IRAQ: Oil-for-Food probe hits U.S. Oil Companies
Exxon, Chevron and El Paso Are Named in CIA Report On Hussein-Era Program
by By Jess Bravin in New York, John D. Mckinnnon in Washington and Russel Gold Dallas, Wall Street Journal
A federal grand jury in Manhattan is investigating whether there was corruption in the Oil-for-Food program. Exxon, El Paso, and Chevron previously confirmed that they were among companies to receive subpoenas. Others identified in the Duelfer report as receiving the vouchers include Bayoil, a closely held Houston oil company, and three individuals who campaigned to end the Iraq sanctions: Oscar Wyatt, of Houston; Shakir al Khafaji, of West Bloomfield, Mich.; and Samir Vincent, of Annandale, Va. Together, the companies and individuals received vouchers valued at 111 million barrels of oil, according to the Duelfer report.
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The Duelfer report lists hundreds of foreign companies and individuals who allegedly received Iraqi oil vouchers -- including Mr. Sevan -- but not the U.S. companies and citizens. The names were included in versions sent to congressional committees, however, and officials confirmed their accuracy.
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http://www.corpwatch.org/article.php?id=11569
A federal grand jury in New York is investigating oil transactions under the program, according to several companies that have received subpoenas. Several congressional committees also are investigating the oil transactions, as is a U.N.-appointed panel.
A spokesman for the United Nations, Stephane Dujarric, said he could not comment on whether the U.S. companies followed requirements to obtain Iraqi oil. A spokeswoman for the Treasury Department, Molly Millerwise, said the Office of Foreign Assets Control is reviewing the licenses it issued as part of the oil-for-food program to determine whether laws were broken.
The report by Duelfer also named these individuals as having received vouchers: Oscar S. Wyatt Jr., a Texas oilman; Samir Vincent, a Fairfax County businessman; and Shakir Khafaji of the Detroit area. None returned phone calls.
In addition, the report named Bayoil and Coastal Corp., which has since become part of El Paso Corp. Bayoil officials did not return phone calls. El Paso Corp. recently filed documents with the Securities and Exchange Commission saying it had been subpoenaed by the grand jury investigating the oil transactions. A company spokeswoman said she could not provide additional comment.
The vouchers were potentially profitable. The report estimated profit margins of 15 cents a barrel to 85 cents a barrel.
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http://www.washingtonpost.com/wp-dyn/articles/A25416-2004Oct11.html ENRON ANNOUNCES SALE OF CROSSCOUNTRY ENERGY TO NUCOASTAL LLC FOR $2.2 BILLION
FOR IMMEDIATE RELEASE: Friday, May 21, 2004
HOUSTON – Enron announced today that it has reached an agreement with NuCoastal LLC, whose owners are affiliates of Kelso & Company, ArcLight Capital Partners LLC, Citigroup, and Oscar S. Wyatt, Jr., for the sale of CrossCountry Energy, Enron’s North American natural gas pipeline business.
The transaction, which has been approved by the Enron Board of Directors and is supported by the Official Unsecured Creditors’ Committee, requires the approval of the Bankruptcy Court, which will oversee an “overbid” process to give other potential buyers an opportunity to submit superior bids. Enron is expected to file the sale agreement with the Bankruptcy Court early next week.
The transaction purchase price of approximately $2.2 billion includes the assumption of outstanding Transwestern debt, which is approximately $430 million.
“This sale agreement provides the best value for our creditors and reflects a stronger market for quality, high-performing energy assets than we had seen two years ago,” said Stephen F. Cooper, acting CEO and chief restructuring officer of Enron.