Posted on 12/25/2004 5:28:46 PM PST by FairOpinion
GENEVA - The U.N.-ordered probe into oil-for-food corruption is being seriously hampered by an elaborate system of ghost firms set up around the world to cover the tracks of bribes to Saddam Hussein (news - web sites) as he cheated the $60 billion program, a top investigator said.
Some front companies in this global oil trading center and elsewhere that dealt with Saddam have been liquidated or have hidden ownership, complicating the search for evidence of financial improprieties, said Swiss criminal lawyer Mark Pieth. He's one of three commission members leading the probe headed by former U.S. Federal Reserve (news - web sites) chairman Paul Volcker.
Major oil trading companies and individuals — from American businessmen to French, Chinese and Russian politicians — are suspected of benefiting from lucrative Iraqi oil contracts that involved kickbacks, according to the independent panel's initial findings.
Those who profited may have been able to hide behind a web of fiction by making transactions through ghost firms that exist mostly on paper, Pieth told The Associated Press.
Despite the thin trail, Pieth said he was confident investigators would ultimately trace the funds back to those who may have made illicit profits — or allowed Saddam and his regime to profit illegally — during the oil-for-food program, which existed from 1996 until 2003.
"It is a problem. Yes, of course it is, but on the other hand we also have means of finding the beneficial owners," Pieth said. "There is usually a file, if the banks have done their job."
Pieth said national authorities and banks in Switzerland and other nations where front companies handled oil-for-food deals should have their own records of who was behind the firms.
"Switzerland and Liechtenstein have promised to help," Pieth said of the two countries where more than two dozen companies got oil under the program, according to an AP examination of records.
Neither nation is known for having oil reserves of its own. But according to a list Volcker released of 248 companies that "lifted," or exported, Iraqi oil under the program, companies based in Switzerland took more than those from any other country except France and Russia. The tiny principality of Liechtenstein — which has 33,000 inhabitants — came in eighth on the list.
Volcker has said that being on the list doesn't necessarily imply guilt in paying kickbacks.
Switzerland and Liechtenstein are among countries whose lax regulations and traditions of discretion in business and banking make them attractive for trading companies.
Front companies registered in other tax havens — such as Cyprus, Jordan, Panama, Curacao in the Caribbean, and Jersey in the Channel Islands off the United Kingdom — also feature in the oil-for-food investigation.
The program, which began in 1996 and ended last year after the U.S. invasion ousted Saddam, allowed Iraq (news - web sites) to trade about $60 billion worth of oil for food, medicine and other necessities that became scarce under strict U.N. economic sanctions imposed after the Gulf War (news - web sites). The program was credited with preventing widespread starvation.
Congressional investigators who also are looking into corruption at the program said in November that they had uncovered evidence Saddam's government raised more than $21.3 billion in illegal revenue by subverting U.N. sanctions and the oil-for-food program.
Volcker's independent commission was set up this year at the request of U.N. Secretary-General Kofi Annan (news - web sites) to investigate the program. Pieth is the second commissioner and the third is South African Richard Goldstone, who prosecuted Yugoslav war crimes.
What singles Switzerland out from other countries involved in the oil-for-food affair — including Britain, France, Russia and the United States — is that it has already taken action.
In October Switzerland fined a company $42,250 for paying kickbacks to secure Iraqi oil contracts. Under Switzerland's confidentiality policies, the Geneva-based company has not been identified publicly.
The Swiss State Secretariat for Economic Affairs, which imposed the fine, intends to investigate the Iraqi dealings of several more trading firms, said spokesman Othmar Wyss.
The names of several Swiss firms have appeared on lists of companies receiving Iraqi oil, among them the country's largest commodity trader, Glencore International AG, which obtained more than $240 million of oil under the program, according to the Volcker investigation.
A CIA (news - web sites) report published in September named Glencore as one of the most prolific purchasers of Iraqi oil and alleged the company paid over $3.2 million in kickbacks to the Iraqi government.
Glencore denied the allegation, stressing it "had had no direct dealings with the Iraqi government outside the U.N. oil-for-food program," said spokeswoman Lotti Grenacher.
Geneva-based Taurus Petroleum, which is owned by a Swedish parent company, has become the first company to begin oil trading with Iraq after the fall of Saddam's regime. Taurus denied paying bribes to any Iraqi officials and said it had not done business under the U.N. program, although its name has appeared in unofficial reports on oil-for-food.
Pieth said that more companies around the world will certainly be fined after the Volcker investigation ends. A preliminary report on findings is expected to be released in January, but the $30 million probe isn't expected to be finished until well into 2005.
"We're not going to do diplomatic soft talk," Pieth said. "If there's something to be said, we are going to name these people involved."
ping
This is the reason our Sons and Daughters are dying on the Battlefields in Afganistan and Iraq. The inability of the UN sanctions to have any effect against Iraq or any other country was brought about by these Gangster, Robbers and Murderers at the UN.
The US should get out of the UN and the UN should get out of the US. These people are working together to bring the uS to it's economic knees. The National Socialist Party ( Democrats) have been working hand in hand to help bring this about by passing laws that weaken our COnstitutional Republic. These are the Hate Crime Laws, The Homosexual agenda and every law, presidential order all of the funding for their HELPFUL programs.
We need to glean oaal of there efforts and cancel or reverse their programs and laws. Tear it apart and re-establish our Constitutional Republic and the rights it guranteed.
Slim & None, and slim just got on the train out.
These people are working together to bring the uS to it's economic
knees. The National Socialist Party ( Democrats) have been working
hand in hand to help bring this about by passing laws that weaken our
COnstitutional Republic. These are the Hate Crime Laws, The
Homosexual agenda and every law, presidential order all of the
funding for their HELPFUL programs. <<<<<<<<
You speak the truth.
Now to get folks to listen.
Better yet, have them read the communist manifesto, 1963.
Ping
Just jail every UN "diplomat" from every tinpot banana republic and France, Germany, and Russia and their whole extended families and you will catch a good 70% of them.
Backhoe, were you the one with the UN bump list?
I'm sure other, like yourself have figured it out also. These people think Americans are stupid and can be fooled by their greasy speak! The common horse sense of the American peoplehas always been our saving grace. People know whats going one, in their hearts they know, their silence is perplexing.
When the time is right, they will strike back, and the strike will be deep and devistating. It's time to take a look at who is around you and make note of it. The time ot prepare is now. Preposition, watch , wait and listen. The time draws near.
We all, even some of the liberals are not happy with what the Dems have been up to and want no part of what they offer. We all must just wait for now and see if the Congress will be sure to protect the rights of the American Citizens and the Constitutional Republic. January will be the start of what is to come, they will let us know what we must do.
Replacement of the Dems by strong PRO AMERICAN represntatives, even Third Party people in some areas. I am an American first, then a Republican. I would vote for a strong Constitutional candidate, even though he is from a so called "Third Party", as long as he is PRO AMERICAN and strong on the support for the Republic.
"Backhoe, were you the one with the UN bump list?"
If Backhoe doesn't have it, you might check with GailA.
No more UN for US-list
If people want on or off this list, please let me know.
Paging Gail!
I know someone has a UN bump thread. I do NEED to note that.
Thanks for the help Ben.
http://www.thisdayonline.com/archive/2003/10/30/20031030comm05.html
The US should get out of the UN and the UN should get out of the US.
These people are working together to bring the uS to it's economic
knees. The National Socialist Party ( Democrats) have been working
hand in hand to help bring this about by passing laws that weaken our
COnstitutional Republic. These are the Hate Crime Laws, The
Homosexual agenda and every law, presidential order all of the
funding for their HELPFUL programs.
We need to glean oaal of there efforts and cancel or reverse their
programs and laws. Tear it apart and re-establish our Constitutional
Republic and the rights it guranteed.<<<<<<<
Thank you, you have stated the problem well. I agree.
. I would vote for a strong Constitutional candidate, even
though he is from a so called "Third Party", as long as he is PRO
AMERICAN and strong on the support for the Republic.<<<<
As would I.
But then I did, I voted for Perot and got Clinton.
That leaves me scared.
The real problem with the third parties, is that they are often a new name for the commie party.
Progressive Party, New Party and many others are communist, hiding under new names.
Will you add me to your UN (NO) ping list please?
After all the goodness of the UN and their focus on righteousness has and will prevent such a debacle.
After all, isn't it the UN that prevails as the promoters of right for everyone in the world?
Gosh, the hammer they use as a tool in doing so apparently has left most Americans senseless from the blow.
The blatancy of the UN directive is not sinking in to a lot of the American public.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.