PRESS CONFERENCE BY PAUL VOLCKER, NAMED TO HEAD PANEL INVESTIGATING ‘OIL-FOR-FOOD’ PROGRAMME

PRESS CONFERENCE BY PAUL VOLCKER, NAMED TO HEAD PANEL

INVESTIGATING ‘OIL-FOR-FOOD’ PROGRAMME

Very important accusations made about the United Nations, the administration of the “oil-for-food” programme, as well as activities outside the United Nations needed to be resolved, Paul Volcker, panel member of the Oil-for-Food Independent Inquiry, told correspondents this afternoon at a Headquarters press conference.

In opening remarks, he said that the United Nations was an important institution and that the questions, once raised, had to have a deliberate and full investigation leading to an answer.  In that way, the Organization could fulfil its responsibilities and take advantage of opportunities that arose to contribute not only to the situation in Iraq, but also to situations that would arise in the rest of the world.

He said it was not news that, in order to carry out the investigation, he would need the formal support of the United Nations and its Member Governments.  The Security Council would adopt a resolution that specifically called upon Member States to assist in any way appropriate in the investigation.  He was assured that adequate financing would be available, that personnel and other records would also be made available, that diplomatic immunity would be waived, as appropriate, and that records in Iraq would be made available, as well as records of other investigations.

He said he had not known the other panel member until some days ago.  But, Richard Goldstone was a very familiar figure in the world of human rights, had been a prosecutor of war crimes, and had headed a very important investigation in South Africa during the transition, dealing with very serious accusations of corruption.  Marc Pieth was one of the world’s leading experts in money laundering and corporate corruption.

In response to questions, he said the terms of reference established for the Independent Inquiry were appropriately broad.  He wanted a Council resolution to make sure that Member States knew what they were getting into.  At the same time, he said, the panel was not the FBI or the CIA and did not have the police powers of any government agency.  Therefore, the investigation had to be conducted in cooperation with the people that had such authority.

He was satisfied with the Council resolution, as it called upon Member States to cooperate, and he did not think his hands were tied.  It was in the interest of governments to cooperate.  He was convinced that United Nations’ management would do everything in its power to ensure that United Nations officials would cooperate or testify.

His first priority would be to hire staff, including forensic accountants, investigators and legal experts, and meet with other members of the panel, he said.  The Investigative Inquiry would be housed in a United Nations-owned building near Headquarters.  The investigation would go on as long as necessary, although he had no intention of unnecessarily prolonging it.  But, it could not be finished in three months.

The first focus of the investigation would be on allegations regarding the internal United Nations, dealing with specific allegations of corruption within the institution.  However, there were broader questions about the administration of the oil-for-food programme, which was a second priority.  Was there maladministration?  He interpreted his mandate not to simply investigate the past, but to draw any lessons from the past for future programmes.  The terms of reference also alluded to contractors, which he interpreted to mean -- follow the money as well as one could.

Asked if the United Nations could get around the damage already been done by media reports of accusations, he said what was important was to find out whether there was any substance to those accusations.  If there wasn’t, that would help repair the damage.  If there was, “get it out there, get it out, and hurry and cauterize the wound”, he said.  A full, fair investigation of the allegations was in the long-term interest of the United Nations.  “You can’t sit on it and let it fester”, he said.

Addressing questions about reports in Iraq, he said there had been communications between the Secretary-General, the Coalition Provisional Authority (CPA) and the Governing Council, which had indicated that the records were preserved and would be made available.  He would, however, not be surprised if there were people in Iraq who were trying to hide things.  He would press for whatever information was available with, he hoped, a fair degree of scepticism.

He assumed the report would become public in the end, but it might come in stages, he said in response to another question.  He could, however, not prejudge what could be made public and what not, as he might obtain information provided on the condition of confidentiality.  He would make the report as public as he could make it.  He did not see any reason at this point why the three-month update, which was not to be expected to be a conclusive report, would not be made public.

Asked if his own reputation for fairness and impartiality would address concern of members of the United States Congress, who had expressed scepticism about the independence of a United Nations appointed panel, he said a priority would be to talk to some leaders in Congress.  The Secretary-General had talked to them, he said, and had gotten a favourable report.  He looked forward to their cooperation and the cooperation of the United States Government.

Asked whether he would meet with the former Executive Director of the Office of the Iraq Programme, Benon V. Sevan, and if he knew where he was, Mr. Volcker answered it was premature to say how that would be handled.

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