Allawi issues a detailed explanation of the theft of tax deposits

  • Time: 10/19/2022 21:53:42
  • Reading: 1,027 times
Allawi issues a detailed explanation of the theft of tax deposits

  {Economist: Al-Furat News} Former Finance Minister Ali Allawi issued a detailed explanation of the theft of the secretariats of the General Tax Authority, which exceeded 3.7 trillion dinars and sparked a great popular and official uproar.

Allawi said in a statement: “On August 16, 2022, the former Minister of Finance, Dr. Ali Allawi, submitted his resignation from the Iraqi government. At that time, he explained in a detailed statement the reasons for the resignation, the decay and deterioration of state institutions, especially in the financial and banking sector, and the spread of illegal interventions from outside the ministry in State administration.

“Two months after the resignation, we faced perhaps one of the biggest financial scandals of the modern era, the uproar from an angry public opinion was just right because it is inconceivable that such a huge amount of money could be stolen so brazenly with complete impunity from oversight, accountability and punishment, but the huge scale The scandal also provides opportunities to make irresponsible allegations and draw conclusions without any serious justification, and for this purpose it was found necessary to explain in detail the position of the Ministry of Finance from the perspective of the Minister of Finance so that the public is aware of the facts of the matter:

First: 1. On July 13, 2021, the letter of the Financial Committee of the previous parliament was received, No. {2021}, requesting to limit the audit of the tax and customs deposits by the General Tax Authority without going through the Financial Supervision Bureau. This request is based on the receipt of complaints by the Finance Committee regarding delays and other reasons mentioned In the committee book.

2. There is a correspondence between the Financial Supervision Bureau and the Prime Minister’s Office on the same content, where the Financial Supervision Bureau supports the proposal of the Parliament’s Financial Committee, noting that the letter of the Financial Supervision Bureau of the Prime Minister’s Office No. 1/1/3/12772 on July 27, 2021 and a letter answered by the Prime Minister’s Office to the Bureau By the number m. SR/Q/D2907/2 on August 1, 2021.

3. Another letter was received from the former Chairman of the Financial Committee No. 2126 on August 3, 2021 to the Minister of Finance confirming the previous request and indicating the approval of the Office of the Prime Minister and the Financial Supervision Bureau in the light of their correspondence referred to in 2 above.

4. A letter was received to the Minister of Finance from the General Tax Authority, No. 61 Q/1046, on August 10, 2021, referring to the above books and approvals, and asking the Minister of Finance to work with them.

Second: The approval of the Minister of Finance on August 26, 2021 was made in accordance with the above, as it was based on the request of the legislative body represented by the Financial Committee of the previous parliament and the approval of the Financial Supervision Bureau and the Prime Minister’s Office, as well as the request of the body responsible for the operation (the General Authority for Taxes) to which the request is allowed Thus, the nature of the work structure in the ministry, which includes the institutions, companies and bodies affiliated to it, to manage its financial affairs in accordance with the laws of its establishment, and in accordance with the powers and principles in force. With the offer, the approval of the Minister of Finance was conditional on the implementation of the regulations in force in the matter.

Third: In order to ensure that the tax trusts are not tampered with, the Minister of Finance issued on August 5, 2021 Ministerial Order No. 5 in which he decided to form a central ministerial committee headed by him for the purpose of organizing and supervising the tasks of tax work, including following up on taxpayers’ responses and coordinating with the financial department on the correctness of the taxpayer’s payment.

Fourth: The above administrative procedures and control tools instructed by the Minister of Finance led to the impossibility of acquiring tax trusts by promoting false return transactions by the group accused of theft.

Fifth: The Integrity Commission investigated some suspicious tax refund transactions, and the results of this investigation came in the Federal Integrity Commission letter No. 5/7079 on August 31, 2021, which indicated that the Integrity Commission did not request the suspension of the deposit tax return resulting from the transaction. Doubtful matters and the absence of damage to the public money The integrity book indicated above to take the necessary to proceed with the return of the tax deposits.

Sixth: The Minister of Finance has informed the Prime Minister’s Office several times about the risks involved in allowing this situation to continue. And on September 29, 2021 the Minister of Finance told the PM’s office literally…. “They are on the move and appoint idiots whom I have to clear up their mess later. I can’t go on like this when I know the ministry is eating up from within and I can do nothing about it. All The circles are infiltrated by the parties and the influential, and there is no person with ability and ability ready to work in this atmosphere.”

Seventh: Despite the above, when the Minister’s office received indications that raise suspicion of the continuation of manipulation operations with regard to the recovery of tax deposits, on November 1, 2021, the Minister of Finance addressed the General Authority for Taxes, requesting the priorities of all deposit recovery transactions that took place during the years 2020 and 2021.

Eighth: To confirm the prevention of manipulation, the Minister of Finance attributed on November 4, 2021 that the General Authority for Taxes did not pay refunds of deposits to taxpayers before obtaining the approval of the Minister, and that all transactions of refunding deposits should be presented to the Minister after completing all the due procedures.

Ninth: On November 5, 2021, the Minister of Finance confirmed to the Prime Minister’s Office that there were doubts about the continuation of manipulation operations with regard to the recovery of tax deposits. A report has been submitted on this.

Tenth: What could not be detected is the fact that the group accused of theft (issuing sukuk without promoting deposit recovery transactions through a direct process between the General Tax Authority and Rafidain Bank) without being detected by the Ministry’s Audit and Control Department. Therefore, what happened is the An operation that was carried out within the corridors of the General Authority for Taxation and the Rafidain Bank, and among the powers available to them, without the Ministry of Finance having any interference in these dangerous practices, as the Minister of Finance did not receive any notification from the Ministry’s departments about the process of issuing and withdrawing the aforementioned sukuk, and the aforementioned bank did not Al-Rafidain, in turn, informed the minister about the huge sums that were withdrawn from the bank, despite the minister’s meeting with the banks’ departments periodically to follow up on their affairs.

Eleven: The withdrawal of the Financial Supervision Bureau and the restriction of the audit process of tax return transactions to the General Authority for Taxes, and according to the request of the Financial Committee of the House of Representatives, led to an increase in the possibility of fraud against the Tax Authority. However, the internal procedures of the Tax Authority to verify the legality of fiduciary transactions should have stopped outright fraud. But what appears to have happened is that checks were issued to return the deposits without any recorded transaction or paper trail, which means that no audit, from any source, could stop them because they were off the records. Thus, the wicked received checks that were not recorded in the accounts of the tax authority. According to the instructions issued by the Minister of Finance, it was not possible to issue sukuk without going through the audit steps of the Tax Authority, followed by specific approval from the Minister’s office. None of these steps were followed in all the instruments that were issued wickedly.

Twelve: One of the main factors that led to this brazen theft is the fact that the Ministry, its affiliates, and the state as a whole are unfortunately lagging behind in terms of adopting automated information, accounting and reporting systems. To address this, the Minister of Finance developed four different programs to fully automate the ministry, the customs and tax authorities, and the creation of a single treasury account. If these systems were fully available, it would have been impossible for a theft of this magnitude to occur. But these programs have not yet been fully installed. And it takes more time and will to curb resistance to change and face the broad and deep resistance to automation to save systems and operate at full capacity.

Thirteen: Here, we would like to point out that some general managers and state employees did not comply with the regulations and laws governing their duties and did not follow the ministerial orders and the minister’s directives, concealed information and prevented the supervisory departments from carrying out their role and reporting, as happened, for example, but not limited to in the Ashtar case The contract, despite the explicit direction of the Minister of Finance to the contrary, and the issue of tax trusts, where no less than 247 trust response instruments were issued despite the explicit directive of the Minister of Finance to stop it, all of these because of loyalty to influential political parties that derive from the whales of corruption and provide immunity to the corrupt.

Fourteen: We advise whoever is responsible to audit the accounts of other trusts in the country, including the accounts of the Customs Authority.

To view the text of the statement of former Finance Minister Ali Allawi .. Click here


Washington announces a $2 million grant for Iraqi food security

politicsbreakingIraqi food securityUS Ambassador to BaghdadAmerican scholarship

 2022-10-19 11:00A-AA+

Shafaq News/ Today, Tuesday, the United States announced a $2 million grant for Iraqi food security, and another $8 million grant for Iraqi and Syrian refugees in the camps.

“We are excited to announce a $2 million grant that will be invested through (USAID) in small and medium agricultural businesses to support Iraqi food security,” US Ambassador to Iraq Elena Romanowski said in a tweet on Twitter, followed by Shafak News Agency.

The ambassador revealed that “8 million dollars have been allocated through (USAID Saves Lives) to meet the critical food needs of the displaced Iraqis and Syrian refugees in the camps.”

“No Saturday session” .. Al-Fath reveals the date of voting for Al-Sudani’s booth

politicsbreakingThe new Iraqi governmentParliamentary session devoted to voting

 2022-10-19 10:46A-AA+

Shafaq News / Al-Fateh Parliamentary Bloc confirmed today, Wednesday, the need for Prime Minister-designate Muhammad Shia Al-Sudani to “more time” to complete the formation of his next government, while denying the existence of a parliamentary session to vote on the government next Saturday.

The head of the Al-Fateh Alliance Parliamentary Bloc, Abbas Al-Zamili, told Shafaq News that “the person charged with forming the government, Muhammad Shiaa Al-Sudani, is working to complete the cabinet within the specified constitutional period,” noting that “this work needs time.”

Al-Zamili added, “There is no session for the House of Representatives to vote on forming the government next Saturday,” noting that the commissioner, Muhammad Shiaa Al-Sudani, “will present the cabinet to Parliament on Monday or the end of next week.”

The head of the Al-Fateh parliamentary bloc added that “the political blocs did not submit lists of candidates for ministerial portfolios to the official responsible for forming the government,” explaining that “the Sudanese will choose the appropriate candidate to take over the ministerial portfolio.”

Earlier today, the leader in the coordination framework, Mahmoud Al-Hayani, revealed that the Prime Minister-designate, Muhammad Shiaa Al-Sudani, was subjected to “pressures” to “impose” candidates for ministerial portfolios.

Representatives and politicians are dealing with statements about an assumed date for holding a parliamentary session dedicated to voting on the formation of the Sudanese government, which is “next Saturday.”

The President of the Republic, Abdel Latif Jamal Rashid, and the Prime Minister in charge of forming the new government, Muhammad Shiaa Al-Sudani, stressed, today, Wednesday, their work to form a new government that would confront the challenges facing the country.

Today, Wednesday, the Kurdistan Democratic Party confirmed that it will obtain three ministries in the upcoming government of Muhammad Shiaa Al-Sudani, namely, the Ministry of Foreign Affairs, Justice, (construction, housing and municipalities), while the Ministry of Environment will go to the Patriotic Union of Kurdistan.

The Prime Minister-designate, Muhammad Shia Al-Sudani, is preparing to present his cabinet formation to the Iraqi parliament, after he has finished drawing the outlines of ministerial quotas with the participating political forces.

It is expected that the Sudanese government will pass in the House of Representatives without any obstacles, in the absence of the 73 Sadrist bloc deputies who announced their resignation from the parliament on June 12.

The Iraqi parliament is preparing a report on the “stealing of the century” and warns that the accused will be out on bail

politicsbreakingIraqi parliamenthorn theft

 2022-10-19 06:50A-AA+

Shafaq News/ The Parliamentary Integrity Committee announced, on Wednesday, that it will prepare a detailed report on the theft of two and a half billion dollars from the amounts of tax trusts in the Rafidain Bank.

This came in a press conference held by Sarwa Abdel Wahed, a member of the Parliamentary Integrity Committee, at the parliament building, with the participation of a number of committee members, and was attended by Shafak News Agency correspondent.

During the conference, Abdul Wahed said that the Integrity Committee will have a report to diagnose the main official responsible for the theft of the century, and everyone is responsible, indicating that the Iraqi judiciary must play an active role and the accused cannot be released on financial bail.

She called for the necessity of diagnosing all those involved in the theft, adding that there was talk about the former head of the Finance Committee and he is now an advisor to the Prime Minister, and the Office of the Prime Minister has a hand in the matter and sent a letter to the Tax Authority, and these, including the Tax Authority, Rafidain Bank and the Office of the Prime Minister must Referring them to the judiciary, banning them from traveling, interrogating them, and arresting the accused.

Al-Sudani concludes his mission today, and it is likely that the names will be announced at noon tomorrow


  • Today 14:18
Al-Sudani concludes his mission today, and it is likely that the names will be announced at noon tomorrow

Information/Baghdad: The
leader of the Al-Fateh Alliance, Ali Hussein Al-Fatlawi, confirmed, on Wednesday, the success of the mission of Prime Minister-designate Muhammad Shia Al-Sudani in putting the final touches to his parliamentary formation, indicating that the names of the ministers will be announced tomorrow afternoon in order to study them in the House of Representatives before the Saturday session.
Al-Fatlawi said in a statement to “The Information”, that “the Prime Minister-designate, Muhammad Shiaa Al-Sudani, is supposed to conclude today his mission in choosing his cabinet, and then announce the names of the ministers tomorrow, Thursday.”
He added, “The announcement of the names of the ministerial cabinet and the government program on Thursday will allow the council members to study the names nominated for the cabinet for the purpose of voting on each name, whether affirmative or negative.”
He added, “The ministerial cabinet will not be fully completed due to the failure of some political forces to send the five names to each position according to their due,” suggesting that “the political forces will complete their mission by paying the five names within a few days so that the government moves in an integrated manner away from assigning agencies as it happened in the past.” . finished / 25 AD

Rashid and Al-Sudani confirm the formation of a new government that will face challenges and serve the people

  • Time: 10/19/2022 14:00:58
  • Reading: 468 times
Rashid and Al-Sudani confirm the formation of a new government that will face challenges and serve the people

  {Political: Al-Furat News} President Abdel Latif Jamal Rashid discussed today, Wednesday, at Al-Salam Palace in Baghdad, with the Prime Minister in charge of forming the new government, Muhammad Shia Al-Sudani, consultations to form the government.

A statement by the Presidency of the Republic said that the two presidents “discussed during the meeting the general situation in the country.”

The two sides stressed “the importance of unifying the national ranks and working to form a new government that confronts the challenges facing the country and works to serve the Iraqi people and improve their living and service conditions.”