home / subscribe / donate / about us / books / archives / search / links / feedback / events

 

Special Report (for Adults Only) on the Politics of Oil by Jeffrey St. Clair in the New Print Edition of CounterPunch!

Kerry and the Oil Men: "Drill Everywhere Like Never Before"; Bush's Oil Cabinet: 27 Political Appointees from Big Oil; Getting Paid for Plunder: the Profitable Life of Steve Griles; The Race for the Arctic: How Clinton Opened the Gate; Enron's Political Partners: Bush Gave Ken Lay His Nickname and Teresa Heinz Gave Him a Seat on Her Green Foundation's Board; Kerry's Energy Guru: How He Screwed California and Oregon. CounterPunch Online is read by millions of viewers each month! But remember, we are funded solely by the subscribers to the print edition of CounterPunch. Please support this website by buying a subscription to our newsletter, which contains fresh material you won't find anywhere else, or by making a donation for the online edition. Remember contributions are tax-deductible. Click here to make a (tax deductible) donation. If you find our site useful please: Subscribe Now!

Introducing CounterPunch Books!

Call Toll Free 1-800-840-3683 or write CounterPunch, PO BOX 228, Petrolia, CA 95558

Now Available!
Dime's Worth of Difference:
Beyond the Lesser of Two Evils


Order Here!

Today's Stories

October 12, 2004

Roxane Dunbar-Ortiz
"Indian Country"

Bill and Kathleen Christison
Israel as Sideshow

 

October 11, 2004

Robert Fisk
Iraq: Unforgivable Betrayals and Broken Promises

Kevin Pina
The Untold Story of Aristide's Departure from Haiti

Patrick Gavin
Rethinking Columbus Day

Chris Floyd
Tribes with Flags in the New Afghanistan

Daniel Wolff
Radioactive Money: Entergy, Political Cash and America's Most Dangerous Nuclear Plant

Walter Brasch
The Only Ones Who Believe Saddam Had WMDs are Bush, Cheney...and 40% of All Americans

Mike Whitney
The Phony Afghan Elections: Ballot of the Disappearing Ink

Ari Shavit
"He Talks to Condi Rice Every Day": an Interview with Sharon's Lawyer

Paul Craig Roberts
The Debates and the Big Lie

Website of the Day
Dylan's Greatest Recording?

 

October 9 / 10, 2004

Alexander Cockburn
"There Are No Innocents"

Paul de Rooij
Northern Ireland is Still the Issue: a Conversation with Gerry Adams

M. Shahid Alam
Making Sense of Our Times

Laura Carlsen
Protest and Populism in Latin America

Fred Gardner
Pot Shots: ASA Goes to Court

Col. Dan Smith
Bush's Credibility Gap

Paul Craig Roberts
Faith-Based Economics

Greg Bates
What If Nader Critics Get What They Demand?

Joshua Frank
Cobb, the Greens and the Collapse of the Left

Felice Pace
Wilderness, Politics and the Oligarchy: How the Pew Charitable Trust is Smothering the Grassroots Environmental Movement

Walter A. Davis
Of Pynchon, Thanatos and Depleted Uranium

William A. Cook
The Agony of Colin Powell

Phyllis Pollack
Twas No Crank Call Love Affair: London Calling, 25 Years Later

Poets' Basement
Klipschutz, Albert, Ford

Website of the Weekend
Abu Ghraib: the Taguba Annexes

October 8, 2004

Jennifer Loewenstein
The Israeli Invasion of Gaza

Moshe Adler
Edwards' Gambit: He Hoped No One Would Notice the Similarities

David Swanson
Media Blackout: Press Continues to Ignore Labor's Opposition to Iraq War

Dave Zirin
CounterPunch Contest: Let's Name the New DC Baseball Team!

Rep. Ron Paul
The Draft is a Form of Slavery

William S. Lind
Keeping Our SA Up

Samar Assad
Kerry v. Bush: No Difference When It Comes to Israel / Palestine

Jim Ingalls and Sonali Kolhatkar
The Elections in Afghanistan

 

October 7, 2004

Dave Lindorff
All Out of Volunteers: A Draft is in the Air

Masha Hamilton
Fear in Kandahar

Christopher Brauchli
Master of Corruption: the Ripening Scandals of Tom Delay

Jason Leopold
Is There Still Time to Impeach Bush?

Bruce K. Gagnon
Bombing the Panhandle: Fighting the Pentagon in Rural Florida

Meredith Kolodner
Where is the Urgency?: The Anti-War Movement's Election Year Challenge

 

October 6, 2004

Jeffrey St. Clair
"Please, Dude, Can I Take Them Out?": Targeting Civilians in Fallujah

Ron Jacobs
Going Nuclear: the Ghost of Edward Teller Lives

Michael Colby
The National Flip-Flop: Suddenly Bush is Unfit to Lead?

Tarif Abboushi
More of the Same: Israel Wins the Debates

Matthew Behrens
Canadian Firms Profit from Iraqi Blood

Mike Whitney
Rethinking WMDs

John Pilger
Stealing Diego Garcia

Ben Tripp
Kerry's "Triumph"

Kevin McKiernan
Cheney's Poison Lab: Wrong Time, Wrong Target

Patrick Cockburn
Elections Will Not End the Fighting in Iraq

Website of the Day
Is There an Islamic Problem?

October 5, 2004

Anthony Loewenstein
Rupert Murdoch and the Marginals: "Personally Creating Outcomes"

Mark Clinton and Tony Udell
The Suicide of an Iraq War Veteran

Greg Bates
Trading Idiots: an Open Letter to Eric Alterman

Dave Lindorff
What's the Frequency, Karl?

Norm Dixon
Why Washington Won't Save Darfur Villagers

Larry Kearney
God Talk and Burning Children

Bill Linville
Dirty Politics in the Land of "Clean" Government

Gary Leupp
What Edwards Should Ask Cheney

Website of the Day
A Guide to Halliburton for Tonight's Debate

 

October 4, 2004

Diane Christian
The Gates of Hell

Joshua Frank
An Interview with David Cobb

Doug Giebel
Incurious George: What If Bush Didn't Lie?

John Chuckman
Strange Victory: Sen. Obvious and the Pathetic Lump

Ramzy Baroud
Reverse the Picture: Anatomy of a Palestinian Outrage

Julia Stein
Remembering Mario Savio and the FSM

Sean Donahue
Outsourcing Terror: Kerry and Special Forces

Website of the Day
Mapping Mt. St. Helens as She Rocks

 

October 2 / 3. 2004

Paul Wright
John Kerry on Criminal Justice

Kathleen and Bill Christison
An Exchange with Israeli Historian Bennie Morris

Kathie Helmkamp
My Son Trent: a Marine Who Doesn't Want to Kill

Phillip Cryan
Indigenous Mobilization in Colombia

Lenni Brenner
The First Ex-Catholic Saint: Memories of Mario Savio

Fred Gardner
Pot Shots: In Case You Missed "Montel"

Ron Jacobs
It Did Happen Here: When Neo-Nazis Terrorized Olympia

Ben Tripp
Sticker Shock

William S. Lind
The Grand Illusion: Iraqi Security Forces

Dave Zirin
The Swindle of the Century: Baseball Comes to DC

Dave Lindorff
Lies from the Great Debate

Luscon Pierre-Charles
Haiti's Elections: a High-Tech Sham is Underway

Zoe Moskovitz & Sasha Kramer
Separating Lies from Truth About Haiti

Nelson P. Valdes
Habana Night vs. Latin American Scholars in Vegas: 61 Banned Cuban Academics

Alan Farago
The "Ownership Society" and the End of the Everglades

Nancy Haley
What is the Historical Jesus Trying to Tell Us?

Alex Billet
Long Live The Clash: London Still Calling After 25 Years

Steve Fesenmaier
Save and Burn: The War on Libraries

Poets' Basement
Smith, Holt, Albert

 

October 1, 2004

Steve Breyman
Kerry's Missed Opportunities

Rose Gentle
My Son Died for a Lie

Lee Sustar
Iran in the Crosshairs

Ralph Nader
What We Didn't Hear at the Debate: Where's the Exit Strategy?

Walter Andrews
We Are Less Secure Now Than Ever

Mike Whitney
Pandora's Government

Mickey Z.
Debate This

Saul Landau
The Iraq Invasion: Lessons from the Pinochet Cases

 

 

 

 

 

 

 

 

 

Hot Stories

Alexander Cockburn
Behold, the Head of a Neo-Con!

Subcomandante Marcos
The Death Train of the WTO

Norman Finkelstein
Hitchens as Model Apostate

Steve Niva
Israel's Assassination Policy: the Trigger for Suicide Bombings?

Dardagan, Slobodo and Williams
CounterPunch Exclusive:
20,000 Wounded Iraqi Civilians

Steve J.B.
Prison Bitch

Sheldon Rampton and John Stauber
True Lies: the Use of Propaganda in the Iraq War

Wendell Berry
Small Destructions Add Up

CounterPunch Wire
WMD: Who Said What When

Cindy Corrie
A Mother's Day Talk: the Daughter I Can't Hear From

Gore Vidal
The Erosion of the American Dream

Francis Boyle
Impeach Bush: A Draft Resolution

Click Here for More Stories.

 

 

Subscribe Online

 

October 12, 2004

Profiting with the Enemy

Under Cheney, Halliburton Helped Saddam Siphon Billions from UN's Oil-for-Food Program

By JASON LEOPOLD

When the Iraqi Survey Group released its long awaited report last week that said Iraq eliminated its weapons programs in the 1990s, President George W. Bush quickly changed his stance on reasons he authorized an invasion of Iraq. While he campaigned for a second term in office, Bush justified the war by saying that that Saddam Hussein was manipulating the United Nation's oil-for-food program, siphoning off billions of dollars from the venture that he intended to use to fund a weapons program.

The report on Iraq's non-existent weapons of mass destruction, prepared by Charles Duelfer, a former U.N. weapons inspector and head of the Iraqi Survey Group, said Saddam Hussein used revenue from the oil-for-food program and "created a web of front companies and used shadowy deals with foreign governments, corporations, and officials to amass $11 billion in illicit revenue in the decade before the US-led invasion last year," reports The New York Times.

"Through secret government-to-government trade agreements, Saddam Hussein's government earned more than $7.5 billion," the report says. "At the same time, by demanding kickbacks from foreign companies that received oil or that supplied consumer goods, Iraq received at least $2 billion more to spend on weapons or on Saddam's extravagant palaces."

The oil-for-food program was supervised by the U.N. and ran from 1996 until the war started in Iraq last year. It was designed to alleviate the effects sanctions had on Iraqi citizens by allowing limited quantities of oil to be sold to buy food and medicine.

But the one company that helped Saddam exploit the oil-for-food program in the mid-1990s that wasn't identified in Duelfer's report was Halliburton, and the person at the helm of Halliburton at the time of the scheme was Vice President Dick Cheney. Halliburton and its subsidiaries were one of several American and foreign oil supply companies that helped Iraq increase its crude exports from $4 billion in 1997 to nearly $18 billion in 2000 by skirting U.S. laws and selling Iraq spare parts so it could repair its oil fields and pump more oil. Since the oil-for-food program began, Iraq has sold $40 billion worth of oil. U.S. and European officials have long argued that the increase in Iraq's oil production also expanded Saddam's ability to use some of that money for weapons, luxury goods and palaces. Security Council diplomats estimate that Iraq was skimming off as much as 10 percent of the proceeds from the oil-for-food program thanks to companies like Halliburton and former executives such as Cheney.

U.N. documents show that Halliburton's affiliates have had controversial dealings with the Iraqi regime during Cheney's tenure at the company and played a part in helping Saddam Hussein illegally pocket billions of dollars under the U.N.'s oil-for-food program. The Clinton administration blocked one deal Halliburton was trying to push through sale because it was "not authorized under the oil-for-food deal," according to U.N. documents. That deal, between Halliburton subsidiary Ingersoll Dresser Pump Co. and Iraq, included agreements by the firm to sell nearly $1 million in spare parts, compressors and firefighting equipment to refurbish an offshore oil terminal, Khor al Amaya. Still, Halliburton used one of foreign subsidiaries to sell Iraq the equipment it needed so the country could pump more oil, according to a report in the Washington Post in June 2001.

The Halliburton subsidiaries, Dresser-Rand and Ingersoll Dresser Pump Co., sold water and sewage treatment pumps, spare parts for oil facilities and pipeline equipment to Baghdad through French affiliates from the first half of 1997 to the summer of 2000, U.N. records show. Ingersoll Dresser Pump also signed contracts -- later blocked by the United States -- according to the Post, to help repair an Iraqi oil terminal that U.S.-led military forces destroyed in the Gulf War years earlier.

Cheney's hard-line stance against Iraq on the campaign trail is hypocritical considering that during his tenure as chief executive of Halliburton, Cheney pushed the U.N. Security Council, after he became CEO to end an 11-year embargo on sales of civilian goods, including oil related equipment, to Iraq. Cheney has said sanctions against countries like Iraq unfairly punish U.S. companies.

During the 2000 presidential campaign, Cheney adamantly denied that under his leadership, Halliburton did business with Iraq. While he acknowledged that his company did business with Libya and Iran through foreign subsidiaries, Cheney said, "Iraq's different." He claimed that he imposed a "firm policy" prohibiting any unit of Halliburton against trading with Iraq.

"I had a firm policy that we wouldn't do anything in Iraq, even arrangements that were supposedly legal," Cheney said on the ABC-TV news program "This Week" on July 30, 2000. "We've not done any business in Iraq since U.N. sanctions were imposed on Iraq in 1990, and I had a standing policy that I wouldn't do that."

But Cheney's denials don't hold up. Halliburton played a major role in helping Iraq repair its oil fields during the mid-1990s that allowed Saddam to siphon off funds from the oil-for-food program to fund a weapons program, which Cheney and President Bush insist was the case.

As secretary of defense in the first Bush administration, Cheney helped to lead a multinational coalition against Iraq in the Persian Gulf War and to devise a comprehensive economic embargo to isolate Saddam Hussein's government. After Cheney was named chief executive of Halliburton in 1995, he promised to maintain a hard line against Baghdad.

But that changed when it appeared that Halliburton was headed for a financial crisis in the mid-1990s. Cheney said sanctions against countries like Iraq were hurting corporations such as Halliburton.

"We seem to be sanction-happy as a government," Cheney said at an energy conference in April 1996, reported in the oil industry publication Petroleum Finance Week.

"The problem is that the good Lord didn't see fit to always put oil and gas resources where there are democratic governments," he observed during his conference presentation.

Sanctions make U.S. businesses "the bystander who gets hit when a train wreck occurs," Cheney told Petroleum Finance Week. "While virtually every other country sees the need for sanctions against Iraq and Saddam Hussein's regime there, Cheney sees general agreement that the measures have not been very effective despite their having most of the international community's support. An individual country's embargo, such as that of the United States against Iran, has virtually no effect since the target country simply signs a contract with a non-U.S. business," the publication reported.

Jason Leopold is the former Los Angeles bureau chief of Dow Jones Newswires where he spent two years covering the energy crisis and the Enron bankruptcy. He just finished writing a book about the crisis, due out in December through Rowman & Littlefield. He can be reached at: jasonleopold@hotmail.com

Weekend Edition Features for September 18 / 19, 2004

Alexander Cockburn
Forgeries, Fingerprints and Forensic Fakery

Jeffrey St. Clair
High Plains Grifter: Bush's Mask of Anarchy

Patrick Cockburn
Into the Abyss: the Week Iraq's Dream of Peace Fell Apart

Fred Gardner
Pot Shots: Financial Torture (Asset Forfeiture)

Joe Allen
The Comrades Kerry Abandoned: the Real Story of Vietnam Vets Against the War

George Corsetti
Poletown Revisited: Finally, Some Vindication

Scott Handleman
The Knock-Knock of a Sledgehammer: Sequestered in Nablus

Richard Ward
Two Weeks in Beit Arabiya

Conn Hallinan
Ashcroft and Indonesia

Lori Smith
Health Care in America: And Then I Got Sick...

Dave Zirin
Hold the Booyah!: SportsCenter Out of the Middle East

John L. Hess
Rather Will Take the Heat, As Bush's War Deteriorates

Brian J. Foley
W is for Wimp: So Why do Manly Men Love Him?

Mickey Z.
Pat Tillman and Osama bin Laden: Odd Juxtapositions

Poets' Basement
Vest, Landau & Albert

Website of the Weekend
Eye on the NYTs

Google
WWW http://www.counterpunch.org

 

/