House debates

Tuesday, 14 February 2006

Questions without Notice

Oil for Food Program

2:16 pm

Photo of Alexander DownerAlexander Downer (Mayo, Liberal Party, Minister for Foreign Affairs) Share this | Hansard source

I thank the honourable member for Mitchell for his question and his interest. He is a good member and he asks good questions. The Volcker inquiry, which honourable members may have already noticed, examined allegations of corruption of the United Nations oil for food program. It was completed in October 2005. Overall the Volcker report found evidence that illicit payments in relation to humanitarian sales had been made by 2,200 companies in 66 different countries. Honourable members may be interested in what has happened in other countries. For example, there were 14 British companies identified, 15 Swedish companies, over 50 German companies, 21 Danish companies, over 50 Swiss companies, four Canadian companies and two New Zealand companies.

The Secretary-General of the United Nations said that he hoped that national authorities would take action against companies falling within their jurisdictions. Within 14 days of the Volcker report being handed down, the Australian government established the Cole inquiry, with the powers of a royal commission. I think that was a very strong and a very principled response, and I am sure that is very much appreciated by the United Nations.

Of the 65 other countries named, many of them took no action at all. Of those that have taken action, and I include countries such as the United Kingdom, Canada, New Zealand and Sweden—countries that I think on the whole we would regard as somewhat comparable with Australia—they have simply referred the Volcker allegations to police or prosecutors for investigation. That has certainly been the approach of the British government of Tony Blair. He has not chosen to establish an independent inquiry of the kind that has been established here in Australia.

Only two countries, as far as I am aware, have set up inquiries. One of them is a behind-closed-doors inquiry that was established by India. The other is an inquiry that has just very recently been established in South Africa. Neither of these inquiries have so far conducted forensic and open hearings of the kind we have seen conducted by the Cole inquiry. I do not think this is a contestable proposition. No other country—and there are 66 countries involved here; not just Australia—

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