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imokruok
Lawyers, guns, and money

Registered: Aug 2003
Location: Los Angeles, CA / Milwaukee, WI
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Chirac questions the war because it cut off a huge source of kickbacks for French officials. The Oil-For-Food scandal hit the fan today with the start of American Congressional investigations. Even the Democrats on the committee ripped the French a new one.
Here's the relevant part to the French. If BNP Paribas is involved, you know the French government is. There are official and unofficial links between the two, and BNP is the defacto private bank of France.
Henry Hyde, Nov. 17, 2004:
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When we speak of the transaction of funds, we must not omit from our examination the Banque Nationale de Paris, or BNP. This was the bank which held the proceeds from Iraq’s oil sales from the Oil-for-Food program.
In the process of examining the bank's role in the Oil-for-Food program, we looked at the bank's performance in verifying the identity of its customers as called for under U.S. law and through the U.N. Oil-for-Food program. There are indications that the bank may have been noncompliant in administering the Oil-for-Food program. If true, these possible banking lapses may have facilitated Saddam Hussein’s manipulation and corruption of the program.
Evidence seems to indicate that in some cases, payments in the Oil-for-Food program were made by BNP at times with a lack of full proof of delivery for goods and other necessary documents contracted for in the Oil-for-Food program. At other times, payments may have been authorized by BNP to third parties, separate from the originally intended recipient of the Letter of Credit. These are issues which I am looking forward to having our witnesses from BNP address.
We should be concerned that BNP might well have facilitated improper payments to companies that were shipping illegal goods to Iraq. With the bank administering thousands of contracts, we need to know if this occurred and, if so, how many times.
Moreover, as we understand, BNP received millions of dollars in fees over the life of the Oil-for-Food program. This is a lot of money, and it is reasonable to ask if BNP adequately supervised its compliance programs overseeing the administration of the Oil-for-Food program, especially in light of the widespread reports in the press of corruption within the program.
Because of the importance of these issues, I will refer the details of what we have found about BNP to the Financial Services Committee under the able direction of Chairman Mike Oxley. Questions related to the Federal Reserve’s oversight, while peripheral to our jurisdiction, may be important in the process of untangling this web. Chairman Oxley and I have talked, and we agree on the need to review BNP's performance in its capacity as the bank used by the U.N. for purposes of the Oil-for-Food program.
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FLUSHED THE JOHNS!
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Nov-18-2004 01:57
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