Guidance Needed for Use of Residual Iraqi Vested and Seized Asset Funds
Abstract
This letter addresses the Special Inspector General for Iraq Reconstruction's (SIGIR) review of U.S. government agencies' accounting for the $2.651 billion in vested and seized asset funds and planned uses for at least $47.4 million in unobligated funds remaining in accounts within the U.S. government. The Department of Defense (DoD) has generally maintained an accurate accounting of the funds; however, there is a difference of $10.7 million between the Army's and Department of the Treasury's accounting systems for seized assets. Neither the vested nor seized asset funds have been used since at least 2007 and DoD does not have plans to use the funds that remain in these accounts. Vested assets are defined as those Iraqi funds that had been frozen in U.S. bank accounts since the first gulf war and then later transferred to U.S. government accounts. Seized assets are defined as those Iraqi assets obtained from non-U.S. banks and from certain Iraqi state or regime-owned property confiscated by Coalition forces and transferred to U.S. government accounts. U.S. government agencies received about $2.651 billion of these funds comprising about $1.724 billion from vested assets and about $0.927 billion from seized assets. DoD was responsible for planning and accounting for the use of these funds consistent with Presidential direction that they be used to assist the Iraqi people and support the reconstruction of Iraq. The Deputy Chief Financial Officer, Office of the Undersecretary of Defense (Comptroller) provided written comments to a draft of this report. The Deputy Chief Financial Officer concurred with the report and its recommendations. The Comptroller's office agreed to (1) direct the Assistant Secretary of the Army (Financial Management and Comptroller) to work with the Department of Treasury to reconcile differences in seized asset account balances and (2) issue guidance concerning the final use and ultimate disposition of remaining vested and seized asset funds.
Document Details
- Document Type
- Technical Report
- Publication Date
- Oct 15, 2010
- Accession Number
- ADA545968
Entities
People
- Benjamin H. Comfort
- Glenn D. Furbish
- James F. Shafer
- Jason G. Venner
- L. M. Welsh
- M. G. Knoepfle
Organizations
- Special Inspector General for Iraq Reconstruction