saddam Hussein in return for Iraqi oil. In his report on Oil for Food corruption, former Federal Reserve Chairman Paul Volcker found that Total, through intermediaries, had purchased some of the 11 million barrels of oil that former Iraqi officials claim was allocated to French Senator Charles Pasqua in thanks for his support of Saddam's Iraq. Total and Mr. Pasqua also deny any wrongdoing.
However the probes play out, Total's business with Tehran is probably a violation of the U.S. 1996 Iran-Libya Sanctions Act. The Clinton Administration thought so as far back as early 1998, when crude oil futures were selling for a quarter of the current price, and Tehran was desperate for cash to finance Hezbollah and, as we later learned, its nuclear program.
But after French carping and trade threats by the European Union, President Clinton waived sanctions on Total, Russia's Gazprom and Malaysia's Petronas ...
(Excerpt) Read more at opinionjournal.com ...
In Iraq 10 years ago, Total and its political protectors canoodled with Saddam and propped him up until the U.S. decided it had no choice but to act against him. Europe shouldn't make the same mistake in Iran.
I believe this is approximately what we speculated, last week. It seems as though Europe is finding out the hard way that dealing with terrorist regimes requires more than talk.