GOVERNING COUNCIL OF UNITED NATIONS COMPENSATION COMMISSION CONCLUDES ITS SIXTY-NINTH SESSION AND PAYS OUT US$590 MILLION

The Governing Council of the United Nations Compensation Commission, under the Presidency of Ambassador Christian Strohal (Austria), today concluded its sixty-ninth session. At this session, the Council elected Brazil as one of the Vice-Presidents of the Governing Council. Brazil replaces Costa Rica which held vice-presidency for the period 2008-2009. Japan currently holds the other vice-presidency.

Representatives of Kuwait and Iraq addressed the fifteen-member Governing Council at its opening plenary meeting.

At the session, the Council considered a report from the Executive Head of the UNCC Secretariat on the activities of the Commission since the last session; and a report on distribution by Governments and international organisations of payments to successful claimants, the transparency of the distribution process, and the return of undistributed funds.

The Council also heard a briefing from the Secretariat on the progress made to date by participating Governments under the Follow-up Programme for Environmental Awards as established by decision 258 (2005). The Programme was established to monitor the implementation of approximately $4.3 billion of environmental remediation and restoration projects being undertaken by the Governments of Iran, Jordan, Kuwait and Saudi Arabia with funds awarded under the F4 category of claims to ensure financial transparency and technical reasonableness.

The Council decided to hold its next regular session from 9 to 11 November 2010.

Today, the United Nations Compensation Commission also made available a total of $590,000,000 to the Government of the State of Kuwait for distribution to nine successful claimants. Payment is being made in respect of 5 claims in category E (claims of corporations and public sector enterprises) and 4 claims in category F (claims of Governments and international organizations, including environmental claims).

Under decision 267 (S/AC.26/Dec.267 (2009)), the nine remaining category E and F claims, all awarded to Kuwait, are paid on a quarterly basis in rounds of $10 million, in the order in which they have been approved. This payment brings the overall amount of compensation made available to date by the United Nations Compensation Commission for successful claims of individuals, corporations, and Governments and international organizations to $29,498,814,044. This leaves an outstanding balance of approximately $22.9 billion that remains owing to Kuwait.

Successful claims are paid with funds drawn from the United Nations Compensation Fund, which is funded by a percentage of the proceeds generated by the export sales of Iraqi petroleum and petroleum products. This percentage is currently at 5 per cent in accordance with paragraph 21 of Security Council resolution 1483 (2003).

Further information about the Commission, including the text of Governing Council decisions, can be found on the United Nations Compensation Commission website located at www.uncc.ch.


For use of the information media; not an official record

UNCC10/003E