AWB's Sweet little earner
December 20, 2006 3:42 PM Subscribe
Make that bribe a tax deduction The Australian Wheat Board (AWB) [previously] has been found by to have breached UN sanctions on Iraq by paying the former regime almost three hundred million Australian dollars (300,000,000.00 AUD = 235,733,088.15 USD) in illegal “kickbacks” (read bribes).
While the Australian Navy was instrumental in enforcing sanctions, at a huge cost to the Australian people (and indeed a far greater cost to Iraq people) this company was doing all it could to prop up Sadam’s regime. Now in the Australian Taxation Office have ruled that the bribes aren’t bribes, and have allowed the AWB to claim them as a tax deduction. Happily for some AWB’s share price surged with the news, so that’s some good news at least.
It looks as if US might be taking action.
"this company was doing all it could to prop up Sadam’s regime."
And rightfully so. That was the US government's policy up until the first Gulf War. Good thing Iraq looks so much better now. . .
posted by j-urb at 4:01 PM on December 20, 2006
And rightfully so. That was the US government's policy up until the first Gulf War. Good thing Iraq looks so much better now. . .
posted by j-urb at 4:01 PM on December 20, 2006
Alright, done reading your links—that was quick. Sorry, mattoxic, but that's a pretty weak collection of links. Odd news, to be sure, but...so what? They got away with it, and with a pat on the back?
The tax deduction link offers a weak salvo to save the post, though:
But whether or not the law is an ass, is for others to judge.
I say we are those others. Judge!
PS -> Now you should send an email to mathowie and jessamyn thanking them for fixing your post.
posted by carsonb at 4:05 PM on December 20, 2006
The tax deduction link offers a weak salvo to save the post, though:
But whether or not the law is an ass, is for others to judge.
I say we are those others. Judge!
PS -> Now you should send an email to mathowie and jessamyn thanking them for fixing your post.
posted by carsonb at 4:05 PM on December 20, 2006
Sorry carsonb, I didn't cc you. I will in future. Cheers.
posted by mattoxic at 4:08 PM on December 20, 2006 [1 favorite]
posted by mattoxic at 4:08 PM on December 20, 2006 [1 favorite]
My theory: Doing the AWB any more damage than has already been done will tear the National Party a new arsehole in the polls. And the coalition can't afford that. So some friendly tax official has decided to go easy on them. But, as your last link suggests, tax might have been the least of their worries.
posted by Jimbob at 4:38 PM on December 20, 2006
posted by Jimbob at 4:38 PM on December 20, 2006
Why do people seem to be concluding that the payments shouldn't have been deductible? I'm not an Australian tax expert, so I don't know, but I don't think anyone here is.
posted by Mr. President Dr. Steve Elvis America at 4:55 PM on December 20, 2006
posted by Mr. President Dr. Steve Elvis America at 4:55 PM on December 20, 2006
Haha, this is awesome. A magnificent portrait of immense corruption of one sphere in direct competition (and confrontation) with the immense corruption of another sphere.
Corruption is such a fundamental part of the landscape that no-one's even bothering to put up a pretense of making a token gesture at trying to hide it. Might is Right. The Free Market of corruption. Whoever wins, we lose.
posted by -harlequin- at 5:10 PM on December 20, 2006
Corruption is such a fundamental part of the landscape that no-one's even bothering to put up a pretense of making a token gesture at trying to hide it. Might is Right. The Free Market of corruption. Whoever wins, we lose.
posted by -harlequin- at 5:10 PM on December 20, 2006
"Commonwealth law finds that a bribe is a payment to encourage an overseas official to do something illegal, while a facilitation payment is a modest payment to make something that would lawfully happen, happen faster." [via]
posted by tellurian at 5:14 PM on December 20, 2006
posted by tellurian at 5:14 PM on December 20, 2006
Why do people seem to be concluding that the payments shouldn't have been deductible?
I'm sure they are deductable. The neat part is that they were also found to be illegal, by Royal Commission.
Is there a word for a crime where even with a certainty of getting caught and brought to justice, the criminal is guarenteed a net profit once justice is deducted from non-confiscated revenues? 'Cos there should be. Crime pays :)
posted by -harlequin- at 5:21 PM on December 20, 2006
I'm sure they are deductable. The neat part is that they were also found to be illegal, by Royal Commission.
Is there a word for a crime where even with a certainty of getting caught and brought to justice, the criminal is guarenteed a net profit once justice is deducted from non-confiscated revenues? 'Cos there should be. Crime pays :)
posted by -harlequin- at 5:21 PM on December 20, 2006
facilitation payment
It's not torture, it's high pressure interrogation !
posted by elpapacito at 5:35 PM on December 20, 2006
It's not torture, it's high pressure interrogation !
posted by elpapacito at 5:35 PM on December 20, 2006
Is there a word for a crime where even with a certainty of getting caught and brought to justice, the criminal is guarenteed a net profit once justice is deducted from non-confiscated revenues?
More information would be nice. Is violating UN sanctions a crime in Australia if committed by an entity such as the AWB? Were the payments criminal under Australian law irrespective of the UN sanctions? If so, has the AWB been convicted of either of these crimes?
None of this is really apparent from the post.
posted by Mr. President Dr. Steve Elvis America at 5:36 PM on December 20, 2006
More information would be nice. Is violating UN sanctions a crime in Australia if committed by an entity such as the AWB? Were the payments criminal under Australian law irrespective of the UN sanctions? If so, has the AWB been convicted of either of these crimes?
None of this is really apparent from the post.
posted by Mr. President Dr. Steve Elvis America at 5:36 PM on December 20, 2006
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posted by jessamyn (staff) at 4:00 PM on December 20, 2006