Iraqis money going straight to Halliburton, Texaco, etc.

Reparation in Reverse by Naomi Klein

Next week, something will happen that will unmask the upside-down morality of the invasion and occupation of Iraq. On October 21, Iraq will pay $200-million in war reparations to some of the richest countries and corporations in the world.

If that seems backwards, it's because it is. Iraqis have never been awarded reparations for any of the crimes they have suffered under Saddam, or the brutal sanctions regime that claimed the lives of at least half a million people, or the U.S.-led invasion, which United Nations Secretary-General Kofi Anan recently called "illegal." Instead, Iraqis are still being forced to pay reparations for crimes committed by their former dictator.

Since Saddam was toppled in April, Iraq has paid out $1.8-billion in reparations to the United Nations Compensation Commission (UNCC), the Geneva-based quasi tribunal that assesses claims and disburses awards. Of those payments, $37-million have gone to Britain and $32.8-million have gone to the United States. That's right: in the past 18 months, Iraq's occupiers have collected $69.8-million in reparation payments from the desperate people they have been occupying. But it gets worse: the vast majority of those payments--78 per cent--have gone to multinational corporations, according to statistics on the UNCC website.

Away from media scrutiny, this has been going on for years. Of course there are many legitimate claims for losses that have come before the UNCC: payments have gone to Kuwaitis who have lost loved ones, limbs, and property to Saddam's forces. But much larger awards have gone to corporations--of the total amount the UNCC has awarded in Gulf War reparations, $21.5-billion has gone to the oil industry alone. Jean-Claude Aimé, the UN diplomat who headed the UNCC until December 2000, publicly questioned the practice. "This is the first time as far as I know that the UN is engaged in retrieving lost corporate assets and profits," he told the Wall Street Journal in 1997, and then mused: "I often wonder at the correctness of that."

But the UNCC's corporate handouts only accelerated. Here is a small sample of who has been getting "reparation" awards from Iraq: Halliburton ($18-million), Bechtel ($7-million), Mobil ($2.3-million), Shell ($1.6-million), Nestle ($2.6-million), Pepsi ($3.8-million), Philip Morris ($1.3-million), Sheraton ($11-million), Kentucky Fried Chicken ($321-thousand) and Toys R Us ($189,449). In the vast majority of cases, these corporations did not claim that Saddam's forces damaged their property in Kuwait--only that they "lost profits" or, in the case of American Express, experienced a "decline in business," because of the invasion and occupation of Kuwait. One of the biggest winners has been Texaco, which was awarded $505-million in 1999. According to a UNCC spokesperson, only 12 per cent of that reparation award has been paid, which means hundreds of millions more will have to come out of the coffers of post-Saddam Iraq.

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