report on programme manipulation - Independent Inquiry Committee

More documents

Recommendations

Info

INDEPENDENT INQUIRY COMMITTEE INTO THE UNITED NATIONS OIL-FOR-FOOD PROGRAMME REPORT ON PROGRAMME MANIPULATION CHAPTER TWO OIL TRANSACTIONS AND ILLICIT PAYMENTS Mr. Guillet has denied paying surcharges and has denied any knowledge of oil allocations offered to him personally. He further stated that he is not familiar with Aredio. There are two letters from Mr. Guillet to the Ministry of Oil nominating Aredio as the contracting company on his allocations. These letters, signed by Mr. Guillet, are issued within a few days prior to signing of Aredio contracts in phases X and XI. 103 Figure: Bernard Guillet nomination letters for Phases X and XI Mr. Guillet has questioned the authenticity of the letters and has claimed that these letters are forged. According to Mr. Firzli, he assisted Mr. Guillet in selling these allocations through Aredio. A combined surcharge of $1,111,874 was levied and paid for the two Aredio contracts. record, mission order (Jan. 22, 2001) (for Mr. Guillet’s mission to Beirut, Amman and Baghdad, February 4 to 18, 2001) (translated from French); Iraq official interviews; Tariq Aziz interview (Mar. 1, 2005). 103 Bernard Guillet interviews (Oct. 3 and 5, 2005); Bernard Guillet letter to the Committee (Oct. 21, 2005); Bernard Guillet letter to SOMO (Sept. 7, 2001) (translated from Arabic) (assigning two million barrels of oil to Aredio); Bernard Guillet letter to SOMO (Dec. 31, 2001) (translated from Arabic) (assigning Mr. Guillet’s allocation in Phase XI to Aredio). REPORT ON PROGRAMME MANIPULATION–OCTOBER 27, 2005 PAGE 60 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 surcharge payments associated with these contracts are discussed in further detail in Section VI.C. below. 104 D. CLAUDE KASPEREIT, E.O.T.C., AND MARC RICH + CO. Claude Kaspereit, a businessman and son of the French Parliamentarian Gabriel Kaspereit, was allocated a total of over 9.5 million barrels of oil from the Government of Iraq. Mr. Kaspereit used a France-based shell company, European Oil and Trading Company (“E.O.T.C.”), to enter into SOMO contracts to purchase oil under the Programme. Marc Rich + Co. Investment A.G. (“Marc Rich + Co.”) financed four million barrels of oil under E.O.T.C.’s contract in Phase IX. Marc Rich + Co. directed BNP Paris not to disclose its identity to BNP New York in connection with its financing of the United Nations contract. 105 Surcharges were imposed on the oil lifted by Marc Rich + Co. Mr. Kaspereit was aware that E.O.T.C. paid the surcharges levied on its contracts. His associate made the actual payments. According to an individual familiar with the companies, E.O.T.C. and Marc Rich + Co. agreed that the premium paid to E.O.T.C. would cover a commission and surcharge. The premium paid by Marc Rich + Co. of $0.30 to $0.40 per barrel was sufficiently high to cover both. 1. Background In 1998, after unsuccessful attempts to participate in the Programme by trading pharmaceuticals and cosmetic goods, Mr. Kaspereit established E.O.T.C. to trade Iraqi crude oil. In June 2000, Mr. Kaspereit arranged to charter a flight to Iraq, without United Nations authorization and in violation of the embargo, to generate publicity against the sanctions. This attracted the attention of the Iraqi leadership. Mr. Kaspereit invited several French activists known for their opposition to sanctions to join him on his flight to Baghdad, which took place in November 2000. His delegation was well-received by the leadership in Baghdad. Mr. Kaspereit later sent letters to a number of senior Iraqi officials, including Mr. Aziz, the Oil Minister, and SOMO Executive Director, thanking them for their warm reception. He requested that Mr. Aziz and Mr. Rashid convey to Saddam Hussein the group’s solidarity with the Iraqi people and their support for Saddam Hussein’s political action. 106 104 Confidential source; Elias Firzli interview (Oct. 14, 2005); Committee oil surcharge table, contract nos. M/10/82 and M/10/84. 105 Confidential source; Qui est Qui en France (36 th Ed.) (Jacques Lafitte S.A., 2004) (translated from French), p. 1106. 106 Confidential source; “French plane lands in Baghdad in defiance of UN air embargo,” Agence France Presse, Nov. 7, 2000; “Second embargo-breaking flight leaves Paris for Baghdad,” Agence France Presse, Nov. 7, 2000 (indicating that Mr. Kaspereit’s guests included, among others, Jany Le Pen, the President of the association SOS Enfants d’Irak and wife of National Front President Jean-Marie Le Pen); “Le site official de l’assocation S.O.S. Enfants d’Irak,” http://www.sosenfantsdirak.org; Qui est Qui en France (36 th Ed.) (Jacques Lafitte S.A., 2004) (translated from French), p. 1253; “Le Pen’s Wife Supports Sanctions- REPORT ON PROGRAMME MANIPULATION–OCTOBER 27, 2005 PAGE 61 OF 623
Page 1 and 2: INDEPENDENT INQUIRY COMMITTEE INTO
Page 51: INDEPENDENT INQUIRY COMMITTEE INTO
Page 102 and 103:
INDEPENDENT INQUIRY COMMITTEE INTO
Page 104 and 105:
Page 106 and 107:
Page 108 and 109:
Page 110 and 111:
Page 112 and 113:
Page 114 and 115:
Page 116 and 117:
Page 118 and 119:
Page 120 and 121:
Page 122 and 123:
Page 124 and 125:
Page 126 and 127:
Page 128 and 129:
Page 130 and 131:
Page 132 and 133:
Page 134 and 135:
Page 136 and 137:
Page 138 and 139:
Page 140 and 141:
Page 142 and 143:
Page 144 and 145:
Page 146 and 147:
Page 148 and 149:
Page 150 and 151:
Page 152 and 153:
Page 154 and 155:
Page 156 and 157:
Page 158 and 159:
Page 160 and 161:
Page 162 and 163:
Page 164 and 165:
Page 166 and 167:
Page 168 and 169:
Page 170 and 171:
Page 172 and 173:
Page 174 and 175:
Page 176 and 177:
Page 178 and 179:
Page 180 and 181:
Page 182 and 183:
Page 184 and 185:
Page 186 and 187:
Page 188 and 189:
Page 190 and 191:
Page 192 and 193:
Page 194 and 195:
Page 196 and 197:
Page 198 and 199:
Page 200 and 201:
Page 202 and 203:
Page 204 and 205:
Page 206 and 207:
Page 208 and 209:
Page 210 and 211:
Page 212 and 213:
Page 214 and 215:
Page 216 and 217:
Page 218 and 219:
Page 220 and 221:
Page 222 and 223:
Page 224 and 225:
Page 226 and 227:
Page 228 and 229:
Page 230 and 231:
Page 232 and 233:
Page 234 and 235:
Page 236 and 237:
Page 238 and 239:
Page 240:
show all

report on programme manipulation - Independent Inquiry Committee

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?