International Advisory and Monitoring Board

The International Advisory and Monitoring Board (IAMB) was "established as part of UN Security Council Resolution 1483," approved May 22, 2003, "which lifts sanctions on the country, phases out the UN Oil-for-Food Program, and aims to meet the humanitarian and reconstruction needs of the Iraqi people. The IAMB is expected to appoint independent public accountants to audit the development fund established with future Iraqi oil revenues."


 * "The Security Council on 22 May decided to lift trade and financial sanctions on Iraq; extend the oil-for-food programme for six months; revisit the mandates of the United Nations Monitoring, Verification and Inspection Commission (UNMOVIC) and the International Atomic Energy Agency (IAEA) at a later date; request appointment of a Special Representative of the Secretary-General; and review implementation of those and other matters within 12 months."


 * Resolution 1483 (2003) was adopted by a vote of fourteen in favor, none against, with Syria not participating. Also see resolution commentary and June 11, 2003 DRAFT.

--- Remarks by Ambassador John Negroponte, United States Permanent Representative to the United Nations, on Iraq, at the Security Council Stake-out, May 20, 2003. --- NGOs decry 'bribes' & 'threats' at UN, May 24, 2003: "A coalition of over 150 peace groups and global non-governmental organizations (NGOs) is lashing out at the UN Security Council for adopting a resolution that virtually legitimizes the US-led invasion of Iraq and endorses the foreign occupation of a UN member state." -- International Advisory and Monitoring Board Terms of Reference Draft, June 10, 2003. From iraq revenue watch.org, "an initiative from the Open Society Institute", i.e. George Soros.

"IRW Commentary:

The remit of the IAMB is narrow and limited to oversight of the audit for the DFI (Development Fund for Iraq). Regulations for the IAMB go into force once approved by a majority of IAMB members and with agreement of the CPA (Coalition Provisional Authority).


 * Responsibility. The IAMB "shall oversee the external audit processes, the financial reporting arrangements, and the system of internal controls of the DFI."


 * Reporting: Audits, minutes of IAMB meetings, approved reports, and dissenting views are all to be published.


 * Members: Voting members are representatives of the Secretary General of the United Nations, the Managing Director of the IMF (International Monetary Fund), the Director-General of the Arab Fund for Social and Economic Development, and the President of the International Bank for Reconstruction and Development. Additional non-voting members may be added with CPA approval.


 * Concerns: These terms of reference provide an extremely narrow function. The auditor only examines whether petroleum export revenues are flowing to the DFI in correct amounts and whether the revenues are being properly stored while in the DFI. The auditors will have no power to review the most contested issues: the terms of contracts that determine what share of petroleum profits the government receives, nor whether expenditures from the DFI are being used effectively. Hence, while the terms of reference for the IAMB do create an inclusive institution, its influence will be marginal.


 * October 2, 2003,US Seen Dragging Feet on Iraqi Oil Money Watchdog:


 * "Four months after the Security Council ordered an independent board to monitor U.S. spending of Iraq's oil revenues, diplomats on Thursday accused the United States of blocking it from taking up its duties.


 * "The diplomats blamed the delay on U.S. disagreements with the designated members of the as-yet nonexistent International Advisory and Monitoring Board over its duties. The board was to be created under a May 22[, 2003] Security Council resolution.....


 * "Another U.S. official said the problem lay not with Washington but with the Coalition Provisional Authority, headed by Iraq's U.S. administrator, L. Paul Bremer.... The CPA is not the U.S. government, this official said.


 * "The May 22 resolution called for Iraqi oil revenues and other reconstruction funds -- including money left over from the U.N. oil-for-food program after it is shut down on Nov. 21 -- to be deposited in a Development Fund for Iraq, to be held by the Iraqi central bank."


 * See Coalition Provisional Authority Order Number 20: Trade Bank of Iraq, July 17, 2003, and Order Number 18: Measures to Ensure the Independence of the Central Bank of Iraq, July 7, 2003.


 * "The resolution awards seats on the monitoring board to the World Bank, the International Monetary Fund, the United Nations and the Arab Fund for Social and Economic Development but leaves the board's precise duties vague."

Contact details
Website: http://www.iamb.info/

SourceWatch Resources

 * Development Fund for Iraq

External Resources

 * The International Advisory and Monitoring Board, IAMB website.
 * A New Security Council Mandate for Iraq: U.S. Military and UN Civil Control the Only Way Forward, Open Society Institute, September 4, 2003: "On September 4, the U.S. circulated a draft UN Security Council (SC) Resolution." Also see Soros Watchdog to Monitor US Use of Iraqi Oil by Irwin Arieff, Common Dreams, May 21, 2003.
 * Board Set to Monitor How U.S. Spends Iraq Oil Money, Reuters, October 22, 2003.
 * "Iraq: the missing billions", Christian Aid, 23 October 2003