Development Fund for Iraq: Department of Defense Needs to Improve Financial and Management Controls
Abstract
Since January 2004, the Department of Defense (DOD) has received about $9.1 billion from the Development Fund for Iraq (DFI) for reconstruction activities in Iraq. The DFI comprises funds from export sales of petroleum, petroleum products, and natural gas from Iraq, and surplus funds from the United Nations Oil-for-Food Program as well as frozen Iraqi assets. The Fund was established in May 2003 by the Coalition Provisional Authority (CPA) Administrator, and recognized by United Nations Security Council Resolution 1483, dated May 22, 2003. The resolution requires that the funds be used in a transparent manner for: (1) humanitarian needs of the Iraqi people, (2) economic reconstruction and repair of Iraq's infrastructure, (3) continued disarmament of Iraq, (4) cost of Iraqi civilian administration, and (5) other purposes benefiting the people of Iraq. After the CPA was dissolved in June 2004, the U.S. government was authorized by the Government of Iraq (GOI) to administer the DFI funds made available for reconstruction projects until that authority was withdrawn effective December 31, 2007. The Special Inspector General for Iraq Reconstruction (SIGIR) previously reported on weaknesses in the U.S. Army Corps of Engineers' (USACE) accounting for DFI funds and problems with the DOD and Department of State process for facilitating payment of unpaid DFI project invoices. SIGIR is providing this report on DOD's overall accounting for DFI funds.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jul 27, 2010
- Accession Number
- ADA525209
Entities
Organizations
- Special Inspector General for Iraq Reconstruction