04/29/08 USDA punishes AWB Limited

Farm and Ranch April 29, 2008 Recall the Oil-for-Food scandal and the Australian Wheat Board Limited, formerly the Australian Wheat Board? That board was allegedly involved in bribery and kickbacks to former Iraqi dictator Saddam Hussein. Back in December of 2006 when an investigation confirmed the allegations, then U.S. Agriculture Secretary Mike Johanns told reporters; Johanns: "We will act. And we act to the extent that we have the authority to act." Which meant an immediate suspension and a proposed debarment, or banning, of AWB from any U.S. government commodity procurements or other programs such as loan guarantees. Last week USDA spokesperson Keith Williams said the debarment was now official and is good for two years. Williams: "We took a careful look at the evidence, afforded AWB due process and came to a decision that was in the best interest of the U.S government and taxpayers to debar this organization for a period of time," says USDA spokesperson Keith Williams. "The administrative law judge took an independent look and affirmed that decision." Also recently announced in Australia, was that six formers executives of the AWB will face more than 72 criminal charges in court this summer. In the wake of the Oil-for-Food scandal the Australian government has also moved forward on a plan to eliminate Australian Wheat Board Limited's monopoly on Australian wheat exports. The reform creates a new regulator, Wheat Exports Australia, that will issue export licenses to groups that can prove they are "fit and proper companies." I'm Bob Hoff and that's the Northwest Farm and Ranch Report on the Northwest Ag Information Network.