Findings you should not miss

Compensation Claims - Iraq under the Saddam (Haddam) Regime up until 2003.

An in-depth look at the work of the United Nations Compensation Commission (UNCC) shows that more than 2.6 million claims has been received by it for a total value of $ 351 billion. The majority of claims have been resolved (1.5 million) for an amount of $ 44 billion and $ 17.5 billion has been paid from the proceeds of oil sales under the UN control. 96 governments on behalf of their nationals, corporations and for themselves have filed these claims. The claims have been divided by the UNCC in the following way (see annexed table):

Individual claims (category A) relates to individual departures from Kuwait due to the invasion. 919 701 claims were resolved for an amount of $ 3.5 billion. $ 3.2 billion has been awarded for 860 129 claims which has almost been paid totally.

Individual claims (category B) relates to injuries and death. But the amount involved is insignificant ($13.5 million) and has been paid entirely.

Individual claims (category C) relates to other types of damages inflicted to residents of Kuwait up to $ 100 000 by individual claim. The number of claims resolved is 1 659 835 for an amount of $ 8.8 billion of which $ 5 billion have already been awarded for 633 125 cases and almost entirely paid. But there are still 43 824 cases to be resolved with compensation sought for $ 3.4 billion.

Individual claims (category D) relates to other types of damages above $ 100 000.

The number of claims resolved is 7 274 for an amount of $ 3.6 billion. Of this amount, $ 1.6 billion has been awarded and almost paid for 6 585 cases. There are 6 051 remaining cases with compensation sought for $ 17 billion.

Oil sector claims (category E1) resolved (66 cases) amounting to $ 44.3 billion. The UNCC has awarded $ 21.4 billion representing 41 cases but paid only $ 660 million. Claims still to be resolved (39 cases) represent an amount of 285 million.

Claims of non-Kuwaiti corporations (category E2 which excludes the oil and contracting sectors) that have been resolved (1765 cases) represent an amount of $ 12.2 billion; $ 830 million have been awarded for 720 cases and $ 771.6 million have been paid. Pending cases (679) represent an amount of $ 1.5 billion of compensation sought.

Claims of non-Kuwaiti corporations in construction and engineering sectors (category E3) that have been solved (372 cases) represent an amount of $ 7.1 billion. Compensation awarded for 149 cases amounts to $ 362.2 million, and compensation paid to $ 336.7 million. Pending cases (26) amount to $ 948 million of compensation sought.

Claims of Kuwaiti corporations (E4, which excludes the oil sector) that have been solved amount to $ 10.1 billion for 2 299 cases. $ 3 billion have been awarded (2 020 cases) and $ 2.9 has been paid. Pending cases (578) amount to $ 1 billion of compensation sought.

Export guarantee and insurance claims (category E/F) have all been solved (123 cases) for an amount of $ 6.1 billion; compensation was awarded for 57 cases amounting to $ 311.3 million, of which $ 180.1 million has been paid.

Claims by governments and international organizations for losses in connection withdeparture and evacuation of individuals or damages to property (category F1) that have been resolved amount to $ 18.6 billion (100 cases). Compensation awarded for 70 cases amounts to $ 291.2 million of which 244 million has been paid.

Claims filed by the governments of Jordan and Saudi Arabia (category F2) and resolved amount to $ 17.6 billion for 63 cases. Compensation awarded for 46 cases amounted to $ 264.4 million of which $ 256.1 million has been paid.

Claims filed by the government of Kuwait (category F3, excluding environment damages) and resolved amount to $ 17.6 billion for 60 cases. Compensation awarded amounted to $ 6.7 billion for 59 cases of which $ 2.1 billion has been paid. Two claims for $ 96.3 billion are still to be resolved.

Claims for damages to the environment and depletion of natural resources (category F4) that have been resolved amount to $ 1.8 billion for 135 cases. Compensation was awarded for 91 cases amounting to $ 954.3 million of which $ 314.9 million has been paid. 36 cases claiming $ 79.6 billion of compensation have still to be resolved. In all, we can conclude that: a) $ 17.6 billion has been paid out of a total of $ 44 billion awarded by the UNCC, which means that Iraq has still to pay $ 26.4 billion. This is an obligation of the future Government of Iraq certified by a UN body.

b) The number of claims yet to be resolved is 51 235 with compensation sought to the amount of $ 200.1 billion, but the bulk of these claims are from Kuwait, Jordan and Saudi Arabia and it seems difficult that the UNCC under the new circumstances that have emerged in Iraq will award the amounts sought by these governments, especially

in light of UNSC 1483 limiting the amount of compensation that Iraq could paid annually to 5% of its oil receipts.

Thanks should be rewarded to George Crom for seeying all the troubles collecting this information. Thank you!

Refrence:

George Crom 2003, The Economic and Financial Situation in Iraq Institutional arrangements – Financial obligations – Reconstruction issues, Compensation claims provided for the UNAMI, Online, Accessed 18.3.2010 http://www.iauiraq.org/pds.asp

Please tune in every now and then for more.

Truly yours,

Hussein Gulali