May 9, 2003	Friday	Rabi-ul-Awwal 6, 1424

UNITED NATIONS, May 8: Following are highlights of the US draft resolution that proposes lifting of UN sanctions on Iraq.

— United States and Britain will send letters to the Security Council recognizing their obligations under international law as occupying powers or “authority” in Iraq.

— The resolution would lift all trade and financial sanctions imposed on Iraq in August 1990 when its troops invaded Kuwait, except for the arms embargo.

— It would establish an Iraqi Assistance Fund with an international advisory board, staffed by the United Nations, the International Monetary Fund, the World Bank and others, to be held by the Central Bank of Iraq. It would be audited by independent public accountant chosen by the advisory board.

— Monies in the fund would be disbursed at the direction of the United States and Britain in consultation with the Iraqi interim authority.

— All export sales of oil and natural gas are to go into a new Iraqi Assistance Fund until an Iraqi government is properly constituted. But some 25 percent of the oil revenues would still be deducted for a compensation fund for Kuwaiti and other claims resulting from Iraq’s 1990 invasion of the emirate.

— The Assistance Fund should be used to meet humanitarian needs of the Iraq people, economic reconstruction and repair of Iraq’s infrastructure and other civilian purposes.

— The resolution phases out the oil-for-food programme over a period of four months, during which time the United Nations can deliver priority civilian goods. Some 13 billion dollars from Iraq’s past oil revenues are now in the fund.

— Oil future sales should be immune from lawsuits.

— The draft requests Secretary-General Kofi Annan to appoint a special envoy to coordinate humanitarian activities, support reconstruction, work with the United States and Britain to establish governing institutes, promote human rights, help build an Iraqi police force and legal and judicial reforms.

— It would support the formation of an Iraqi interim authority as a transitional administration, with the help of the United States and Britain, until a permanent government is established.

— The resolution would endorse the “exercise of responsibility” by the United States and Britain” for an initial period of 12 months.

— The document asks all countries to facilitate safe return of Iraq cultural property looted from the Iraq National Museum and National Library and to prohibit trade in these artifacts.—Reuters