Cablegate: Somo Arrears -- Check Really in the Mail

This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS BAGHDAD 004453

SIPDIS

SENSITIVE

E.O. 12958: N/A
TAGS: ECON ENRG EPET PGOV PREL TU IZ
SUBJECT: SOMO ARREARS -- CHECK REALLY IN THE MAIL

REF: ANKARA 6848

1. (SBU) Ministry of Oil Director General for Finance Radwan
al-Sa'adi updated Emboffs October 30 on the status of Iraq's
payment of some $900 billion in arrears to Turkish fuel
exporters. According to Radwan, the Ministries of Finance
and Planning have both signed off on the release of $500
million to pay the Turks. The Ministry of Finance confirmed
the release of these funds to us October 30. Radwan said
that the money should hit the account of JP Morgan in New
York on Monday October 31. (Note: We were not told which
exporters were to be paid or in what percentage the creditors
would be made whole. End Note).

2. (SBU) MinFin also confirmed the release of another $175
million to pay non-Turkish suppliers, of which $150 million,
according to the MoO officials, will go to pay the Kuwaiti
company KPC. MinFin confirmed the release but did not
confirm that the suppliers identified by MoO would be those
paid. We will continue to track this issue.
Satterfield

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