Bulgaria Socialists Face Pressure over Saddam Money Scandal

Domestic | November 12, 2009, Thursday

Saddam Hussein, pictured here during his trial, is believed to have given as a gift 12 million barrels of oil in 1998 - worth about USD 250 M at the time – to the Bulgarian Socialist Party. Photo by EPA/BGNES

The formerly ruling Bulgarian Socialist Party has been hit once again by allegations that it received money from Saddam Hussein in the late 1990s.

"There is evidence that the Bulgarian Socialist Party has had dealings with the regime of Saddam Hussein," Bulgaria's former intelligence head Dimo Gyaurov said on Thursday, adding that he has alerted the prosecutors about this several times.

Gyaurov however refused to say whether current Bulgarian President Georgi Parvanov, who headed the Socialist Party at the time, has signed the deal.

The Iraqi money scandal first broke in Febuary 2004 when surviving records of Hussein's regime revealed that the Bulgarian Socialist Party have received 12 million barrels of oil in 1998 - worth about USD 250 M at the time - as a "gift" from Saddam back.

The information was provided by the Baghdad-based newspaper Al-Mada, which published the names of more than 200 individuals and organizations in more than 40 countries who are alleged to have received oil payoffs from Saddam Hussein in exchange for their support.

The list was believed to represent just the tip of the iceberg, in terms of showing how Saddam used his petroleum and cash to purchase friends and favors.

Current Bulgarian President Georgi Parvanov, who headed the Socialist Party at the time, denied the charge, terming it "inappropriate black humor."

Earlier this week the right-wing party Democrats for Strong Bulgaria (DSB) said it may demand the impeachment of President Georgi Parvanov over an alleged letter to the former Iraqi dictator, asking him for help.

Kostov urged the center-right government of new prime minister Boyko Borisov to demand all documentation about the UN “Oil for Food” program from the Iraqi government in order to find out whether Parvanov was involved in any illegal dealings in the late 1990s.

The Oil for Food program amounted to a total of USD 67 B in the period of 1996-2003. Its aim was to procure humanitarian goods for the Iraqi people by alleviating the effect on them of the UN sanctions imposed on the country after Saddam Hussein invaded Kuwait in 1990.