A shopkeeper and his son watch a televised speech by then-Iraqi president Saddam Hussein in January, 1997. Reuters
A shopkeeper and his son watch a televised speech by then-Iraqi president Saddam Hussein in January, 1997. Reuters
A shopkeeper and his son watch a televised speech by then-Iraqi president Saddam Hussein in January, 1997. Reuters
A shopkeeper and his son watch a televised speech by then-Iraqi president Saddam Hussein in January, 1997. Reuters

UN ends compensation mission after Iraq pays $52.4bn to Kuwait over 1991 invasion


Mina Aldroubi
  • English
  • Arabic

A UN body established almost 31 years ago to settle $52.4 billion of claims made for damage inflicted by Iraq during the 1990 Kuwait invasion has officially closed.

Officials said on Wednesday that the UN Compensation Commission's mandate had been fulfilled. Iraq made the final payment, of $44 million, on January 13.

In August 1990, former Iraqi dictator Saddam Hussein ordered his army to invade Kuwait and seize what he described as "Iraq's 19th province", before being pushed back seven months later by a US-led coalition.

  • American airforce F-15 C fighters flying over a Kuwaiti oilfield which had been torched by retreating Iraqi troops during the Gulf War. Getty Images
    American airforce F-15 C fighters flying over a Kuwaiti oilfield which had been torched by retreating Iraqi troops during the Gulf War. Getty Images
  • US Air Force ground crew loading 500-pound bombs onto an aircraft during operation Desert Storm - the mission to drive Iraqi forces out of Kuwait, January to February 1991. Mark Peters / Department Of Defence
    US Air Force ground crew loading 500-pound bombs onto an aircraft during operation Desert Storm - the mission to drive Iraqi forces out of Kuwait, January to February 1991. Mark Peters / Department Of Defence
  • Gen Norman Schwarzkopf, commander-in-chief, US Central Command, presents the Legion of Merit to Maj Gen Muhammed Al Badi, chief of staff of the UAE Armed Forces, for his role in liberating Kuwait from occupying Iraqi forces during Operation Desert Storm. April 2, 1991. Corbis via Getty Images
    Gen Norman Schwarzkopf, commander-in-chief, US Central Command, presents the Legion of Merit to Maj Gen Muhammed Al Badi, chief of staff of the UAE Armed Forces, for his role in liberating Kuwait from occupying Iraqi forces during Operation Desert Storm. April 2, 1991. Corbis via Getty Images
  • British engineers from the 7th armoured brigade in action on January 7 1991 in the Saudi Arabian desert. Patrick Baz / AFP
    British engineers from the 7th armoured brigade in action on January 7 1991 in the Saudi Arabian desert. Patrick Baz / AFP
  • An Egyptian soldier holding a bayonet takes shelter in a hole to protect himself from Iraqi artillery fire on February 25, 1991 while Allied troops launch a ground offensive to free Kuwait from Iraqi invasion. Pascal Guyot / AFP
    An Egyptian soldier holding a bayonet takes shelter in a hole to protect himself from Iraqi artillery fire on February 25, 1991 while Allied troops launch a ground offensive to free Kuwait from Iraqi invasion. Pascal Guyot / AFP
  • Egyptian army fire missiles on February 25, 1991 on the second day of the massive ground assault of the Allied Forces into Kuwait and Iraq. Pascal Guyot / AFP
    Egyptian army fire missiles on February 25, 1991 on the second day of the massive ground assault of the Allied Forces into Kuwait and Iraq. Pascal Guyot / AFP
  • An Iraqi Kurdish refugee child cries on April 11, 1991, in Isikveren refugee camp situated on the Turkish border with Iraq. Nabil Ismail / AFP
    An Iraqi Kurdish refugee child cries on April 11, 1991, in Isikveren refugee camp situated on the Turkish border with Iraq. Nabil Ismail / AFP
  • A Kuwaiti airfield worker waves to a departing of a Kuwaiti Air Force A-4 US-made Skyhawk jet fighter pilot 24 January 1991 leaving the Al Hasra air base for a bombing mission over Iraq. Chris Wilkins / AFP
    A Kuwaiti airfield worker waves to a departing of a Kuwaiti Air Force A-4 US-made Skyhawk jet fighter pilot 24 January 1991 leaving the Al Hasra air base for a bombing mission over Iraq. Chris Wilkins / AFP
  • Iraqi President Saddam Hussein (L) is seen sitting in a tent in Najaf (Irak) in 1991 during the Gulf War. AFP
    Iraqi President Saddam Hussein (L) is seen sitting in a tent in Najaf (Irak) in 1991 during the Gulf War. AFP
  • French special forces capture Iraqi soldiers on February 26, 1991 somewhere in Iraqi desert. Mike Nelson /AFP
    French special forces capture Iraqi soldiers on February 26, 1991 somewhere in Iraqi desert. Mike Nelson /AFP
  • The wreckage of a British Airways Boeing 747-136 at Kuwait City airport, after BA Flight 149 was detained in Kuwait during the Gulf War, 1991. Colin Davey / Getty Images
    The wreckage of a British Airways Boeing 747-136 at Kuwait City airport, after BA Flight 149 was detained in Kuwait during the Gulf War, 1991. Colin Davey / Getty Images

Retreating Iraqi forces blew up an estimated 750 oil wells, creating one of the largest environmental disasters in history and effectively destroying Kuwait's main source of income. Thousands of people were killed and Kuwait says at least 605 citizens remain unaccounted for.

The UN body was created as a subsidiary organ of the UN Security Council under Security Council resolution 687 (1991) to process claims and pay compensation for damage suffered as a direct result of Iraq's invasion.

The money was directed to compensate people, companies and governments who could prove their losses.

"With the final payment of compensation made on 13 January, 2022, all compensation awarded by the Commission has now been paid in full," the UN Compensation Commission (UNCC) said.

"The Government of Iraq has fulfilled its international obligations to compensate all claimants awarded compensation by the Commission for losses and damages suffered as a direct result of Iraq’s unlawful invasion of Kuwait," the body in Geneva said after a meeting.

The US ambassador to the UN in Geneva, Bathsheba Crocker, said: "We commend Iraq for completing payments for all UNCC claims, a historic achievement."

Mr Crocker had a meeting with Qahtan Al Janabi, Iraqi under secretary for multilateral and legal affairs, and other diplomats before Wednesday's meeting.

About 2.7 million claims, with a value of $352.5bn, were lodged but the UNCC approved payment of $52.4bn covering 1.5 million successful claims.

The largest claim approved by the UNCC was for $14.7bn in damages incurred by the Kuwait Petroleum Corporation after departing Iraqi troops set fire to oil wells.

In 2014, the payments were suspended when ISIS took over large areas of Iraq but were resumed in 2018, after the group's defeat.

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Company%20Profile
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Squid Game season two

Director: Hwang Dong-hyuk 

Stars:  Lee Jung-jae, Wi Ha-joon and Lee Byung-hun

Rating: 4.5/5

FFP EXPLAINED

What is Financial Fair Play?
Introduced in 2011 by Uefa, European football’s governing body, it demands that clubs live within their means. Chiefly, spend within their income and not make substantial losses.

What the rules dictate? 
The second phase of its implementation limits losses to €30 million (Dh136m) over three seasons. Extra expenditure is permitted for investment in sustainable areas (youth academies, stadium development, etc). Money provided by owners is not viewed as income. Revenue from “related parties” to those owners is assessed by Uefa's “financial control body” to be sure it is a fair value, or in line with market prices.

What are the penalties? 
There are a number of punishments, including fines, a loss of prize money or having to reduce squad size for European competition – as happened to PSG in 2014. There is even the threat of a competition ban, which could in theory lead to PSG’s suspension from the Uefa Champions League.

Results:

5pm: Maiden (PA) | Dh80,000 | 1,200 metres

Winner: Jabalini, Szczepan Mazur (jockey), Younis Kalbani (trainer)

5.30pm: UAE Arabian Derby (PA) | Prestige | Dh150,000 | 2,200m

Winner: Octave, Gerald Avranche, Abdallah Al Hammadi

6pm: Arabian Triple Crown Round 3 (PA) | Group 3 Dh300,000 | 2,200m

Winner: Harrab, Richard Mullen, Mohamed Ali

6.30pm: Emirates Championship (PA) | Group 1 | Dh1million | 2,200m

Winner: BF Mughader, Szczepan Mazur, Younis Al Kalbani

7pm: Abu Dhabi Championship (TB) | Group 3 | Dh380,000 | 2,200m

Winner: GM Hopkins, Patrick Cosgrave, Jaber Ramadhan

7.30pm: Wathba Stallions Cup (PA) | Conditions | Dh70,000 | 1,600m

Winner: AF La’Asae, Tadhg O’Shea, Ernst Oertel

What can you do?

Document everything immediately; including dates, times, locations and witnesses

Seek professional advice from a legal expert

You can report an incident to HR or an immediate supervisor

You can use the Ministry of Human Resources and Emiratisation’s dedicated hotline

In criminal cases, you can contact the police for additional support

MATCH INFO

Jersey 147 (20 overs) 

UAE 112 (19.2 overs)

Jersey win by 35 runs

While you're here
Who was Alfred Nobel?

The Nobel Prize was created by wealthy Swedish chemist and entrepreneur Alfred Nobel.

  • In his will he dictated that the bulk of his estate should be used to fund "prizes to those who, during the preceding year, have conferred the greatest benefit to humankind".
  • Nobel is best known as the inventor of dynamite, but also wrote poetry and drama and could speak Russian, French, English and German by the age of 17. The five original prize categories reflect the interests closest to his heart.
  • Nobel died in 1896 but it took until 1901, following a legal battle over his will, before the first prizes were awarded.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Cricket World Cup League 2

UAE squad

Rahul Chopra (captain), Aayan Afzal Khan, Ali Naseer, Aryansh Sharma, Basil Hameed, Dhruv Parashar, Junaid Siddique, Muhammad Farooq, Muhammad Jawadullah, Muhammad Waseem, Omid Rahman, Rahul Bhatia, Tanish Suri, Vishnu Sukumaran, Vriitya Aravind

Fixtures

Friday, November 1 – Oman v UAE
Sunday, November 3 – UAE v Netherlands
Thursday, November 7 – UAE v Oman
Saturday, November 9 – Netherlands v UAE

Updated: February 10, 2022, 9:54 AM