IRAQ: UK DRAFT RESOLUTION of 20 JUNE 2001

CASI has obtained the UK draft from 20 June 2001 for a Security Council Resolution. This is the third such draft that CASI has obtained, and can be compared with the drafts from 8 June 2001 (also in PDF) and 22 May 2001 (plus annex). This is the first draft that we have received that also contains a set of "Procedures" for the UN Secretariat. Some of the draft resolutions of other Security Council members can be accessed via CASI's list of Latest Documents.

The Security Council,

Recalling its previous relevant resolutions, including its resolutions 661 (1990) of 6 August 1990, 670 (1990) of 25 September 1990, 687 (1991) of 3 August 1991, 986 (1995) of 14 April 1995, 1051 (1996) of 27 March 1996, 1284 (1999) of 17 December 1999, 1330 (2000) of 5 December 2000 and 1352 (2001) of 1 June 2001,

Convinced of the need as a temporary measure to continue to provide for the civilian needs of the Iraqi people until the fulfilment by the Government of Iraq of the relevant resolutions, including notably resolutions 687 (1991) and 1284 (1999), allows the Council to take further action with regard to the prohibitions referred to in resolution 661 (1990) of 6 August 1990,

Determined to improve the humanitarian situation in Iraq,

Determined also to consult interested States in the region and to act in cooperation with the States neighbouring Iraq,

Recognising the importance of the presence in Iraq of a sufficient number of observers to provide the required assurance to the Council that items listed in the Annex 2 to this resolution, where approved for export to Iraq, are utilised for the purposes for which they have been approved,           

Stressing the need for all States to implement effectively all previous relevant resolutions, as modified by this resolution, in particular paragraph 4 of resolution 661 (1990), 

Reaffirming the commitment of all Member States to the sovereignty and territorial integrity of Iraq,

Acting under Chapter VII of the Charter of the United Nations.

1.  Decides that the provisions of resolution 986 (1995), except those contained in paragraphs 4, 8(a)(ii), 11 and 12, and subject to paragraph 15 of resolution 1284 (1999) and the following provisions of this resolution, shall remain in force for a new period of [190] days beginning at 00.01 hours, Eastern Daylight Time, on 4 July 2001;

2.  Authorises States to permit, notwithstanding the provisions of paragraph 3(c) of resolution 661 (1990) and consistent with the other provisions of this resolution, the sale or supply to Iraq of any commodities and products, other than commodities and products referred to in paragraph 24 of resolution 687 (1991), subject to the following conditions and the procedures annexed to in Annex 1 to this resolution:

(a)    all proposals for the sale or supply of commodities and products to Iraq shall be notified to the Secretary-General, who shall permit them unless  he or the United Nations Monitoring, Verification and Inspection Commission (UNMOVIC), in consultation with the International Atomic Energy Agency (IAEA) as appropriate, determines that they contain items referred to in paragraph 24 of resolution 687 (1991) or items included on the Goods Review List set out in the Annex 2 to this resolution;

(b)   any proposed sale or supply to Iraq determined by the Secretary-General or UNMOVIC, in consultation with IAEA as appropriate, to include any item on the Goods Review List set out in the Annex to this resolution requires the approval by the Committee established by resolution 661 (1990), such proposals to be forwarded by the Secretary-General to the Committee;

3.   Decides that the funds in the escrow account established pursuant to paragraph 7 of resolution 986 (1995) may be used to finance the sale or supply to Iraq of those commodities and products that are authorised for sale or supply to Iraq under paragraph 2 above of this resolution, provided that the conditions of paragraphs 8(a)(i) and 8(a)(iii) of resolution 986 (1995) are met;

4.   Decides also to keep the Goods Review List under regular review, and requests the Secretary-General, on the basis of recommendations from the Office of the Iraq Programme, UNMOVIC and the IAEA and following consultation with the interested States, to make recommendations to the Council before the end of the 190-day period on the possible revision and updating of the Goods Review List;

5.   Expresses its intention to permit the provision of services in civil sectors, other than financial services, to Iraq, including through turnkey projects, subject to the elaboration of arrangements by the Secretary-General, to be approved by the Council, to ensure that the services are utilised for the purposes for which they are permitted and to ensure the non-diversion of funds used to finance the services, and requests the Secretary-General to elaborate such arrangements within 60 days of the adoption of this resolution;

6.  Requests the Secretary-General to consult the States sharing land borders with Iraq on specific arrangements for to be established in cooperation with those States for the import of up to 150,000 barrels per day of petroleum and petroleum products from Iraq to those States, provided that such arrangements only permit payment to Iraq either only in the form of commodities or products or the deposit of funds due to Iraq in escrow accounts to be established in the importing State, and provided that such arrangements prohibit the sale or supply to Iraq of prohibited items or items not authorised by the Council commodities and products not authorised for sale or supply to Iraq under paragraph 2 above, and to make recommendations in this regard for the approval of the Council within 120 days of the adoption of this resolution;

7.  Also requests  the Secretary-General, in order to maximise the revenue available to the escrow account established pursuant to paragraph 7 of resolution 986 (1995), to draw up, within one month of the adoption of this resolution, for the approval of the Council Committee established by resolution 661 (1990), criteria for the selection of companies and trading organisations to be authorised to handle the sale or supply of Iraqi petroleum and petroleum products to States other than those covered by the arrangements set out in paragraph 6 above, those criteria to include a proven record of legitimate trading by the company or organisation concerned in Iraqi and non-Iraqi petroleum and petroleum products;

8.  Directs the Committee Further requests the Secretary-General, within one month of the approval of the criteria referred to in paragraph 7 above, to draw up a list of companies and trading organisations in accordance with those criteria and within one month of their receipt, and decides that thereafter the sale or supply of Iraqi petroleum and petroleum products to these States shall take place only through authorised oil companies and trading organisations on that list, and consistent with paragraph 1(b) of resolution 986 (1995);

9.  Requests the Secretary-General, in order to maximise the revenue available to the escrow account established pursuant to paragraph 7 of resolution 986 (1995), to make recommendations within one month of the adoption of this resolution to the Committee established by resolution 661 (1990) for its approval to improve the pricing mechanism for the purchase of Iraqi petroleum and petroleum products consistent with the conditions of the global market;

8. 10.   Decides that the arrangements set out in paragraph 2 of resolution 1330 (2000) regarding the use of funds from the escrow account established pursuant to paragraph 7 of resolution 986 (1995) for the purposes of paragraph 8(b) of the latter resolution shall remain in force and shall be implemented in accordance with paragraph 2 above;

9. 11.  Decides also that the funds in the account established pursuant to paragraph 8 (d) of resolution 986 (1995) may be used for the payment of the arrears in Iraq’s contribution to the budget of the United Nations, and for the payment, on a continuing basis, of Iraq’s assessed contribution to the regular budget of the United Nations;

10. 12.  Decides further that all States may permit any non-Iraqi civil aircraft destined to land in or take off from Iraq, including an aircraft carrying passengers, to take off from, overfly, or land in its territory, provided that aircraft destined for Iraq land at or originate from one of the designated airfields outside Iraq on a list to be drawn up by the Committee established by resolution 661 (1990), and remain there for as long as necessary in order to permit inspection of cargo by national authorities in the presence of United Nations observers to prevent the carriage of unauthorised cargo, and that notification of the flight to the Secretariat is given 5 working days in advance to facilitate such inspections;

11 13.  Decides to terminate paragraphs 3, 4 and 6 of resolution 670 (1990) when the Secretary-General reports to the Council that the system outlined in paragraph 12 above is operational;

12. 14. Decides also that the funds in the escrow account established pursuant to paragraph 8 (d) of resolution 986 (1995) may be used by the Secretary-General to facilitate the inspection of such flights pursuant to paragraph 8 12 above at the inspection points airfields designated by the Committee established by resolution 661 (1990) for flights to Iraq;

13. 15.  Requests the Committee established by resolution 661 (1990) to carry out all the tasks entrusted to it by this resolution expeditiously;

14.  16. Authorises, at the request of the Governments of Tunisia and Jordan, the return to Iraq of Iraqi civil aircraft currently held in those countries;

15.  17.   Requests the Secretary-General to review and revise the procedures for land-based monitoring of the export of commodities and products to Iraq by land and sea, both to ensure the effectiveness of the arrangements at authorised border crossings, utilising United Nations personnel as appropriate, and to prevent the export to Iraq at those crossings and elsewhere of prohibited goods commodities and products not authorised for sale or supply to Iraq under paragraph 2 above;

18.   Requests also the Secretary-General, for the purpose of enhancing border monitoring to prevent the export to Iraq of commodities or products not authorised for sale to Iraq under paragraph 2 above, consistent with the arrangements in paragraph 6 above, particularly by those States which share land borders with Iraq, the Secretary-General may to cooperate with those States and to provide assistance to States them, drawing from the escrow account established by pursuant to paragraph 8 (d) of resolution 986 (1995);

16. 19.   Stresses the obligation of Iraq to cooperate with the implementation of this resolution and other applicable resolutions, and the need to continue to ensure respect for the security and safety of all persons directly involved in the implementation of this resolution and other applicable resolutions in Iraq;

17.  20.  Appeals to all States to continue to cooperate in the timely submission of technically complete applications and the expeditious issuance of export licences, and to take all other appropriate measures within their competence in order to ensure that urgently needed humanitarian supplies reach the Iraqi population as rapidly as possible;

18.  21.   Requests the Secretary-General to provide a comprehensive report to the Council on the implementation of this resolution 90 days after its adoption and again at least one week prior to the end of the 190-day period, on the basis of observations of the United Nations personnel in Iraq to carry out the purposes of paragraph 3 of resolution 1330 (2000), and of consultation with the members of the Committee established by resolution 661 (1990) and with the Government of Iraq;

19.  22.  Decides that the effective deduction rate of the funds deposited in the escrow account established by resolution 986 (1995) to be transferred to the Compensation Fund in the 190-day period shall be [25] [30] percent, and further decides that the additional funds resulting from this decision will be deposited in the account established pursuant to paragraph 8(a) of resolution 986 (1995);

20. 23.  Expresses its intention to consider favourably prior to the expiration of the 190- day period the renewal of the provisions of this resolution;

21.  24.  Decides to remain seized of the matter.  

Procedures

1 - Applications for each export of commodities and products to be financed from the escrow account established pursuant to paragraph 7 of resolution 986 (1995) should be forwarded to the Office of the Iraq Programme (OIP) by the exporting states through permanent or observer missions, or by United Nations agencies and programmes. Each application should include the maximum technical specifications and end-user information in order for a determination to be made on whether the contract contains any item referred to in paragraph 24 of resolution 687 (1991) or any item on the Goods Review List (GRL), and indicate that the exporter seeks payments from the escrow account. A copy of the concluded contractual arrangements should be attached to the application.

2 - Each application and the concluded contractual arrangements will be reviewed by customs experts in the OIP and experts from UNMOVIC, consulting the IAEA as necessary, in order to determine whether the contract contains any item referred to in paragraph 24 of resolution 687 (1991) or included on the GRL.  The OIP will identify an official to act as a contact point on each contract.

3 - In order to verify that the conditions set out in paragraph 2 above are met, the experts may request additional information from the exporting States or Iraq. The exporting states or Iraq should provide the additional information requested within a period of 60 days. If the experts do not require any additional information within four working days, the procedure under paragraphs 5, 6 and 7 below applies.

4 - If the experts determine that the exporting state or Iraq has not provided the additional information within the period set out in paragraph 3 above, the application will not proceed further until the necessary information has been provided.

5. - If the UNMOVIC experts, consulting the IAEA as necessary, determine that the contract contains any item referred to in paragraph 24 of resolution 687 (1991), the application shall be considered lapsed and returned to mission or agency which submitted it.

6 – If the UNMOVIC experts, consulting the IAEA as necessary, determine that the contract contains any item referred to in the GRL, they will forward to the Committee full details of the GRL listed items, including the technical specifications of the items and the associated contract.  OIP will immediately inform the missions or agencies concerned.  The remaining items in the contract, which are determined as not included in the GRL, will be processed according the procedure in paragraph 7 below.

7 - If the UNMOVIC experts, consulting the IAEA as necessary, determine that the contract does not contain any item referred to in paragraph 2 above, they the Office of the Iraq Programme will inform immediately the Government of Iraq and the exporting State in written form.   The exporter will be eligible for payment upon verification by Cotecna that the goods have arrived as contracted in Iraq.

8 - No expert from either the OIP or UNMOVIC will review a contract submitted by an exporting state of which the expert is a national. Moreover no expert from either the OIP or UNMOVIC shall review a contract which indicates that the goods concerned originate from a State of which the expert is a national.

9  8 - If the mission or agency submitting a contract disagrees with the decision to refer the contract to the Committee, it may appeal against this decision within two business days to the Executive Director of OIP.  In that event, the Executive Director of OIP, in consultation with the Executive Chairman of UNMOVIC, will appoint experts to re-consider the contract in accordance with the procedures set out above.  Their decision, endorsed by the Executive Director and Executive Chairman, will be final and no further appeals will be permitted. The application shall not be forwarded to the Committee until the appeal period has expired without an appeal being filed. 

10 9 – The Secretariat will report to the Committee at the end of each 180-day phase on the contracts submitted and approved for export to Iraq during this period and provide to any member of the Committee at the member’s request copies of applications for information purposes only.

11 10 - Any Committee member may call for an urgent meeting of the Committee to consider revising or revoking these procedures. The Committee will keep these procedures under review and, in light of experience, will amend them as appropriate.                                                                                                     

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