Published on December 1, 2004 By drmiler In Politics
This is a reprint from the "Wall Street Journal"


Kofi Annan Must Go
It's time for the secretary-general to resign.

BY NORM COLEMAN
Wednesday, December 1, 2004 12:01 a.m. EST

It's time for U.N. Secretary-General Kofi Annan to resign.

Over the past seven months, the Senate Permanent Subcommittee on Investigations, which I chair, has conducted an exhaustive, bipartisan investigation into the scandal surrounding the U.N. Oil-for-Food program. That noble program was established by the U.N. to ease the suffering of the Iraqi people, then languishing under Saddam Hussein's ironfisted rule, as well as the economic sanctions imposed on Iraq by the U.N. after the first Gulf War. While sanctions were designed to instigate the removal of Saddam from power, or at least render him impotent, the Oil-for-Food program was designed to support the Iraqi people with food and other humanitarian aid under the watchful eye of the U.N.

Our Investigative Subcommittee has gathered overwhelming evidence that Saddam turned this program on its head. Rather than erode his grip on power, the program was manipulated by Saddam to line his own pockets and actually strengthen his position at the expense of the Iraqi people. At our hearing on Nov. 15, we presented evidence that Saddam accumulated more than $21 billion through abuses of the Oil-for-Food program and U.N. sanctions. We continue to amass evidence that he used the overt support of prominent members of the U.N., such as France and Russia, along with numerous foreign officials, companies and possibly even senior U.N. officials, to exploit the program to his advantage. We have obtained evidence that indicates that Saddam doled out lucrative oil allotments to foreign officials, sympathetic journalists and even one senior U.N. official, in order to undermine international support for sanctions. In addition, we are gathering evidence that Saddam gave hundreds of thousands--maybe even millions--of Oil-for-Food dollars to terrorists and terrorist organizations. All of this occurred under the supposedly vigilant eye of the U.N.

While many questions concerning Oil-for-Food remain unanswered, one conclusion has become abundantly clear: Kofi Annan should resign. The decision to call for his resignation does not come easily, but I have arrived at this conclusion because the most extensive fraud in the history of the U.N. occurred on his watch. In addition, and perhaps more importantly, as long as Mr. Annan remains in charge, the world will never be able to learn the full extent of the bribes, kickbacks and under-the-table payments that took place under the U.N.'s collective nose.
Mr. Annan was at the helm of the U.N. for all but a few days of the Oil-for-Food program, and he must, therefore, be held accountable for the U.N.'s utter failure to detect or stop Saddam's abuses. The consequences of the U.N.'s ineptitude cannot be overstated: Saddam was empowered to withstand the sanctions regime, remain in power, and even rebuild his military. Needless to say, he made the Iraqi people suffer even more by importing substandard food and medicine under the Oil-for-Food program and pawning it off as first-rate humanitarian aid.

Since it was never likely that the U.N. Security Council, some of whose permanent members were awash in Saddam's favors, would ever call for Saddam's removal, the U.S. and its coalition partners were forced to put troops in harm's way to oust him by force. Today, money swindled from Oil-for-Food may be funding the insurgency against coalition troops in Iraq and other terrorist activities against U.S. interests. Simply put, the troops would probably not have been placed in such danger if the U.N. had done its job in administering sanctions and Oil-for-Food.

This systemic failure of the U.N. and Oil-for-Food is exacerbated by evidence that at least one senior U.N. official--Benon Sevan, Mr. Annan's hand-picked director of the U.N.'s Oil-for-Food oversight agency--reportedly received bribes from Saddam. According to documents from the Iraqi oil ministry that were obtained by us, Mr. Sevan received several allotments of oil under Oil-for-Food, each of which was worth hundreds of thousands, if not millions, of dollars.

To make matters worse, the actions of Mr. Annan's own son have been called into question. Specifically, the U.N. recently admitted that Kojo Annan received more money than previously disclosed from a Swiss company named Cotecna, which was hired by the U.N. to monitor Iraq's imports under Oil-for-Food. Recently, there are growing, albeit unproven, allegations that Kofi Annan himself not only understands his son's role in this scandal--but that he has been less than forthcoming in what he knew, and when he knew it.

As a former prosecutor, I believe in the presumption of innocence. Such revelations, however, cast a dark cloud over Mr. Annan's ability to address the U.N.'s quagmire. Mr. Annan has named the esteemed Paul Volcker to investigate Oil-for-Food-related allegations, but the latter's team is severely hamstrung in its efforts. His panel has no authority to compel the production of documents or testimony from anyone outside the U.N. Nor does it possess the power to punish those who fabricate information, alter evidence or omit material facts. It must rely entirely on the goodwill of the very people and entities it is investigating. We must also recognize that Mr. Volcker's effort is wholly funded by the U.N., at Mr. Annan's control. Moreover, Mr. Volcker must issue his final report directly to the secretary general, who will then decide what, if anything, is released to the public.
Therefore, while I have faith in Mr. Volcker's integrity and abilities, it is clear the U.N. simply cannot root out its own corruption while Mr. Annan is in charge: To get to the bottom of the murk, it's clear that there needs to be a change at the top. In addition, a scandal of this magnitude requires a truly independent examination to ensure complete transparency, and to restore the credibility of the U.N. To that end, I reiterate our request for access to internal U.N. documents, and for access to U.N. personnel who were involved in the Oil-for-Food program.

All of this adds up to one conclusion: It's time for Kofi Annan to step down. The massive scope of this debacle demands nothing less. If this widespread corruption had occurred in any legitimate organization around the world, its CEO would have been ousted long ago, in disgrace. Why is the U.N. different?

Sen. Coleman is chairman of the U.S. Senate Permanent Subcommittee on Investigations, and a member of the Senate Foreign Relations Committee.



Secretary and Son
Kofi Annan isn't Kojo's keeper, but he can't shirk responsibility for the U.N.

BY CLAUDIA ROSETT
Wednesday, December 1, 2004 12:00 a.m. EST

"He is a grown man, and I don't get involved with his activities and he doesn't get involved with mine."

Thus did the U.N. secretary-general, Kofi Annan distance himself at speed Monday from news that his own son, Kojo Annan, had received money right up until early this year from one of the U.N.'s prime contractors under the Oil for Food program. The elder Mr. Annan pronounced himself "disappointed," "surprised" and--lest he look completely clueless--able to understand "the perception problem for the U.N."

But at no point did the secretary-general suggest that he himself bore any responsibility for this glaring conflict of interest. That evasion deserves a closer look. It is a terrific cameo for the U.N. mindset that brought us the Oil for Food swindle in the first place--a culture in which secrecy is the norm, the buck stops nowhere, and some of the resulting surprises have most recently have included at least $17 billion grafted out of a U.N. relief program for Iraq, charges of rape and pedophilia among U.N. peacekeepers in Africa--and now this tale of the secretary-general's family ties.

If we go by U.N. chain of command, Kofi Annan is, however, correct that he cannot be held responsible for the activities of his grown son. One might hope, of course, that a U.N. secretary-general out of deference to the dignity of his own office would make a more diligent attempt to keep an eye on the business activities of his close kin. Instead, the discovery of Kojo Annan's ties to U.N. contractor Cotecna Inspection Services SA has required four separate bouts in which the press uncovered further financial links between Cotecna and the younger Mr. Annan.

The first round came in early 1999, just after Swiss-based Cotecna won a crucial U.N. contract to inspect Oil for Food relief goods filtering past sanctions into Saddam Hussein's Iraq. Back then, Secretary-General Annan was apparently surprised to learn he had any family ties to a major U.N. contractor--but gave us to understand that the pecuniary cord had been cut. This past year brought yet more surprises for the secretary-general, via disclosures eked out by the press in March, September and November. The current picture is that Kojo Annan's consultancy for Cotecna lapsed on the same day the company won the U.N. contract, Dec. 31, 1998 (not three weeks earlier, as the secretary-general's office previously conceded). For the following five-plus years, which comes to about twice the time Kojo Annan spent actually working for Cotecna, the company paid him $2,500 a month not to compete with its business. That would have summed to at least $150,000, plus incidentals for which the U.N. has as yet supplied no total.

It is a disturbing pattern that this information had to be dredged up after-the-fact, in fragments, by the press, rather than being publicly disclosed at the time by a secretary-general who has better access both to U.N. records and to his own son. What Secretary-General Annan neglected to mention, moreover, is that he himself does bear responsibility for how his Secretariat handles its procurement procedures, and what level of disclosure the U.N. requires of its contractors, and provides to the public. Instead, Mr. Annan miscast the case--and not for the first time--saying "I have no involvement with granting of contracts, either on this Cotecna one, or others."
That's not true. Under Oil for Food, there were two basic kinds of contracts. There were tens of thousands of deals signed by Saddam's regime with oil buyers and relief sellers. That was one kind of contract, which the U.N. was supposed to monitor. And then there were a handful of contracts signed by the U.N. Secretariat itself, with companies hired to help the U.N. monitor Saddam's Oil for Food deals. The contract that Mr. Annan referred to as "this Cotecna one," as if he weren't quite sure what whichamahoosy everyone was talking about, belonged to the handful signed by the Secretariat. That "Cotecna one" (rolled over into the Cotecna two) was handled by the U.N. Procurement Division. And the U.N. Procurement Division reports to the secretary-general.

Not that one would expect the secretary-general to spend long nights poring over details of every contractor hired by his own Procurement Division. But it is reasonable to expect that somewhere in the multibillion-dollar procurement operations of the United Nations there would be a functional mechanism to require disclosure by all U.N. contractors of such details as, say, a stream of payments to the immediate family of a top U.N. official.

That is not merely a matter, as Secretary-General Annan suggested, of "perception of conflict of interests." Even if nothing wrong gets done, it is a conflict of interest. Both Cotecna and Kojo Annan, through his lawyers, have denied any wrongdoing. Fine. But given that the U.N. is supposed to be a public institution, not a privately held secret society, what's needed here is systematic full disclosure. Had this been the prevailing climate at the U.N. during Oil for Food, there would have been far fewer opportunities for Saddam to scam billions out of the program, and maybe even a lot fewer surprises for the secretary-general.

Ms. Rosett is a fellow at the Foundation for the Defense of Democracies and the Hudson Institute. Her column appears here and in The Wall Street Journal Europe on alternate Wednesdays

Comments
on Dec 01, 2004
The UN leadership under Annan is a disgrace. We should be far more concerned about that than being "embarrassed" by President Bush as people like COL Gene like to claim. Time Annan's nuts were held to the fire.

Cheers,
Daiwa
on Dec 01, 2004
Is this really any big surprise? The UN is the biggest collection of thugs, gangsters, and criminals in the world. It's the world's largest "I hate America" club. They hide behind fancy suits and the little plaque with their country's name on it and spew venom at the United States. It's a cover for illegimate governments and dictatorships to gain legitimacy they otherwise would not have. This just goes to show that the time for the UN has passed. It's outdated and obsolete. The UN needs to drastically be reformed or it should be abolished. If nothing changes soon the United States should expel the UN and withdraw. We're not the only country frustrated by it's hypocrisy and corruption. We should form a new world organization that is better suited to today's balance of power. No offense to Britain, but it is ridiculous that they and the French have veto power. The French use their position to rally other nations into a coalition against us. The world has changed dramatically since the UN was formed over 50 years ago. It's a relic of the Cold War strategic power balance. It's become as ineffective as the League of Nations that preceded it. It's high time we shut down the international debate club and look toward options that could create effective international cooperation.
on Dec 01, 2004

Reply #1 By: Daiwa - 12/1/2004 2:52:28 PM
The UN leadership under Annan is a disgrace. We should be far more concerned about that than being "embarrassed" by President Bush as people like COL Gene like to claim. Time Annan's nuts were held to the fire.

Cheers,
Daiwa


Held to the fire? Hell they need to be smashed flat. I think it's high time that a shake up occurs in the UN. If not soon then we (US) need to jump ship! That statement is factually true!
on Dec 02, 2004
What do you think of the rumors about Bill Clinton as the next UN Secretary?
on Dec 02, 2004

Reply #5 By: iamheather - 12/2/2004 3:13:19 PM
What do you think of the rumors about Bill Clinton as the next UN Secretary


God I hope not.
on Dec 06, 2004
God I hope not.


Me too, but do you think it is possible? Would we be trading one problem for another?
on Dec 06, 2004

Reply #7 By: iamheather - 12/6/2004 1:22:12 AM
God I hope not.


Me too, but do you think it is possible? Would we be trading one problem for another?


Personally I think we would be.