Sunday, February 05, 2006

Oil for Food

Such a scandal:

BAGHDAD, Iraq, Feb. 4 — Iraqi and American officials say they are seeing a troubling pattern of government corruption enabling the flow of oil money and other funds to the insurgency and threatening to undermine Iraq's struggling economy.

In Iraq, which depends almost exclusively on oil for its revenues, the officials say that any diversion of money to an insurgency that is killing its citizens and tearing apart its infrastructure adds a new and menacing element to the challenge of holding the country together.

In one example, a sitting member of the Iraqi National Assembly has been indicted in the theft of millions of dollars meant for protecting a critical oil pipeline against attacks and is suspected of funneling some of that money to the insurgency, said Radhi Hamza al-Radhi, the chairman of Iraq's Commission on Public Integrity. The indictment has not been made public.

The charges against the Sunni lawmaker, Meshaan al-Juburi, lend credence to the suspicions of Iraqi officials that the insurgency is profiting from Iraq's oil riches.

In another incident, the director of a major oil storage plant near Kirkuk was arrested Saturday, with other employees and several local police officials, and charged with helping to orchestrate a mortar attack on the plant on Thursday, a Northern Oil Company employee said. The attack resulted in devastating pipeline fires and a shutdown of all oil operations in the area, said the employee, who was granted anonymity because he was not authorized to speak publicly about the matter.