ACCESSION NUMBER:374659
FILE ID:EUR509
DATE:01/13/95
TITLE:U.S. ACCUSES IRAQ OF SELLING OIL THROUGH IRAN (01/13/95)
TEXT:*EUR509 01/13/95
U.S. ACCUSES IRAQ OF SELLING OIL THROUGH IRAN
(Text: Albright remarks to U.N. Security Council) (1190)
United Nations -- The United States January 12 alleged that Iraq is
illegally selling oil at $5 a barrel through Iran rather than accept the
U.N.-approved plan to sell oil at $8 or $9 a barrel to help the Iraqi
people.
In a presentation during the U.N. Security Council's private periodic review
of Iraqi sanctions, U.S. Ambassador Madeleine Albright said that "we do not
understand why Iraq complains about the suffering of the Iraqi people and
yet refuses to accept a mechanism that is specifically designed to help
alleviate their plight."
"Use of this mechanism would yield $8 to $9 for each barrel of Iraqi oil to
be spent on food, medicine, and other needs of the Iraqi people. Instead,
the regime, in an arrangement that violates relevant Security Council
resolutions, sells oil through Iran for as little as $5 per barrel, so that
it can use the revenues for its own needs," the ambassador said in the
statement, which was released to the press.
The United States reported the Iraqi oil sales to the council's Sanctions
Committee in December.
Under the oil sale scheme approved by the council, Iraq would be allowed to
sell up to $1,600 million in oil under U.N. scrutiny, with the money to go
for humanitarian goods and food and to pay reparations and other gulf war
obligations.
The council determined that the situation with Iraq had not improved enough
to warrant any change in sanctions.
Following is the text of Albright's remarks:
(begin text)
With today's review, this council -- with five new members -- has once again
1xpressed its will that Iraq must comply fully and unconditionally with all
relevant Security Council resolutions. One of the foundations of UNSCR 687
is the council's need to be assured of Iraq's peaceful intentions, which is
measured by full compliance, not by grudging half-measures.
Such assurances would be prudent under any circumstances. They become
imperative when dealing with a regime which has established an undisputed
track record of violating solemn agreements, claiming cooperation when in
fact deliberately concealing truth, attempting to evade sanctions by
subterfuge, refusing to be forthcoming on humanitarian issues, and causing
untold suffering to its own population through repression and deprivation
of the most basic human services. What do Saddam's threats against UNSCOM
and his belligerent troop movements last October suggest about his
intentions? What should we conclude from his January 5 speech, calling for
missile attacks on Israel? Anyone who compared it with his similar
speeches of the spring of 1990 would have to conclude that Saddam has
learned nothing about the concept of peaceful intentions.
This council's firm refusal to take a narrow view of what Iraq must do to
have the sanctions lifted and its refusal to be satisfied with partial
compliance resulted in a major achievement for the council in November when
Iraq unconditionally accepted Kuwait's borders and sovereignty. Baghdad's
difficulty in accepting that step suggests that continued firmness and
consistency in demanding that the terms of relevant UNSC resolutions be met
-- and met fully -- is the only viable way to achieve our common
objectives.
The council publicly acknowledged the importance of Iraq's recognition of
Kuwait when it occurred -- and stands willing to recognize further steps if
and when Iraq takes them. Unfortunately, Iraq has done nothing since its
recognition of Kuwait last November to move closer to full compliance.
Hundreds of Kuwaitis taken by Iraq during the invasion and occupation remain
unaccounted for. For the last four months, Iraq has claimed to be
cooperating fully with the International Red Cross, yet the results have
been almost non-existent. If Iraq had truly spent these few months in a
search for information about these cases, I am confident that, just as with
the "missing documents" on its weapons programs, it would have been able to
produce some concrete results.
A huge store of Kuwaiti national property, including armaments and
equipment, looted during the occupation, remains in Iraqi hands. Some of
the most dangerous offensive weapons were used during Iraq's failed attempt
last October to intimidate its neighbors and the council. This militarily
significant equipment, if it remains in Iraq, remains a threat to regional
security. The council has made clear that the compensation mechanism is
not an acceptable alternative to their immediate return.
Iraq has not ended its support for terrorism. Repression of the Shi'a and
Kurds continues unabated, as does the Iraqi internal embargo against food,
medicine and electricity for its northern provinces.
While weapons of mass destruction (WMD) are not technically covered in this
review cycle, some argue Iraq has recently improved its cooperation in this
area. In fact, UNSCOM Chairman Ekeus' December report, and his oral update
this week, make clear that the regime continues to hinder the commission's
work, and lower our confidence in Iraq's readiness to cooperate. Credit
for progress in setting up a program to monitor Iraq's capability to
develop such weapons belongs to Chairman Ekeus and his team, not Saddam's
regime. Indeed, UNSCOM is convinced that Iraqi authorities have made a
conscious decision not to release information on their past weapons
programs to UNSCOM. As Chairman Ekeus noted in his December report, such
information is a prerequisite to setting up an effective monitoring regime.
And any discussion of the viability of such a regime over the long term is
purely academic until remaining gaps in our understanding of past programs
are filled. One cannot monitor something when one does not know its
1imensions, and we cannot make a judgment about the functioning of the
monitoring system until its dimensions have been clearly and fully
established.
We would also like to see Iraq accept and implement resolutions 706 and 712
which would authorize limited oil sales for humanitarian relief. This
would show that Iraq respects and is ready to cooperate with the council.
Frankly, we do not understand why Iraq complains about the suffering of the
Iraqi people and yet refuses to accept a mechanism that is specifically
designed to help alleviate their plight. Use of this mechanism would yield
$8 or $9 for each barrel of Iraqi oil, to be spent on food, medicine and
other needs of the Iraqi people. Instead, the regime, in an arrangement
that violates relevant Security Council resolutions, sells oil through Iran
for as little as $5 per barrel, so that it can use the revenues for its own
needs.
The council's experience with Iraq shows that threats, violence and
deception must be met with firmness; only that resolve has resulted in the
limited implementation Iraq has shown so far. Premature action by this
council that would encourage Iraq to believe it can selectively choose the
manner of its compliance will result in no compliance at all.
My government is determined to oppose any modification of the sanctions
regime until Iraq has moved to comply with all its outstanding obligations.
With its action today, this council has advanced the goal of ensuring full
Iraqi compliance with all the UNSC resolutions.
(end text)
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