Annan suspends head of oil-for-food program

UNITED NATIONS – Secretary-General Kofi Annan suspended the head of the U.N. oil-for-food program in Iraq and a senior official who dealt with contracts after an independent inquiry accused them of misconduct, a U.N. spokesman said Monday.

Benon Sevan, who was in charge of the $64 billion humanitarian program, and Joseph Stephanides, head of the U.N. Security Council Affairs Division, were informed Friday that they had been suspended with pay, spokesman Fred Eckhard said.

Sevan and Stephanides were told they would receive a letter “laying out the charges against them,” which will allow them to defend themselves before U.N. disciplinary bodies, he said.

“Suspension is the beginning of a disciplinary process,” Eckhard said.

After Sevan and Stephanides respond to the charges, the U.N. Secretariat headed by Annan will make a final decision on sanctions.

Eckhard said there are three options: the cases could be closed, Annan could decide to dismiss them, or the matter could be referred to the Joint Disciplinary Committee which would then make a recommendation to Annan.

Annan said he was shocked by the findings of an investigation led by former U.S. Federal Reserve Chairman Paul Volcker regarding Sevan. The secretary-general has said that if any of Volcker’s findings lead to criminal charges, he would lift diplomatic immunity.

Asked Monday about Volcker’s findings, Annan said, “We acted on the report as soon as it came out.”