Iraq says forged oil documents used by foreign firms had no link to official institutions

BAGHDAD — The Iraqi government confirmed that it was informed by the United States about foreign companies using forged Iraqi documents to sell oil but emphasized that the papers were fake and not connected to any official institution.

“The Americans informed us once about the presence of foreign companies affiliated with regional countries engaged in selling oil using Iraqi documents,” government spokesperson Basem Al-Awadi said in an interview with Al-Hadath.

He said a joint investigative committee formed by Baghdad and Washington examined the case “in the most detailed manner,” and both sides concluded “that the documents used were entirely forged and had no connection whatsoever to the Federal Ministry of Oil or specifically to the State Oil Marketing Organization.”

Al-Awadi said the incident occurred months ago and was taken seriously by the Iraqi government. “We do not tolerate such cases because they affect the sovereignty of the Iraqi state,” he said. “It is impossible for Iraq to commit such acts for several reasons.”

Oil Minister Hayan Abdel-Ghani also addressed the issue, stating that Iranian oil tankers seized by U.S. forces in the Gulf were found to be using forged Iraqi documents.

“It turned out that these tankers were Iranian … and were using forged Iraqi documents,” Abdel-Ghani said, stressing that SOMO had no involvement.

He added that while U.S. authorities had made verbal inquiries regarding the detained tankers, no formal written communication had been received. Abdel-Ghani reiterated that SOMO operates with full transparency and has committed no wrongdoing in Iraq’s oil export process.

Some excerpts of Al-Awadi in an interview on Al-Hadath:

The Americans informed us once about the presence of foreign companies affiliated with regional countries engaged in selling oil using Iraqi documents. Based on that, a joint committee was formed between Baghdad and Washington, and the issue was followed in the most detailed manner. Both sides concluded that the documents used were entirely forged and had no connection whatsoever to the Federal Ministry of Oil or specifically to the State Oil Marketing Organization.

The incident occurred several months ago, and for the record, we do not tolerate such cases because they affect the sovereignty of the Iraqi state. It is impossible for Iraq to commit such acts for several reasons. First, Iraqi tankers are subject to joint monitoring with the United States from their departure from Al-Faw to the receiving party. Second, there is high transparency in the sales process, and the revenues are deposited in an Iraqi account at the U.S. Federal Reserve Bank — all of which is publicly available on our official platforms. This means that Washington would detect any surplus revenues from Iraqi oil sales.

It is not possible to talk about mixing Iranian oil with Iraqi oil and then selling it, because that would threaten our relations with the countries and parties purchasing it. We absolutely cannot go in that direction. However, there may be operations carried out by uncontrolled mafias operating outside Iraqi territorial waters, and they bear the responsibility along with the purchasing entities, which — along with their intelligence services — know they are buying oil with forged Iraqi documents.

When we were informed by the American officials about the forged documents, we contacted the concerned parties through diplomatic channels. They confirmed their lack of responsibility for the matter, with the possibility that there are parties operating beyond their control in international waters. As for Iraqi official institutions, they are entirely not responsible for such acts, and the American side confirmed that the State Oil Marketing Organization (SOMO) is completely innocent of this beyond any doubt.

The aforementioned operation took place at the end of last year during President Biden’s term.