Oil for...Money?

[Lord Rahl]

http://www.foxnews.com/story/0,2933,173707,00.html

UNITED NATIONS — About 2,200 companies in the U.N. Oil-for-Food program, including corporations in France, Germany and Russia, paid a total of $1.8 billion in kickbacks and illicit surcharges to Saddam Hussein's government, a U.N.-backed investigation said in a report released Thursday.

I just love how everything is corrupt these days.

There is a pdf file available on the site although it is over 600 pages.

[Guderian]

That does prove something, the UN is completely ineffecient if it took this long to conclude the investigation, this was on a Australian tv documentary about two years ago. French corporations were the main culprits. It was even suggested that this was the main reason for French opposition to the war.

[PacSubCom]

It was even suggested that this was the main reason for French opposition to the war.

Well, not the reason of the French people....

[leeho730]

Ah well, since this thread deals with corruption and world poliltics and UN...


I read the pdf document.

http://www.foxnews.com/projects/pdf/...off_report.pdf

I just love how everything is corrupt these days.

There is a pdf file available on the site although it is over 600 pages.

Yes. However, most of the entities involved in illicit surcharge scheme (which was illegal under the Programme) were private companies, with exceptions of Russian and Vietnamese Government.

Russian government had direct role in surcharge scheme as Russian Ministry of Fuel and Energy and the Iraqi Ministry of Oil coordinated the allocation of oil to Russian.

Vietnam Northern Food Corporation and Vietnam Dairy Joint Stock Company, which were involved in kick payment of nearly $23.5 million plus $0.3 million for oil surcharge, were state-owned company.

There were 4 major private-owned companies involved in oil surcharge scheme:
Bayoil (USA)
Taurus Group (based on Europe and caribbean )
Glencore (Swiss)
Vitol (Swiss)

Plus numerous small companies and invididuals.

If you request, I can list the name of companies involved in illegal surcharge and kickback payment scheme, but in short,
I'll just lit the name of companies supplying goods.
The number below (m stands for million) are the illegal payments made to Iraqi government

AWD(Austrailian Wheat Board) Ltd of Australia
$221.7 million in side payments - biggest kickback payments so far.

Chaiyaporn Rice Company Ltd of Thailand
$42.8 million in kickbacks $1.5 million in oil surcharges

Holding Company for Food Industries of Egypt
$30.5m kickback

Vietnam Northern Food Corporation and Vietnam Dairy Joint Stock Company (state-owned)
$61m kickback
$322,928 oil surcharge

Belhasa Group of Companies of United Arab Emirates
$45.3m kickback

Belmetalenergo and Infobalk of Belarus
kick payment ~$15.7m goods ~$2.9m oil surcharges

Bukkehave A/S of Denmark
$1.4m (but no evidence of direct involvement other than Mr. Post, an area manager)

Ginza Co. of Egypt
~$10.6m

Jawala Corporation Sdn. Bhd. of Malaysia
kickback payments $1.6m

Russian Engineering Company of Russia
~$5.8m

SES Int. Corp. of Syria
kickback ~$16.2m

Sinochem Corp. of China
~$0.67m

Atlas Copco Airpower N.V. of Sweden
~$1.3m

DaimlerChrysler AG of Germany
$7,134 + Mr Denk (area manager) signed two agreements >80,000 pounds for anticipated but unexecuted contracts,
no payment made.

Maloney Industries Inc of Canada
$1.15m but does not reflect that maloney financed this kickback payment or that Maloney's officers or
employees were aware of or agreed to the kickback payment made by Dr. Majid.

Siemens AG Germany
$1.6m

Volvo Construction Equipment of Sweden
$0.54m
+ $0.74m on four contracts with IEG as Volvo's agent

Weir Group PLC of Scotland in UK
$4.5m

Everyone has a fair share of wrong-doing, eh?

According to the findings, the Banque Nationale de Paris S.A., known as BNP, which held the U.N. Oil-for-Food escrow account, had a dual role and did not disclose fully to the United Nations the firsthand knowledge it acquired about the financial relationships that fostered the payment of illegal surcharges.

BNP was privately-owned company, sandwiched between serving the interest of UN and that of private companies.

That does prove something, the UN is completely ineffecient if it took this long to conclude the investigation, this was on a Australian tv documentary about two years ago. French corporations were the main culprits. It was even suggested that this was the main reason for French opposition to the war.

France was a victim, in most cases. Since Iraq decided to impose surcharges of $0.10 per barrel (later increased it to $0.50), The Iraq oil trade with French companies dropped significantly after Iraq imposed surcharges (p47)

Some of the afformentioned companies, such as Vitol S.A.(Swiss), Glencore(Swiss), Addax BV(Swiss) used french-based company as Iraq's preference for French companies and the limited no. of recipients in France for Iraq crude oil led certain
companies to pass themselves off to SOMO as being French-based, such as Vitol France, Glencore France, Addax (France) S.A.R.L.

Bayoil (USA) used Italtech, an Italy-based company.

In Oct 1998, a French officials in the Sactions Department wrote to an Iraqi official in Paris about "his concerns and his government's concerns... regarding the increase in British and American companies as well as others who exploit the decision of the Iraqi leadership in providing priority to conducting business with French companies by signing contracts with Iraq thru their offices in France." (p47)

The letter listed these hoax companies. Iraq officials took this complaint seriously.

Some pro-Iraq french individuals are associated with the scheme but the report never said any kind of association with French Government.


So much for the pro-capitalists, as most of these companies knowingly paid illegal surcharges and after-service-fees (i.e. corrupted) were privately-owned companies.

Also I can't love biased journalism more.... :wink:

[Erik]

About 2,200 companies in the U.N. Oil-for-Food program, including corporations in France, Germany and Russia

Yes, including companies in France, Germany and Russia.... but also includiong companies from the US.
But FOX won't talk about that.

[danzig]

Yes, including companies in France, Germany and Russia.... but also includiong companies from the US.
But FOX won't talk about that.

Its not just Fox carrying that line its is alot of media outlets (go google) because French, Russian and German companies made up the bulk of the companies involved but yes it was hardly *just* them. However it is fair to raise the point that if people want to repeat over and over that Bush went to war with Iraq for Haliburton that French, Russians and Germans goverments opposed the war for pretty much the same reason Instead of focusing on what country did what our concern should be on the UN, either the UN is fully of incompent idiots that allowed this to happen under their noise or they are corrupt profit whores who got stuffed their pocket with $...either option isnt too inspiring.

[leeho730]

Its not just Fox carrying that line its is alot of media outlets (go google) because French, Russian and German companies made up the bulk of the companies involved but yes it was hardly *just* them. However it is fair to raise the point that if people want to repeat over and over that Bush went to war with Iraq for Haliburton that French, Russians and Germans goverments opposed the war for pretty much the same reason Instead of focusing on what country did what our concern should be on the UN, either the UN is fully of incompent idiots that allowed this to happen under their noise or they are corrupt profit whores who got stuffed their pocket with $...either option isnt too inspiring.

Most corruption of this oil surcharges and kickback payments scheme were done by private companies. UN specifically warned that oil surcharges and kickback payments (aka after-service-fees) were illegal, thus these companies KNOWINGLY violated official UN sanction rule.

Its not just Fox carrying that line its is alot of media outlets (go google) because French, Russian and German companies made up the bulk of the companies involved but yes it was hardly *just* them.

I suggest you read the pdf report above. German company, as far as report concerned only had DaimlerChrysler AG and Siemens AG as involved companies in this scheme, but their total amount is less than 1% of Australian-based company called AWD Limited.

Actually, Swiss-based oil companies were two of 4 major oil companies involved in the scam.

The report only noted BNP and a few pro-Iraq individuals involved in the scheme; as far as the report is concerned, NO french company is involved in the scheme. But you're right about the Russian Company.

[Trey]

Yes, including companies in France, Germany and Russia.... but also includiong companies from the US.
But FOX won't talk about that.

Of course the US was involved. just not on nearly as big as a scale as france, germany, and russia. it seems like every post you make has something about the US in it.

[leeho730]

Of course the US was involved. just not on nearly as big as a scale as france, germany, and russia. it seems like every post you make has something about the US in it.

Oh I love to prove the contrary.

I do agree about Russia but Germany? They were NEVER a big importer of Iraq oil. Throughout the Phase I to Phase XIII, Germany even didn't come up as a top five Iraq oil importer, and they didn't seem to bother setting up shell companies.


OK, as many people won't bother to read the pdf, here we go.

US: totalling 439 millions of barrels from Bayoil and Coastal Petroleum Company through shell companies, personal allocation, or by smuggling.

France:totalling 63.3 millions of barrels by individuals, setup-up by oil companies outside France.

Close Analysis:

Jean-Bernard Merimee
received personal allocation of 2m barrels and sold it to Fenar Petrolium Ltd
received $165,175 in commission
surcharge $621,471

Charles Pasqua.Bernard Guillett
received personal allocation of 2m barrels and sold it to Genmar Resources GMBH (Swiss)
received at least $234,000 on commission
surcharge $367,930
sold 6m barrels and sold it to Aredio Petroleum S.A.R.L. (France) which paid oil surcharges of $1.1m

Claude Kaspereit, EOTC(french-based shell company) and Marc Rich + Co. (Swiss)
received 9.5m barrels
got paid $0.30 and $0.40 per barrel by Marc Rich + Co. AG (Swiss) to cover both commission and surcharge
EOTC paid a total of $1.4m in surcharges

Serge Boidevaix
hired to obtain Iraqi crude oil contracts for Vitol SA (Swiss)
over 32 million barrels allocated and ~30m barrels purchased by Vital SA who paid surcharges of $786,789 paid in phase IX and X.
received a total of $367,808.77 on commission

Gilles Munier
received 11.8m oil barrels
Aredio signed the contract and funded anti-sanctions activities
10.5m barrels sold to Aredio, a french-based shell company of Taurus Group who paid oil surcharges of $647,600
received commission $240,000


In other words,

--Taurus Group (multi-national)--

Fenar Petrolium (Liechtenstein) Ltd took 2m barrels; paid surcharges of $621,471

Aredio (France) took 16.5m barrels and paid $1.75m as surcharge

Note: Like Bayoil group, Taurus never used it own name and used other companies.
It created Fenar Petroleum Ltd (Liechtenstein) and Alcon Petroleum Ltd (Liechtenstein) and financed oil purchases through the Swiss bank accounts of two Taurus entities: Taurus Petroleum Nassau and Taurus Petroleum Nevis. Both were founded by Ben Pollner, a United States national and director of Taurus.

--Genmar Resources GMBH (Switzerland)--
2m barrels, paid surcharge of $367,930

--March Rich + Co. (Switzerland )--
through french-based company EOTC
9.5m barrels, paid surcharge of $1.4m

--Vitol SA (Switzerland)--
32m barrels, paid surcharge of $0.79m


Although these french invidivuals were surely corrupted, private oil companies were behind them funding the individuals and paying oil surcharges, and many of them were based on Switzerland with an exception of Taurus Group (which nevertheless paid all the surcharges from their Swiss bank account).

If you have any questions, please ask :wink:

[Empyrean]

All other things being equal, the French will oppose something just because the Americans support it, and vice versa. Big egos have a hard time getting around each other.

A UN program, corrupt? IMPOSSIBLE! Or not. Of course, the United States will still be slandered with oil-chasing accusations, while the nations actually involved in illicit oil deals can keep pretending that they're morally superior.

Yes, including companies in France, Germany and Russia.... but also includiong companies from the US.
But FOX won't talk about that.

Read the article next time.

Tracing the politicization of oil contracts, the new report said Iraqi leaders in the late 1990s decided to deny American, British and Japanese companies allocations to purchase oil because of their countries' opposition to lifting sanctions on Iraq.

[leeho730]

All other things being equal, the French will oppose something just because the Americans support it, and vice versa. Big egos have a hard time getting around each other.

How about Germany?

A UN program, corrupt? IMPOSSIBLE! Or not. Of course, the United States will still be slandered with oil-chasing accusations, while the nations actually involved in illicit oil deals can keep pretending that they're morally superior..

As I posted, most of these companies involved were private companies. Except for Russian and Vietnamese governments, there is no direct link between the companies and government.

Or should we accuse Australia for being involved in $220 million kickback payment, as AWD Limited paid Iraqi government?

Bayoil (US) also paid $6 million in oil surcharges.

[Empyrean]

How about Germany?

It is my opinion that Germans are fairly neutral towards US policies, not being predisposed to accept or reject them except by their merits as they understand them. I think they opposed the war in Iraq because they didn't think it was a good idea, while the impression I got from France was that they were just thrilled to be opposing the United States.

As I posted, most of these companies involved were private companies. Except for Russian and Vietnamese governments, there is no direct link between the companies and government.

Just as there is no direct link between the US government and oil companies, but that doesn't seem to stop the accusations that the US government went to war to benefit US companies.

France was a victim, in most cases.

If they weren't benefitting, even after the surcharges, then they wouldn't have continued to make the exchange. Saying that French companies are victims here is like saying that I'm a victim because I have to pay Wal-Mart to get a cart full of groceries. If the exchange were not mutually beneficial, it would not have taken place. They're not victims.

[leeho730]

It is my opinion that Germans are fairly neutral towards US policies, not being predisposed to accept or reject them except by their merits as they understand them. I think they opposed the war in Iraq because they didn't think it was a good idea, while the impression I got from France was that they were just thrilled to be opposing the United States.

Oh yeah... you're forgetting that they joined first Gulf war and Afghanistan war?

How about the British population? Didn't majority of them opposed Iraq war?

In France, ruling party is ACTUALLY afraid of french citizens, as they can rally against the government (hey, they even rallied against the ultra-right wing party, and many teenagers joined in-fantastic!) and bring the president down.

If they weren't benefitting, even after the surcharges, then they wouldn't have continued to make the exchange. Saying that French companies are victims here is like saying that I'm a victim because I have to pay Wal-Mart to get a cart full of groceries. If the exchange were not mutually beneficial, it would not have taken place. They're not victims.

What french company did you find was involved in illicit surcharge and ASF (after-service-fee) scam, other than BNP?

France is a victim because many oil companies exploited France-Iraq relationship, and set up their branch on France just to receive oil barrels, and so that many people (as far as this thread concerns) think that France has been the second biggest importer.

Not actually true, France was (actually it was top recipient), until Iraq decided to impose illegal oil surcharges and French companies backed away as report said on page 47.

In Oct 1998, a French officials in the Sactions Department wrote to an Iraqi official in Paris about "his concerns and his government's concerns... regarding the increase in British and American companies as well as others who exploit the decision of the Iraqi leadership in providing priority to conducting business with French companies by signing contracts with Iraq thru their offices in France."

The letter listed these hoax companies. Iraq officials took this complaint seriously.

On page 47 of the report. "The letter listed these hoax companies. Iraq officials took this complaint seriously" was not my opinion but the author of report's opinion.

I suggest you read the report and you're more than welcome to correct me if I'm wrong.

Just as there is no direct link between the US government and oil companies, but that doesn't seem to stop the accusations that the US government went to war to benefit US companies.

As the current evidences suggest, Iraq favoured Russia, France (before the surcharge scam started) and People's Republic of China over the US (with Russian importing 1/3 of total oil supply) and we should know that at that time Iraq was the world's second largest oil exporter.

[Empyrean]

Oh yeah... you're forgetting that they joined first Gulf war and Afghanistan war?

"All other things being equal" is a pretty damn big qualifier. You clearly do not understand what I said. I said that France was happy to oppose us for the sake of opposing us. That means that they'll resist unless there is a good reason not to. The first Gulf War and the invasion of Afghanistan were justified by nearly any standard and refusing to go along with those would be a big faux-pas in the international community. Just because they went along with some things in the past doesn't mean they don't enjoy snubbing the Americans as an end in itself.

How about the British population? Didn't majority of them opposed Iraq war?

Because they didn't think it was a good idea. Just because someone is opposed to something the US wants to do, doesn't mean they're resisting for the sake of giving us the finger.

What french company did you find was involved in illicit surcharge and ASF (after-service-fee) scam, other than BNP?

I'll trust the conclusions reached by the investigating team, rather than reading the entire 600+ page document myself so I can tell you the same thing they are.

France is a victim because many oil companies exploited France-Iraq relationship, and set up their branch on France just to receive oil barrels, and so that many people (as far as this thread concerns) think that France has been the second biggest importer.

France is a victim because of perception? You said that France is a victim because they paid kickbacks.

[leeho730]

"All other things being equal" is a pretty damn big qualifier. You clearly do not understand what I said. I said that France was happy to oppose us for the sake of opposing us. That means that they'll resist unless there is a good reason not to. The first Gulf War and the invasion of Afghanistan were justified by nearly any standard and refusing to go along with those would be a big faux-pas in the international community. Just because they went along with some things in the past doesn't mean they don't enjoy snubbing the Americans as an end in itself.

Because they didn't think it was a good idea. Just because someone is opposed to something the US wants to do, doesn't mean they're resisting for the sake of giving us the finger.

Gosh, I didn't know US was so universally hated and opposed like this...

You recon France and British population have a connection with Al Qaeda?

I mean, they KNEW that WMD thing was a scam and it was proven to be false.

I'll trust the conclusions reached by the investigating team, rather than reading the entire 600+ page document myself so I can tell you the same thing they are.

Oh yeah, I did.

Well, then do contrast me. What statement that I made are wrong?

IFrance is a victim because of perception? You said that France is a victim because they paid kickbacks.

Then please post the evidence me saying that "France is a victim because they paid kickbacks."

It's a BAD form generalisation. A few french individuals, not connected with government in ANY way, got paid commissions for oils.

Using your logic, I can say US paid illegal oil surcharges because Bayoil and Coastal Petroleum Company paid surcharge?

-----------------------

And sincerely, did YOU read the report? In which part of the report do authors draw conclusion? It has "introductory and summary" part for each chapter and in no way they draw conclusion. What was THEIR CONCLUSION? Their summary, as far as I'm concerned, is neutral at best.

If the authors have drawn the conclusion, please do share with me by posting it here.

NOTE: please leave US alone in this thread (I didn't start it). We're talking about the Iraq and UN and related illegal oil surcharges and kickback payments scheme. I don't want to start it over again and get told to mind my own business. Seriously.

[Erik]

I said that France was happy to oppose us for the sake of opposing us.

And you are mistaking.
France didn't join the coalition because the US called them "Old Europe", it's as simple as that.

[lila-laune-bär]

And you are mistaking.
France didn't join the coalition because the US called them "Old Europe", it's as simple as that.

I don't remember too well.. Weren't there elections at that time too? At least that was the case in Germany.

[Tiwaz]

I have one question for people who are so "shocked" with this corruption (which is unacceptable overall) case.

While PRIVATE corporations without strong political (regarding lack of connection between Haliburton and Bush gov... I recall that people in quite high position in Bush & Co Lie Corp, sorry goverment, have also held notable positions in Haliburton. I would call that pretty damn strong connection) connections committed crime in the case how many people they directly killed as a result? Tell me... How many? Sactions did indeed kill people but that was sanctions not corruption.

US invasion has killed this far closer to 100 000 iraqis (I count in the iraqi soldiers who died in invasion as well as civilians whom US military does not count since numbers would be counterproductive for their claims) and still going strong.

So which I consider more acceptable... Peace and some PRIVATE corruption or GOVERMENTAL corruption along with big piles of war, death and suffering.

[Bwaho]

US invasion has killed this far closer to 100 000 iraqis

100 000 sounds over the top, it's probably closer to 23.000...which is still quite a lot

[ajimenez3]

I have one question for people who are so "shocked" with this corruption (which is unacceptable overall) case.

While PRIVATE corporations without strong political (regarding lack of connection between Haliburton and Bush gov... I recall that people in quite high position in Bush & Co Lie Corp, sorry goverment, have also held notable positions in Haliburton. I would call that pretty damn strong connection) connections committed crime in the case how many people they directly killed as a result? Tell me... How many? Sactions did indeed kill people but that was sanctions not corruption.

US invasion has killed this far closer to 100 000 iraqis (I count in the iraqi soldiers who died in invasion as well as civilians whom US military does not count since numbers would be counterproductive for their claims) and still going strong.

So which I consider more acceptable... Peace and some PRIVATE corruption or GOVERMENTAL corruption along with big piles of war, death and suffering.

"Peace and some PRIVATE corruption" Wow and no one person died during that whole time? So all the starving children and sick people who did not get the food and medicince they where suppose to where just figments of our imagination? All those 100,000's of people found in mass graves where also just imaginary.
To think we ruined a utopia and prestine exsistance of the Iraqi people.

Semper Fi
Arturo