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June 27, 2005

Can It Prevent Monetizing Mercy?
By KATHY KELLY
Where is the UN?
In Baghdad, under economic sanctions, landing a job in a hotel offered at least a steady pittance of earnings.

Some men made ends meet by working two eight hour shifts in different hotels.

A dignified, well educated fellow would don a restaurant worker’s uniform in one hotel to serve tables all day and then quickly change into the uniform of a maintenance crew worker at the hotel across the street so that he could spend the next eight hours sweeping up cigarette butts.

But over time, in spite of the glaring disparities between their material well being and ours, durable friendships developed between members of Voices in the Wilderness delegations and the workers at hotels where we stayed.

When, on rare occasions, we’d visit their homes, we’d leave wishing we could alleviate the harsh circumstances in which they lived.

Especially during rainy, cold or extremely hot seasons, their homes were inadequate shelters. And they would never be able to save any money to get ahead working at the hotels.

Most of the men I knew no longer work at the hotels. Now that Baghdad is the most dangerous city in the world, random groups fire mortars, bombs, and other explosives at hotels. Some men were willing to risk staying on the job but were laid off by managers who, with few guests, couldn’t meet payrolls.

We’ve lost contact with most of our old friends. We often worry about them. But, occasionally, an email will arrive. Here is an excerpt from a letter sent June 4, 2005, from Ali, a gardener, a man who treated plants and people with great tenderness. He also admired Gandhi and, after the Occupation began, spoke at length with us about how much hope he placed in the possibility that nonviolent movements could emerge in Iraq.

Ali wrote:
“What happened in US if any one from US army feels hungry? For sure you all now saying the US government will do all they can to do, even they will send in… many airplanes … bringing all the best types of good energy foods and best supplements to make them (the army) stronger to kill the life in poor people. BUT, what about if any one from Iraqi people feels hungry?

Simply the answer is no one will care about us…

In every month when Iraqi families go to the shops to get the (oil for food rations) foods, we just get some of the things:
1. Tea.
2. Milk of adults.
3. Soap.
4. Oils.
5. Sugar (some months).
And other important types are not found:
1. Milk of babies.
2. Rice.
3. Flour.
4. beans.
So, why we are still suffering from hungry and may be some families rich or they have the ability of shopping but what about others sleeping without dinner and what about the crying of baby for milk and his mother dying to give it to him, crying...who give mercy to her and her baby? Where is Bush and his flag he carried to bring the democracy and freedom? Who is the hero in our government...and why all the world organizations still silent and where is the UN?”

Where is the UN?

It’s unthinkable, but an honest answer to Ali’s question about the UN would acknowledge that in two days time, the UN will very likely tighten the thumbscrews still further in afflicting pain on innocent Iraqis. June 28–30, 2005, the United Nations Compensation Commission (UNCC) will hold its final round of discussions before determining how much of an outstanding 65 billion in reparations Iraq should be required to pay for Saddam Hussein’s 1990-91 warmaking.

Forbade to see claims against them

In the years between 1996–2003, the UNCC approved 52.1 billion in payment to individuals, companies and countries. As one of the most secretive of all UN organizational structures, the UNCC forbade the Iraqi negotiators to see many of the claims made against them, refused to allow Iraq to contest claims it did see, and forced the Iraqis to underwrite expenses for translation of all documents as it insisted that no discussions be held in Arabic.

The UNCC could have chosen to pay the individual claimants but then ask the countries and companies, many of them quite wealthy, to wait until Iraq was first able to meet the needs of starving and diseased children. It could still choose to give priority to alleviating suffering in Iraq.

Instead, after all of the decisions are recorded, after the lawyers, accountants, claims analysts, secretaries, translators, and negotiators sign off on their part in the procedures, Iraq will very likely face demands to continue using its desperately needed oil revenue to pay reparations to claimants whose complaints are deemed more worthy of attention than the pleas raised in Ali’s letter.

In the coming months, Ali may find that world bodies such as the IMF and the World Bank, when they step up to the plate to negotiate payment schedules that Iraq will be forced to meet, will insist that Iraq’s government impose austerity measures such as “monetizing subsidies.”

Must pay for ration baskets

In other words, the mothers whose lament Ali wants us to hear would be told that they must pay for their meager ration baskets.

Today is the 60th birthday of the United Nations. In only six decades, the UN mission to eliminate the scourge of warfare and uphold basic human rights has scored remarkable gains. In many disputes, worldwide, the UN is the only referee on the bench.

And yet, the warmakers, weapon manufacturers and rabid money makers have held on to and gained significant footholds within the UN.

85% of world’s weapon sales controlled by five veto bearing members

85% of the world’s weapon sales are controlled by the five veto bearing members of the UN Security Council; in very recent history, The U.S. and the UK have used the UN to wage economic and military warfare against innocent people in Iraq.

And the UNCC has been a black stain on UN history.

There are no adequate answers to Ali’s anguished letter. In a fair and just world governance, the US would be required to pay reparations to Iraq.

Such justice seems utterly elusive right now, but those of us who live in countries where we ostensibly can influence our governments, bear responsibility to break silence and hold up a mirror to reveal the greatest scandals happening within the UN at the behest of the Security Council.

Perhaps future generations can one day celebrate the rebirth of a UN committed to paying recompense to those who are most in need, a UN unshackled from the demands of warmakers and money mongers.



June 23, 2005

Fasting in Geneva
By KATHY KELLY
Where You Stand Determines What You See...And How You Live


T
hat’s how Voices in the Wilderness members began our statement explaining why we’d decided to stay in Baghdad during the 2003 Shock and Awe bombing of Iraq.

During the long war of the economic sanctions, we had stood at the bedsides of numerous mothers who held dying infants and looked at us with imploring eyes, asking “Why?”

We saw too much of the catastrophic military and economic violence inflicted on ordinary Iraqis to ever consider giving up on efforts to end UN/US economic sanctions.

We had returned to our homes haunted by the gasps of children in hospital wards that served as little more than “death rows” for infants, and we had tried to alert people in the U.S. and the U.K., people with some level of control over their governments, about how those governments brutally and lethally punished Iraqi children for political actions they could not control.

Where you stand determines what you see.

For the latter half of June, eight of us will do plenty of standing, again in opposition to economic punishment of ordinary Iraqis, with children bearing the hardest punishment.

We’re fasting for fifteen days leading up to the June 28-30 UNCC deliberations over whether to saddle the poorest Iraqis with billions of dollars of Saddam Hussein’s debt.

We’re standing in Geneva, which is one of the most comfortably elegant cities in the world, and where the future of one of the world’s most desperate countries will be decided.

Although I’m fasting here, taking only water (and that morning cup of coffee), I feel awkward about living in such an exquisitely cushy environ while trying to speak up for people who are going to bed hungry in deteriorating homes, lacking access to clean water, exasperated and frightened by round after round of violence, and bearing scorching temperatures that won’t let up for another two months.

The Iraqis I’m fasting for will never see the people we see entering the United Nations Compensation Commission (UNCC).

You, too, are accountable

We stand in front of the entrance to the UN in Geneva, holding signs and banners that say to the UNCC, “You, too, are accountable.  In your meetings, June 28 – 30, please discuss justice for Iraqis.”

The UNCC’s officials, accountants, claims analysts, and lawyers have played a crucial role in manipulating Iraq’s economy throughout the last decade.

Quite possibly few have visited Iraq or read the reports filed by their colleagues in the World Health Organization, UNICEF or the Food and Agriculture Organization.

We met the people filing those reports regularly, on every visit to Baghdad.

They often implored us to go back to the U.S. and beg our government to recognize that economic sanctions punished the most vulnerable people in Iraq.

They showed us tables and accounting which proved that over 500,000 young children, - half a million children under the age of five - might have survived if the sanctions had not crushed Iraq’s economy and prevented Iraq from continuing a trend that was steadily reducing infant mortality rates.

Gravely contradicted fundamental UN mandates

For UNCC workers who read the accounts, it must have been difficult to cooperate with the U.S. and UN in a strange set of priorities that gravely contradicted fundamental UN mandates.

After the UN Security Council established the oil for food program in 1996, the Saddam Hussein government, desperate for more oil revenue, agreed to pay 30% of Iraq’s oil revenue, yearly to compensate countries, corporations and individuals claiming damages from Hussein’s invasion 1990-1991 invasion of Kuwait.

All of the claims to individuals, claims which amounted to 3 billion dollars, have now been settled by the UNCC.

It’s easy to imagine needy individuals submitting those claims.

But beyond the individual claims, shouldn’t the UNCC members have re-examined their priorities?

They could have told the wealthy you have to wait

They could have told the wealthy countries and corporations with outstanding claims, “We’re sorry, but you will have to wait.  Iraq’s oil resources should immediately be reinvested into Iraq to give the people there, particularly the children, a chance to survive.”

This sort of statement would have cohered with UN mandates to protect the rights of children and uphold human rights.

Saddam Hussein’s regime showed ruthless disregard for the rights of its citizens.

But the oil-for-food program, with all of its flaws, did save lives and many more could have been saved had their been more revenue available and had the UNCC showed more urgent compassion for humanitarian concerns.

Some UNCC workers clearly were troubled.  We’ve recently learned of two lawyers who resigned for conscientious reasons.

52.1 billion dollars paid to rich

But for the most part, the system moved along, and you can examine multiple lists, for each year between 1996 and 2003, of countries and corporations whose claims for many billions of dollars were paid out, from Iraqi oil revenue, after the UNCC deemed their claims to be just.

So far, the UNCC has approved 52.1 billion of Iraqi oil revenue in payment to individuals, companies and governments.

That was their priority.

Allowing Iraqi oil revenue to pay for food and medicine that could have saved hundreds of thousands of children seems not to have been part of their discussions.

From June 28 – 30, the UNCC will hold its final round of discussions before determining how much more of an outstanding 65 billion in reparation and debt Iraq should be required to pay for the 1990-91 war making.

This time, it’s crucial to assure that members of the UNCC are fully aware of Jean Zeigler’s UNICEF report which states that 7.7% of Iraqi children under age are currently suffering from acute malnourishment.

It’s vitally important that they read the May 2005 UNDP report that details catastrophic conditions because of impure water, erratic electricity, and high unemployment.

A June 17, 2005 World Food Program report should be on their agenda.

Rice, sugar, milk and infant formula

It shows significant shortfalls in rice, sugar, milk and infant formula.

A recent UN survey notes that more than half the population lives below the poverty line.

The median income fell from $255 in 2003 to $144 in 2004.

Put these reports together and its tragically easy to see that the 7.7% of Iraqi children under age five suffering from acute malnourishment, a disease often referred to as wasting, might not survive more cuts in Iraq’s budget for human services.

Hans von Sponeck, a former UN Humanitarian Coordinator in Iraq, who resigned his post as an act of conscience, stood with us on the first two days of our fast.

Speaking to a Reuters reporter, Hans said, “It is incredible that these people, completely outside the structure, should be bringing a message that they should know inside.”

Gesturing at the buildings across the street, Hans laid out the responsibility the people inside the UNCC bore for violating the UN charter.  “The UNCC has no legitimacy for one day longer, “ he said.  “It is not a colonial master.”

Hans von Sponeck also pointed out that you can’t have it both ways.

If Iraq is now a soverign country

If Iraq is now a sovereign country, then the Iraqi government should be negotiating how much money it owes to creditors.

Our literature calls for a cancellation of all of Iraq’s outstanding debt and a moratorium on reparations payments.

Various UN workers stop to chat with us from time to time.  One told us to be assured that members of the UNCC were very aware of our presence.

An accountant told me that he was terribly troubled by policies that lined the pockets of wealthy companies and contributed toward suffering of innocent people.

“Accountants can find a kind of relief in just working with numbers,” he said, looking bemused.  “Numbers don’t talk back.”

Neither do dying children.

International conscience must be represented by those willing to stand up for them, within the UN and in every community that believes Iraq's children have a right to live.


Kathy Kelly is a co-coordinator of Voices in the Wilderness (www.vitw.org).  Her book, Other Lands Have Dreams, was recently published by Counterpunch.





 




The Los Angeles Times - latimes.com

June 22, 2005
Worries Raised on Handling of Funds in Iraq
  • A hearing details the transfer of $2.4 billion in $100 bills to Baghdad in 2004 and the billions more sent before. U.S. oversight is questioned.
  • WASHINGTON — It weighed 28 tons and took up as much room as 74 washing machines.  It was $2.4 billion in $100 bills, and Baghdad needed it ASAP.

    The initial request from U.S. officials in charge of Iraq required the Federal Reserve Bank of New York to decide whether it could open its vault on a Sunday, a day banks aren't usually open.

    "Just when you think you've seen it all," read one e-mail from an exasperated Fed official.

    "Pocket change," said another e-mail.

    Then, when the shipment date changed, officials had to scramble to line up U.S. Air Force C-130 cargo planes to hold the money.  They did, and the $2,401,600,000 was delivered to Baghdad on June 22, 2004.

    It was the largest one-time cash transfer in the history of the New York Fed.

    Disclosure of the frantic transfer in the final days of U.S. control over Iraq came during a daylong hearing Tuesday that indicated growing worry from Congress over U.S. oversight of spending in Iraq.

    Both Republicans and Democrats appeared taken aback by the volume of cash sent to Iraq: nearly $12 billion over the course of the U.S. occupation from March 2003 to June 2004, said a report by Rep. Henry A. Waxman (D-Los Angeles), who had reviewed e-mails and documents subpoenaed from the bank.

    The cash — a total of 363 tons, generated mostly from oil revenues — was Iraqi funds that had been held in trust by the Federal Reserve under the terms of a United Nations resolution.

    The June 2004 money transfer was needed to run the country as the interim Iraqi government took over from the U.S.-led Coalition Provisional Authority, officials said.

    Rep. Christopher Shays ( R-Conn.), chairman of the House national security subcommittee, criticized the Pentagon's handling of the money known as the Development Fund for Iraq.

    "It's very clear that … we didn't have systems in place to account" for the funds, he said.

    "It doesn't mean they weren't spent well, but, given my sense of human temptation, I suspect some of it was, frankly, taken," Shays said.

    "I can't believe that all this cash just floating around all went perfectly to the right place."

    Those concerns were echoed by Democrats on the panel, who criticized Halliburton Co., the oil services firm once run by Vice President Dick Cheney.

    Democrats repeatedly have questioned the use of the Iraqi funds to pay Halliburton, pointing to Pentagon audits that found the company might have overcharged as much as $200 million for fuel and other purchases.

    And lawmakers from both parties criticized the Pentagon for failing to turn over complete copies of the audits to a U.N. board that monitored the Iraqi funds.

    There was "hardly any accountability," Rep. Dennis J. Kucinich (D-Ohio) said.

    "In effect, we were handing out $100 bills on contracts like candy."

    Defense Department officials at the hearing acknowledged weaknesses in the system but said that much of the money had been handed over to Iraqi officials, who then spent it on governmental expenses, such as worker salaries.

    Prior audits by Stuart W. Bowen Jr., the special inspector general for Iraq reconstruction, found that more than $8.8 billion in such funds could not be properly accounted for.

    "There were observable results of what that money was spent on," said Joseph Benkert, deputy director for the Pentagon's Iraq reconstruction office.

    "Salaries for hundreds of thousands of government employees were paid.  We know for a fact that the government workers were paid.  Government ministries operated.  We know that they operated.  Various projects were done on behalf of those ministers, and we know what those projects are."

    Defense officials defended their deletion of information from audits related to Halliburton's performance that had been turned over to the International Advisory and Monitoring Board, appointed by the U.N. to oversee the spending of Iraqi funds.

    They acknowledged that Halliburton had requested that information in the audits be withheld, including allegations that the firm had spent too much money in purchasing fuel.  By law, contractors can request that the government withhold any proprietary information from release.

    Halliburton said that KBR, a subsidiary firm, had requested the removal of information considered sensitive, but that final approval for the redactions rested with the government.

    "Any attempt to criticize KBR for its role in this perfectly normal and legal part of the contracting process is unfounded," Cathy Mann, a Halliburton spokeswoman, said in an e-mail.  "Our requests for redaction were just that — requests.  These redactions were ultimately reviewed and evaluated by [the government], and some were accepted and some were overruled."

    Bowen, who testified at the hearing, said investigations were continuing into the spending of Iraqi funds.

    He said that at least three cases of possible fraud involving the funds were recently referred for criminal prosecution to the Justice Department.  The cases stemmed from spending by U.S. officials at an outpost in Hillah, Iraq, south of Baghdad.

    "This was an enormously challenging situation," Bowen said.

    "Inevitably in such an environment, with so much cash, and such an enormous task and limited resources … there were inefficiencies, and we found them."








     
    Common Dreams NewsCenter
     
    Published on Friday, June 10, 2005 by The Nation
    A Noose, Not a Bracelet
    by Naomi Klein
     
    Gordon Brown has a new idea about how to "make poverty history" in time for the G-8 summit in Scotland.

    With Washington so far refusing to double its aid to Africa by 2015, the British Chancellor is appealing to the "richer oil-producing states" of the Middle East to fill the funding gap.

    "Oil wealth urged to save Africa," reads the headline in London's Observer.

    Here is a better idea: Instead of Saudi Arabia's oil wealth being used to "save Africa," how about if Africa's oil wealth was used to save Africa — along with its gas, diamond, gold, platinum, chromium, ferroalloy and coal wealth?

    With all this noblesse oblige focused on saving Africa from its misery, it seems like a good time to remember someone else who tried to make poverty history:  Ken Saro-Wiwa, who was killed ten years ago this November by the Nigerian government, along with eight other Ogoni activists, sentenced to death by hanging.

    70 percent of Nigerians still live on less than $1 a day.  Shell is making superprofits

    Their crime was daring to insist that Nigeria was not poor at all but rich, and that it was political decisions made in the interests of Western multinational corporations that kept its people in desperate poverty.

    Saro-Wiwa gave his life to the idea that the vast oil wealth of the Niger Delta must leave behind more than polluted rivers, charred farmland, rancid air and crumbling schools.

    He asked not for charity, pity or "relief" but for justice.

    The Movement for the Survival of the Ogoni People demanded that Shell compensate the people from whose land it had pumped roughly $30 billion worth of oil since the 1950s.

    The company turned to the government for help, and the Nigerian military turned its guns on demonstrators.

    Before his state-ordered hanging, Saro-Wiwa told the tribunal, "I and my colleagues are not the only ones on trial.  Shell is here on trial.... The company has, indeed, ducked this particular trial, but its day will surely come."

    Ten years later, 70 percent of Nigerians still live on less than $1 a day and Shell is still making superprofits.

    Equatorial Guinea, which has a major oil deal with ExxonMobil, "got to keep a mere 12 percent of the oil revenues in the first year of its contract," according to a 60 Minutes report — a share so low it would have been scandalous even at the height of colonial oil pillage.

    This is what keeps Africa poor:  not a lack of political will but the tremendous profitability of the current arrangement.

    Highest returns on foreign direct investment

    Sub-Saharan Africa, the poorest place on earth, is also its most profitable investment destination:  It offers, according to the World Bank's 2003 Global Development Finance report, "the highest returns on foreign direct investment of any region in the world."

    Africa is poor because its investors and its creditors are so unspeakably rich.

    The idea for which Saro-Wiwa died fighting — that the resources of the land should be used to benefit the people of that land — lies at the heart of every anticolonial struggle in history, from the Boston Tea Party to Iran's turfing of the Anglo-Iranian Oil Company in Abadan.

    This idea has been declared dead by the European Union's Constitution, by the National Security Strategy of the United States of America (which describes "free trade" not only as an economic policy but a "moral principle") and by countless trade agreements.  And yet it simply refuses to die.

    Nationalize the government

    You can see it most clearly in the relentless protests that drove Bolivia's president, Carlos Mesa, to offer his resignation.  A decade ago Bolivia was forced by the IMF to privatize its oil and gas industries on the promise that it would increase growth and spread prosperity.

    When that didn't work, the lenders demanded that Bolivia make up its budget shortfall by increasing taxes on the working poor.

    Bolivians had a better idea — take back the gas and use it for the benefit of the country.

    The debate now is over how much to take back.

    Evo Morales's Movement Toward Socialism favors taxing foreign profits by 50 percent.

    More radical indigenous groups, which have already seen their land stripped of its mineral wealth, want full nationalization and far more participation, what they call "nationalizing the government."

    We cannot avoid this

    You can see it too in Iraq.  On June 2 Laith Kubba, spokesman for the Iraqi prime minister, told journalists that the IMF had forced Iraq to increase the price of electricity and fuel in exchange for writing off past debts:  "Iraq has $10 billions of debts, and I think we cannot avoid this."

    But days before, in Basra, a historic gathering of independent trade unionists, most of them with the General Union of Oil Employees, insisted that the government could avoid it.

    At Iraq's first antiprivatization conference, the delegates demanded that the government simply refuse to pay Saddam's "odious" debts and opposed any attempts to privatize state assets, including oil.

    Neoliberalism, an ideology so powerful it tries to pass itself off as "modernity" while its maniacal true believers masquerade as disinterested technocrats, can no longer claim to be a consensus.

    It was decisively rejected by French voters when they said No to the EU Constitution, and you can see how hated it has become in Russia, where large majorities despise the profiteers of the disastrous 1990s privatizations and few mourned the recent sentencing of oil oligarch Mikhail Khodorkovsky.

    All of this makes for interesting timing for the G-8 summit.

    Geldof's bracelet — how about a noose?

    Bob Geldof and the Make Poverty History crew have called for tens of thousands of people to go to Edinburgh and form a giant white band around the city center on July 2 — a reference to the ubiquitous Make Poverty History bracelets.

    But it seems a shame for a million people to travel all that way to be a giant bauble, a collective accessory to power.

    How about if, when all those people join hands, they declare themselves not a bracelet but a noose — a noose around the lethal economic policies that have already taken so many lives, for lack of medicine and clean water, for lack of justice.

    A noose like the one that killed Ken.


    © Copyright 2005 The Nation





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    For archive purposes, this article is being stored on TheWE.cc website.