Picking on Halliburton

It is reasonable to pick on Halliburton as a prime example of the crony capitalism of the Bush administration because of the connections between Halliburton and Cheney. Nevertheless the article is correct Halliburton is just the tip of the iceberg and Eisenhower's warning about the military-industrial complex is certainly relevant. However, the larger issue still is simply the development of global capitalism and the conflicts it creates. Another sector woven into this fabric is the prison complex in which private capital now profits from the privatised prison system and encourages the public fear of crime. The US has now the highest incarceration rate in the world I recall. The article is from the libertarian site antiwar.com
Although I am on the opposite end of the political spectrum I find it an excellent source for articles critical of US foreign policy.

Picking on Halliburton
The problem is bigger than you think
Philip Giraldi
Halliburton's move from Houston to Dubai has aroused predictable concerns about security. Halliburton is known to be a major defense contractor, and the rulers of Dubai are undeniably Arabs, albeit Arabs who are demonstrably among America's closest allies. On one level, the announcement appears to have unleashed emotional Arab-bashing based on the same reservoir of bigotry and fear that scuppered the Dubai Ports World deal in February 2006.

On yet another level, however, the concerns appear to be misguided regarding which Halliburton businesses will actually move to the Middle East. Halliburton subsidiary Kellogg Brown and Root, or KBR, is the part of the company that deals with military contracting, and it is Halliburton's stated intention to spin KBR off from the parent company. If that actually occurs, it would mean that the Halliburton operating in Dubai would be primarily in the business of oil industry support, not Defense Department contracting. That Halliburton might be moving to escape taxes, regulation, or potential liability issues is a more relevant criticism, but the company does not differ substantially from other corporate bad citizens in that regard, seeking the cheapest and most trouble-free environment in which to conduct its business.

Halliburton has emerged as the poster child for much of what is wrong with the Bush administration because of its links to former CEO and current vice president of the United States Dick Cheney and because of KBR's incompetence and overbilling on defense-related projects in Iraq and elsewhere. KBR obtained a sweetheart $10 billion non-compete Pentagon contract for Iraq, and reports suggest that it assiduously overbilled and underperformed on the work it did, though it was far from unique in either regard. It has already paid the government some compensation for overbilling, and it reportedly continues to be the target of numerous government auditors who wonder where all the billions of dollars went.

But Halliburton and KBR are only symptoms of a much broader and deeper corruption that threatens more than the Pentagon's overgrown budget. In 1961, President Dwight D. Eisenhower, himself a former general, warned about the threat to the American Republic from what he described as the growing "military industrial complex." He deserves to be quoted at length:

"This conjunction of an immense military establishment and a large arms industry is new in the American experience. The total influence – economic, political, even spiritual – is felt in every city, every state house, every office of the federal government. We recognize the imperative need for this development. Yet we must not fail to comprehend its grave implications. Our toil, resources, and livelihood are all involved; so is the very structure of our society.

"In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military industrial complex. The potential for the disastrous rise of misplaced power exists and will persist.

"We must never let the weight of this combination endanger our liberties or democratic processes. We should take nothing for granted. Only an alert and knowledgeable citizenry can compel the proper meshing of the huge industrial and military machinery of defense with our peaceful methods and goals, so that security and liberty may prosper together."

Eisenhower saw the development of a symbiotic relationship between the Department of Defense and the defense contractors and politicians that would substantially alter the very nature of the United States, turning it from a country that went to war only reluctantly, where ploughshares could be beaten into swords and then back into ploughshares, to a country in which the political and social system would be in permanent thrall to a war economy and mentality. Eisenhower clearly understood that at a certain point, the defense contracting and the distinct economy that it fosters would gain control of the political process and would be able to dictate how the American people work and live. This process has come to fruition, and it has positively bloomed under the Bush administration, which now is speaking confidently of a "long war" that will last for generations.

But not even Eisenhower could have predicted how that military industrial complex would eventually form strategic alliances with foreign countries, support advocacy groups promoting perpetual war, and eventually bring about the downfall of the foreign policy consensus that has guided the United States since 1945. Nor would he have predicted just how the new order led by the so-called neoconservatives, largely funded by the defense industries, would be able to gain control of the federal government's decision-making process and lead the United States into a series of catastrophic wars, seemingly without end.

There is nothing benign about the arms industry. Companies that make armaments need war to be profitable. Constant war is even better, producing an unending flow of money. President George W. Bush's 2002 National Security Strategy [.pdf] is best of all – with its embrace of a vaguely defined preemptive war doctrine and the promise of a series of unilateral wars. To that end, the industry lobbies politicians to increase defense spending and supports ideologues with bellicose worldviews. Thus, the contractors who place full-page ads in leading newspapers featuring warriors using their weapons profit from the injury and death of American soldiers. If the national interest actually lies in peace, harmony, and international amity, as was envisioned by America's Founding Fathers, then the arms merchants are the enemy, however much they wrap themselves in the flag and proclaim themselves the arsenal of freedom.

The intentions of the defense contractors are clearly demonstrated by how they spend U.S. taxpayers' money. Few can doubt that think tanks and advocacy groups such as the American Enterprise Institute, the Project for a New American Century, the Hudson Institute, the Center for Security Policy, the Jewish Institute for National Security Affairs, and the National Institute for Public Policy led the rush to war against Iraq and are eager to do the same to Iran. Many of these think tanks receive funds from the five leading defense contractors – Boeing, Lockheed Martin, Northrop Grumman, Raytheon, and General Dynamics. On an individual level, many well-known neoconservatives have moved seamlessly between the contractors and the think tanks, filling their bank accounts along the way. They include all-too-familiar names such as William Kristol, Stephen Bryen, Richard Perle, Dov Zakheim, Robert Joseph, Douglas Feith, Paul Wolfowitz, and Frederick Kagan. Vice President (and former Secretary of Defense) Dick Cheney and former Secretary of Defense Donald Rumsfeld have done the revolving door one better, moving from senior government posts to senior executive positions with the defense contractors, where they made millions of dollars before moving back into government at the highest levels. All told, at least 43 former employees, board members, or advisers for defense contractors are currently serving or have recently served in policy-making positions in the Bush administration.

And there are also the international interests of the defense contractors, concentrated primarily in Israel. Former Undersecretary of Defense for Policy Douglas Feith's law firm, Feith & Zell, represented Lockheed Martin and Northrop Grumman, while Richard Perle's connection with Trireme Partners provided business connections for U.S. and Israeli defense contractors, enriching Feith and Perle in the process. Both Feith and Perle have worked as lobbyists for Turkey, a major recipient of U.S.-made weapons. The multilateral relationship involving U.S. contractors, Israel's defense industry, and former U.S. and Israeli government officials is both incestuous and apparently frequently beyond the rules that govern international arms sales. FBI whistleblower Sibel Edmonds has recently said that unsealing the Bureau's investigative reports on Perle, Feith, and former State Department number three Marc Grossman would reveal that they all engaged in what she describes as treasonous activity reportedly linked to illegal weapons sales.

The military industrial complex also sustains and feeds off the Bush administration's so-called "global war on terror," or GWOT. Most experts on terrorism would agree that the GWOT is largely a fiction created to simplify a multifaceted problem and heighten fear so that the flow of taxpayer money will continue unabated. Fighting terrorism worldwide, even where it does not exist, isn't cheap, particularly as the increasing reliance on contractors is much more expensive per man-hour than using full-time government employees. The $160 billion increase in the Pentagon budget since 2001 is dedicated to counter-terrorism (this number does not include Iraq and Afghanistan, which have been funded by separate appropriations). Add to that at least half of the intelligence budget ($20 billion) and at least half of the Department of Homeland Security budget ($20 billion). This means the astonishing sum of $200 billion, which does not include Iraq and Afghanistan, is being spent by the United States annually to deal with terrorism. No other country attacks terrorism in such a disproportionate fashion, and many of America's allies have successfully combated it using police and intelligence resources. If there are 5,000 active terrorists worldwide, and there are probably less than that, it would mean that the GWOT is costing the U.S. taxpayer $40 million per terrorist per year, with no end in sight. That's using an elephant to squash a fly. Considering that the fly can move a lot faster than the elephant, no victory is likely to happen soon, apart from the odd "Mission Accomplished" banner here and there.

Halliburton move to Dubai to be investigated?

An obvious reason to move to Dubai is its liberal tax laws. Halliburton can save a bundle on taxes. Maybe Cheney can seek refuge in Dubai should he fear impeachment!


Senator calls on Treasury to investigate if Halliburton move to Dubai linked to Iran deals Mike Sheehan
Published: Monday March 12, 2007





A key U.S. senator is calling on the Treasury Department to ensure that a controversial Houston-based multinational corporation, Halliburton, is not benefiting financially from the move of its headquarters to the Middle East, according to a release advanced to RAW STORY.

Sen. Frank Lautenberg (D-NJ) says in the release, "Halliburton has gone to extraordinary lengths in the past to do business with the terrorist government in Iran," citing recent Treasure investigations of the multinational's business dealings with Tehran. "The company's odd announcement this week certainly sets off alarm bells about its intention to do business with state sponsors of terrorism. When it comes to Halliburton we can't trust, and we need to verify."

The company announced its plan to relocate its headquarters to the United Arab Emirates on Sunday.

Halliburton chief David J. Lesar praised the move, as it would "help the company focus on the Middle East," calling it "the seat of our operations."

The 52-year-old Lesar, who took over the reins of Halliburton after former CEO Dick Cheney became U.S. vice president, said the move to Dubai, UAE was "the next step in a strategic plan announced in 2006 to focus on expanding Halliburton customer relations with national oil companies."

Elsewhere, Sen. Hillary Clinton (D-NY), likely 2008 presidential candidate, also issued a statement in response to the Halliburton announcement.

"I think that raises a lot of serious issues we have to look at," said the former First Lady. "Does this mean they are going to quit paying taxes in America? They are going to take all the advantage of our country but not pay their fair share of taxes?"

She continued, "They get a lot of government contracts - is this going to affect the investigations that are going on? Because we have a lot of evidence of misuse of government contracts and how they have cheated the American soldier and cheated the American taxpayer. They have taken the money and not provided the services, so does this mean that we won't be able to pursue these investigations?"

The junior senator from New York warned, "I think we are going to be looking into that in Washington."

The Lautenberg release in full follows below.

#
In response to the announcement that Halliburton's CEO is moving the company's headquarters to Dubai, United Arab Emirates, U.S. Senator Frank R. Lautenberg (D-NJ) called on the Treasury Department to make sure Halliburton's move is not part of a larger effort to increase Halliburton's business with Iran by evading current U.S. sanctions laws prohibiting any U.S. company from doing business with terrorist states.

Under current U.S. terror sanctions law, U.S. companies are prohibited from doing business with certain terrorist nations. However, the law contains a loophole that allows foreign subsidiaries of U.S. companies to do business with terrorist states. Senator Lautenberg authored legislation in the last Congress that would have extended the reach of sanctions laws to the foreign subsidiaries of U.S. companies. The measure failed by one vote, but Lautenberg plans to reintroduce the legislation this year.

In recent years the U.S. Department of Treasury's Office of Foreign Asset Control (OFAC) and the United States Attorney for the Southern District of Texas has investigated Halliburton's business with Iran through its foreign subsidiary, Halliburton Products & Services, Ltd (HPSL). These investigations have all focused on whether Halliburton has violated U.S. terror sanctions law by using HPSL as a front company to do business with Iran.

"Halliburton has gone to extraordinary lengths in the past to do business with the terrorist government in Iran," said Senator Lautenberg. "Given Halliburton's past dealings with Iran, the company's odd announcement this week certainly sets off alarm bells about its intention to do business with state sponsors of terrorism. When it comes to Halliburton we can't trust, and we need to verify."



.










--------------------------------------------------------------------------------

How Halliburton helped make Iran a nuclear power.

This is from Project Censored.
Can you imagine Cheney saying this?“I think we Americans sometimes make mistakes . . . There seems to be an assumption that somehow we know what’s best for everybody else and that we are going to use our economic clout to get everybody else to live the way we would like.” Wow! Maybe Cheney was better when he was a CEO! The fact that the US helped establish Iran's nuclear program is below the radar of the mainstream press.


#2 Halliburton Charged with Selling Nuclear Technologies to Iran
Source:

Global Research.ca, August 5, 2005
Title: “Halliburton Secretly Doing Business With Key Member of Iran’s Nuclear Team”
Author: Jason Leopold

Faculty Evaluator: Catherine Nelson
Student Researchers: Kristine Medeiros and Pla Herr

According to journalist Jason Leopold, sources at former Cheney company Halliburton allege that, as recently as January of 2005, Halliburton sold key components for a nuclear reactor to an Iranian oil development company. Leopold says his Halliburton sources have intimate knowledge of the business dealings of both Halliburton and Oriental Oil Kish, one of Iran’s largest private oil companies.

Additionally, throughout 2004 and 2005, Halliburton worked closely with Cyrus Nasseri, the vice chairman of the board of directors of Iran-based Oriental Oil Kish, to develop oil projects in Iran. Nasseri is also a key member of Iran’s nuclear development team. Nasseri was interrogated by Iranian authorities in late July 2005 for allegedly providing Halliburton with Iran’s nuclear secrets. Iranian government officials charged Nasseri with accepting as much as $1 million in bribes from Halliburton for this information.

Oriental Oil Kish dealings with Halliburton first became public knowledge in January 2005 when the company announced that it had subcontracted parts of the South Pars gas-drilling project to Halliburton Products and Services, a subsidiary of Dallas-based Halliburton that is registered to the Cayman Islands. Following the announcement, Halliburton claimed that the South Pars gas field project in Tehran would be its last project in Iran. According to a BBC report, Halliburton, which took thirty to forty million dollars from its Iranian operations in 2003, “was winding down its work due to a poor business environment.”

However, Halliburton has a long history of doing business in Iran, starting as early as 1995, while Vice President Cheney was chief executive of the company. Leopold quotes a February 2001 report published in the Wall Street Journal, “Halliburton Products and Services Ltd., works behind an unmarked door on the ninth floor of a new north Tehran tower block. A brochure declares that the company was registered in 1975 in the Cayman Islands, is based in the Persian Gulf sheikdom of Dubai and is “non-American.” But like the sign over the receptionist’s head, the brochure bears the company’s name and red emblem, and offers services from Halliburton units around the world.” Moreover mail sent to the company’s offices in Tehran and the Cayman Islands is forwarded directly to its Dallas headquarters.

In an attempt to curtail Halliburton and other U.S. companies from engaging in business dealings with rogue nations such as Libya, Iran, and Syria, an amendment was approved in the Senate on July 26, 2005. The amendment, sponsored by Senator Susan Collins R-Maine, would penalize companies that continue to skirt U.S. law by setting up offshore subsidiaries as a way to legally conduct and avoid U.S. sanctions under the International Emergency Economic Powers Act (IEEPA).

A letter, drafted by trade groups representing corporate executives, vehemently objected to the amendment, saying it would lead to further hatred and perhaps incite terrorist attacks on the U.S. and “greatly strain relations with the United States primary trading partners.” The letter warned that, “Foreign governments view U.S. efforts to dictate their foreign and commercial policy as violations of sovereignty often leading them to adopt retaliatory measures more at odds with U.S. goals.”

Collins supports the legislation, stating, “It prevents U.S. corporations from creating a shell company somewhere else in order to do business with rogue, terror-sponsoring nations such as Syria and Iran. The bottom line is that if a U.S. company is evading sanctions to do business with one of these countries, they are helping to prop up countries that support terrorism—most often aimed against America.

UPDATE BY JASON LEOPOLD
During a trip to the Middle East in March 1996, Vice President Dick Cheney told a group of mostly U.S. businessmen that Congress should ease sanctions in Iran and Libya to foster better relationships, a statement that, in hindsight, is completely hypocritical considering the Bush administration’s foreign policy.

“Let me make a generalized statement about a trend I see in the U.S. Congress that I find disturbing, that applies not only with respect to the Iranian situation but a number of others as well,” Cheney said. “I think we Americans sometimes make mistakes . . . There seems to be an assumption that somehow we know what’s best for everybody else and that we are going to use our economic clout to get everybody else to live the way we would like.”

Cheney was the chief executive of Halliburton Corporation at the time he uttered those words. It was Cheney who directed Halliburton toward aggressive business dealings with Iran—in violation of U.S. law—in the mid-1990s, which continued through 2005 and is the reason Iran has the capability to enrich weapons-grade uranium.
It was Halliburton’s secret sale of centrifuges to Iran that helped get the uranium enrichment program off the ground, according to a three-year investigation that includes interviews conducted with more than a dozen current and former Halliburton employees.

If the U.S. ends up engaged in a war with Iran in the future, Cheney and Halliburton will bear the brunt of the blame.
But this shouldn’t come as a shock to anyone who has been following Halliburton’s business activities over the past decade. The company has a long, documented history of violating U.S. sanctions and conducting business with so-called rogue nations.

No, what’s disturbing about these facts is how little attention it has received from the mainstream media. But the public record speaks for itself, as do the thousands of pages of documents obtained by various federal agencies that show how Halliburton’s business dealings in Iran helped fund terrorist activities there—including the country’s nuclear enrichment program.

When I asked Wendy Hall, a spokeswoman for Halliburton, a couple of years ago if Halliburton would stop doing business with Iran because of concerns that the company helped fund terrorism she said, “No.” “We believe that decisions as to the nature of such governments and their actions are better made by governmental authorities and international entities such as the United Nations as opposed to individual persons or companies,” Hall said. “Putting politics aside, we and our affiliates operate in countries to the extent it is legally permissible, where our customers are active as they expect us to provide oilfield services support to their international operations. “We do not always agree with policies or actions of governments in every place that we do business and make no excuses for their behaviors. Due to the long-term nature of our business and the inevitability of political and social change, it is neither prudent nor appropriate for our company to establish our own country-by-country foreign policy.”

Halliburton first started doing business in Iran as early as 1995, while Vice President Cheney was chief executive of the company and in possible violation of U.S. sanctions.

An executive order signed by former President Bill Clinton in March 1995 prohibits “new investments (in Iran) by U.S. persons, including commitment of funds or other assets.” It also bars U.S. companies from performing services “that would benefit the Iranian oil industry” and provide Iran with the financial means to engage in terrorist activity.
When Bush and Cheney came into office in 2001, their administration decided it would not punish foreign oil and gas companies that invest in those countries. The sanctions imposed on countries like Iran and Libya before Bush became president were blasted by Cheney, who gave frequent speeches on the need for U.S. companies to compete with their foreign competitors, despite claims that those countries may have ties to terrorism.

“I think we’d be better off if we, in fact, backed off those sanctions (on Iran), didn’t try to impose secondary boycotts on companies . . . trying to do business over there . . . and instead started to rebuild those relationships,” Cheney said during a 1998 business trip to Sydney, Australia, according to Australia’s Illawarra Mercury newspaper

Halliburton, Cheney, Iran nuclear technology

Cheney is singing a different tune these days. This is from Project Censored that lists stories ignored by the mainstream media.


Global Research.ca, August 5, 2005
Title: “Halliburton Secretly Doing Business With Key Member of Iran’s Nuclear Team”
Author: Jason Leopold

Faculty Evaluator: Catherine Nelson
Student Researchers: Kristine Medeiros and Pla Herr

According to journalist Jason Leopold, sources at former Cheney company Halliburton allege that, as recently as January of 2005, Halliburton sold key components for a nuclear reactor to an Iranian oil development company. Leopold says his Halliburton sources have intimate knowledge of the business dealings of both Halliburton and Oriental Oil Kish, one of Iran’s largest private oil companies.

Additionally, throughout 2004 and 2005, Halliburton worked closely with Cyrus Nasseri, the vice chairman of the board of directors of Iran-based Oriental Oil Kish, to develop oil projects in Iran. Nasseri is also a key member of Iran’s nuclear development team. Nasseri was interrogated by Iranian authorities in late July 2005 for allegedly providing Halliburton with Iran’s nuclear secrets. Iranian government officials charged Nasseri with accepting as much as $1 million in bribes from Halliburton for this information.

Oriental Oil Kish dealings with Halliburton first became public knowledge in January 2005 when the company announced that it had subcontracted parts of the South Pars gas-drilling project to Halliburton Products and Services, a subsidiary of Dallas-based Halliburton that is registered to the Cayman Islands. Following the announcement, Halliburton claimed that the South Pars gas field project in Tehran would be its last project in Iran. According to a BBC report, Halliburton, which took thirty to forty million dollars from its Iranian operations in 2003, “was winding down its work due to a poor business environment.”

However, Halliburton has a long history of doing business in Iran, starting as early as 1995, while Vice President Cheney was chief executive of the company. Leopold quotes a February 2001 report published in the Wall Street Journal, “Halliburton Products and Services Ltd., works behind an unmarked door on the ninth floor of a new north Tehran tower block. A brochure declares that the company was registered in 1975 in the Cayman Islands, is based in the Persian Gulf sheikdom of Dubai and is “non-American.” But like the sign over the receptionist’s head, the brochure bears the company’s name and red emblem, and offers services from Halliburton units around the world.” Moreover mail sent to the company’s offices in Tehran and the Cayman Islands is forwarded directly to its Dallas headquarters.

In an attempt to curtail Halliburton and other U.S. companies from engaging in business dealings with rogue nations such as Libya, Iran, and Syria, an amendment was approved in the Senate on July 26, 2005. The amendment, sponsored by Senator Susan Collins R-Maine, would penalize companies that continue to skirt U.S. law by setting up offshore subsidiaries as a way to legally conduct and avoid U.S. sanctions under the International Emergency Economic Powers Act (IEEPA).

A letter, drafted by trade groups representing corporate executives, vehemently objected to the amendment, saying it would lead to further hatred and perhaps incite terrorist attacks on the U.S. and “greatly strain relations with the United States primary trading partners.” The letter warned that, “Foreign governments view U.S. efforts to dictate their foreign and commercial policy as violations of sovereignty often leading them to adopt retaliatory measures more at odds with U.S. goals.”

Collins supports the legislation, stating, “It prevents U.S. corporations from creating a shell company somewhere else in order to do business with rogue, terror-sponsoring nations such as Syria and Iran. The bottom line is that if a U.S. company is evading sanctions to do business with one of these countries, they are helping to prop up countries that support terrorism—most often aimed against America.

UPDATE BY JASON LEOPOLD
During a trip to the Middle East in March 1996, Vice President Dick Cheney told a group of mostly U.S. businessmen that Congress should ease sanctions in Iran and Libya to foster better relationships, a statement that, in hindsight, is completely hypocritical considering the Bush administration’s foreign policy.

“Let me make a generalized statement about a trend I see in the U.S. Congress that I find disturbing, that applies not only with respect to the Iranian situation but a number of others as well,” Cheney said. “I think we Americans sometimes make mistakes . . . There seems to be an assumption that somehow we know what’s best for everybody else and that we are going to use our economic clout to get everybody else to live the way we would like.”

Cheney was the chief executive of Halliburton Corporation at the time he uttered those words. It was Cheney who directed Halliburton toward aggressive business dealings with Iran—in violation of U.S. law—in the mid-1990s, which continued through 2005 and is the reason Iran has the capability to enrich weapons-grade uranium.
It was Halliburton’s secret sale of centrifuges to Iran that helped get the uranium enrichment program off the ground, according to a three-year investigation that includes interviews conducted with more than a dozen current and former Halliburton employees.

If the U.S. ends up engaged in a war with Iran in the future, Cheney and Halliburton will bear the brunt of the blame.
But this shouldn’t come as a shock to anyone who has been following Halliburton’s business activities over the past decade. The company has a long, documented history of violating U.S. sanctions and conducting business with so-called rogue nations.

No, what’s disturbing about these facts is how little attention it has received from the mainstream media. But the public record speaks for itself, as do the thousands of pages of documents obtained by various federal agencies that show how Halliburton’s business dealings in Iran helped fund terrorist activities there—including the country’s nuclear enrichment program.

When I asked Wendy Hall, a spokeswoman for Halliburton, a couple of years ago if Halliburton would stop doing business with Iran because of concerns that the company helped fund terrorism she said, “No.” “We believe that decisions as to the nature of such governments and their actions are better made by governmental authorities and international entities such as the United Nations as opposed to individual persons or companies,” Hall said. “Putting politics aside, we and our affiliates operate in countries to the extent it is legally permissible, where our customers are active as they expect us to provide oilfield services support to their international operations. “We do not always agree with policies or actions of governments in every place that we do business and make no excuses for their behaviors. Due to the long-term nature of our business and the inevitability of political and social change, it is neither prudent nor appropriate for our company to establish our own country-by-country foreign policy.”

Halliburton first started doing business in Iran as early as 1995, while Vice President Cheney was chief executive of the company and in possible violation of U.S. sanctions.

An executive order signed by former President Bill Clinton in March 1995 prohibits “new investments (in Iran) by U.S. persons, including commitment of funds or other assets.” It also bars U.S. companies from performing services “that would benefit the Iranian oil industry” and provide Iran with the financial means to engage in terrorist activity.
When Bush and Cheney came into office in 2001, their administration decided it would not punish foreign oil and gas companies that invest in those countries. The sanctions imposed on countries like Iran and Libya before Bush became president were blasted by Cheney, who gave frequent speeches on the need for U.S. companies to compete with their foreign competitors, despite claims that those countries may have ties to terrorism.

“I think we’d be better off if we, in fact, backed off those sanctions (on Iran), didn’t try to impose secondary boycotts on companies . . . trying to do business over there . . . and instead started to rebuild those relationships,” Cheney said during a 1998 business trip to Sydney, Australia, according to Australia’s Illawarra Mercury newspaper