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excerpts from an article about Cheyney and Iraq

by Alan Spector

21 November 2000 02:44 UTC


The following is excerpted from an article that appeared in the SanFrancisco Bay Guardian
 
 

During
> > former defense secretary Richard Cheney's five-year tenure as chief
> > executive of Halliburton, Inc., his oil services firm raked in big bucks
> > from dubious commercial dealings with Iraq. Cheney left Halliburton with a
> > $34 million retirement package last July when he became the GOP's
> > vice-presidential candidate.
> >
> > Of course, U.S. firms aren't generally supposed to do business with Saddam
> > Hussein. But thanks to legal loopholes large enough to steer an oil tanker
> > through, Halliburton profited big-time from deals with the Iraqi
> > dictatorship. Conducted discreetly through several Halliburton
> subsidiaries
> > in Europe, these greasy transactions helped Saddam Hussein retain his grip
> > on power while lining the pockets of Cheney and company.
> >
> > According to the Financial Times of London, between September 1988 and
> last
> > winter, Cheney, as CEO of Halliburton, oversaw $23.8 million of business
> > contracts for the sale of oil-industry equipment and services to Iraq
> > through two of its subsidiaries, Dresser Rand and Ingersoll-Dresser Pump,
> > which helped rebuild Iraq's war-damaged petroleum-production
> > infrastructure. The combined value of these contracts exceeded those of
> any
> > other U.S. company doing business with Baghdad.
> >
> > Halliburton was among more than a dozen American firms that supplied
> Iraq's
> > petroleum industry with spare parts and retooled its oil rigs when U.N.
> > sanctions were eased in 1998. Cheney's company utilized subsidiaries in
> > France, Italy, Germany, and Austria so as not to draw undue attention to
> > controversial business arrangements that might embarrass Washington and
> > jeopardize lucrative ties to Iraq, which will pump $24 billion of petrol
> > under the U.N.-administered oil-for-food program this year. Assisted by
> > Halliburton, Hussein's government will earn another $1 billion by
> illegally
> > exporting oil through black-market channels.
> >
> > With Cheney at the helm since 1995, Halliburton quickly grew into
> America's
> > number-one oil-services company, the fifth-largest military contractor,
> and
> > the biggest nonunion employer in the nation. Although Cheney claimed that
> > the U.S. government "had absolutely nothing to do" with his firm's
> meteoric
> > financial success, State Department documents obtained by the Los Angeles
> > Times indicate that U.S. officials helped Halliburton secure major
> > contracts in Asia and Africa. Halliburton now does business in 130
> > countries and employs more than 100,000 workers worldwide. Its 1999 income
> > was a cool $15 billion.
> >
> > In addition to Iraq, Halliburton counts among its business partners
> several
> > brutal dictatorships that have committed egregious human rights abuses,
> > including the hated military regime in Burma (Myanmar). EarthRights, a
> > Washington, D.C.-based human rights watchdog, condemned Halliburton for
> two
> > energy-pipeline projects in Burma that led to the forced relocation of
> > villages, rape, murder, indentured labor, and other crimes against
> > humanity. A full report (this is a 45 page pdf file -
> >
http://www.earthrights.org/Halliburton/report.pd - there is also a brief
> >
http://www.earthrights.org/news/halliburton.html - summary) on the Burma
> > connection, "Halliburton's Destructive Engagement," can be accessed on
> > EarthRights' Web site,
http://www.earthrights.org/news/halliburton.html.
> >
> > Human rights activists have also criticized Cheney's company for its
> > questionable role in Algeria, Angola, Bosnia, Croatia, Haiti, Rwanda,
> > Somalia, Indonesia, and other volatile trouble spots. In Russia,
> > Halliburton's partner, Tyumen Oil, has been accused of committing massive
> > fraud to gain control of a Siberian oil field. And in oil-rich Nigeria,
> > Halliburton worked with Shell and Chevron, which were implicated in gross
> > human rights violations and environmental calamities in that country.
> > Indeed, Cheney's firm increased its involvement in the Niger Delta after
> > the military government executed several ecology activists and crushed
> > popular protests against the oil industry.
> >
> > Halliburton also had business dealings in Iran and Libya, which remain on
> > the State Department's list of terrorist states. Brown and Root, a
> > Halliburton subsidiary, was fined $3.8 million for reexporting U.S. goods
> > to Libya in violation of U.S. sanctions.
> >
> > But in terms of sheer hypocrisy, Halliburton's relationship with Saddam
> > Hussein is hard to top. What's more, Cheney lied about his company's
> > activities in Iraq when journalists fleetingly raised the issue during the
> > campaign.
> >
> > Questioned by Sam Donaldson on ABC's This Week program in August, Cheney
> > bluntly asserted that Halliburton had no dealings with the Iraqi regime
> > while he was on board.
> >
> > Donaldson: I'm told, and correct me if I'm wrong, that Halliburton,
> through
> > subsidiaries, was actually trying to do business in Iraq?
> >
> > Cheney: No. No. I had a firm policy that I wouldn't do anything in Iraq -
> > even arrangements that were supposedly legal.
> >
> > And that was it! ABC News and the other U.S. networks dropped the issue
> > like a hot potato. As damning information about Halliburton surfaced in
> the
> > European press, American reporters stuck to old routines and took their
> > cues on how to cover the campaign from the two main political parties,
> both
> > of which had very little to say about official U.S. support for abusive
> > corporate policies at home and abroad.
> >
> > But why, in this instance, didn't the Democrats stomp and scream about
> > Cheney's Iraq connection? The Gore campaign undoubtedly knew of
> > Halliburton's smarmy business dealings from the get-go. Gore and Lieberman
> > could have made hay about how the wannabe GOP veep had been in cahoots
> with
> > Saddam. Such explosive revelations may well have swayed voters and boosted
> > Gore's chances in what was shaping up to be a close electoral contest.
> >
> > The Democratic standard-bearers dropped the ball in part because
> > Halliburton's conduct was generally in accordance with the foreign policy
> > of the Clinton administration. Cheney is certainly not the only Washington
> > mover and shaker to have been affiliated with a company trading in Iraq.
> > Former CIA Director John Deutsch, who served in a Democratic
> > administration, is a member of the board of directors of Schlumberger, the
> > second-largest U.S. oil-services company, which also does business through
> > subsidiaries in Iraq. Despite occasional rhetorical skirmishes, a
> > bipartisan foreign-policy consensus prevails on Capital Hill, where the
> > commitment to human rights, with a few notable exceptions, is about as
> deep
> > as an oil slick.
> >
> > Truth be told, trading with the enemy is a time-honored American corporate
> > practice - or perhaps "malpractice" would be a more appropriate
> description
> > of big-business ties to repressive regimes. Given that Saddam Hussein, the
> > pariah du jour, has often been compared to Hitler, it's worth pointing out
> > that several blue-chip U.S. firms profited from extensive commercial
> > dealings with Nazi Germany. Shockingly, some American companies -
> including
> > Standard Oil, Ford, ITT, GM, and General Electric - secretly kept trading
> > with the Nazi enemy while American soldiers fought and died during World
> > War II.
> >
> > Today General Electric is among the companies that are back in business
> > with Saddam Hussein, even as American jets and battleships attack Iraq on
> a
> > weekly basis using weapons made by G.E. But the United Nations sanctions
> > committee, dominated by U.S. officials, has routinely blocked medicines
> and
> > other essential items from being delivered to Iraq through the
> oil-for-food
> > program, claiming they have a potential military "dual use." These
> > sanctions have taken a terrible toll on ordinary Iraqis, and on children
> in
> > particular, while the likes of Halliburton and G.E. continue to lubricate
> > their coffers.
> >
>

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