This fund was established in accordance with UN Security Council Resolution No. 1483/2003, which stated in paragraph (20):
((It is decided that all of Iraq’s exports of oil, petroleum products, and natural gas sales after the date of making this decision shall be consistent with prevailing international market best practices, and that their accounts shall be audited by independent public accountants accountable to the International Council for Monitoring referred to in paragraph 12 above in order to ensure transparency, and it is also decided that all proceeds from those sales, with the exception of oil, petroleum products, and natural gas, shall be audited by independent public accountants accountable.
According to this decision and the text of the preceding paragraph, after deducting the compensation amounts resulting from the invasion of Kuwait, all sales of Iraqi oil and oil and gas products sold in the global market were deposited in this fund, and this continued until the year 2010, when the UN Security Council issued Resolution 1956/2010. Which is mentioned in paragraph (1) of the document:
((Decides to terminate, on June 30, 2011, the arrangements specified in paragraph 20 of Resolution 1483 (2003) regarding the deposit of proceeds from sales of oil, petroleum products, and natural gas in the Development Fund for Iraq, as well as the arrangements referred to in paragraph Clause 12 of Resolution 1483 (2003) and paragraph 24 of Resolution 1546 (2004) regarding the International Security Council for Advice and Conciliation monitoring of the Development Fund for Iraq.
A preliminary reading of the two texts reveals that Iraq is obligated in the first resolution to deposit all sales of Iraqi oil, oil products, and gas into this fund, and Iraq has no choice in this matter, if we consider that the UN Security Council acts in issuing this resolution until Chapter Seven. According to the United Nations Charter, while the second resolution provides a deadline for the continuance of the first resolution, Iraq will be free to dispose of sales of its oil, petroleum products, and gas that it exports.
Some people confuse these two resolutions and believe that Iraq, even under Resolution 1956/2010, is still depositing oil revenues, petroleum derivatives, and gas exported in the Development Fund for Iraq, which is incorrect, as the text of paragraph (1) in Resolution 1956/2010 clearly states.
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