Troubles Involved with Giving Aid

Intro

Giving aid could be problematic. Especially, when the management who receive it is dishonest and uses it in other ways other than the initial purpose. It is hard to keep track of how well aid is being use by recipient countries. Usually the United Nation Security Council is in charge of monitoring all the awarded contracts. In many cases the Security Council does not efficiently do their job of overseeing an Aid Program and corruption can easily take place.

Oil-for-Food Programme

The Oil-for-Food Programme was establish by the United Nations in 1995. The purpose of this programme was to allow Iraq to sell oil on the world market in exchange for food, medicine, and other humaritarian needs for ordinary Iraqi citizens without allowing Iraq to rebuild its military.

This programme was introduced by the US Clinton Administration in 1995, as a response to arguments that ordinary Iraqi citizens were inordinately affected by the international economic sanctions aimed at the demilitarisation of Saddam Hussein's Iraq, imposed in the wake of the first Gulf War. The sactions were discontinued in 2003 after the United States invasion of Iraq, and the humanitarian functions turned over to the Coalition Provisional Authority.

As the program ended, there were revelations of corruption involving the funds. Facts today show just how corrupt the UN and Saddam were, while money was suppose to be going to the Iraqi people the money was going to Saddam.

Chart A: Planned Distribution of Oil Proceeds

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Chart B: Oil Surcharges - Flow of Funds

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Oil-for-Food Timeline

1990	2 Aug	Iraq invades Kuwait
	6 Aug	UN Security Council Resolution UNSCR 661 passed, creates the "661 Committee" to oversee sanctions imposed on Iraq
1991	3 Aug	UNSCR 687 sets terms for disarmament and Iraq’s capacity to develop weapons of mass destruction
	15 Aug	UNSCR 706 authorizing Iraqi to sell oil for humanitarian goods not accepted by the Government of Iraq
1995	14 Apr	UNSCR 986 adopted that creates Oil-for-Food (OFF) program, allowing Iraq to export $2 billion in oil/quarter; Iraq refuses its terms
1996	20 May	Iraq and UN Secretariat signed Memorandum of Understanding, implementing UNSCR 986
	10 Dec	First oil pumped in Iraq, proceeds deposited in UN escrow account at Banque Nationale de Paris (BNP) in New York January 15, 1997
1997	20 Mar	First shipment of supplies is cleared for import into Iraq. Wheat flour distribution began in April
	13 Oct	Office of the Iraq Program established, Benon V. Sevan (Cyprus) is appointed Executive Director
1998	20 Feb	UNSCR 1153 adopted, increased Iraqi export ceiling to $5.2 billion/quarter (creating approx. $3.4 billion for humanitarian goods)
	19 Jun	UNSCR 1175 adopted, authorized Iraq to import $300 million worth oil industry equipment
1999	17 Dec	UNSCR 1284 passed, establishes United Nations Monitoring, Verification and Inspection Commission (UNMOVIC); lifts all export limits on Iraqi oil
2000	1 Mar	Implementation of "fast track" procedures (from UNSCR 1284) for approval of contracts for humanitarian supplies
2002	14 May	UNSCR 1409 adopted, extended it another 180 days, introduced the Goods Review List, the biggest change since UNSCR 1284
	28 Oct	6,000 items approved to be "fast-tracked"
	1 Nov	Inspection team arrives at Ar’ar border with Saudi Arabia crossing, to become operational Nov. 8
2003	17 Mar	UN Secretary-General withdrew all remaining humanitarian personnel from Iraq due to safety and security concerns
	19 Mar	War in Iraq began with bombing of Baghdad
	22 May	UNSCR 1483 adopted; lifts civilian sanctions and provided for termination of Oil-for Food Program within six months
	21 Nov	Oil-for-Food Program handed over to the Coalition Provisional Authority

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source: oilforfoodfacts.org