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New York Times

OP-ED COLUMNIST

U.N. Obstructs Justice

By WILLIAM SAFIRE

Published: November 15, 2004


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Washington — "I'm angry that we find the U.N. proactively interfering with our investigation," Senator Norm Coleman, chairman of the Senate Permanent Subcommittee on Investigations, informed Lou Dobbs on CNN, "by telling certain folks not to cooperate with us." He repeated for emphasis his sharp response to Secretary General Kofi Annan's "interfering with our ability to get information we need" about the oil-for-food scandal.

Judith Miller of The Times had revealed that the Minnesota Republican, joined by ranking Democrat Carl Levin, sent a letter noting Annan's four-month foot-dragging and that "the U.N. is hindering our efforts to obtain relevant documents."

If legislative investigators were prosecutors, the name of the game Annan and his enablers are playing would be called "obstruction of justice."

The principal investigating body of the Senate is not helpless. Today witnesses from Treasury and C.I.A., as well as its own investigators, will present evidence that the huge rip-off engineered by Saddam Hussein - with the connivance of corrupt U.N. officials and companies protected by Security Council members like Russia and France - was even greater than the $10 billion figure estimated by our G.A.O. Going back to 1991 and including the predecessor to oil-for-food, an outside source tells me that the U.N.-maladministered profiteering reached $23 billion. Such heavy spending affects U.N. votes.

The Senate, as it returns to lame-duck work this week, will subpoena evidence through the U. S. connections of companies like Lloyd's Register Inspection Ltd., which Annan's consultant, Paul Volcker, has so far "proactively" kept from cooperating. And there is the budget option: if the U.N. persists in obstruction, the U.S. can re-examine its contribution to an unaccountable organization.

But the Congress is not dependent on one Senate committee alone. In the House, Henry Hyde's International Relations Committee is holding hearings Wednesday. Though there will be overlap - Charles Duelfer will be busy explicating the oil-for-food section of his C.I.A. report this week - its emphasis has been on following the illicit money through the banking system.

BNP Paribas, the European bank eager to expand in the U.S., has cooperated with "friendly subpoenas" that Annan's aides could not stop through their "gag letters"; its present and past officials will testify about its thousands of letters of credit. But what about "know your customer" rules? What did our Federal Reserve officials know about sloppy banking procedures, and how long did it take for those regulators to put suspect banks under supervising action? The Fed's Herbert Biern may have some explaining to do about the failure of financial and diplomatic oversight.

If the U.N. stonewalling continues this week, Chairman Hyde's patience could at last wear thin; as former chairman of Judiciary, he knows something about criminal referrals. Such an action directed at recalcitrant bankers, brokers or U.N. inspection contractors would at last get high-level attention at the Justice Department, where U.S. attorneys have been tediously poking around U.S. oil companies for leads on kickbacks.

Kofi Annan's longtime right-hand man, Benon Sevan, headed the U.N.'s Office of the Iraq Program; he has been retired but has been vociferously denying wrongdoing ever since his name appeared on a list of beneficiaries of Saddam's largesse in the form of vouchers for oil deals.

Annan's obstruction of outside investigations has strong support within the U.N. members whose citizens are most likely to be embarrassed by revelations of payoffs: Russia, France and China lead all the rest. He has dutifully continued to align himself with their interests by declaring the overthrow of Saddam "illegal" and recently denouncing our attack on the insurgents in Falluja. Perhaps he thinks that this confluence of national interest in cover-up - along with the unwillingness of most media to dig into a complicated story - will let his stonewalling succeed. He reckons not with an insulted Congress.

Sad to see is the secretary general's manipulative abuse of Paul Volcker. Here is a former central banker so confident of his hard-earned reputation for integrity that he cannot see how it is being shredded by a web of sticky-fingered officials and see-no-evil bureaucrats desperate to protect the man on top who hired him to substitute for - and thereby to abort - prompt and truly independent investigation.

 

 

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OP-ED COLUMNIST

'My Son, My Son'

By WILLIAM SAFIRE

Published: November 29, 2004



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Washington — Thanks to Claudia Rosett, an enterprising reporter writing in The New York Sun, the world now knows that some information put out by Secretary General Kofi Annan about his son's involvement with a Swiss inspection company at the heart of the U.N. oil-for-food scandal is untrue.

At a luncheon at "21" in New York this summer, Annan came over to me to complain politely that my series suggesting U.N. maladministration was unfair. When I asked about the consultant fee paid to his son Kojo that may have influenced the award of a U.N. contract to Cotecna Inspection, the secretary general said that the allegation (originally reported in The Sunday Telegraph in London) had been "thoroughly investigated" by the U.N. and there was "nothing to it."

He later insisted that ours was a "private conversation" (though no off-the-record restriction was requested or given), but this denial was consistent with Kofi's public statement in April about the contract award: "Neither he nor I had anything to do with the contracts for Cotecna." Note the plural "contracts" - after a low-ball bid, a later contract was much more lucrative - and his clear indication that his son joined him in denial.

The story put out by the U.N. Secretariat at the time was that the son, Kojo, had resigned from Cotecna just weeks before the U.N. switched its fast-growing inspection business to the Swiss firm. Though such a timely termination looked fishy on its face, the absence of post-contract payments to Kofi's son was the basis for the U.N.'s claim that there had been no conflict of interest or nepotism.

Last week the truth was outed. The U.S. attorney's office in New York is in competition with the U.N.'s "independent" investigation, whose Paul Volcker - while stonewalling angry Congressional investigators - has grand jury help from the Manhattan district attorney's office. I suspect a subpoena forced Kojo to hire a lawyer, whom reporter Rosett tracked down and The Sun had its first world beat.

The lawyer confirmed that Kojo received payments of $2,500 per month for four years after he supposedly severed his relationship with Cotecna - up to February of this year, when Iraqis blew the lid off the U.N.-Saddam-French-Russian conspiracy.

When confronted with the falsity of previous U.N. denials, the secretary general's spokesman, Fred Eckhard, pleaded: "There is nothing illegal in this." You see, um, the payments to Annan's son were part of an "open-ended no-compete contract." After all, what could be illegal about getting paid for not joining a competing inspection company, which Cotecna probably took as assurance that nobody else would get the inside track?

"We previously thought they had ceased," Annan's embarrassed aide said of the payments. He stuck grimly to the line that U.N. officials "who gave Cotecna the contract had no idea that Kojo Annan worked for Cotecna," but carefully left himself an out: "and that continues to be our belief."

In the same way, there are still officials of the oil-stained U.N. Secretariat who profess to believe the repeated denials of Benon Sevan, the longtime right-hand man of Kofi Annan put in charge of what became history's largest swindle.

Of course, in a $20 billion ripoff, $125,000 to the boss's son for doing nothing is chump change. But it should lead to questions for the son: what are his associations with families in the oil industry? (Yamani or ya life!) Did he lie to his father about four years of fees from Cotecna, or did Kofi fail to ask him? Did Kojo inform Sevan about the fees, or know about any lucrative oil vouchers given by Saddam to Sevan?

For the father: Will he now share with Congress, which supplies 22 percent of the U.N. budget, his "thorough investigation" of his son's Cotecna connection? Did he learn of the "nothing illegal" fees only last Tuesday, as his aides say? Has he since asked his Absalomic son if the secretary general can stand by his April "nothing to do with" statement about Cotecna?

This marks the end of the beginning of the scandal. Its end will not begin until Kofi Annan, even if personally innocent, resigns - having, through initial ineptitude and final obstructionism, brought dishonor on the Secretariat of the United Nations.

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