GOJ INQUIRES RE STATUS OF OFF CONTRACTS

UNCLAS AMMAN 003829

SIPDIS

E.O. 12958: N/A
TAGS: ETRD EFIN IZ JO UNSC
SUBJECT: GOJ INQUIRES RE STATUS OF OFF CONTRACTS


1. (u) This is an action request; see para 4.


2. (u) On June 24, Ambassador received a letter dated June
18 from Minister of Industry and Trade Salah Eddin al Bashir
inquiring about the status of pending OFF contracts and
requesting USG assistance in resolving outstanding claims.
Text of letter follows:


3. (u) Begin Text:

(complimentary opening)

I would like to inform you that the Ministry has recently
received a number of requests and claims from several
Jordanian companies and enterprises calling on us to
intervene in resolving an important issue that has recently
surfaced pursuant to the latest developments in our region.

As you are aware, a number of Jordanian companies have
entered into several contracts pursuant to the Security
Council's oil-for-food program with the aim of assisting the
Iraqi people and providing them with much needed humanitarian
aid.

The implementation of the said contracts has been suspended
for an undetermined period of time despite the fact that they
would be of much assistance to the Iraqi people in this
transitional phase of their lives.

The contracts in question cover a number of vital sectors
that directly serve and support the Iraqi people, however,
the suspension of same would not only have a negative impact
on the people of Iraq but would also have serious
implications and drawbacks on a large spectrum of the
Jordanian companies, which in some cases rely totally on
trade with Iraq, taking into consideration that such
companies have already committed themselves to burdensome
financial obligations so as to fulfill the obligations set
forth therein.

Due to the above and with the hope that the foregoing
uncertainties would be very soon clarified and resolved, I
would really appreciate your Excellency's intervention in
resolving this issue by contacting the competent authorities
through whatever means you deem appropriate to resume the
implementation of the terms and conditions of the contracts
that have been entered into before the fall of the Iraqi
regime.

(complimentary closing)

End Text.


4. (u) Action request: Post would appreciate Washington
guidance regarding the status of outstanding OFF contracts
and the mechanism for determining the disposition of these
contracts.


5. (u) Baghdad minimize considered.
GNEHM