Payment of Claims

      The payment of claims by the Commission had several facets to it. The Compensation Fund was established with the specific function of receiving funds from the Government of Iraq, which would in turn be used to settle claims. Other elements like the payment mechanisms are detailed in this section, as is the distribution of awards and summaries of payments.

The Compensation Fund

     The United Nations Compensation Fund was established pursuant to Security Council resolution 692 (1991) to pay compensation to successful claimants. The Fund receives a percentage of the proceeds generated by the export sales of Iraqi petroleum and petroleum products.

Priority of Payment and Payment Mechanisms

     In its decision 17 adopted in March 1994, two months before the resolution of the first instalment of claims under the review of the Commission, the Governing Council established basic principles for the distribution of compensation payments to successful claimants.

Distribution of Compensation Awards by Submitting Entities

     Award funds are sent by the Commission to the Governments (or international organizations in the case of individuals who were not in a position to have their claims filed by Governments) that originally submitted the claims, and these Governments (or international organizations) are responsible for the distribution of compensation to successful claimants.

Summary of Awards and Current Status of Payments

      Over the years, in execution of its mandate, the Commission has made payments to claimants in the various categories of claims. The table below gives a snapshot of the compensation sought and awarded, the current status of payments as well as the outstanding award amounts.