also, despite all the possible aid to the Iraqi people, the overhead and clean-up will be likely supplied by Bush cronies, who will profit mightily.
JD
(hi, Paul!)
-----Original Message-----
From: Paul_A
To: [EMAIL PROTECTED]
Sent: 3/21/2003 10:00 AM
Subject: [PEN-L:35871] Politics of 'Oil for Food': The big catch
>
>http://www.moscowtimes.ru/stories/2003/03/20/042.html
>Thursday, Mar. 20, 2003. Page 7
>
>Report: U.S. Plans to Tap $40Bln Iraq Account
In itself, the current proposal of Kofi Anon is technical and almost
required: the residual unspent amounts left over from the sale of Iraqi
oil
under the sanctions (in the billions) will be needed by desperate and
suffering people. So the U.N. Secretariat should be authorized to use
the
residual funds quickly on its own since there will be no Iraqi
government
in the picture (the current Resolution requires the UN Secretariat to
use
lengthy procedures involving the Iraqi government and the Security
Council).
The catch - who will control the NEXT batch of Iraqi oil to be sold
(and,
of course, for the long term)? The Military Government? Under what
rules? For example:
- Will 'humanitarian needs' include 'public safety' and thus
reimburse the U.S./UK for the costs of the occupation?
- The current 'Oil for Food' took billions (25% or maybe some
$10
billion?) from Iraq and gave it to other countries as war
reparations (surpassing Versailles). Now will the US/UK receive
reparations for the cost of the war using this precedent?
- Until there is a legally recognized national Government, who
will control the oil fields and sell the oil? U.S./UK oil companies
under
a leasing arrangement with the Military Government? (Of course this
leads
to the issue of the ultimate privatization of the oil fields
themselves.)
There is one big point of leverage over the US/UK. To export Iraqi oil
legally (other than through 'Oil for Food') there will have to be a
Security Council Resolution. Could the US/UK try to attach the first
steps
in this direction to a more innocuous Resolution? The press reports
that
the US/UK have floated a private draft of a new 'Oil for Food'
resolution. Alternatively they may have to wait for some weeks or
months,
when there is an impending crisis as the residual funds run out and when
they have some sort of local Iraqi partners.
