BBC - 9B in Iraq reconstruction funds missing

BBC NEWS | Programmes | File on 4 | Iraq reconstruction funds missing:

"Almost $9bn (£4.7bn) of Iraqi oil revenue is missing from a fund set up to reconstruct the country.

The BBC's File On 4 programme has learnt that out of over $20bn raised in oil revenues during US-led rule, the use of $8.8bn is unaccounted for.

US government auditors criticise the Coalition Provisional Authority for failing to manage the money properly.
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On one occasion, $1.4bn had to be transported to a bank in three helicopters, as it weighed 14 tons, but no deposit slip was obtained when it was paid in.

The CPA has also come under attack for failing to prevent widespread fraud.

One US company is accused of massively inflating its profits by setting up sham companies to send fake invoices which the coalition paid.

Others are alleged to have demanded dubious commissions which then came out of Iraqi funds.

Even some Coalition officials are said to have openly demanded bribes of up to $300,000 in cash.

File On 4 reporter Gerry Northam explained: 'Many Iraqis are angry at the way the Coalition handled funds, particularly the money from their own oil, and especially where inexplicable amounts ended up in the hands of foreign businesses.'"