INDEPENDENT INQUIRY COMMITTEE INTO THE UNITED NATIONS OIL-FOR-FOOD PROGRAMME REPORT ON PROGRAMME MANIPULATION CHAPTER TWO OIL TRANSACTIONS AND ILLICIT PAYMENTS when transferring funds to Jabal and Petrocorp. Meanwhile, between August 2001 and December 2002, Petrocorp and Jabal transferred at least $4.2 milli<strong>on</strong> and €5.2 milli<strong>on</strong> to SOMO, again under names such as “Salim Ahmad” and “Murice Rizli.” 273 All of the wire transfers from Taurus Nevis to the Alc<strong>on</strong> and Fenar accounts, and from Alc<strong>on</strong> and Fenar to the Jabal and Petrocorp accounts, c<strong>on</strong>tained references to ships used to lift oil purchased under SOMO c<strong>on</strong>tracts and to payments for “loading fees.” Mr. Schenker directed ReviTrust to transfer funds from the Alc<strong>on</strong> and Fenar bank accounts to pay for invoices that were forwarded to ReviTrust from Taurus. According to <strong>on</strong>e ReviTrust official, an account officer at BNP Geneva requested a copy of these invoices. One of the initial invoices sent included a reference to “commissi<strong>on</strong>s,” which elicited a request by a BNP officer that the word “commissi<strong>on</strong>” be changed to “loading fees” in future invoices. 274 273 ReviTrust record, Fenar internal accounting spreadsheet (undated); ReviTrust record, Alc<strong>on</strong> internal accounting spreadsheet (undated); Patrick Hilty interview (Apr. 13, 2005); BNP Geneva record, Fenar account, credit advices (Sept. 17, 2001 to Nov. 25, 2002); BNP Geneva record, Alc<strong>on</strong> account, credit advices (Aug. 28, 2001 to Nov. 25, 2002); BNP Geneva record, Fenar account, debit advices (Sept. 25, 2001 to Nov. 29, 2002); BNP Geneva record, Alc<strong>on</strong> account, debit advices (Aug. 31, 2001 to Nov. 16, 2002); First Nati<strong>on</strong>al Bank record, Petrocorp account, debit advices (Oct. 10, 2001 to Dec. 9, 2002) (reflecting the transfer of €1.5 milli<strong>on</strong> and $2 milli<strong>on</strong> to SOMO); First Nati<strong>on</strong>al Bank record, Jabal account, debit advices (Aug. 11, 2001 to Nov. 2, 2002) (reflecting the transfer of €3.7 milli<strong>on</strong> and $2.2 milli<strong>on</strong> to SOMO). 274 BNP Geneva record, Fenar account, credit advices (Sept. 17, 2001 to Nov. 25, 2002) (referencing the Crude Tria, Kraka, Bosco Tapias, Crude Horn, Napa, Berge Phoenix, Olympia Spirit, Iria Tapias, Atalandi, Olympic Breeze, Crude Star, Gelibolu, Kristhild, Stena C<strong>on</strong>cept, Nuria Tapias, Crude Med, Stena C<strong>on</strong>stellati<strong>on</strong>, and Ness); BNP Geneva record, Fenar account, debit advices (Sept. 25, 2001 to Nov. 29, 2002) (referencing the same vessels); ReviTrust record, Fenar invoices to Taurus Nevis (Sept. 11, 2001 to Nov. 18, 2002) (referencing the same vessels); ReviTrust record, Petrocorp invoices to Fenar (Aug. 30, 2001 to Oct. 12, 2002) (referencing the same vessels); BNP Geneva record, Alc<strong>on</strong> account, credit advices (Aug. 28, 2001 to Nov. 25, 2002) (referencing the Sharvan, Dorset, Fr<strong>on</strong>t Champi<strong>on</strong>, Crude Horn, Napa, Crude Star, Crude Med, Venetia, Eat<strong>on</strong>, Berge, Ingerid, Pride Independence, Anc<strong>on</strong>a, Orient Tiger, Karvounis, Unicorn, Seas<strong>on</strong>g, Tamara, Berge Boss and Stena C<strong>on</strong>stellati<strong>on</strong>); BNP Geneva record, Alc<strong>on</strong> account, debit advices (Aug. 31, 2001 to Nov. 16, 2002); ReviTrust record (Alc<strong>on</strong> invoices to Taurus Nevis) (Aug. 17, 2001 to Nov. 18, 2002); Jabal invoices to Alc<strong>on</strong> (Aug. 16, 2001 to Oct. 15, 2002); Patrick Hilty interview (Apr. 13, 2005); SOMO commercial invoices, b/112/2001 (July 20, 2001), b/154/2001 (Sept. 13, 2001), c/123/2001 (Sept. 7, 2001), b/128/2001 (Aug. 8, 2001), b/111/2001 (July 19, 2001) b/216/2001 (Nov. 25, 2001), b/225/2001 (Dec. 12, 2001), b/194/2001 (Oct. 28, 2001), b/196/2001 (Oct. 30, 2001), b/159/2001 (Oct. 26, 2001), c/136/2001 (Sept. 24, 2001), b/92/2002 (May 22, 2002), b/19/2002 (Jan. 28, 2002), b/240/2001 (Dec. 31, 2001), c/6/2002 (Jan. 12, 2002), b/8/2002 (Jan. 16, 2002), b/7/2002 (Jan. 15, 2002), b/140/2002 (Aug. 12, 2002), b/129/2002 (Sept. 30, 2002), b/123/2002 (Sept. 24, 2002), b/114/2002 (Sept. 3, 2002), b/154/2002 (Sept. 24, 2002), b/162/2001 (Sept. 25, 2001), b/153/2001 (Sept. 13, 2001), c/114/2001 (Aug. 22, 2001), c/115/2001 (Aug. 23, 2001), c/91/2001 (July 18, 2001), b/132/2001 (Aug. 14, 2001), c/187/2001 (Dec. 13, 2001), c/51/2002 (June 1, 2002), c/48/2002 (May 30, 2002), b/75/2002 (Mar. 27, 2002), c/33/2002 (Mar. 8, 2002), b/20/2002 (Jan. 29, 2002), c/25/2002 (Feb. 27, 2002), b/155/2002 (Sept. 24, 2002), b/153/2002 (Sept. 22, 2002), b/136/2002 (Aug. 9, 2002), c/78/2002 (Aug. 1, 2002), c/72/2002 (July 21, 2002), b/116/2002 (July 13, 2002), c/69/2002 (July 12, 2002) (reflecting that the REPORT ON PROGRAMME MANIPULATION–OCTOBER 27, 2005 PAGE 138 OF 623
INDEPENDENT INQUIRY COMMITTEE INTO THE UNITED NATIONS OIL-FOR-FOOD PROGRAMME REPORT ON PROGRAMME MANIPULATION CHAPTER TWO OIL TRANSACTIONS AND ILLICIT PAYMENTS The invoices reviewed by the <strong>Committee</strong> reflect this use of the term “loading fees.” For example, <strong>on</strong> April 17, 2002, a Fenar invoice requested that Taurus Nevis pay the equivalent of $0.39 per barrel of the total crude loaded <strong>on</strong> a vessel under c<strong>on</strong>tract M/11/65. One m<strong>on</strong>th later, Petrocorp submitted an invoice to Fenar for the equivalent of $0.37 per barrel <strong>on</strong> the oil lifted by the same vessel. SOMO records reflect that the surcharge imposed <strong>on</strong> c<strong>on</strong>tract M/11/65, accounting for different destinati<strong>on</strong> rates, equated to an average surcharge of $0.26 per barrel. 275 vessels Crude Tria, Kraka, Bosco Tapias, Crude Horn, Napa, Berge Phoenix, Olympia Spirit, Iria Tapias, Atalandi, Olympic Breeze, Crude Star, Gelibolu, Kristhild, Stena C<strong>on</strong>cept, Nuria Tapias, Crude Med, Stena C<strong>on</strong>stellati<strong>on</strong>, Ness, Sharvan, Dorset, Fr<strong>on</strong>t Champi<strong>on</strong>, Venetia, Eat<strong>on</strong>, Berge Ingerid, Pride Independence, Anc<strong>on</strong>a, Orient Tiger, Karvounis, Unicorn, Seas<strong>on</strong>g, Tamara, Berge Boss, and Dundee transported oil purchased under SOMO sales c<strong>on</strong>tracts, nos. M/10/03 (undated), M/10/17 (July 12, 2001), M/10/59 (Aug. 21, 2001), M/11/25 (Dec. 19, 2001), M/11/43 (Dec. 23, 2001) M/12/35 (June 13, 2002), (c<strong>on</strong>tracting with Alc<strong>on</strong>); M/10/09 (July 10, 2001), M/10/96 (Oct. 6, 2001), M/11/65 (Jan. 8, 2002), M/11/67 (Jan. 8, 2002), M/12/39 (June 13, 2002) (c<strong>on</strong>tracting with Fenar)). Fees for the Dundee were included in the wire transfer from S<strong>on</strong>atrach Petroleum Limited to Alc<strong>on</strong>. BNP Geneva record, Alc<strong>on</strong> account, credit advice (Dec. 24, 2001). 275 ReviTrust record, Fenar invoice to Taurus Nevis (Apr. 17, 2002), Petrocorp invoice to Fenar (May 25, 2002); SOMO sales c<strong>on</strong>tract, no. M/11/65 (Jan. 8, 2002) (c<strong>on</strong>tracting with Fenar) (recording that the Olympic Breeze transported oil purchased by Fenar). REPORT ON PROGRAMME MANIPULATION–OCTOBER 27, 2005 PAGE 139 OF 623